NV5 Global (NVEE) is a provider of professional and technical engineering and consulting solutions to public and private sectors, notes small cap expert Tom Bishop, editor of BI Research.

NV5 focuses primarily on five business verticals: construction quality assurance, infrastructure engineering and support services, energy, program management and environmental solutions.

Projects can include planning, design, engineering, permitting, inspec-tion and field supervision, and management oversight of transportation systems, water/waste-water systems, sports facilities, military base renovations, utilities expansion, renewable energy, pipelines, and education and healthcare facilities.

NV5 is growing via organic growth and opportunistic acquisitions, and there are many opportunities out there. Hhaving already attained its goal of a $300 million revenue run rate by the end of 2016, the new goal is $600 million via organic growth and acquisitions.


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The company just reported adjusted Q4 EPS of $0.71 which blew by estimates of $0.63 and were 73% higher than the year ago Q4.  The full year came in at $2.38, up 56%. Next year the company offered guidance of $2.92 to $3.21 (23 to 35% growth) — before any future acquisitions.

This is way above the current consensus is $2.77. Q4 revenues were up 48% to $95 million. The full year came in at $333 million with guidance for 2018 at $370 - $405 million, again exclusive of future acquisitions. The backlog grew 34% in 2017 to $296 million. So a great report.

Meanwhile, management is more comfortable than ever about attaining their next goal of $600 million in revenues.

So everything seems on track here and with NV5 growing like it is, and the shares trading at just 15.5 times the 2018 consensus (which is likely too low), and the state of the nation’s infrastructure, this appears to be a great buying opportunity. The shares remain a buy near current levels.

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