On Wednesday, Roth/MKM has increased the price target for Bowman Consulting Group Ltd. (NASDAQ: BWMN) to $49, up from the previous target of $45, while reiterating a Buy rating on the shares. The adjustment reflects a positive outlook on the company's future EBITDA.
The firm's analysis suggests a robust funding environment, particularly benefiting Bowman's operations in the Transportation and Power & Utilities sectors. These segments have demonstrated significant growth over the past year and are expected to continue contributing to the company's diversification efforts.
Bowman Consulting's strategy of organic growth coupled with strategic mergers and acquisitions is anticipated to drive scale and profitability in the upcoming years. The firm's approach is seen as laying the groundwork for an attractive growth profile that could lead to margin expansion.
The price target is based on a 12 times multiple of the projected adjusted EBITDA for the year 2025.
The updated price target signifies a positive stance on Bowman Consulting's market position and its ability to capitalize on favorable conditions in its key operational segments. The company's focus on both organic initiatives and strategic acquisitions is expected to underpin its growth trajectory and enhance shareholder value.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.