Bowman Consulting stock price target raised to $43 from $33 at B.Riley

Investing.com - B.Riley has raised its price target on Bowman Consulting Group Ltd. (NASDAQ:BWMN) to $43.00 from $33.00 while maintaining a Buy rating on the stock. According to InvestingPro data, the stock currently trades at $30.67, with analysts’ targets ranging from $28 to $43, suggesting potential upside.

The research firm identified Bowman as its "best idea" coming out of its May investor conference, citing the company’s realized benefits of scale reflected in strong backlog growth. B.Riley expects a seasonally strong second quarter of 2025 for the consulting firm. The company has demonstrated impressive growth with revenue increasing 21.78% over the last twelve months to $444.59 million.

During the second quarter, Bowman secured several contracts, including a construction engineering contract in Illinois and the ATEC Parkway Development in the Aurora Highlands in Colorado. The company also announced a $25 million share repurchase program and acquired e3i Engineers, which specializes in data center and energy infrastructure design. InvestingPro analysis reveals strong gross profit margins of 52.39% and positive earnings expectations for the year ahead.

B.Riley noted that Bowman does not bear any tariff-related materials cost risk, which has increased by an estimated 6% year-to-date, as the company operates at the front end of construction projects in planning, engineering, and design.

While Bowman has built a national footprint through an active merger and acquisition program, B.Riley expects the company to continue making selective acquisitions to add growth in select geographic markets or expand its professional expertise.

In other recent news, Bowman Consulting Group Ltd. has announced several significant developments. The company unveiled a $25 million innovation fund aimed at enhancing technology-enabled services, focusing on automation, artificial intelligence, and predictive engineering. This initiative is expected to accelerate organic growth and improve financial performance. Additionally, Bowman has entered into a definitive agreement to acquire e3i Engineers, a Boston-based firm specializing in data center and energy infrastructure design. The acquisition is set to expand Bowman’s capabilities in specialized data center engineering.

Furthermore, Bowman Consulting has been selected by the U.S. Geological Survey to lead aerial lidar data collection in regions affected by Hurricane Helene, supporting the federal 3D Elevation Program. The company also secured a Phase II contract with the USDA for aerial imagery services under the National Resource Inventory program. In another strategic move, Bowman has authorized a $25 million stock buyback program, allowing for share repurchases over the next 12 months. These recent developments highlight Bowman’s ongoing efforts to expand its service offerings and strengthen its market position.

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