Shimmick wins $51 million water infrastructure contract in California

Published 22/07/2025, 13:52
Shimmick wins $51 million water infrastructure contract in California

IRVINE, Calif. - Shimmick Corporation (NASDAQ:SHIM) has secured a $51 million contract from the Stockton East Water District for the Bellota Weir Modifications project in Stockton, California, according to a press release statement issued Tuesday. The infrastructure company, currently trading at $2.14 per share with a market capitalization of $75.48 million, appears undervalued according to InvestingPro analysis, despite generating $482.3 million in revenue over the last twelve months.

The infrastructure project includes construction of a new inflatable Obermeyer gate weir across Mormon Slough, a surface water intake with cylindrical fish screens, a vertical slot fish ladder with lamprey ramps, and a gravity flow conveyance system with multiple 54-inch pipelines.

Located approximately 17 miles downstream of New Hogan Dam, the project will also feature a fish exclusion embankment, a low-permeability cutoff wall in the Old Calaveras River, and site improvements designed to support groundwater recharge and water quality.

The upgrades align with the district’s Calaveras River Habitat Conservation Plan and aim to improve water reliability while enhancing fish habitat on the Calaveras River. The modifications are designed to support compliance with state and federal mandates to protect threatened species, including Central Valley steelhead and Chinook salmon.

"By combining advanced water conveyance with ecological safeguards, we’re helping shape the future of water management in California," said Ural Yal, CEO of Shimmick.

Construction is expected to begin in 2025, following completion of final permitting and preconstruction activities.

Shimmick Corporation, headquartered in California, provides infrastructure solutions across water, energy, climate resiliency, and sustainable transportation sectors. While analysts expect net income growth this year, detailed financial analysis and valuation metrics are available through InvestingPro’s extensive coverage of over 1,400 US stocks.

In other recent news, Shimmick Corporation reported its Q1 2025 earnings, which fell short of analysts’ expectations. The company posted an earnings per share (EPS) of -$0.22, missing the anticipated $0.11, and recorded revenue of $122 million, which was below the forecasted $176.8 million. Despite the earnings miss, Shimmick’s stock experienced an increase as investors showed interest in the company’s operational improvements and future potential. Additionally, Shimmick announced the launch of Axia Electric LLC, a new subsidiary aimed at expanding its offerings in the electrical and power distribution markets. This new entity will focus on low- and medium-voltage markets and provide services across various sectors, including water and energy. Furthermore, during its 2025 Annual Meeting of Stockholders, Shimmick elected six directors to its board, all of whom received substantial support. These directors will serve one-year terms expiring at the 2026 Annual Meeting.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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