Limbach: 6x EBITDA, Huge Discount vs. Peers – 64% Near-Term Upside

Limbach: 6x EBITDA, Huge Discount vs. Peers – 64% Near-Term Upside by Eric Gomberg, Dane Capital Direction: Long Timeframe: 1 – 12 months Expected Gain: 91% Dane Capital Management, LLC Summary Limbach, a company with a 115-year operating history, trades at 6x EV/EBITDA, a 3+ EBITDA turns discount to its sector. Peer multiples imply a share price of $15, 64% upside. The company expects revenue and EBITDA to grow 20%+ and 30%+, respectively, in 2016, and has excellent visibility for substantial growth in 2017. It also has double-digit FCF yield. Accretive bolt-on M&A at 3-5x EBITDA and new service offerings, in MEP, can…