Willdan Group, Inc. WLDN has won an $11 million energy and infrastructure modernization project from the City of South Lake Tahoe, CA.

This two-year project is aimed at reducing the city’s carbon emissions along with investment plans for its long-term infrastructure, which is expected to benefit the community in the coming years. Moreover, the modernization project amalgamates energy and operational efficiencies for a cost-effective solution for the City of South Lake Tahoe, aiding the company’s future growth and improved sustainability.

Willdan’s work scope under the project includes offering the City of South Lake Tahoe a cogeneration microturbine, photovoltaic solar panels producing 415 kWdc (kilowatt direct current) and advanced building automation systems across all its operated buildings. Additionally, WLDN will be installing right-sized water meters, energy-efficient power transformers and a new carbon-dioxide (CO2) ice plant that uses an environmentally friendly refrigerant to produce ice for the city’s ice arena.

WLDN stock declined 2.8% during the trading hours on Tuesday.

Willdan’s Consistent Contract Wins Bode Well

The company has been immensely benefiting from its consistent contract wins, which have been aiding its growth prospects. Since the beginning of the fourth quarter of 2024, the company has announced four contract wins, marking a total of 14 reported projects in 2024.

On Dec. 12, 2024, Willdan was selected by the Snohomish County Public Utility District to implement a new energy efficiency program for its telecommunications and data center facilities. The project has a tenure of three years. On Nov. 21, the company received another three-year project worth $4.5 million to offer in-house building division operations and fire plan inspection review services for the City of Bellflower.

Furthermore, in October 2024, WLDN received two contracts, one for three years and another for four years. Under the three-year contract, the company will serve as the City of Palmdale’s consultant to lead a new program focusing on innovative solutions and smart city development. On the other hand, the four-year contract, awarded by the City of Seattle, highlights the company's implementation of its Seattle City Light Energy Design Assistance Program.

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Shares of this provider of professional, technical and consulting services have gained 23.9% in the past six months, outperforming the Zacks Business - Services industry’s 0.5% growth. The ongoing contract wins, thanks to the growth in electricity demand at data centers from artificial intelligence and other related macro trends, are expected to drive the company’s outperformance in the upcoming period.

WLDN’s Zacks Rank & Key Picks

Willdan currently carries a Zacks Rank #3 (Hold).

Here are some better-ranked stocks from the Business Services sector.

Sezzle, Inc. SEZL presently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

SEZL has a trailing four-quarter earnings surprise of 193.2%, on average. The stock has soared 1,409.4% in the past year. The Zacks Consensus Estimate for SEZL’s 2025 sales and earnings per share (EPS) indicates growth of 33.2% and 28%, respectively, from the year-ago period’s levels.

SPS Commerce, Inc. SPSC currently sports a Zacks Rank of 1. SPSC delivered a trailing four-quarter earnings surprise of 10.7%, on average. The stock has gained 3.6% in the past year.

The Zacks Consensus Estimate for SPSC’s 2025 sales and EPS indicates growth of 17.9% and 14.6%, respectively, from the prior-year levels.

Booz Allen Hamilton Holding Corporation BAH currently sports a Zacks Rank of 1. BAH delivered a trailing four-quarter earnings surprise of 11.7%, on average. The stock has inched up 1.6% in the past year.

The Zacks Consensus Estimate for BAH’ fiscal 2025 sales and EPS indicates growth of 12.6% and 13.6%, respectively, from the prior-year levels.

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