Shimmick (SHIM) vs. The Competition Critical Review

Shimmick (NASDAQ:SHIM) is one of 18 publicly-traded companies in the “Heavy construction, except building construction – contractors” industry, but how does it compare to its rivals? We will compare Shimmick to similar businesses based on the strength of its analyst recommendations, profitability, earnings, institutional ownership, valuation, risk and dividends.

Valuation & Earnings

This table compares Shimmick and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Shimmick	$524.16 million	-$2.55 million	-1.01
Shimmick Competitors	$14.57 billion	$425.14 million	23.64

Shimmick’s rivals have higher revenue and earnings than Shimmick. Shimmick is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Shimmick and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Shimmick	-12.90%	-134.28%	-14.83%
Shimmick Competitors	1.07%	-4.61%	1.69%

Insider and Institutional Ownership

6.9% of Shimmick shares are owned by institutional investors. Comparatively, 58.4% of shares of all “Heavy construction, except building construction – contractors” companies are owned by institutional investors. 77.0% of Shimmick shares are owned by company insiders. Comparatively, 21.6% of shares of all “Heavy construction, except building construction – contractors” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and price targets for Shimmick and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shimmick	0	3	0	0	2.00
Shimmick Competitors	49	507	801	24	2.58

Shimmick presently has a consensus target price of $3.00, indicating a potential upside of 29.81%. As a group, “Heavy construction, except building construction – contractors” companies have a potential downside of 3.34%. Given Shimmick’s higher probable upside, research analysts plainly believe Shimmick is more favorable than its rivals.

Summary

Shimmick rivals beat Shimmick on 10 of the 12 factors compared.

Shimmick Company Profile

Shimmick Corporation provides water and other critical infrastructure solutions in the United States. The company undertakes water and wastewater treatment infrastructure; water storage and conveyance, including dams, levees, flood control systems, pump stations, and coastal protection infrastructure; and mass transit, bridges, and military infrastructure projects. It serves federal, state, and local governments. The company was formerly known as SCCI National Holdings, Inc. and changed its name to Shimmick Corporation in September 2023. Shimmick Corporation was founded in 1990 and is headquartered in Irvine, California. Shimmick Corporation operates as a subsidiary of GOHO, LLC.