
Legence Corp (LGN) Stock Forecast & Price Target
Legence Corp (LGN) Analyst Ratings
Bulls say
Legence Corp exhibits strong financial growth, with Installation & Maintenance (I&M) revenues increasing to $402.8 million in Q3 2025 from $360.5 million in Q1 2025, alongside Engineering & Consulting segment revenues rising significantly from $329 million in 2022 to approximately $602 million in 2024. The company's backlog has reached a record $3.1 billion, underscored by a robust 29% growth supported by a book-to-bill ratio of 1.5x, indicating sustainable demand across critical sectors. Furthermore, the company is maintaining a positive gross margin trajectory, with a notable increase to 36.9% year-to-date in 2025, largely driven by the strategic shift toward higher-margin Engineering & Design projects.
Bears say
Legence Corp reported a slight decrease in free cash flow, falling from $24.1 million in 1Q25 to $23.8 million in 2Q25, while presenting a substantial increase from a negative $55.8 million in 2Q24. The company's gross margins also declined to 21.5% in 2Q25 from 22.1% in 1Q25 and 21.7% in 2Q24, primarily due to an unfavorable engineering and construction project mix. Risks including a potential slowdown in construction activity, skilled labor shortages, and environmental liabilities pose significant threats to the company’s operational efficiency and overall financial performance.
This aggregate rating is based on analysts' research of Legence Corp and is not a guaranteed prediction by Public.com or investment advice.
Legence Corp (LGN) Analyst Forecast & Price Prediction
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