LGN Stock Analysis: Legence Common stock | NASDAQ
Engineering & Construction | NASDAQ, USA | Market Cap: 12.455m USD | 12M Return: 135.5% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 117M
Rev. Trend: 99.6%
Warnings
Tailwinds
Seasonality 0.8 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Legence Corp. (NASDAQ: LGN) is a U.S.-based provider of engineering, installation, and maintenance services for mission-critical building systems, operating through two segments: Engineering & Consulting and Installation & Maintenance. The company specializes in HVAC and other MEP (Mechanical, Electrical, and Plumbing) systems, offering services ranging from design and program management to fabrication, installation, and ongoing preventative and corrective maintenance. Its end markets include data centers, technology, life sciences, healthcare, education, mixed-use, and state and local government.
Founded in 1914 and headquartered in San Jose, California, Legence is classified within the Industrials sector under the Construction & Engineering sub-industry, and recently went public on September 12, 2025. The companys emphasis on energy reduction, sustainability strategies, and facility automation positions it within the broader building decarbonization and energy-efficiency services market, while its exposure to data center clients aligns with growing demand for high-reliability infrastructure supporting cloud computing and AI workloads.
- Data center buildout drives HVAC and MEP installation backlog growth
- Energy efficiency mandates boost engineering consulting demand
- Installation segment margins expand on data center mix shift
| Net Income: -22.5m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.09 > 0.02 and ΔFCF/TA 8.32 > 1.0 |
| NWC/Revenue: 10.94% < 20% (prev 15.07%; Δ -4.13% < -1%) |
| CFO/TA 0.10 > 3% & CFO 347.5m > Net Income -22.5m |
| Net Debt (1.08b) to EBITDA (174.9m): 6.20 < 3 |
| Current Ratio: 1.30 > 1.5 & < 3 |
| Outstanding Shares: last quarter (59.6m) vs 12m ago 1.79% < -2% |
| Gross Margin: 18.61% > 18% (prev 21.25%; Δ -2.64% > 0.5%) |
| Asset Turnover: 106.1% > 50% (prev 91.70%; Δ 14.37% > 0%) |
| Interest Coverage Ratio: 0.60 > 6 (EBIT TTM 53.1m / Interest Expense TTM 89.1m) |
| A: 0.10 (Total Current Assets 1.47b - Total Current Liabilities 1.13b) / Total Assets 3.48b |
| B: -0.08 (Retained Earnings -293.9m / Total Assets 3.48b) |
| C: 0.02 (EBIT TTM 53.1m / Avg Total Assets 2.91b) |
| D: 0.20 (Book Value of Equity 505.4m / Total Liabilities 2.53b) |
| Altman-Z'' = 0.69 = B |
| DSRI: 0.93 (Receivables 827.3m/614.7m, Revenue 3.08b/2.14b) |
| GMI: 1.14 (GM 21.25% / 18.61%) |
| AQI: 0.83 (AQ_t 0.50 / AQ_t-1 0.61) |
| SGI: 1.44 (Revenue 3.08b / 2.14b) |
| TATA: -0.11 (NI -22.5m - CFO 347.5m) / TA 3.48b) |
| Beneish M = -2.75 (Cap -4..+1) = A |
As of July 09, 2026, the stock is trading at USD 71.95 with a total of 1,365,876 shares traded. Over the past week, the price has changed by -15.58%, over one month by -15.39%, over three months by +24.61% and over the past year by +135.52%.
Current recommended Stop Loss: 63.70 (which is 11.5% or 1.4 ATR below the current price).
Legence Common stock has no consensus analysts rating.
P/E Forward = 51.0204
P/S = 4.0406
P/B = 12.1662
Revenue TTM = 3.08b USD
EBIT TTM = 53.1m USD
EBITDA TTM = 174.9m USD
Long Term Debt = 1.01b USD (from longTermDebt, last quarter)
Short Term Debt = 45.7m USD (from shortTermDebt, last quarter)
Debt = 1.33b USD (from shortLongTermDebtTotal, last quarter) + Leases 150.7m
Net Debt = 1.08b USD (calculated: Debt 1.33b - CCE 244.6m)
Enterprise Value = 13.5b USD (12.5b + Debt 1.33b - CCE 244.6m)
Interest Coverage Ratio = 0.60 (Ebit TTM 53.1m / Interest Expense TTM 89.1m)
EV/FCF = 45.57x (Enterprise Value 13.5b / FCF TTM 297.1m)
FCF Yield = 2.19% (FCF TTM 297.1m / Enterprise Value 13.5b)
FCF Margin = 9.64% (FCF TTM 297.1m / Revenue TTM 3.08b)
Net Margin = -0.73% (Net Income TTM -22.5m / Revenue TTM 3.08b)
Gross Margin = 18.61% ((Revenue TTM 3.08b - Cost of Revenue TTM 2.51b) / Revenue TTM)
Gross Margin QoQ = 14.39% (prev 19.99%)
Tobins Q-Ratio = 3.89 (Enterprise Value 13.5b / Total Assets 3.48b)
Interest Expense / Debt = 6.71% (Interest Expense 89.1m / Debt 1.33b)
Taxrate = 21.0% (US federal default 21%)
NOPAT = 42.0m (EBIT 53.1m * (1 - 21.00%))
Current Ratio = 1.30 (Total Current Assets 1.47b / Total Current Liabilities 1.13b)
Debt / Equity = 2.63 (Debt 1.33b / totalStockholderEquity, last quarter 505.4m)
Debt / EBITDA = 6.20 (Net Debt 1.08b / EBITDA 174.9m)
Debt / FCF = 3.65 (Net Debt 1.08b / FCF TTM 297.1m)
Total Stockholder Equity = 413.7m (last 4 quarters mean from totalStockholderEquity)
RoA = -0.77% (Net Income -22.5m / Total Assets 3.48b)
RoE = -5.43% (Net Income TTM -22.5m / Total Stockholder Equity 413.7m)
RoCE = 3.73% (EBIT 53.1m / Capital Employed (Equity 413.7m + L.T.Debt 1.01b))
RoIC = 1.87% (NOPAT 42.0m / Invested Capital 2.24b)
WACC = 14.68% (E(12.5b)/V(13.8b) * Re(15.68%) + D(1.33b)/V(13.8b) * Rd(6.71%) * (1-Tc(0.21)))
Discount Rate = 15.68% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
[DCF] Terminal Value 60.25% ; FCFF base≈180.3m ; Y1≈206.6m ; Y5≈304.1m
[DCF] Fair Price = 13.76 (EV 2.14b - Net Debt 1.08b = Equity 1.06b / Shares 76.9m; r=14.68% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: N/A | # QB: 0
Revenue Correlation: 99.64 | Revenue CAGR: 25.67% | SUE: N/A | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.33 | Chg30d=+48.51% | Revisions=+38% | Analysts=8
EPS next Quarter (2026-09-30): EPS=0.37 | Chg30d=+26.97% | Revisions=+62% | Analysts=8
EPS current Year (2026-12-31): EPS=1.46 | Chg30d=+37.56% | Revisions=+44% | GrowthEPS=+947.5% | GrowthRev=+67.3%
EPS next Year (2027-12-31): EPS=1.77 | Chg30d=+28.48% | Revisions=+50% | GrowthEPS=+21.5% | GrowthRev=+13.6%
[Analyst] Revisions Ratio: +65% (up=20, down=3)