William Blair analyst Tim Mulrooney has reiterated their bullish stance on MEG stock, giving a Buy rating on April 4.
Tim Mulrooney has given his Buy rating due to a combination of factors that highlight Montrose Environmental Group’s promising financial outlook. The company has reaffirmed its fiscal 2025 guidance, projecting revenues of $760 million and an adjusted EBITDA of $105 million, with stable margins compared to the previous year.
Montrose anticipates increased demand in water treatment and energy/industrial production, alongside significant emergency response revenue. Additionally, the company expects a strong operating cash flow conversion rate of over 50% and maintains a long-term organic growth outlook of 7%-9% annually. These factors collectively support a positive outlook for Montrose’s financial performance, justifying the Buy rating.
In another report released on April 4, Needham also maintained a Buy rating on the stock with a $28.00 price target.