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Southland Holdings (SLND)
:SLND
US Market
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Southland Holdings (SLND) AI Stock Analysis

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SLND

Southland Holdings

(SLND)

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Neutral 44 (OpenAI - 5.2)
Rating:44Neutral
Price Target:
$0.64
▼(-43.60% Downside)
Action:Reiterated
Date:06/27/26
SLND scores low primarily due to severely weakened financial performance (deep losses, negative equity, and significant cash burn), reinforced by bearish technical trends (price below major moving averages with negative MACD). The latest earnings call adds some support via improved near-term liquidity framework (surety advances/financing progress) and backlog visibility, but valuation remains constrained by ongoing losses (negative P/E) and no stated dividend yield.
Positive Factors
Surety financing support
Surety advances and payment waivers materially reduce near-term liquidity and interest service pressure, preserving bonding and operating capacity. This structural financing relief gives management time to execute backlog conversion, monetize assets, and pursue a broader credit amendment without immediate default risk.
Negative Factors
Negative equity and leverage
Negative equity signals impaired balance-sheet capacity and elevates insolvency risk, constraining access to traditional financing and potentially increasing bonding and counterparty scrutiny. Persistent negative equity reduces financial flexibility and can limit the company's ability to bid on large projects or absorb execution overruns.
Read all positive and negative factors
Positive Factors
Negative Factors
Surety financing support
Surety advances and payment waivers materially reduce near-term liquidity and interest service pressure, preserving bonding and operating capacity. This structural financing relief gives management time to execute backlog conversion, monetize assets, and pursue a broader credit amendment without immediate default risk.
Read all positive factors

Southland Holdings (SLND) vs. SPDR S&P 500 ETF (SPY)

Southland Holdings Business Overview & Revenue Model

Company Description
Southland Holdings, Inc. engages in specialty infrastructure construction business in North America. The company operates through Civil and Transportation segments. The Civil segment designs and constructs water pipelines, pump stations, lift stat...
How the Company Makes Money
Southland Holdings primarily makes money by executing construction and infrastructure projects under contract for customers (typically public agencies, municipalities, utilities, and other infrastructure owners). Revenue is generally recognized as...

Southland Holdings Earnings Call Summary

Earnings Call Date:May 12, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Aug 17, 2026
Earnings Call Sentiment Neutral
The call conveyed a mixed but cautiously constructive picture: material near-term financial weakness (notably a ~28% revenue decline, a large net loss of $28.4M, negative EBITDA, and transportation/M&P segment losses) was offset by meaningful strategic progress — significant surety support and advances ($139M total), a large $1.88B backlog with ~38% expected to convert to revenue in 12 months, active asset monetization efforts, cost reductions in SG&A, and a pipeline of short-duration, higher-margin opportunities. Management emphasized that a broader financing agreement is near completion and that legacy portfolio shrinkage and dispute collections (including an expected ~$11M cash collection) should improve liquidity and margins over 2026. Overall the positives and remediation actions balance the substantial near-term operating and liquidity challenges.
Positive Updates
Surety Support and Financing Progress
Surety partners assumed the debt under the senior credit facility, waived principal and interest payments through maturity, advanced approximately $125 million during the quarter (bringing total surety advances to $139 million), and are finalizing a broader financing agreement and credit amendment; no amounts due prior to 05/13/2027.
Negative Updates
Significant Revenue Decline
Q1 revenue was $172 million versus $239 million in Q1 2025, a decline of $67 million or approximately -28.0% year-over-year; revenue included an $18 million reversal from noncash legacy dispute adjustments.
Read all updates
Q1-2026 Updates
Negative
Surety Support and Financing Progress
Surety partners assumed the debt under the senior credit facility, waived principal and interest payments through maturity, advanced approximately $125 million during the quarter (bringing total surety advances to $139 million), and are finalizing a broader financing agreement and credit amendment; no amounts due prior to 05/13/2027.
Read all positive updates
Company Guidance
Management reiterated execution of the March strategic plan and said a broader financing agreement and credit amendment are near completion after surety partners assumed the senior credit facility (3/17), waived principal and interest through maturity, and advanced ~$125M in Q1 (total surety advances $139M; none due before 05/13/2027). Q1 results: revenue $172M (includes $18M revenue reversal), gross loss $4.8M driven by $26M of unfavorable adjustments (≈$18M non‑cash), net loss $28.4M (‑$0.52/share), EBITDA ‑$14.1M, SG&A $14.9M (7% of revenue excl. $2.1M transformation expense), interest expense $8.7M (cash interest $8.5M), cash $20.5M (total cash incl. restricted $32M). Backlog was ~$1.88B (≈38% expected to convert to revenue in 12 months); Civil revenue $104M with $14.7M gross profit (14.1% margin), Transportation revenue $68.6M with $19.4M gross loss; M&P revenue $11M with $13.1M gross loss (M&P ≈4% of backlog; M&P backlog $71M with 3 projects active to be substantially completed this year; non‑M&P legacy backlog $42M with one project into 2027). Management expects to collect ≈$11M from a legacy dispute in the coming weeks to pay down the senior term loan, to monetize idle/noncore real estate to reduce debt, and to step up bidding (including a $48M data center on track to complete in ~2 months) as bonding and liquidity improve.

Southland Holdings Financial Statement Overview

Summary
Financials are under heavy pressure: TTM revenue declined to $705.1M, profitability is deeply negative (gross margin -25.7%, net margin -46.9%), and losses expanded (TTM net loss -$330.3M). Balance-sheet risk is elevated with negative equity (TTM -$168.9M) despite some debt reduction, and cash flow has deteriorated with TTM operating cash flow -$123.7M and free cash flow -$121.9M.
Income Statement
12
Very Negative
Balance Sheet
18
Very Negative
Cash Flow
15
Very Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue705.09M772.17M980.18M1.16B1.16B1.28B
Gross Profit-181.50M-155.26M-63.04M35.81M140.93M114.19M
EBITDA-217.77M-191.63M-99.61M22.76M130.53M107.20M
Net Income-330.34M-306.54M-105.36M-19.25M60.54M38.72M
Balance Sheet
Total Assets928.08M989.28M1.20B1.20B1.13B1.04B
Cash, Cash Equivalents and Short-Term Investments31.95M52.71M72.19M49.18M57.91M63.34M
Total Debt294.15M322.35M321.05M319.69M300.20M270.47M
Total Liabilities1.09B1.12B1.03B940.50M765.42M733.40M
Stockholders Equity-168.94M-140.93M163.66M249.62M349.44M291.29M
Cash Flow
Free Cash Flow-117.31M12.73M-5.49M-21.11M-70.97M-109.37M
Operating Cash Flow-117.28M16.58M1.93M-10.26M-66.20M-90.57M
Investing Cash Flow4.71M3.39M3.23M4.49M5.56M-8.50M
Financing Cash Flow56.84M-40.15M18.78M-2.59M20.14M30.60M

Southland Holdings Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1.14
Price Trends
50DMA
1.10
Negative
100DMA
1.17
Negative
200DMA
2.47
Negative
Market Momentum
MACD
-0.11
Positive
RSI
37.43
Neutral
STOCH
12.27
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SLND, the sentiment is Negative. The current price of 1.14 is above the 20-day moving average (MA) of 1.01, above the 50-day MA of 1.10, and below the 200-day MA of 2.47, indicating a bearish trend. The MACD of -0.11 indicates Positive momentum. The RSI at 37.43 is Neutral, neither overbought nor oversold. The STOCH value of 12.27 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SLND.

Southland Holdings Risk Analysis

Southland Holdings disclosed 64 risk factors in its most recent earnings report. Southland Holdings reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Southland Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
67
Neutral
$680.86M79.215.40%6.74%250.16%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
63
Neutral
$360.88M34.9514.45%1.11%19.86%-49.73%
63
Neutral
$607.24M84.263.17%2.07%-38.08%
59
Neutral
$385.43M-25.76-10.79%13.88%34.22%
44
Neutral
$35.99M-0.321577.14%-24.31%-169.16%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SLND
Southland Holdings
0.66
-3.72
-84.86%
ESOA
Energy Services of America
19.11
9.29
94.58%
MTRX
Matrix Service Company
13.70
0.07
0.51%
ORN
Orion Group Holdings
16.82
7.84
87.31%
BBCP
Concrete Pumping Holdings
12.05
5.77
91.88%

Southland Holdings Corporate Events

Executive/Board ChangesShareholder Meetings
Southland Holdings Shareholders Back Board and Auditor Choices
Positive
Jun 16, 2026
On June 10, 2026, Southland Holdings, Inc. held its 2026 annual meeting of stockholders, with 88% of the 54,218,882 shares entitled to vote represented in person or by proxy. Shareholders elected all nominated directors to terms expiring at the 20...
Business Operations and StrategyLegal ProceedingsPrivate Placements and Financing
Southland Settles Convention Center Dispute, Seeks Financing Accord
Neutral
Apr 2, 2026
On March 27, 2026, American Bridge Company entered into a settlement agreement with joint venture partner Clark/Lewis, its sureties, the Washington State Convention Center and its litigation counsel, resolving long-running disputes tied to the con...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 27, 2026