Bird Construction (BDT) AI Stock Analysis

• Market Cap: C$1.95B
• Dividend Yield: 2.88%
• Average Volume (3M): 227.05K
• Price to Earnings (P/E): 33.3
• Beta (1Y): 1.14
• Revenue Growth: 6.26%
• EPS Growth: 0.52%
• Country: CA
• Employees: 6,000
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.57
• Shares Outstanding: 55,382,830
• 10 Day Avg. Volume: 189,165
• 30 Day Avg. Volume: 227,053
• PEG Ratio: -0.63
• Price to Book (P/B): 3.66
• Price to Sales (P/S): 0.47
• P/FCF Ratio: 18.56
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$42.00
• Price Target Upside: 19.52% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 2.56
• Revenue Forecast (FY): C$3.88B

• Rating: 64 Neutral
• Price Target: C$35.00 ▼(-0.40% Downside)
• Action: Reiterated Date: 03/13/26
• Date: Action: Reiterated 03/13/26

The score is driven primarily by solid cash-flow resilience and a supportive technical uptrend. Offsetting these positives are the 2025 profitability step-down and rising leverage, plus a mixed earnings-call backdrop with margin pressure, delays, and a noted client credit risk. Valuation is a secondary drag given the elevated P/E despite a moderate dividend yield.

Positive Factors

Strong cash generation

Consistent positive operating cash flow and a meaningful free-cash-flow uplift in 2025 provide durable internal funding. This supports capex, dividend flexibility and selective M&A, and offers a buffer against working-capital swings common in construction projects.

Large, diversified backlog

A record combined backlog north of $10B gives multi-year revenue visibility and reduces near-term bidding risk. The backlog’s scale and collaborative contract mix improve predictability of cash flows and underpin management’s margin-improvement initiatives through 2026–27.

Expanded service capabilities

The FRPD acquisition broadens technical capabilities into marine, dredging and foundation work, diversifying revenue streams and enabling cross-selling. This strengthens structural positioning versus peers and reduces reliance on cyclical buildings projects over the medium term.

Negative Factors

Margin deterioration

Material margin compression in 2025 erodes the thin sector cushion and increases sensitivity to cost inflation, execution issues and contract mix shifts. Sustained low margins constrain reinvestment capacity and raise break-even risk on fixed-costs in future project cycles.

Rising leverage

Increasing debt levels reduce financial flexibility and raise interest and liquidity risk, especially in a low-margin business. Higher leverage coincided with a material ROE decline, weakening the balance-sheet cushion for bid bonds, working-capital swings and opportunistic investments.

Client credit & schedule risk

A concentrated client credit exposure (~$62M) plus project delays that push revenue into 2026 create receivable and timing risk. These issues can amplify working-capital volatility, increase provisions or collections risk, and undermine the backlog’s near-term revenue convertibility.

Bird Construction Business Overview & Revenue Model

Company Description

Bird Construction Inc. operates as a general contractor in Canada. The company primarily focuses on projects in the industrial, commercial, and institutional sectors of the general contracting industry. It constructs industrial buildings, including manufacturing, processing, distribution, and warehouse facilities; undertakes structural, mechanical, piping, electrical, and instrumentation works that include off-site metal and modular fabrication; and provides insulation, metal siding and cladding, ductwork, asbestos abatement, and high voltage testing and commissioning services, as well as constructs power lines. The company also engages in the civil construction operations, such as site preparation and earthworks, underground piping, foundations, and other concrete services, as well as mine support and hydroelectric construction service; and civil infrastructure operations comprising road, bridge, rail, and underground utilities installation. In addition, it constructs and renovates hospitals, post-secondary education facilities, K-12 schools, recreation facilities, prisons, courthouses, government buildings, and long term care and senior housing facilities; and constructs and renovates office buildings, shopping malls, big box stores, hotels, and mixed-use high-rise and mid-rise residential projects, and well as offers electrical and related system services, which include electrical and mechanical infrastructure design and installation, data communications, security, and lifecycle services. It serves clients in the oil and gas, liquefied natural gas, mining, renewables, water and wastewater, nuclear, infrastructure, and residential sectors. Bird Construction Inc. was founded in 1920 and is based in Mississauga, Canada.

How the Company Makes Money

Bird primarily makes money by earning revenue from construction and related services delivered to customers under contracted arrangements. Key revenue streams include: (1) Construction project revenue from executing new-build and upgrade projects in industrial, buildings, and infrastructure end-markets, where revenue is generated based on contract terms (e.g., progress billings tied to performance obligations such as work completed and milestones achieved). (2) Recurring and service-based revenue from maintenance, repair, and operations (MRO) and other industrial services provided to existing facilities and assets, typically under service contracts or ongoing work orders, which can be less cyclical than large capital projects. Earnings are influenced by the company’s ability to win contracts (including from public-sector and private-sector owners), manage project execution (schedule, costs, productivity, change orders, and risk), and maintain utilization of its workforce and equipment. Significant factors that contribute to revenue and profitability include the mix of project types and contract structures (e.g., fixed-price versus cost-reimbursable), backlog and the timing of project awards, and demand conditions across Canadian industrial, institutional/commercial building, and infrastructure spending.

Bird Construction Financial Statement Overview

Summary

Cash flow is the clear strength with consistently positive operating cash flow and meaningfully improved free cash flow in 2025. However, profitability deteriorated in 2025 (notably lower net margin and net income), and leverage has been trending higher (debt-to-equity rising to ~0.76), pressuring returns (ROE weakened materially).

Income Statement

Revenue expanded strongly from 2020–2024, but 2025 was essentially flat to slightly down (about -1.7%), pointing to a pause in momentum. Profitability is positive but thin for the sector profile: gross margin stayed in the high-single-digits and net margin fell sharply in 2025 (roughly 3.0% in 2024 to ~1.4% in 2025) alongside a sizable drop in net income. EBITDA margin has been relatively steady around the mid-4% range recently, but the 2025 step-down in earnings suggests execution or cost pressure risk.

Balance Sheet

The balance sheet looks generally serviceable with moderate leverage, but it has been trending less favorable recently. Debt-to-equity moved up to ~0.76 in 2025 from ~0.61 in 2024 (and ~0.47 in 2023), indicating rising reliance on debt. Equity is stable and total assets have grown versus prior years, but returns on equity weakened materially in 2025 (about 23% in 2024 to ~11% in 2025), which reduces the cushion against higher leverage.

Cash Flow

Cash generation is a relative strength. Operating cash flow has been consistently positive, and free cash flow improved meaningfully in 2025 (up strongly year over year) while remaining solid in 2024–2025. Free cash flow also covered a large portion of earnings across the period (around 0.7–0.9x in most years), which supports financial flexibility. A watch item is that cash flow is not consistently strong versus the scale of the business (coverage ratio remains relatively low), so working-capital swings could still create volatility.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.40B	3.40B	2.80B	2.37B	2.22B
Gross Profit	304.35M	328.76M	240.54M	201.76M	205.48M
EBITDA	151.09M	151.44M	104.37M	92.36M	90.00M
Net Income	47.41M	100.10M	71.54M	49.86M	42.78M
Balance Sheet
Total Assets	1.86B	1.81B	1.42B	1.23B	1.14B
Cash, Cash Equivalents and Short-Term Investments	167.01M	177.44M	177.58M	174.61M	190.19M
Total Debt	326.71M	261.36M	151.36M	148.35M	158.04M
Total Liabilities	1.43B	1.38B	1.10B	953.75M	893.66M
Stockholders Equity	431.82M	430.28M	322.49M	272.99M	243.49M
Cash Flow
Free Cash Flow	85.12M	96.21M	60.64M	27.50M	26.26M
Operating Cash Flow	116.28M	117.37M	76.47M	44.32M	38.02M
Investing Cash Flow	-107.96M	-134.43M	-28.17M	-15.73M	-25.50M
Financing Cash Flow	-18.14M	16.83M	-45.36M	-44.28M	-34.25M

Bird Construction Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 35.14
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BDT, the sentiment is Positive. The current price of 35.14 is above the 20-day moving average (MA) of 32.98, above the 50-day MA of 31.44, and above the 200-day MA of 28.62, indicating a bullish trend. The MACD of 1.16 indicates Negative momentum. The RSI at 65.07 is Neutral, neither overbought nor oversold. The STOCH value of 78.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:BDT.

Bird Construction Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ATRL	73 Outperform	$14.52B	5.72	56.38%	0.09%	13.97%	715.65%
ARE	70 Outperform	C$2.69B	130.21	1.66%	2.38%	25.68%	―
WSP	70 Outperform	C$29.27B	33.67	10.86%	0.60%	18.85%	29.60%
STN	66 Neutral	$13.54B	30.82	15.28%	0.67%	11.73%	41.17%
BDT	64 Neutral	C$1.95B	33.32	21.42%	2.88%	6.26%	0.52%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
BDGI	61 Neutral	C$2.05B	29.89	24.10%	0.99%	13.02%	52.88%

Bird Construction Corporate Events

Bird Construction Builds Record $11 Billion Backlog as 2025 Profit Hit by One-Time Impairment

Bird Construction reported flat 2025 annual revenue of $3.40 billion versus 2024 but a sharp decline in net income to $47.4 million, largely due to a $62.2 million impairment tied to a single customer, even as adjusted EBITDA improved to $222.1 million and margins continued to strengthen. Fourth-quarter revenue slipped to $877.0 million and the company posted a net loss of $14.0 million, yet Bird highlighted record combined backlog and pending backlog of about $11 billion, underpinned by renewed master service agreements, collaborative contracts and higher-margin work that management says provide strong visibility into earnings growth.

The company completed its acquisition of Fraser River Pile & Dredge during the quarter, adding marine construction and land foundation capabilities that broaden its service offering and support participation in upcoming nation-building and infrastructure projects. Despite timing-related project delays that weighed on near-term revenue, Bird enters 2026 with record liquidity, a strong balance sheet and a risk-balanced backlog that it believes positions the firm to capitalize on Canada’s long-duration capital investment cycle in sectors such as LNG, nuclear and infrastructure renewal.

The most recent analyst rating on (TSE:BDT) stock is a Buy with a C$36.00 price target. To see the full list of analyst forecasts on Bird Construction stock, see the TSE:BDT Stock Forecast page.

Bird Consortium Reaches Financial Close on C$323 Million Alberta Schools P3

Bird Construction’s Concert-Bird Partners consortium has achieved financial close on a C$323 million Design-Build-Finance-Maintain contract to deliver six new elementary and junior high schools across Alberta. The public-private partnership project, spanning Edmonton, Calgary, Airdrie, and Cochrane, will add about 490,000 square feet of permanent space and capacity for more than 5,300 students, reinforcing Bird’s track record in multi-school P3 programs and underscoring its disciplined approach to risk and collaborative infrastructure delivery.

The award bolsters Bird’s position in the Canadian social infrastructure market, demonstrating continued demand for its expertise in standardized, greenfield school developments suited to P3 models. By leveraging prior experience on more than 50 schools under similar frameworks with partners such as Concert Infrastructure, Bird enhances its role in addressing Alberta’s growing educational infrastructure needs while supporting stable, long-term revenue visibility from large-scale institutional projects.

The most recent analyst rating on (TSE:BDT) stock is a Buy with a C$36.00 price target. To see the full list of analyst forecasts on Bird Construction stock, see the TSE:BDT Stock Forecast page.

Bird Construction Sets March 11 Release for 2025 Year-End Results, Investor Call on March 12

Bird Construction Inc. announced it will release its 2025 fourth-quarter and full-year financial results after the market closes on March 11, 2026, followed by a conference call and live webcast on March 12, 2026, led by President and CEO Teri McKibbon and CFO Wayne Gingrich. The company will also publish the accompanying presentation and related financial documents on its investor relations website, underscoring its commitment to transparency and investor engagement as it updates stakeholders on its financial performance and strategic progress.

The most recent analyst rating on (TSE:BDT) stock is a Buy with a C$36.00 price target. To see the full list of analyst forecasts on Bird Construction stock, see the TSE:BDT Stock Forecast page.

Bird Construction Secures $1.2 Billion in New Projects and Agreements

Bird Construction Inc. has been awarded projects and agreements worth approximately $1.2 billion, enhancing its industrial capital investment projects and multi-year master service agreements with both new and existing clients. These awards, including a significant new MSA in partnership with Infinity Métis Corporation, underscore Bird’s strategic growth through acquisitions and partnerships, particularly in the industrial maintenance sector. The company continues to strengthen its market position by expanding its self-perform capabilities and fostering Indigenous partnerships, which are expected to support revenue growth and margin expansion in line with its 2027 Strategic Plan.

The most recent analyst rating on (TSE:BDT) stock is a Hold with a C$31.00 price target. To see the full list of analyst forecasts on Bird Construction stock, see the TSE:BDT Stock Forecast page.