Shimmick Corporation (SHIM) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Shimmick Corporation (SHIM) Industrial Operations Profile

Shimmick Corporation delivers vital water and infrastructure solutions in the U.S., focusing on government projects. With a history dating back to 1990, the company offers expertise in water treatment, storage, and conveyance, operating as a subsidiary of GOHO, LLC, and navigating a competitive landscape within the industrials sector.

What Is the Investment Thesis for SHIM?

Shimmick Corporation presents a focused investment opportunity within the U.S. infrastructure sector, driven by increasing government spending on water and wastewater projects. The company's expertise in these areas positions it favorably to capitalize on infrastructure modernization initiatives. While Shimmick's market capitalization is $141M, its negative profit margin of -5.2% warrants careful consideration. A key value driver is the potential for increased project awards from federal, state, and local governments. Ongoing infrastructure projects and potential new contracts represent catalysts for revenue growth. However, investors should be aware of the risks associated with project execution, competition, and potential economic downturns affecting infrastructure spending. The company's beta of 0.44 suggests lower volatility compared to the broader market.

Based on FMP financials and quantitative analysis

SHIM Key Highlights

Shimmick Corporation specializes in water and critical infrastructure solutions in the United States.

• The company serves federal, state, and local governments, focusing on essential infrastructure projects.
• Shimmick's market capitalization stands at $141M.
• The company reported a negative profit margin of -5.2%.
• Shimmick operates as a subsidiary of GOHO, LLC.

Who Are SHIM's Competitors?

SHIM is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance This table mixes two scoring engines — compare a number only with others carrying the same tag.

What Are SHIM's Key Strengths?

Expertise in water and wastewater infrastructure.

• Strong relationships with government clients.
• Diversified project portfolio.
• Experienced workforce of 1200 employees.

What Are SHIM's Weaknesses?

Negative profit margin of -5.2%.

• Reliance on government contracts.
• Potential for project delays and cost overruns.
• Competition from larger, more established firms.

What Could Drive SHIM Stock Higher?

Government infrastructure spending initiatives.

• Demand for water and wastewater treatment facilities.
• Potential new project awards from federal, state, and local governments.
• Modernization of aging infrastructure.

What Are the Key Risks for SHIM?

Financial-distress signal — its Altman Z-Score of 1.43 sits in the distress zone (elevated bankruptcy risk).

• Weak fundamentals — a Piotroski F-Score of 2/9 flags soft profitability, leverage or efficiency.
• Economic downturns affecting infrastructure spending.
• Changes in government regulations and policies.
• Competition from other engineering and construction firms.
• Project delays and cost overruns.

What Are the Growth Opportunities for SHIM?

• Growth opportunity 1: Increased Government Infrastructure Spending: The U.S. government's commitment to infrastructure revitalization presents a significant growth opportunity for Shimmick. The Bipartisan Infrastructure Law, enacted in 2021, allocates billions of dollars to water and wastewater infrastructure projects. Shimmick's expertise in these areas positions it to secure contracts and expand its project portfolio. The timeline for realizing this growth is ongoing, as government funding continues to be deployed over the next decade. Success hinges on Shimmick's ability to effectively bid on and execute these projects.
• Growth opportunity 2: Expansion of Water Treatment and Storage Facilities: Demand for advanced water treatment and storage facilities is increasing due to population growth, urbanization, and climate change. Shimmick can capitalize on this trend by offering specialized solutions for water purification, desalination, and reservoir construction. Shimmick's competitive advantage lies in its experience with complex water infrastructure projects and its ability to deliver customized solutions.
• Growth opportunity 3: Modernization of Aging Infrastructure: A significant portion of the U.S.'s existing infrastructure is aging and in need of repair or replacement. Shimmick can leverage its expertise in rehabilitation and reconstruction to secure contracts for modernizing dams, levees, and water conveyance systems. This market segment offers recurring revenue opportunities as infrastructure continues to age. Shimmick's focus on sustainable and resilient infrastructure solutions provides a competitive edge.
• Growth opportunity 4: Coastal Protection and Flood Control Projects: With rising sea levels and increased frequency of extreme weather events, demand for coastal protection and flood control infrastructure is growing. Shimmick can expand its services in this area by offering solutions for coastal erosion control, seawall construction, and flood management systems. The market for coastal protection infrastructure is expected to grow significantly in the coming years. Shimmick's experience with large-scale infrastructure projects and its understanding of environmental regulations provide a competitive advantage.
• Growth opportunity 5: Mass Transit and Bridge Infrastructure Development: Shimmick can leverage its expertise in mass transit and bridge infrastructure to secure contracts for new construction and rehabilitation projects. The growth in urban populations and the need for efficient transportation systems are driving demand for these projects. Shimmick's experience with complex engineering projects and its ability to meet stringent safety standards provide a competitive advantage.

What Are SHIM's Competitive Advantages?

• Specialized expertise in water and wastewater infrastructure.
• Established relationships with government clients.
• Experience in complex engineering projects.
• Focus on sustainable and resilient infrastructure solutions.

What Does SHIM Do?

Founded in 1990, Shimmick Corporation, formerly known as SCCI National Holdings, Inc., has evolved into a key player in the U.S. infrastructure sector. The company rebranded in September 2023 to Shimmick Corporation. Headquartered in Irvine, California, Shimmick operates as a subsidiary of GOHO, LLC. Shimmick specializes in providing comprehensive water and critical infrastructure solutions, addressing the needs of federal, state, and local governments. Its core competencies include the construction and maintenance of water and wastewater treatment infrastructure, water storage and conveyance systems, dams, levees, flood control systems, pump stations, and coastal protection infrastructure. Additionally, Shimmick undertakes mass transit, bridge, and military infrastructure projects, demonstrating a diversified portfolio within the engineering and construction industry. The company's commitment to these essential services positions it as a vital partner for governmental entities seeking to modernize and expand their infrastructure capabilities. With a workforce of 1200 employees, Shimmick combines expertise and resources to deliver complex projects across the nation.

What Products and Services Does SHIM Offer?

• Constructs water and wastewater treatment infrastructure.
• Builds water storage and conveyance systems.
• Undertakes dam, levee, and flood control projects.
• Develops pump stations and coastal protection infrastructure.
• Engages in mass transit and bridge construction.
• Works on military infrastructure projects.
• Serves federal, state, and local governments.

How Does SHIM Make Money?

• Provides engineering and construction services for infrastructure projects.
• Generates revenue through project contracts with government entities.
• Focuses on water and critical infrastructure solutions.
• Operates as a subsidiary of GOHO, LLC.

What Industry Does SHIM Operate In?

Shimmick Corporation operates within the engineering and construction industry, a sector characterized by significant government spending and infrastructure development. The U.S. infrastructure market is experiencing growth, driven by aging infrastructure and increasing demand for modernized systems. Shimmick's focus on water and wastewater treatment aligns with critical needs for sustainable water management. The competitive landscape includes both large, established firms and smaller specialized players. Shimmick differentiates itself through its expertise in government projects and its comprehensive service offerings within the water infrastructure space.

Who Are SHIM's Key Customers?

• Federal government agencies.
• State government agencies.
• Local government agencies.
• Municipalities requiring infrastructure development.

Over the past six months, Shimmick Corporation insiders filed 23 SEC Form 4 transactions — 10 sales and 13 purchases. On net that is roughly 532K shares acquired (about $539K) — insiders putting money in tends to read as conviction.

Quarterly Financial Performance: Shimmick Corporation

Revenue for Shimmick Corporation came in at $106.6M during Q2 FY2027. The company recorded a net loss of $4.8M, with diluted EPS of $-0.12. Quarter-over-quarter revenue has been mixed, typical for a micro-cap company operating in Industrials. Across the four most recent quarters, SHIM averaged $-0.13 in diluted EPS.

SHIM Valuation & Market Position

With a $141M market cap, Shimmick Corporation sits in the micro-cap segment of the market. Analyst price targets span from $3.50 to $6.00, with a consensus of $4.75. At the current price of $3.44, that implies approximately 38% upside potential. Relative to its peer group, SHIM's quantitative score of 31/100 is below the peer average of 49/100.

Return on equity for Shimmick Corporation stands at 30.3%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -7.4%, showing how much profit it generates from its asset base. Its free cash flow yield is -37.9%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.00 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -12.5%, the inverse of the P/E and a quick read on earnings relative to price.

Shimmick Corporation's Piotroski F-Score is 2/9, a 9-point checklist of profitability, leverage and efficiency — flagging fundamental weakness worth scrutiny. Its Altman Z-Score of 1.43 places it in the distress zone, a signal of elevated financial risk.

Shimmick Corporation has beaten Wall Street's EPS estimate in 5 of its last 8 reported quarters — more hits than misses. Reported results have landed about 68.7% below estimates on average.

Company Profile

Shimmick Corporation operates in the Engineering & Construction industry within the Industrials sector. It is headquartered in Irvine, US. The company is led by CEO Ural Yal. SHIM has traded publicly since 2023.

SHIM Financials

SHIM Latest News

SHIM Analyst Consensus

SHIM MoonshotScore

Shimmick Corporation Industrials Stock: Key Questions Answered

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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