Added to YB: 2026-08-19
Pitch date: 2026-08-19
CDNL [bullish]
Cardinal Infrastructure Group Inc.
+0.86%
current return
Author Info
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Company Info
Cardinal Infrastructure Group Inc., a civil contracting company, provides site development and infrastructure services to the residential, commercial, industrial, municipal, and state infrastructure markets in the southeastern United States.
Market Cap
$888.6M
Pitch Price
$43.13
Price Target
N/A
Dividend
N/A
EV/EBITDA
11.29
P/E
-238.76
EV/Sales
1.70
Sector
Construction and Engineering
Category
growth
6 insiders buy post-earnings dip at infra company that raised rev guidance 30%
CDNL (earnings): Q2 rev +114% (+64% organic), backlog +35%, beat rev & raised FY guide 31% to $890mm—but adj EBITDA missed by 23% (12.4% margin vs 18.6%) and margin guide cut to 16-18%. Stock -34% wk on margin miss + AI-trade unwind (won first data center contract in April). Mgmt calls margin pressure transitional (subcontracting from fast growth, GA weather delays, Charlotte project delays, public-co G&A), fixable via vertical integration roll-up. 5 other insiders bought incl first-ever CFO buy ($256K @ $36.53). Trades 7.0x EV/EBITDA (~11x fully diluted for Class B units) vs ROAD 13.4x/STRL 16.7x, both slower-growing with higher margins. FY26 EBITDA growth est +76%. Key risk: needs ~20% EBITDA margin in H2 to hit guide—nowhere close in Q2—and may keep trading as an AI proxy near-term.
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