Orin
AMRCNYSE·Engineering & Construction

Ameresco, Inc. AMRC

Market cap $1.2BP/E 42.9× trailingGross margin 16.1%Reports Mon 2 Nov, after the close
$22.73
−1.49 (−6.15%)Wed close 16:00 ET
52-wk $18.38 – $44.93
Watch
Orin's take
0.62conviction · moderate
Refreshed 26 Aug · take v5. A new filing or a print queues the next refresh.

Ameresco remains a show-me story where the bull case—a $1.5B AI/data center backlog and a cluster insider buy by four insiders totaling ~$1.7M in August 2026—collides with persistent operational deterioration. FY2025 diluted EPS fell to $0.83, the fourth consecutive annual decline from $1.78 in 2022, while FCF margin stayed deeply negative at -22.6% and total debt climbed to $1.95B.

At 41.8x trailing earnings versus a peer median of 12.4x, the stock prices in backlog conversion that has yet to reach the income statement or cash flow statement, and the sudden CFO departure effective September 25, 2026 adds execution risk at exactly the wrong moment. The stock at $22.16 trades well below both its 50-day ($24.84) and 200-day ($28.85) moving averages, and until margins and free cash flow inflect positively, this stays a hold.

What could go wrong

  • Backlog conversion stalls. The $1.5B awarded data center backlog cited in news may not convert to contracted revenue or earnings, leaving the 41.8x PE unsupported.
  • Leverage and interest burden. Total debt reached $1.95B at FY2025 year-end with FCF at -$436M; rising interest costs could further compress net margin, already down to 2.29% from 5.8% in 2021.
  • CFO transition risk. CFO Mark Chiplock departs September 25, 2026, creating uncertainty in financial execution during a critical backlog-conversion period.
  • Persistent negative free cash flow. FCF has been negative for five consecutive fiscal years, with capex of $356M in FY2025 against operating cash flow of -$80M, limiting financial flexibility.

What would change my mind

FCF turns positive. Quarterly free cash flow turns positive, indicating backlog conversion is finally reaching the cash flow statementbullish
Margin expansion. Gross margin reclaims above 16% and operating margin above 8% on a trailing basis, signaling project mix improvementbullish
Debt reduction. Total debt declines meaningfully from $1.95B, reducing leverage and interest burdenbullish
Backlog write-down or project cancellations. Awarded backlog fails to convert or major data center projects are cancelled/delayedbearish

Where this comes from: FMP annual fundamentals · FMP annual fundamentals / derived_metrics · FMP annual fundamentals · peer_relative composite. Orin's read on AMRC; not advice.

Twelve months actual closes to 2026-09-23 · actual filings

Sept 25Nov 25Jan 26Mar 26May 26Jul 26

50-day average 200-day average · volume below

Largest holders · 13F Q2 2026

Money flow
FilerPositionOf fund
Wellington Management Group Llp$93.1M0.0% of fund
State Street$44.2M0.0% of fund
Millennium Management$41.0M0.0% of fund
Vanguard Capital Management$39.5M0.0% of fund
D. E. Shaw &$34.7M0.0% of fund
Vanguard Portfolio Management$25.2M0.0% of fund

40 filers · quarter ended Q2 2026 · positions, not flows

Insiders, last 24 months: 256 Form 4 filings, net $13.8M. Of the 50 on hand, 13 were open-market purchases and 4 sales— the rest are grants, option exercises and tax withholding.

Ask Orin about AMRC

its filings · its transcripts · its numbers

Orin answers questions about AMRC from its filings, transcripts and numbers — with the source behind every claim. Your own desk starts with 3 free days, card required.

Start 3 free days

Where it trades

· Industrials
MetricNowOwn medianSector
P/E42.9×44.5×
EV/EBITDA12.4×
P/S0.60×
P/B0.9×

What Wall Street published

24 firms · 2026-09-23
Consensus target

$45

$36$62 · +97% against today's price

How they rate it
  • 18 buy or overweight
  • 6 hold
  • 0 underweight or sell

The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.

Against the companies it is compared to

median P/E 18.4× of 5 peers
CompanyMarket capP/EEV/EBITDAGrossNetROE
AMRCAmeresco, Inc.$1B42.9×12.4×16.1%1.4%2%
CECOCECO Environmental Corp.$4B286.9×32.7%-3.0%-4%
EPACEnerpac Tool Group Corp.$2B20.2×12.8×49.0%14.7%22%
HUBGHub Group, Inc.$2B23.3×9.4×56.9%2.9%5%
LGNLegence Corp. Class A Common stock$6B37.9×16.7%-1.2%-10%
PSIXPower Solutions International, Inc.$1B15.9×11.9×23.7%10.0%37%
UPWKUpwork Inc.$1B10.2×5.4×77.2%12.9%17%
WLDNWilldan Group, Inc.$1B18.4×16.1×37.8%8.8%21%

The median is of the 5 peers listed above and nothing else — check it against the column. This company trades 133.0% above it. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.

What it has traded at

P/E by fiscal year
FY14 31.8×FY25 34.9×

What its sector has traded at

Industrials
FY14 173.5×FY26 32.7×

Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.

Every estimate on one scale

price $22.73
52-week range$18 – $45
Analyst targets$36 – $62
At sector P/E (45×)$24

The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.