Willdan Group (WLDN) delivered a strong start to fiscal 2026, with its energy business "hitting its stride" as growing electricity demand and infrastructure needs continue to support expansion across its end markets, Wedbush Securities said Friday in a report.

Q1 revenue rose 8% from a year earlier, driven by strong demand in commercial and government electric-load projects tied to AI, data centers and grid modernization, while the company continues to benefit from rising power demand, particularly in California, with significant new capacity expected through 2032, the report said.

Willdan raised 2026 guidance to adjusted EPS of $4.90 to $5.05 on revenue $410 million to $425 million, both topping Wall Street estimates, the report said. Wedbush cited the company's positioning to capture growing electric-load complexity and infrastructure investment trends.

Willdan's acquisition of Burton Energy strengthens its commercial pipeline, expands access to Fortune 500 customers, and is expected to add to earnings as the company pursues larger commercial projects, the report said.

Wedbush maintained its outperform rating on Willdan stock with a price target of $110.

Price: 83.88, Change: +9.41, Percent Change: +12.64