Do You Have Faith in the Long-Term Outlook of Limbach Holdings (LMB)?

Wasatch Global Investors, an asset management company, released its “Wasatch Micro-Cap Fund” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. Microcap stocks reported strong results in the quarter, due to the consistent risk appetite of investors. The fund—Investor Class returned 9.52% in the quarter but lagged the benchmark Russell Microcap® Growth Index’s 19.93% return. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its third-quarter 2025 investor letter, Wasatch Micro-Cap Fund highlighted stocks such as Limbach Holdings, Inc. (NASDAQ:LMB). Limbach Holdings, Inc. (NASDAQ:LMB) is a building systems solution company. The one-month return for Limbach Holdings, Inc. (NASDAQ:LMB) was 19.88%, and its shares lost 10.91% over the last 52 weeks. On December 17, 2025, Limbach Holdings, Inc. (NASDAQ:LMB) stock closed at $79.03 per share, with a market capitalization of $918.809 million.

Wasatch Micro-Cap Fund stated the following regarding Limbach Holdings, Inc. (NASDAQ:LMB) in its third quarter 2025 investor letter:

“On the downside, leading detractors from Fund performance included Limbach Holdings, Inc. (NASDAQ:LMB), a provider of maintenance and repairs for critical building systems including plumbing, heating, cooling and electrical. The company has increasingly shifted its business mix away from working with general contractors and toward more profitable and stable direct relationships with building owners. Customers within the owner-direct segment typically own multiple buildings in a campus-like setting, such as with a health-care, an educational or an industrial complex. The stock dipped sharply in the quarter on what we view as poorly communicated guidance with respect to the timing of the expected contribution to earnings from a recent acquisition as well as to the company’s organic growth outlook. After meeting with Limbach’s management team, we believe the market’s reaction to the company’s muddled messaging was overstated. We maintain a positive longer-term view of the stock and added to the position.”

In another article, we covered Limbach Holdings, Inc. (NASDAQ:LMB) and shared Loomis Sayles Small Cap Value Fund’s views on the company. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.