Here is Why SOLV Energy (MWH) is One of the Best Young Stocks to Invest In According to Hedge Funds

SOLV Energy (NASDAQ:MWH) is one of the best young stocks to invest in according to hedge funds. On May 12, SOLV Energy reported significant growth for Q1 2026, with revenue increasing 66% year-over-year to $677 million and Adjusted EBITDA rising 174% to $93 million. While the company recorded a net loss of $27 million, this was driven by a one-time, non-cash expense of $52 million related to legacy equity award modifications following its IPO. Excluding these impacts, the company demonstrated strong profitability, highlighted by an Adjusted Gross Margin of 18.4%.

Operational momentum remains robust, with the company’s total backlog reaching $8.2 billion and nearly 22 gigawatts currently under contract for operations and maintenance services. To further expand its footprint in the utility services sector, SOLV Energy announced the $45 million acquisition of California-based Roberson Waite Electric/RWE, which is expected to close by Q3 2026. The company also strengthened its leadership team with the appointment of Mike Adams as Vice President of Investor Relations.

Reflecting this continued strength, SOLV Energy (NASDAQ:MWH) has updated its full-year 2026 guidance, now projecting revenue between $3.720 billion and $3.820 billion. The company also anticipates full-year Adjusted EBITDA in the range of $435 million to $455 million, supported by an Adjusted Gross Margin target of 16.4% to 17.0%.

SOLV Energy (NASDAQ:MWH) provides power infrastructure services, offering engineering, procurement, construction, operations, maintenance, repowering, and grid-related solutions for utility-scale energy projects.

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