Here’s What Driving Willdan Group’s (WLDN) Broad-Based Growth

Conestoga Capital Advisors, an asset management company, released its second-quarter 2025 investor letter. A copy of the letter can be downloaded here. The second quarter began with a historically poor start but gained momentum later as tariff fears subsided and market volatility dropped precipitously. Conestoga Micro Cap Composite appreciated 15.65% net-of-fees in the second quarter but underperformed the Russell Microcap Growth Index’s 20.92% return. In a highly volatile market led by high-beta and lower-quality stocks, the firm does not expect the fund to align with index performance. Please review the fund’s top 5 holdings to gain insight into their key selections for 2025.

In its second quarter 2025 investor letter, Conestoga Capital Advisors highlighted stocks such as Willdan Group, Inc. (NASDAQ:WLDN). Willdan Group, Inc. (NASDAQ:WLDN) offers professional, technical, and consulting services that operate in the Energy and Engineering and Consulting segments. The one-month return of Willdan Group, Inc. (NASDAQ:WLDN) was 31.24%, and its shares gained 144.75% of their value over the last 52 weeks. On July 25, 2025, Willdan Group, Inc. (NASDAQ:WLDN) stock closed at $82.04 per share, with a market capitalization of $1.189 billion.

Conestoga Capital Advisors stated the following regarding Willdan Group, Inc. (NASDAQ:WLDN) in its second quarter 2025 investor letter:

“Willdan Group, Inc. (NASDAQ:WLDN) provides technical and consulting services to utilities, private industry, and public agencies. WLDN’s 1Q performance was well above expectations, delivering 12% organic revenue growth. New wins, steady funding in their core programs, and three strategic acquisitions are driving the broad-based growth. Data centers and electrification are increasing demand for electricity and fueling investment in reliable power and resilient grid infrastructure. We believe these trends will remain in place and continue to support solid financial results over the coming years.”

An engineer standing proudly in front of a high-rise building, a symbol of the company’s excellence in construction.

Willdan Group, Inc. (NASDAQ:WLDN) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 22 hedge fund portfolios held Willdan Group, Inc. (NASDAQ:WLDN) at the end of the first quarter compared to 19 in the previous quarter. While we acknowledge the risk and potential of Willdan Group, Inc. (NASDAQ:WLDN) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Willdan Group, Inc. (NASDAQ:WLDN) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Willdan Group, Inc. (NASDAQ:WLDN) and shared Conestoga Capital Advisors’ views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q2 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.