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Jim Cramer on Limbach: “I Cannot Recommend It”

Limbach Holdings, Inc. (NASDAQ:LMB) is one of the 16 stocks Jim Cramer recently discussed. A caller asked if they should consider buying LMB shares on any dips, and Cramer replied:

“This one is so high, it’s got such a high price-to-earnings multiple. I cannot recommend it. I don’t care how, it’s like Ferguson, I guess, and people just say, you know what, I’m just going to be in there, I don’t care, and I don’t know why. I don’t want you to be in there. Too high versus, say, Home Depot, which is just really inexpensive.”

An engineer studying the blueprints of a large mechanical construction near a busy city skyline.

Limbach Holdings (NASDAQ:LMB) provides specialized solutions for complex building systems, working directly with owners and facility managers to maintain and improve essential mechanical, electrical, and plumbing infrastructure. Greystone Capital Management stated the following regarding Limbach Holdings, Inc. (NASDAQ:LMB) in its Q4 2024 investor letter:

“Limbach Holdings, Inc. (NASDAQ:LMB) was the largest contributor to performance during 2024, for good reason. Their journey from here to there has been executed flawlessly (which, as an investor, I have the luxury of proclaiming), with earnings power increasing at a tremendous rate during the past 24 months. On the back of low single digit revenue growth aided by their ODR segment growing 20%, gross margins have expanded nearly 1000bps, EBITDA margins have expanded 500bps, and adjusted EBITDA has more than doubled. This has translated nicely into free cash flow, which Limbach has used to acquire additional service businesses for 4-5x EBITDA.

During 2024, Limbach invested $38mm to purchase two businesses, Kent Island Mechanical and Consolidated Mechanical, two building systems solutions companies with long histories. The average multiple paid was 3.75x and when combined, should add between $8-10mm EBITDA beginning in 2025. Additionally, now that Limbach has spent over $50mm on acquisitions during the past two years, they should see increased deal flow with the opportunity to consistently acquire 3-4 businesses per year, or between $15-20mm in EBITDA…” (Click here to read the full text)

While we acknowledge the potential of LMB as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.

Disclosure: None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

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