Cardinal Infrastructure Group Inc. Class A Common Stock (CDNL)

FairStock Score: 62/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for businesses with durable advantages, honest accounting, and a price that leaves room for error. Cardinal Infrastructure is a civil contractor in the Southeast, doing wet utilities, grading, and paving. Contracting is usually a tough, competitive field, and the data here do not show a wide moat. Revenue has been expanding rapidly: in fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $226.9M, up from $106.1M in fiscal Q2 2025; fiscal Q1 2026 revenue was $167.5M versus $81.8M in fiscal Q1 2025; and FY2025 revenue was $456.0M versus $315.2M in FY2024. But growth has not translated into profit. Fiscal Q2 2026 net income was $4.7M, down from $7.2M in fiscal Q2 2025, and fiscal Q1 2026 net income was $3.4M versus $5.5M in fiscal Q1 2025. FY2025 net income was $22.7M, only slightly above FY2024's $21.4M. The latest quarter's margin was thin at 2.06%. FairStock calculates negative trailing free cash flow of $11.6M and an FCF yield of -1.4%. Debt-to-equity of 0.38 is not alarming, but ROCE of 5.77% is modest and Altman Z-score of 1.90 and Piotroski 5/9 suggest middling financial strength. At the 2026-10-13 close of $18.62, FairStock shows P/E 20.69, P/B 1.54, EV/EBITDA 7.89, and a Graham Number of $15.66, so the price is about 18.9% above that conservative value reference. The computed Lynch category is Slow Grower, based on 5.0% annual profit growth over two years and 35.6% revenue growth. In sum, rapid top-line growth is real, but profitability and cash generation are not yet proving durable; the price looks full rather than clearly cheap.

In plain English: Cardinal Infrastructure Group does civil construction work in the southeastern United States, such as water, sewer, stormwater, grading, and paving. Sales have grown quickly, but profit has fallen and the business used cash over the last year. At $18.62, the stock looks more expensive than the value suggested by its recent profits and assets, so it is not obviously cheap.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · fiscal Q1 2025 10-Q (period ended 2025-03-31) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer