(SMID) Smith-Midland - Ratings and Ratios

Smith-Midland Corporation (NASDAQ:SMID) is a leading innovator, developer, and manufacturer of precast concrete products and systems, serving a diverse range of industries across the United States and select international markets. Since its founding in 1960, the company has established itself as a key player in the construction materials sector, delivering advanced solutions for building, transportation, utility, and agricultural applications. Its product portfolio includes lightweight construction panels, sound barriers, highway safety systems, precast buildings, utility vaults, and erosion control modules, all designed to meet the evolving demands of modern infrastructure development.

The company’s proprietary products, such as SlenderWall, Sierra Wall, and J-J Hooks, are widely recognized for their durability, versatility, and innovative design. SlenderWall, for instance, combines structural integrity with aesthetic appeal, making it a preferred choice for exterior cladding in commercial and residential construction. Sierra Wall and J-J Hooks are critical components in highway safety, providing effective sound and traffic barriers that enhance public safety and reduce environmental impact. Additionally, Smith-Midland’s Easi-Set and Easi-Span precast buildings are utilized for housing communications equipment, traffic control systems, and utility operations, showcasing the company’s ability to adapt its solutions to meet specific industry needs.

Smith-Midland licenses its technologies in multiple countries, including Canada, Australia, and New Zealand, demonstrating its global reach and reputation for quality. Domestically, the company serves a broad customer base, including contractors, transportation authorities, and municipal utilities, through a combination of in-house sales teams and independent representatives. This dual approach ensures comprehensive market coverage and direct access to key decision-makers in the construction and infrastructure sectors.

From a financial perspective, Smith-Midland operates with a market capitalization of approximately $196.85 million, reflecting its established presence in the construction materials industry. The company’s price-to-earnings (P/E) ratio of 30.42 indicates a premium valuation, potentially driven by its strong return on equity (RoE) of 16.13%, which highlights efficient profitability. However, the forward P/E of 0.00 suggests limited visibility into future earnings estimates, which could impact investor sentiment. The price-to-book (P/B) ratio of 4.92 points to a higher valuation relative to book value, while the price-to-sales (P/S) ratio of 2.58 underscores its revenue multiple.

Technically, SMID’s recent price of $32.04 is below its 20-day and 50-day simple moving averages (SMAs) of $36.11 and $39.73, respectively, signaling potential near-term weakness. The 200-day SMA of $36.15 further reinforces this trend, as the stock trades below this key long-term support level. Average trading volume of 8,230 shares over the past 20 days indicates moderate liquidity, while the Average True Range (ATR) of 2.08 reflects manageable volatility.