Smith-Midland Corporation (NASDAQ:SMID)

SMID ($7.53) announced that it was awarded a contract to supply 124,000 Linear Feet (LF) of J-J Hooks precast concrete safety barriers for the $336-million I-395 design-build project that will extend the Express Lanes along an eight-mile section of I-395 in Fairfax and Arlington Counties.

We cannot safely anticipate the revenue and income that SMID will derive from the project because it heavily depends on the progress of the project and the agreed upon unit rate. We are trying to get a better grip on the effect of this contract to the company’s financials going forward.

A positive indication is that the 124,000 LF project has been the biggest J-J Hooks related project that we could find so far. The latest J-J Hook related announcements was for over 39,000 LF of Hooks in February.

MIDLAND, VA--(Marketwired - Feb 9, 2016) - Smith-Midland Corporation (OTCQX: SMID) Civil Wall Solutions and Shirley Contracting have selected Smith-Midland to supply precast sound wall products for two major Virginia Department of Transportation road projects that are currently underway. The Route 29-Route 250 Interchange in Charlottesville and the Interstate 66 widening project near Chapman's Mill will both facilitate traffic flow without disrupting nearby historic and residential areas.

Smith-Midland will supply 47,751 square feet (379 panels) of precast sound wall and retaining wall for the Route 29-Route 250 Interchange improvement project in Charlottesville, Va. The company's sound wall combines the unmatched strength and durability of precast concrete with finishes designed to match the surrounding environment. Smith-Midland will also provide 3,716 linear feet (104 total) of pre-stressed posts for the project.

Scheduled for completion in March, the project will feature SoftSound™ sound absorptive concrete with a dry stack stone form liner finish on the highway side, and a stamped dry stack stone finish on the residential side to meet historic Charlottesville's aesthetic requirements.

A superior sound absorptive technology, SoftSound is a proprietary material molded and compressed to meet the desired technical and aesthetic requirements. It combines highly specialized mineralized wood-chip aggregate using cement as a binder in a specific and exacting manufacturing process. Once installed, SoftSound surpasses other products for sound absorption, durability, strength, and moldability.

Situated between Haymarket and Gainesville, Va., the Interstate 66 widening project will incorporate 240,000 square feet (1,035 panels) of precast sound wall and 13,644 linear feet (637 total) of pre-stressed posts. Started in January and scheduled for completion in May, the project also features SoftSound sound-absorptive concrete finished with a simulated stone form liner. When complete, the wall will match the nearby historic Chapman's Mill.

"We're pleased to be involved with these sound wall projects in Virginia's historic areas, where our precast products and finishes not only fulfill functional needs," said Matthew Smith, Smith-Midland's Vice President of Sales and Marketing, "but also meet the aesthetic requirements of our state's highly-valued historic cities and towns."

13D filed 5/22/2013

Purpose of transaction:

The Reporting Persons purchased the Shares based on the Reporting Persons’ belief that the Shares, when purchased, were undervalued and represented an attractive investment opportunity. Depending upon overall market conditions, other investment opportunities available to the Reporting Persons, the availability of Shares at prices that would make the purchase of additional Shares desirable, or the market price at which Shares are then currently trading that would make the sale of Shares desirable (in either case, including market prices that may exist as a result of this filing or other filings by the Reporting Persons), the Reporting Persons may increase or decrease their position in the Issuer through, among other things, the purchase or sale of Shares on the open market or in private transactions or otherwise, on such terms and at such times as the Reporting Persons may deem advisable. No Reporting Person has any present plan or proposal which would relate to or result in any of the matters set forth in subparagraphs (a) - (j) of Item 4 of Schedule 13D, except as set forth herein or such as would occur upon completion of any of the actions discussed herein.

Each of the Reporting Persons intends to review its investment in the Issuer on a continuing basis and to engage in discussions with management and the Board of Directors of the Issuer concerning the business, operations, corporate governance and future plans of the Issuer. Depending on various factors including, without limitation, the Issuer’s financial position and investment strategy, the price levels of the Shares, conditions in the securities market and general economic and industry conditions, the Reporting Persons may in the future take such actions with respect to their investment in the Issuer as they deem appropriate including, without limitation,

       

• communicating privately or publicly with other stockholders, the Issuer’s Board of Directors or other persons;
• making proposals or director nominations to the Issuer;
• soliciting proxies with respect to proposals or director nominees made by the Reporting Persons;
• supporting proposals or director nominations made by the Reporting Persons or other stockholders;
• purchasing additional Shares or selling some or all of their Shares;
• orchanging their intention with respect to any and all matters referred to in this Item 4.

Added to the GeoSpecial list August, 13, 2009 @ $2.10.

Catalyst: Seemed like the company was on the verge of a an EPS break out

Peak performance: Reached a high of $2.30.
Current road block: Strong EPS performance was an aberration. Choppy quarters will likely always be an issue.
Current Price: $1.36

Removed from the GeoSpecial list.

Smith Midland, involved in the concrete product industry reported significant increase in second quarter EPS. EPS increased 275% to $0.15, while revenue  increased 10%. This follows the second consecutive quarter of significant top and bottom line growth. The GeoTeam has monitored this Smith Midland for several years, but felt the company lacked consistency in growth. We are attempting to ascertain how the Company has been able to post solid growth during a weakened economy. Comments from the second quarter press release indicate that the U.S. stimulus package will benefit Smith Midland in the near future. A final investment conclusion can not be made until management is interviewed  However, with a PE of 5, a price of $1.85 and two solid quarters of growth a small investment in SMID may offer a favorable risk reward tradeoff. The GeoTeam may attempt to take a position in SMID in Thursday's (Aug 13, 2009) trading session.

Valuation Scenarios

Added to GeoSpecial on list on August, 13, 2009. ($2.10). 

Data Inputs:

Fiscal Year Ends in December

Date	08/13/09
Price (Current)	$2.10
12 Months Trailing EPS	$.39
Most Recent Quarter EPS Growth Rate	275.0%
Trailing P/E Ratio a,b	5.4
PEG Ratio (P/E divided by growth rate)	0.02

Short-Term Valuation Scenarios

Date	08/13/09
Price Based on P/E of 25 on Four Quarters Trailing EPS	$9.75
Price Based on P/E of 20 on Four Quarters Trailing EPS	$7.80
Price Based on P/E of 15 on Four Quarters Trailing EPS	$5.85
Price Based on P/E of 10 on Four Quarters Trailing EPS	$3.90

Peg Ratio Analysis - Common rule of thumb that PEG ratio should be less than 1.0

PEG Ratio Less than 1?

YES

These scenarios are not investment advice, but are scenarios based on some commonly used investment guidelines.  They are provided to aid investors in making their own investment decisions.