In Longcast Advisors' Q2 2024 letter, Matrix Service Company (MTRX, Financial) was highlighted as a significant position due to its potential for revenue growth driven by a historically high backlog. Despite recent declines in revenue and gross profit, the company’s backlog and billings in excess of costs have improved dramatically, suggesting a possible future revenue rebound.
"Investing is a 'what you have done for me lately' business and just about everything MTRX has done 'lately' is unappealing, with five years of declines in revenues and gross profit and until a year ago, a material slide in backlog. It’s easy to understand why the market isn’t interested in this company. Things are changing, however, leading to what I think is a variant view." — Longcast Advisors, Q2 2024 Fund Letter
Read full letter at gurufocus Longcast Advisors 2024 Q2 page.