Will the NRW Holdings Limited share price keep climbing?

The NRW Holdings Limited (ASX: NWH) share price has been on the rise over the past year amid renewed confidence in the mining sector.

While major miners BHP Billiton Limited (ASX: BHP) and Rio Tinto Limited (ASX: RIO) notched up yearly returns for their shareholders of about 30% and 15% respectively, the NRW Holdings share price has gained about 150% over the same timeframe.

NRW Holdings Limited provides services to Australia’s resources and infrastructure sectors through three of its divisions, NRW Civil and Mining, Action Drill and Blast and AES Equipment Solutions.

NRW Civil and Mining has secured a series of potentially lucrative contracts, including the recently announced deal to provide BHP Billiton’s South Flank project in Western Australia’s Pilbara region with earthworks and concrete worth $176 million.

NRW Civil and Mining has also stated that it’s currently bidding for further contracts in the Pilbara region that are expected to be worth a total of around $2.5 billion over four years and include the construction of 300 kilometres of rail track.

Action Drill and Blast is also contributing to the group’s recent success with its parent company, NRW Holdings, stating that Action Drill is now the “largest production drilling contractor” on Australia’s east coast.

For FY 2017 NRW Holdings reported a net profit after tax of about $28.5 million on revenues totalling around $370 million.

The NRW Holdings share price is trading for about $1.71, around 18x trailing earnings.

Management is predicting more good times ahead for the company with revenue growth tipped to increase by about 40 per cent in FY 2019 to about $1.1 billion, of which the company claims to have secured $950 million.

All that means NRW Holdings’ shareholders look like they are set for more healthy returns and for potential investors, the company certainly deserves a closer look.

If you’re interested in learning about more ASX opportunities, feel free to check this out…

The ASX small cap up 285% with no sign of stopping...

One Australian company has developed a state of the art device that's revolutionizing hospitals all over the world. Even better, this device is so profitable that the company rakes in 90% margins. That's a lot of cash. So no wonder the stock's up 285% since 2008 – with no signs of stopping...

To discover the name and code, simply click the link below. You'll discover our expert's #1 medical technology pick... and you can decide for yourself whether to get invested today.

Click here to claim your free report.

Motley Fool contributor Steve Holland has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

5 ASX Stocks for Building Wealth After 50

I just read that Warren Buffett, the world’s best investor, made over 99% of his massive fortune after his 50th birthday.

It just goes to show you… it’s never too late to start securing your financial future.

And Motley Fool Chief Investment Advisor Scott Phillips just released a brand-new report that reveals five of our favourite ASX stocks for building wealth after 50.

– Each company boasts strong growth prospects over the next 3 to 5 years…

– Most importantly each pays a generous dividend, fully franked.

Simply click here to find out how you can claim your FREE copy of “5 ASX Stocks for Building Wealth After 50.”

See the stocks now