TETRA TECH INC (TTEK) May 2024 Earnings Report
Tetra Tech, Inc.: Investment Report
Overview
Tetra Tech, Inc. is a leading provider of consulting and engineering services, offering a comprehensive range of solutions to governments, industries, and institutions worldwide. With a market capitalization of $11.69 billion, the company has established itself as a prominent player in the engineering and construction industry. This report provides an in-depth analysis of Tetra Tech's financial performance, growth prospects, and market trends, enabling investors to make informed decisions.
Core Metrics
- Current Price: $218.55
- 52-week High: $220.37
- 52-week Low: $132.29
- Market Cap: $11.69 billion
- P/E Ratio: 44.24
- Earnings per Share (EPS): $4.94
- 50-day Average: $194.76
- 200-day Average: $170.98
- Analyst Recommendations: 2 Strong Buy, 2 Buy, 4 Hold, 0 Sell, 0 Strong Sell
Financial Performance
Tetra Tech has demonstrated a strong financial performance in recent years, driven by its diversified service offerings and strategic acquisitions. The company's revenue has grown steadily, with a growth rate of 0.086. The gross margin and EBITDA margin have also improved, reaching 0.19426 and 0.13092, respectively. The company's cash flow has increased significantly, with a total cash balance of $210.29 million and a free cash flow of $333.4 million.
Growth Prospects
Tetra Tech's growth prospects appear promising, driven by increasing demand for sustainable infrastructure, renewable energy, and environmental services. The company's recent acquisitions, such as Convergence Controls & Engineering, have expanded its digital water and energy practices, positioning it for future growth. Additionally, the company's strong balance sheet and cash flow generation provide opportunities for further investments and strategic initiatives.
News and Updates
Recently, Tetra Tech acquired Convergence Controls & Engineering, enhancing its digital water and energy practices. The company has also been the subject of analyst recommendations, with several firms upgrading or reiterating their buy ratings. Furthermore, Tetra Tech has expanded its water practice in the United Kingdom with the acquisition of RPS Group.
Upgrades and Downgrades
On May 15, 2024, Keybanc upgraded Tetra Tech to Overweight, citing the company's strong financial performance and growth prospects. Conversely, Baird reiterated its Neutral rating, citing valuation concerns. These developments indicate ongoing interest in the company's prospects and potential for future growth.
Summary
Tetra Tech, Inc. presents a compelling investment opportunity, driven by its strong financial performance, diversified service offerings, and growth prospects. The company's strategic acquisitions, increasing demand for sustainable infrastructure, and improving margins all contribute to a positive outlook. With a strong balance sheet and cash flow generation, Tetra Tech is well-positioned to capitalize on future opportunities, making it an attractive investment for those seeking exposure to the engineering and construction industry.