Tetra Tech Inc. (TTEK) Rating Increased to Buy at Zacks Investment Research
Tetra Tech Inc. (NASDAQ:TTEK) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued on Tuesday. The brokerage currently has a $39.00 target price on the stock. Zacks Investment Research’s price objective suggests a potential upside of 9.95% from the company’s current price.
According to Zacks, “In the four trailing quarters, Tetra Tech has beat earnings only once, while meeting estimates in the remaining three quarters. The company’s profitability in recent times has benefited from efficient cost restructuring activities and impressive top line growth. Additionally, robust backlog levels and strong performance of the company’s waste management and municipal business add to its strength. Tetra Tech’s acquisitions have also been supplementing its overall growth, and it plans to invest in other strategic acquisitions to expand its consulting and engineering capabilities across its target end markets.We believe Tetra Tech has a solid base for future growth and a robust pipeline with major government organizations awarding it billion-dollar deals. However, softness in the domestic oil and gas segment and volatility in oil prices continue to bother Tetra Tech’s financials.”
Several other brokerages have also issued reports on TTEK. FBR & Co lifted their target price on shares of Tetra Tech from $32.00 to $36.00 and gave the company a “market perform” rating in a research report on Friday, July 29th. Canaccord Genuity restated a “buy” rating and issued a $37.00 price objective on shares of Tetra Tech in a report on Friday, July 29th. Four investment analysts have rated the stock with a hold rating and four have assigned a buy rating to the company. The stock presently has a consensus rating of “Buy” and an average target price of $34.40.
Tetra Tech (NASDAQ:TTEK) opened at 35.47 on Tuesday. The company has a market capitalization of $2.04 billion, a price-to-earnings ratio of 99.63 and a beta of 1.21. The company’s 50-day moving average is $35.29 and its 200 day moving average is $31.81. Tetra Tech has a 52 week low of $22.85 and a 52 week high of $36.24.
Tetra Tech (NASDAQ:TTEK) last announced its earnings results on Wednesday, July 27th. The company reported $0.50 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.50. Tetra Tech had a net margin of 0.86% and a return on equity of 12.31%. The business earned $667 million during the quarter, compared to analyst estimates of $498.79 million. During the same period in the previous year, the business posted $0.43 earnings per share. Tetra Tech’s revenue for the quarter was up 16.0% on a year-over-year basis. On average, analysts forecast that Tetra Tech will post $1.88 EPS for the current fiscal year.
In related news, CFO Steven M. Burdick sold 16,750 shares of Tetra Tech stock in a transaction on Monday, July 11th. The shares were sold at an average price of $31.23, for a total value of $523,102.50. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Also, EVP Ronald J. Chu sold 29,413 shares of Tetra Tech stock in a transaction on Thursday, July 21st. The stock was sold at an average price of $32.00, for a total transaction of $941,216.00. The disclosure for this sale can be found here. 4.00% of the stock is currently owned by corporate insiders.
Hedge funds and other institutional investors have recently modified their holdings of the company. BlackRock Institutional Trust Company N.A. increased its position in shares of Tetra Tech by 5.8% in the first quarter. BlackRock Institutional Trust Company N.A. now owns 1,563,248 shares of the company’s stock valued at $46,616,000 after buying an additional 85,672 shares during the last quarter. Balter Liquid Alternatives LLC increased its position in shares of Tetra Tech by 5.3% in the first quarter. Balter Liquid Alternatives LLC now owns 74,269 shares of the company’s stock valued at $2,215,000 after buying an additional 3,766 shares during the last quarter. Prudential Financial Inc. increased its position in shares of Tetra Tech by 4.3% in the first quarter. Prudential Financial Inc. now owns 143,140 shares of the company’s stock valued at $4,268,000 after buying an additional 5,900 shares during the last quarter. BlackRock Fund Advisors increased its position in shares of Tetra Tech by 0.6% in the first quarter. BlackRock Fund Advisors now owns 3,768,617 shares of the company’s stock valued at $112,380,000 after buying an additional 23,403 shares during the last quarter. Finally, BlackRock Inc. increased its position in shares of Tetra Tech by 8.1% in the first quarter. BlackRock Inc. now owns 26,517 shares of the company’s stock valued at $791,000 after buying an additional 1,993 shares during the last quarter. 89.12% of the stock is currently owned by institutional investors.
About Tetra Tech
Tetra Tech, Inc is a provider of consulting, engineering, program management, construction management, and technical services. The Company’s segments include Water, Environment and Infrastructure (WEI), Resource Management and Energy (RME), and Remediation and Construction Management (RCM). The WEI segment provides consulting and engineering services.
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