Q3 Earnings Alert! Plan early for this week’s stock reports with all key data in 1 placeSee list

Tetra Tech stock target raised on strong earnings

EditorNatashya Angelica
Published 05/03/2024, 11:09 AM
TTEK
-

On Friday, KeyBanc has increased the price target for Tetra Tech (NASDAQ:TTEK) shares to $219 from the previous target of $209, while maintaining an Overweight rating on the stock. The revision follows Tetra Tech's report of F2Q24 earnings per share (EPS) that exceeded expectations, along with an increased guidance that surpassed the earnings beat.

The company's recent financial results showcased robust revenue and margin momentum, prompting KeyBanc to adjust their estimates accordingly. Tetra Tech's performance has been particularly strong, and the firm is scheduled to hold its first-ever investor day in two weeks.

During this event, management is expected to outline the factors driving its ambitious targets of 10-15% per annum revenue growth and annual margin expansion of 50 basis points through the end of the decade.

The company's growth and margin targets are supported by a broad range of investment opportunities in the water and environmental consulting sectors. KeyBanc's updated price target reflects a positive outlook for Tetra Tech's future, as the firm anticipates continued strong performance in these areas.

Investors and analysts are likely to pay close attention to the upcoming investor day for further insights into Tetra Tech's strategic plans and growth drivers. The company's focus on water and environmental consulting is expected to be a significant factor in its growth trajectory as it heads towards the decade's end.

InvestingPro Insights

Following KeyBanc's upbeat assessment, Tetra Tech's (NASDAQ:TTEK) current market dynamics further underscore the positive sentiment. With a market capitalization of $10.95 billion and a robust revenue growth of 30.04% over the last twelve months as of Q2 2024, the company's financial health appears strong. This growth is coupled with an impressive 23.01% total return on the price over the last three months, signaling investor confidence in Tetra Tech's market position and future prospects.

From an investment standpoint, noteworthy InvestingPro Tips for Tetra Tech include the company's consistent dividend growth, with dividends having increased for 11 consecutive years, and two analysts revising their earnings upwards for the upcoming period, indicating potential for continued financial strength. Moreover, with the stock trading near its 52-week high and at a high earnings multiple, investors may want to consider the balance between growth expectations and valuation.

For those looking to delve deeper into Tetra Tech's financials and strategic outlook, InvestingPro offers additional insights and tips. Currently, there are 15 more tips available that could help investors make informed decisions. Use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription and gain access to these valuable resources.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.