Last Updated: 18 Sep 2024
Executive Summary
Tetra Tech Inc. (TTEK) is a leading provider of consulting and engineering services worldwide. The company has a market capitalization of $12.47 billion and trades on the NASDAQ exchange. TTEK's latest stock price is $46.36. The company has a strong financial position with a trailing PE ratio of 42.75 and a forward PE ratio of 31.85. TTEK is also expected to continue to grow in the future, with analysts forecasting a 12.4% annual revenue growth rate over the next five years.
Company Overview
Tetra Tech was founded in 1966 and is headquartered in Pasadena, California. The company provides a wide range of consulting and engineering services to clients in the government, commercial, and industrial sectors. TTEK's services include environmental consulting, engineering design, construction management, and program management.
Fundamental Analysis
TTEK's financial performance has been strong in recent years. The company has reported revenue growth in each of the past five years. In 2023, TTEK reported revenue of $4.23 billion, up 12.4% from the previous year. The company's net income also increased by 15.6% to $280.3 million.
TTEK's financial strength is also reflected in its profitability metrics. The company has a gross profit margin of 13.6% and an operating margin of 11.6%. TTEK's return on assets is 7.65% and its return on equity is 18.7%.
Technical Analysis
TTEK's stock price has been in a strong uptrend since the beginning of 2023. The stock price has broken above its 50-day and 200-day moving averages and is now trading near its 52-week high. The stock's relative strength index (RSI) is also in bullish territory, indicating that the stock is overbought.
Short Term Outlook
The technical analysis suggests that TTEK's stock price is likely to continue to rise in the short term. The stock price is trading above its moving averages and the RSI is in bullish territory. However, investors should be aware that the stock is overbought and could be due for a pullback.
Long Term Outlook
The long-term outlook for TTEK is positive. The company has a strong financial position and is expected to continue to grow in the future. Analysts forecast that TTEK's revenue will grow by 12.4% annually over the next five years. The company's earnings are also expected to grow by 10.5% annually over the same period.
Analyst Recommendations
Analysts are bullish on TTEK's stock. The consensus analyst rating is "buy" and the average analyst target price is $50.1. Two analysts have a "strong buy" rating on the stock, three analysts have a "buy" rating, and two analysts have a "hold" rating. No analysts have a "sell" or "strong sell" rating on the stock.
