NasdaqGS:TTEK

Stock Analysis Report

Executive Summary

Tetra Tech, Inc. provides consulting and engineering services worldwide.

Snowflake

Fundamentals

Excellent balance sheet with solid track record.


Similar Companies

Share Price & News

How has Tetra Tech's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.3%

NasdaqGS:TTEK

-0.08%

US Commercial Services

0.2%

US Market


1 Year Return

13.4%

NasdaqGS:TTEK

5.1%

US Commercial Services

-0.7%

US Market

TTEK outperformed the Commercial Services industry which returned 6.4% over the past year.

TTEK outperformed the Market in United States of America which returned 0.3% over the past year.


Share holder returns

TTEKIndustryMarket
7 Day0.3%-0.08%0.2%
30 Day-6.2%-1.1%-2.7%
90 Day17.2%2.7%1.6%
1 Year14.3%13.4%9.2%5.1%1.6%-0.7%
3 Year133.3%127.5%62.8%51.8%40.0%30.9%
5 Year225.1%209.7%95.5%75.9%53.8%36.8%

Price Volatility Vs. Market

How volatile is Tetra Tech's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Tetra Tech undervalued based on future cash flows and its price relative to the stock market?

5%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Tetra Tech's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Tetra Tech's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Tetra Tech is overvalued based on earnings compared to the US Commercial Services industry average.

Tetra Tech is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Tetra Tech is poor value based on expected growth next year.


Price Based on Value of Assets

Tetra Tech is overvalued based on assets compared to the US Commercial Services industry average.


Next Steps

Future Growth

How is Tetra Tech expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

3.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Tetra Tech's revenue is expected to grow by 7.8% yearly, however this is not considered high growth (20% yearly).

Tetra Tech's earnings are expected to grow by 3.6% yearly, however this is not considered high growth (20% yearly).

Tetra Tech's revenue growth is expected to exceed the United States of America market average.

Tetra Tech's earnings growth is positive but not above the United States of America market average.

Tetra Tech's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Tetra Tech is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Tetra Tech performed over the past 5 years?

16.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Tetra Tech's year on year earnings growth rate has been positive over the past 5 years.

Tetra Tech's 1-year earnings growth exceeds its 5-year average (23.5% vs 16.7%)

Tetra Tech's earnings growth has exceeded the US Commercial Services industry average in the past year (23.5% vs -2.4%).


Return on Equity

Tetra Tech has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Tetra Tech used its assets more efficiently than the US Commercial Services industry average last year based on Return on Assets.


Return on Capital Employed

Tetra Tech has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Tetra Tech's financial position?


Financial Position Analysis

Tetra Tech is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Tetra Tech's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Tetra Tech's level of debt (34.1%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (19.3% vs 34.1% today).

Debt is well covered by operating cash flow (61.8%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 15.6x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 3.2x debt.


Next Steps

Dividend

What is Tetra Tech's current dividend yield, its reliability and sustainability?

0.73%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Tetra Tech's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.48%).

Tetra Tech's dividend is below the markets top 25% of dividend payers in United States of America (3.83%).

Tetra Tech is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.

Tetra Tech is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of Tetra Tech's dividends as it is not paying a notable one for United States of America.


Future Payout to Shareholders

No need to calculate the sustainability of Tetra Tech's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of Tetra Tech's salary, the management and board of directors tenure and is there insider trading?

8.2yrs

Average management tenure


CEO

Dan Batrack (61yo)

13.8yrs

Tenure

US$5,997,319

Compensation

Mr. Dan L. Batrack has been the President and Chief Executive Officer of Tetra Tech, Inc. since October 2008 and November 17, 2005 respectively and has been its the Chairman since January 30, 2008. Mr. Bat ...


CEO Compensation Analysis

Dan's remuneration is about average for companies of similar size in United States of America.

Dan's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

8.2yrs

Average Tenure

59yo

Average Age

The average tenure for the Tetra Tech management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

12.0yrs

Average Tenure

65.5yo

Average Age

The average tenure for the Tetra Tech board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$58,68117 May 19
Mark Rynning
EntityIndividual
Shares871
Max PriceUS$67.37
SellUS$272,24319 Mar 19
Derek Amidon
EntityIndividual
Role
Senior Key Executive
Senior VP & President of Commercial Account Management Division
Shares4,618
Max PriceUS$58.97
SellUS$220,97921 Feb 19
Patrick Haden
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,780
Max PriceUS$58.46
SellUS$511,62427 Nov 18
Brian Carter
EntityIndividual
Role
Chief Accounting Officer
Senior VP
Shares8,215
Max PriceUS$62.28
SellUS$92,19727 Nov 18
Roger Argus
EntityIndividual
Role
Senior Key Executive
Senior VP
Shares1,473
Max PriceUS$62.59
SellUS$80,32516 Nov 18
Kirsten Volpi
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,200
Max PriceUS$66.94

Ownership Breakdown


Management Team

  • Richard Lemmon (60yo)

    Senior Vice President of Corporate Administration

    • Tenure: 0.0yrs
    • Compensation: US$1.01m
  • Dan Batrack (61yo)

    Chairman

    • Tenure: 13.8yrs
    • Compensation: US$6.00m
  • Craig Christensen (66yo)

    Senior VP & Chief Information Officer

    • Tenure: 12.7yrs
  • Brian Carter (52yo)

    Senior VP

    • Tenure: 8.2yrs
  • Steve Burdick (54yo)

    CFO, Executive VP & Treasurer

    • Tenure: 8.3yrs
    • Compensation: US$1.66m
  • William Brownlie (65yo)

    Senior VP & Chief Engineer

    • Tenure: 9.9yrs
    • Compensation: US$148.99k
  • Leslie Shoemaker (62yo)

    Executive VP of Operations & President of CIG

    • Tenure: 1.8yrs
    • Compensation: US$1.57m
  • Derek Amidon (52yo)

    Senior VP & President of Commercial Account Management Division

    • Tenure: 1.8yrs
  • Roger Argus (58yo)

    Senior VP

    • Tenure: 1.8yrs
    • Compensation: US$1.26m
  • Preston Hopson (43yo)

    Senior Vice President

    • Tenure: 1.6yrs

Board Members

  • Li-San Hwang (84yo)

    Chairman Emeritus

    • Tenure: 13.4yrs
    • Compensation: US$703.32k
  • Albert Smith (69yo)

    Presiding Director

    • Tenure: 3.6yrs
    • Compensation: US$328.04k
  • Ken Thompson (67yo)

    Independent Director

    • Tenure: 12.3yrs
    • Compensation: US$314.54k
  • Hugh Grant (82yo)

    Independent Director

    • Tenure: 16.6yrs
    • Compensation: US$327.04k
  • Patrick Haden (66yo)

    Independent Director

    • Tenure: 26.7yrs
    • Compensation: US$304.04k
  • Chris Lewis (63yo)

    Independent Director

    • Tenure: 31.5yrs
    • Compensation: US$308.54k
  • Dan Batrack (61yo)

    Chairman

    • Tenure: 13.8yrs
    • Compensation: US$6.00m
  • Joanne Maguire (65yo)

    Independent Director

    • Tenure: 2.8yrs
    • Compensation: US$308.04k
  • Kim Ritrievi (60yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$302.54k
  • Kirsten Volpi (54yo)

    Independent Director

    • Tenure: 6.1yrs
    • Compensation: US$308.54k

Company Information

Tetra Tech, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tetra Tech, Inc.
  • Ticker: TTEK
  • Exchange: NasdaqGS
  • Founded: 1966
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: US$4.358b
  • Shares outstanding: 54.65m
  • Website: https://www.tetratech.com

Number of Employees


Location

  • Tetra Tech, Inc.
  • 3475 East Foothill Boulevard
  • Pasadena
  • California
  • 91107
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TTEKNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDDec 1991
TT6DB (Deutsche Boerse AG)YesCommon StockDEEURDec 1991
TTEK *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNDec 1991

Biography

Tetra Tech, Inc. provides consulting and engineering services worldwide. It operates through Government Services Group (GSG) and Commercial/International Services Group (CIG) segments. The GSG segment offe ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 23:48
End of Day Share Price2019/08/20 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.