The Zacks Building Products - Heavy Construction industry stands on a strong growth trajectory, supported by favorable long-term trends despite near-term headwinds such as elevated interest rates, project timing uncertainties, and labor market pressures.The outlook is especially bright, thanks to a robust federal infrastructure agenda that continues to unlock substantial investments in transportation, broadband, and energy networks. This surge in spending is fueling rising demand across high-growth sectors ...

Core Viewpoint - Investors often prefer stocks with a low price-to-earnings (P/E) ratio, believing that a lower P/E indicates higher stock value and potential for growth [1] Group 1: P/E Ratio Insights - Stocks with a rising P/E ratio can also yield strong returns, indicating that investors are willing to pay more for expected future earnings growth [2][3] - A rising P/E ratio suggests investor confidence in a company's fundamentals and anticipated positive performance [4] - Historical data shows that stocks can experience P/E ratio increases of over 100% from their breakout points, highlighting the potential for significant gains if stocks are selected early in their breakout cycle [5] Group 2: Stock Screening Criteria - The screening parameters for identifying stocks with increasing P/E include: - Current year EPS growth estimate should be greater than or equal to last year's actual growth [7] - Price changes over four weeks should exceed those over 12 weeks, and similarly for 12 weeks compared to 24 weeks, indicating consistent price increases [7][8] - Price change for 12 weeks should be at least 20% higher than for 24 weeks, but not exceed 100%, suggesting an impending uptrend [8] Group 3: Selected Stocks - The screening process narrowed down over 7,700 stocks to 83, with notable mentions including: - Comfort Systems USA (Zacks Rank 1) with an average four-quarter earnings surprise of 17.57% [9][10] - MasTec (Zacks Rank 2) with an average four-quarter earnings surprise of 26.03% [10] - Virgin Galactic (Zacks Rank 2) with an average four-quarter earnings surprise of 21.99% [11] - AeroVironment (Zacks Rank 2) with an average four-quarter earnings surprise of 18.40% [11] - Blackbaud (Zacks Rank 1) with an average four-quarter earnings surprise of 1.20% [12]

Core Insights - MasTec, Inc. reported strong financial results for Q1 2025, with earnings and revenues exceeding expectations, leading to a 3.7% increase in share price post-earnings release [1][2][4] Financial Performance - Adjusted EPS reached 51 cents, surpassing the Zacks Consensus Estimate of 34 cents by 50%, compared to a loss of 17 cents per share in the same quarter last year [4] - Revenues totaled $2.85 billion, exceeding the consensus mark of $2.72 billion by 4.7%, and increased by 6% year-over-year, driven by double-digit growth in non-pipeline segments [4] - Adjusted EBITDA was reported at $164 million, reflecting a 7.1% increase from the prior year, with an adjusted EBITDA margin of 5.7% [10] Backlog and Growth - As of March 31, 2025, MasTec's backlog stood at $15.88 billion, up 23.7% year-over-year and 11% sequentially, with significant contributions from the Pipeline Infrastructure segment, which more than doubled its backlog [5][2] Segment Performance - Communications segment revenues rose 34.7% to $680.9 million, supported by increased activity in wireless and wireline projects, despite a decline in install-to-the-home projects [6] - Clean Energy and Infrastructure revenues increased by 21.5% to $915.8 million, driven by higher project volumes in renewables and infrastructure initiatives [7] - Power Delivery segment revenues increased to $899.7 million, up from $797.9 million year-over-year, although adjusted EBITDA margin contracted by 60 bps to 5.7% [8] - Pipeline Infrastructure revenues fell 43.8% to $356.5 million, with an adjusted EBITDA margin of 12.5%, down 210 bps year-over-year [9] Cash Flow and Debt - The company generated $78.4 million in cash from operating activities, down from $107.8 million a year ago, and maintained net debt leverage at 1.9x [3][12] - Cash and cash equivalents decreased to $345.7 million from $399.9 million at the end of 2024, while long-term debt slightly increased to $2.041 billion [12] Future Guidance - For Q2 2025, MasTec expects revenues of approximately $3.4 billion, up from $3 billion in Q2 2024, with adjusted EBITDA estimated between $270-$280 million [13] - The company anticipates full-year revenues of about $13.65 billion, an increase from the previous estimate of $13.45 billion, and adjusted EPS is expected to be between $5.90 and $6.25 [14][15]

Financial Data and Key Metrics Changes - The company reported first quarter revenue of $2.85 billion, exceeding expectations and representing a year-over-year increase [30] - Adjusted EBITDA for the first quarter was $164 million, exceeding guidance by approximately 53% [30] - The eighteen-month backlog at the end of the quarter totaled $15.9 billion, up $1.6 billion from year-end and $3 billion year-over-year, marking a record for the company [31] Business Line Data and Key Metrics Changes - The Communications segment saw a revenue increase of 35% year-over-year, with adjusted EBITDA growth of 82% and a 180 basis point margin improvement [18] - The Power Delivery segment's revenue increased nearly 13% year-over-year, although margins experienced a slight decline due to weather impacts and productivity headwinds [20] - The Clean Energy and Infrastructure segment reported a 22% year-over-year revenue growth, with adjusted EBITDA more than doubling to $57 million and a margin of 6.2% [22] Market Data and Key Metrics Changes - The backlog for the Communications segment increased 7% sequentially to $4.9 billion, indicating robust demand for telecom infrastructure [18] - The Clean Energy and Infrastructure backlog reached a record level of $4.4 billion, with a book-to-bill ratio of nearly 1.2 times [23] - The pipeline infrastructure segment saw a revenue decline of 44% year-over-year, attributed to challenging comparisons from the previous year's MVP project wind down [25] Company Strategy and Development Direction - The company raised its full-year 2025 revenue guidance to $13.65 billion, with adjusted EBITDA guidance ranging from $1.12 billion to $1.16 billion [17] - Management emphasized a focus on organic growth while also considering tuck-in acquisitions to strengthen market presence [48] - The company is optimistic about the pipeline market's potential in 2026 and beyond, expecting strong revenue growth in the pipeline segment [27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the structural demand and long-term drivers of the business, despite macroeconomic volatility [30] - The company remains bullish on the Clean Energy sector, citing strong demand and the competitive nature of renewables as a power source [22][24] - Management noted that while there are potential headwinds from tariffs and regulatory changes, they do not foresee a meaningful risk to the 2025 business outlook [23][40] Other Important Information - The company completed $37 million in share repurchases during the first quarter and has authorized an additional $250 million repurchase program [32] - The company maintains a strong balance sheet with total liquidity of $2.2 billion and net leverage of 1.9 times [41] Q&A Session Summary Question: Can you provide more detail on oil and gas bookings and the geographies of interest? - Management indicated that bookings were not driven by any single large project, with expectations for backlog to increase as the year progresses [44][46] Question: What are the suitable end markets for potential acquisitions? - Management emphasized a focus on organic growth but acknowledged opportunities for acquisitions in specific geographies and customer relationships [48][49] Question: What is the outlook for the pipeline business in 2026? - Management remains optimistic about the pipeline business, expecting revenues to potentially reach 2024 levels and highlighting the importance of gas in future energy generation [56][57] Question: Can you elaborate on the communications segment and potential impacts from fiscal stimulus? - Management noted that while fiscal stimulus may not significantly impact 2025, it could be a catalyst for 2026 and beyond, with strong bookings expected [66][67] Question: What is the competitive landscape for pipeline projects? - Management indicated a robust pipeline market with significant infrastructure needs, expecting strong further awards as the year progresses [78][79]

Financial Data and Key Metrics Changes - The company reported first quarter revenue of $2.85 billion, exceeding expectations and representing a year-over-year increase [30][31] - Adjusted EBITDA for the first quarter was $164 million, surpassing guidance by approximately 53% [30][31] - The eighteen-month backlog reached a record $15.9 billion, up $1.6 billion from year-end and $3 billion year-over-year [31][32] - The company raised its full-year 2025 revenue guidance to $13.65 billion and adjusted EBITDA guidance to a range of $1.12 billion to $1.16 billion [16][40] Business Line Data and Key Metrics Changes - The Communications segment saw a revenue increase of 35% year-over-year and an 82% adjusted EBITDA growth, with backlog increasing 7% sequentially to $4.9 billion [17][31] - Power Delivery revenues increased nearly 13% year-over-year, with a backlog growth of 6% sequentially to $5 billion [20][21] - Clean Energy and Infrastructure revenue grew 22% year-over-year, with adjusted EBITDA more than doubling to $57 million and a backlog increase to a record $4.4 billion [22][23] Market Data and Key Metrics Changes - The company noted robust demand in the telecom infrastructure market, which is expected to remain resilient against macro pressures due to capital investments in broadband delivery [17][18] - The pipeline infrastructure segment experienced a revenue decline of 44% year-over-year, attributed to challenging comparisons from the Mountain Valley Pipeline project wind down [25][26] - The backlog in the pipeline segment more than doubled sequentially, indicating a positive outlook for future project activity [16][26] Company Strategy and Development Direction - The company is focused on organic growth while also considering tuck-in acquisitions to strengthen its market position [48][49] - There is an emphasis on operational execution and evolving business processes to ensure consistent outcomes and strong structural profitability [28][39] - The management is optimistic about the long-term outlook, particularly in the pipeline segment, with expectations for strong revenue growth in 2026 and beyond [27][56] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate macroeconomic uncertainties and maintain strong structural demand [30][31] - The outlook for the pipeline market is positive, with expectations for increased project activity and bookings in 2026 [56][58] - The company remains cautious about potential impacts from tariffs and regulatory changes but does not foresee significant risks to its 2025 business outlook [23][41] Other Important Information - The company completed $37 million in share repurchases during the first quarter and has authorized an additional $250 million repurchase program [32][42] - The company maintains a strong balance sheet with total liquidity of $2.2 billion and net leverage of 1.9 times [42] Q&A Session Summary Question: Details on oil and gas bookings and geographies of interest - Management noted strong bookings across various projects, with expectations for backlog to increase as the year progresses [45][47] Question: Capital allocation and suitable end markets for acquisitions - The focus remains on organic growth, with potential acquisitions in geographies where the company can strengthen its position [48][49] Question: Update on pipeline business and competitive environment - Management remains optimistic about pipeline revenues in 2026, with expectations for strong bookings and a favorable competitive landscape [54][56] Question: Insights on power delivery margins and performance - Margins were impacted by weather and project mix, but management expects improvements as the year progresses [55][60] Question: Nature of pipeline projects booked and order sizes - The pipeline business is active with significant infrastructure needs, and management anticipates strong further awards throughout the year [79][80] Question: Framework agreements and their impact on backlog visibility - Framework agreements provide long-term visibility into customer project workflows, enhancing the company's ability to assess project viability [81][85]

May 2, 2025 NYSE: MTZ MasTec Inc. First Quarter 2025 Earnings This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Forward-looking statements include, but are not limited to, statements relating to expectations regarding the future financial and operational performance of MasTec; expectations regarding MasTec's business or financial outlook; expectations regarding MasTec's plans, strategies and opportunities; expectations regarding opportu ...

For the quarter ended March 2025, MasTec (MTZ) reported revenue of $2.85 billion, up 6% over the same period last year. EPS came in at $0.51, compared to -$0.13 in the year-ago quarter.The reported revenue represents a surprise of +4.73% over the Zacks Consensus Estimate of $2.72 billion. With the consensus EPS estimate being $0.34, the EPS surprise was +50.00%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations ...

Financial Performance - Revenue for Q1 2025 was $2.8 billion, representing a 6% increase year-over-year, with a 21% growth contribution from non-pipeline segments and a 44% decrease from Pipeline Infrastructure due to a large contract close-out last year[5]. - Diluted EPS for Q1 2025 was $0.13, while Adjusted Diluted EPS was $0.51, exceeding expectations by $0.18 and $0.17, respectively[5]. - GAAP Net Income for Q1 2025 was $12.3 million, and Adjusted EBITDA was $163.7 million, both above expectations by $13.3 million and $3.7 million, respectively[5]. - Consolidated revenue for Q1 2025 was $2,847.7 million, a 6.0% increase from $2,686.8 million in Q1 2024[37]. - Net income for Q1 2025 was $12.3 million, compared to a net loss of $34.5 million in Q1 2024[42]. - Adjusted EBITDA for Q1 2025 was $163.7 million, up from $152.8 million in Q1 2024, maintaining a margin of 5.7%[38]. - Free cash flow for Q1 2025 was $45.0 million, down from $93.2 million in Q1 2024[45]. - The company expects net income for the year ended December 31, 2025, to be in the range of $366 million to $397 million, representing a significant increase from $199.4 million in 2024[48]. - Adjusted diluted earnings per share for 2025 is estimated to be between $4.28 and $4.63, compared to $2.06 in 2024[48]. - Adjusted net income attributable to MasTec, Inc. is expected to be between $107 million and $114 million, up from $78.6 million in 2024[52]. - Adjusted diluted earnings per share is forecasted to be between $1.36 and $1.46, compared to $1.00 in the prior year[52]. Segment Performance - The Communications segment reported revenue of $680.9 million, a 34.7% increase, and EBITDA of $46.8 million, an 82.4% increase[12]. - The Clean Energy and Infrastructure segment saw revenue of $915.8 million, a 21.5% increase, and EBITDA of $57.1 million, a 179.8% increase[15]. - The Pipeline Infrastructure segment experienced a revenue decline of 43.8% to $356.5 million, with EBITDA decreasing by 52.0% to $44.5 million[19]. - The Communications segment revenue increased to $680.9 million in Q1 2025, up from $505.7 million in Q1 2024[37]. Cash Flow and Debt - Cash flow from operating activities was $78 million, with Free cash flow of $45 million, indicating solid cash generation despite a decrease from the previous year[5]. - Total debt as of March 31, 2025, was $2,233.7 million, with net debt at $1,888.0 million[45]. - The company authorized an additional $250 million share repurchase program, bringing the year-to-date total to $77 million at an average price of $110 per share[4]. Guidance and Future Outlook - The company raised its financial guidance for FY 2025, increasing Adjusted Diluted EPS guidance by approximately 9% from the prior midpoint[5]. - Net income for the three months ended June 30, 2025, is estimated to be between $81 million and $88 million, representing a growth of 2.4% to 2.6% compared to $43.8 million in 2024[52]. - Adjusted EBITDA is projected to be between $270 million and $280 million, reflecting a growth of 7.9% to 8.2% from $271.4 million in the previous year[52]. - Total adjustments for adjusted net income are estimated at $43 million for 2025, down from $55.6 million in 2024[52]. - Interest expense is projected to be $44 million, a decrease from $50.6 million in the previous year[52]. - Depreciation expense is expected to be $76 million, down from $102.1 million in 2024[52]. - The company plans to continue focusing on market expansion and new technology development to drive future growth[48]. - The company emphasizes the importance of non-U.S. GAAP financial measures for evaluating performance and trends in its underlying business[55]. - Forward-looking statements indicate potential risks including inflation, regulatory changes, and project management challenges that could impact future performance[57]. - The company plans to continue focusing on technological developments and market expansion as part of its growth strategy[57].

MasTec (MTZ) came out with quarterly earnings of $0.51 per share, beating the Zacks Consensus Estimate of $0.34 per share. This compares to loss of $0.13 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 50%. A quarter ago, it was expected that this utility contractor would post earnings of $1.28 per share when it actually produced earnings of $1.44, delivering a surprise of 12.50%.Over the last four quarters, the company has su ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _____________________________________________ Form 10-Q _____________________________________________ (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __ to __ Commission File Number 001-08106 ________________________ ...