Tetra Tech, Inc. (TTEK) Hit a 52 Week High, Can the Run Continue?

Company Performance - Tetra Tech (TTEK) shares have increased by 11% over the past month, reaching a new 52-week high of $43.14, and have gained 20.5% since the start of the year, outperforming the Zacks Construction sector and the Zacks Engineering - R and D Services industry, both at 17% and 20.5% respectively [1] - The company has consistently beaten earnings estimates, reporting an EPS of $0.35 against a consensus estimate of $0.31 in its last earnings report [2] Earnings Forecast - For the current fiscal year, Tetra is expected to post earnings of $1.48 per share on revenues of $4.23 billion, reflecting a -5.13% change in EPS and a -8.41% change in revenues. For the next fiscal year, earnings are projected to be $1.74 per share on revenues of $4.58 billion, indicating a year-over-year change of 17.57% in EPS and 8.28% in revenues [3] Valuation Metrics - Tetra has a Value Score of D, with Growth and Momentum Scores of B, resulting in a VGM Score of B. The stock trades at 27.3X current fiscal year EPS estimates, which is above the peer industry average of 25.7X, and at 17.7X on a trailing cash flow basis compared to the peer group's average of 16.1X [6] Zacks Rank - Tetra currently holds a Zacks Rank of 2 (Buy) due to rising earnings estimates, meeting the criteria for investors looking for stocks with a Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, suggesting potential for further gains [7] Industry Comparison - The Engineering - R and D Services industry is positioned in the top 22% of all industries, indicating favorable conditions for Tetra and its peer, Fluor Corporation (FLR), which also has a Zacks Rank of 2 (Buy) and strong earnings performance [10]