Shares of Tetra Tech (TTEK) have been struggling lately and have lost 9.6% over the past week. However, a hammer chart pattern was formed in its last trading session, which could mean that the stock found support with bulls being able to counteract the bears. So, it could witness a trend reversal down the road.The formation of a hammer pattern is considered a technical indication of nearing a bottom with likely subsiding of selling pressure. But this is not the only factor that makes a bullish case for the ...

Company Overview - ENTRUST Solutions Group is a leading consulting and engineering services platform serving the utility and infrastructure end markets with over 3,100 professionals across 40+ locations in North America [2][7] - The company provides consulting, design, and engineering services aimed at maintaining and upgrading aging utility infrastructure in the United States [2][7] - Over the past six years, ENTRUST has significantly expanded its geographic reach, service capabilities, and customer base through organic growth, strategic acquisitions, and enhanced operational infrastructure [7] Investment Details - Neuberger Berman Capital Solutions, along with funds managed by Neuberger Berman Private Markets, announced the exit of its minority investment in ENTRUST through a sale to Leidos for approximately $2.4 billion [1] - Neuberger initially acquired a significant minority stake in ENTRUST in August 2023 [1] - The transaction is subject to customary closing conditions and regulatory approvals, expected to close in the second quarter of 2026 [4] Strategic Partnerships - Neuberger Berman has played a vital role in supporting ENTRUST's strategic investments and team assembly, positioning the company for long-term success [3] - Leidos has retained Citi as financial advisor, Davis Polk & Wardwell LLP as legal advisor, and PwC as accounting advisor for the transaction [3] - ENTRUST, Kohlberg, and Neuberger have engaged Houlihan Lokey and Perella Weinberg Partners as financial advisors, Ropes & Gray as legal advisor, and KPMG as accounting advisor [4]

Middle-market private equity firm Kohlberg has agreed to sell ENTRUST Solutions Group to Leidos Holdings Inc (NYSE:LDOS) for approximately $2.4 billion. • Leidos Holdings shares are experiencing downward pressure. What’s driving LDOS stock lower?The transaction is expected to close in the second quarter of 2026, stated an announcement made by the firm.Houlihan Lokey and Perella Weinberg Partners are serving as financial advisors, Ropes & Gray is serving as legal advisor, and KPMG is serving as accounting ad ...

Core Insights - Leidos Holdings has agreed to acquire Entrust Solutions Group for approximately $2.4 billion in cash [1] Company Summary - The acquisition involves a utility consulting and engineering services platform, indicating Leidos Holdings' strategic expansion into the utility sector [1] - The seller, Kohlberg & Co., is a private-equity firm, highlighting the involvement of institutional investors in the transaction [1]

Core Viewpoint - Kohlberg has entered into a definitive agreement to sell ENTRUST Solutions Group to Leidos for approximately $2.4 billion, marking a successful exit for Kohlberg after its acquisition of the company in 2019 and a minority recapitalization in 2023 [1]. Group 1 - The transaction value is approximately $2.4 billion [1]. - ENTRUST Solutions Group is identified as a leading consulting and engineering services platform [1]. - Kohlberg's previous acquisition of ENTRUST occurred in 2019, followed by a minority recapitalization in 2023 [1].

Core Viewpoint - Investors are seeking growth stocks that can deliver above-average growth and exceptional returns, but identifying such stocks can be challenging due to inherent volatility and risks [1] Group 1: Growth Stock Identification - The Zacks Growth Style Score system helps identify promising growth stocks by analyzing real growth prospects beyond traditional metrics [2] - Tetra Tech (TTEK) is currently recommended due to its favorable Growth Score and top Zacks Rank [2] Group 2: Earnings Growth - Earnings growth is a critical factor for attracting investor attention, with double-digit growth being particularly desirable [4] - Tetra Tech has a historical EPS growth rate of 18.8%, with projected EPS growth of 19.8% this year, significantly outperforming the industry average of 6.5% [5] Group 3: Cash Flow Growth - Higher-than-average cash flow growth is essential for growth-oriented companies, enabling them to expand without relying on external funding [6] - Tetra Tech's year-over-year cash flow growth is 14.7%, exceeding the industry average of 9% [6] - The company's annualized cash flow growth rate over the past 3-5 years is 14%, compared to the industry average of 12.5% [7] Group 4: Earnings Estimate Revisions - Positive trends in earnings estimate revisions correlate strongly with near-term stock price movements [8] - Tetra Tech's current-year earnings estimates have been revised upward, with the Zacks Consensus Estimate increasing by 3.1% over the past month [9] Group 5: Overall Assessment - Tetra Tech has achieved a Zacks Rank of 2 and a Growth Score of A, indicating its potential as an outperformer and a solid choice for growth investors [11]

Core Viewpoint - Tetra Tech (TTEK) has received a Zacks Rank 2 (Buy) upgrade, indicating a positive outlook on its earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Rising earnings estimates for Tetra suggest an improvement in the company's underlying business, likely leading to higher stock prices [5]. Recent Earnings Estimate Revisions - For the fiscal year ending September 2025, Tetra is expected to earn $1.47 per share, reflecting a 16.7% increase from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for Tetra has increased by 7.3% [8]. Zacks Rank System Overview - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [7]. - Tetra's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating strong potential for market-beating returns in the near term [10].

Core Insights - Agco (AGCO) reported quarterly earnings of $0.41 per share, significantly exceeding the Zacks Consensus Estimate of $0.03 per share, but down from $2.32 per share a year ago, indicating an earnings surprise of 1,266.67% [1] - The company posted revenues of $2.05 billion for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 1.46%, but down from $2.93 billion year-over-year [2] - Agco shares have declined approximately 9.3% year-to-date, compared to a 5.3% decline in the S&P 500 [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.93 on revenues of $2.43 billion, and for the current fiscal year, it is $3.91 on revenues of $9.53 billion [7] - The estimate revisions trend for Agco is mixed, resulting in a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [6] Industry Context - The Manufacturing - Farm Equipment industry, to which Agco belongs, is currently ranked in the bottom 31% of over 250 Zacks industries, indicating potential challenges ahead [8]