Tetra Tech Valuation
| TTEK Stock | USD 189.29 0.35 0.19% |
At this time, the company appears to be fairly valued. Tetra Tech has a current Real Value of $195.58 per share. The regular price of the company is $189.29. Our model measures the value of Tetra Tech from inspecting the company fundamentals such as Return On Equity of 0.16, operating margin of 0.11 %, and Shares Outstanding of 53.47 M as well as reviewing its technical indicators and probability of bankruptcy. In general, most investors recommend picking up undervalued stocks and discarding overvalued stocks since, at some point, asset prices and their ongoing real values will draw towards each other. Key fundamental drivers impacting Tetra Tech's valuation include:
Price Book 6.6735 | Enterprise Value 11.1 B | Enterprise Value Ebitda 23.4378 | Price Sales 2.5475 | Forward PE 31.6456 |
Fairly Valued
Today
Please note that Tetra Tech's price fluctuation is very steady at this time. Calculation of the real value of Tetra Tech is based on 3 months time horizon. Increasing Tetra Tech's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Tetra Tech is useful when determining the fair value of the Tetra stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Tetra Tech. Since Tetra Tech is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Tetra Stock. However, Tetra Tech's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 189.29 | Real 195.58 | Target 188.25 | Hype 189.44 | Naive 181.43 |
The real value of Tetra Stock, also known as its intrinsic value, is the underlying worth of Tetra Tech Company, which is reflected in its stock price. It is based on Tetra Tech's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Tetra Tech's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Tetra Tech's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Tetra Tech helps investors to forecast how Tetra stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Tetra Tech more accurately as focusing exclusively on Tetra Tech's fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Tetra Tech's intrinsic value based on its ongoing forecasts of Tetra Tech's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Tetra Tech's closest peers. When choosing an evaluation method for Tetra Tech, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
Tetra Tech Investments |
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Tetra Valuation Trend
Knowing Tetra Tech's actual value is paramount for traders to make sound investment determinations. Tetra Tech's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Tetra Tech's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Tetra Tech's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
Tetra Market Cap
Tetra Tech is currently regarded as top stock in market capitalization category among related companies. Market capitalization of Industrials industry is at this time estimated at about 24.39 Billion. Tetra Tech totals roughly 10.1 Billion in market capitalization claiming about 41% of equities under Industrials industry.Tetra Tech Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Tetra Tech's current stock value. Our valuation model uses many indicators to compare Tetra Tech value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Tetra Tech competition to find correlations between indicators driving Tetra Tech's intrinsic value. More Info.Tetra Tech is rated fifth in price to earning category among related companies. It is rated second in price to book category among related companies fabricating about 0.20 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Tetra Tech is roughly 5.01 . The value of Price To Book Ratio is estimated to slide to 3.92. Comparative valuation analysis is a catch-all model that can be used if you cannot value Tetra Tech by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Tetra Tech's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Tetra Tech's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Tetra Tech's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Tetra Tech and how it compares across the competition.
About Tetra Tech Valuation
The stock valuation mechanism determines the current worth of Tetra Tech on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Tetra Tech. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Tetra Tech based exclusively on its fundamental and basic technical indicators. By analyzing Tetra Tech's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Tetra Tech's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Tetra Tech. We calculate exposure to Tetra Tech's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Tetra Tech's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 833.8 M | 875.5 M | |
| Pretax Profit Margin | 0.06 | 0.07 | |
| Operating Profit Margin | 0.06 | 0.07 | |
| Net Profit Margin | 0.05 | 0.03 | |
| Gross Profit Margin | 0.13 | 0.18 |
8 Steps to conduct Tetra Tech's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Tetra Tech's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Tetra Tech's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Tetra Tech's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Tetra Tech's revenue streams: Identify Tetra Tech's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Tetra Tech's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Tetra Tech's growth potential: Evaluate Tetra Tech's management, business model, and growth potential.
- Determine Tetra Tech's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Tetra Tech's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
A single share of Tetra Tech represents a small ownership stake in the entity. As a stockholder of Tetra, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Tetra Tech Dividends Analysis For Valuation
At this time, Tetra Tech's Dividend Payout Ratio is quite stable compared to the past year. Dividend Paid And Capex Coverage Ratio is expected to rise to 12.59 this year, although the value of Dividends Paid will most likely fall to about 33.9 M. . At this time, Tetra Tech's Retained Earnings are quite stable compared to the past year. Earnings Yield is expected to rise to 0.04 this year, although the value of Retained Earnings Total Equity will most likely fall to about 889.3 M.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 46.9 M | 33.9 M | |
| Dividend Yield | 0.01 | 0.01 | |
| Dividend Payout Ratio | 0.18 | 0.19 | |
| Dividend Paid And Capex Coverage Ratio | 11.99 | 12.59 |
There are various types of dividends Tetra Tech can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Tetra shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Tetra Tech directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Tetra pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Tetra Tech by the value of the dividends paid out.
Tetra Tech Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Tetra Tech does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 53.6 M | |
| Quarterly Earnings Growth Y O Y | -0.358 | |
| Forward Price Earnings | 31.6456 |
Tetra Tech Current Valuation Indicators
Valuation refers to the process of determining the present value of Tetra Tech and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Tetra we look at many different elements of the entity such as Tetra's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Tetra Tech's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Tetra Tech's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Tetra Tech, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Tetra Tech's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Tetra Tech's worth.When determining whether Tetra Tech is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Tetra Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Tetra Tech Stock. Highlighted below are key reports to facilitate an investment decision about Tetra Tech Stock: Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Tetra Tech. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in income. For more information on how to buy Tetra Stock please use our How to buy in Tetra Stock guide.Note that the Tetra Tech information on this page should be used as a complementary analysis to other Tetra Tech's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Insider Screener module to find insiders across different sectors to evaluate their impact on performance.
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When running Tetra Tech's price analysis, check to measure Tetra Tech's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Tetra Tech is operating at the current time. Most of Tetra Tech's value examination focuses on studying past and present price action to predict the probability of Tetra Tech's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Tetra Tech's price. Additionally, you may evaluate how the addition of Tetra Tech to your portfolios can decrease your overall portfolio volatility.
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Is Tetra Tech's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Tetra Tech. If investors know Tetra will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Tetra Tech listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.36) | Dividend Share 1.01 | Earnings Share 4.33 | Revenue Per Share 75.654 | Quarterly Revenue Growth 0.378 |
The market value of Tetra Tech is measured differently than its book value, which is the value of Tetra that is recorded on the company's balance sheet. Investors also form their own opinion of Tetra Tech's value that differs from its market value or its book value, called intrinsic value, which is Tetra Tech's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Tetra Tech's market value can be influenced by many factors that don't directly affect Tetra Tech's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Tetra Tech's value and its price as these two are different measures arrived at by different means. Investors typically determine if Tetra Tech is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Tetra Tech's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.