Infrastructure firm MasTec Q2 revenue beats estimates, raises FY guidance

Overview

• MasTec Q2 revenue grows 20% yr/yr, beating analyst expectations, per LSEG data

• Adjusted EPS for Q2 exceeds guidance expectations

• Co raises FY 2025 guidance, indicating confidence in demand and execution

Outlook

• MasTec raises FY 2025 revenue guidance to $13.9 bln - $14.0 bln

• Company expects FY 2025 adjusted EPS between $6.23 and $6.44

• MasTec sees Q3 2025 revenue at $3.9 bln

• Company projects FY 2025 adjusted EBITDA of $1.13 bln - $1.16 bln

Result Drivers

• NON-PIPELINE GROWTH - 25% growth contribution from non-pipeline segments, offsetting pipeline decline

• BACKLOG INCREASE - Backlog driven by new awards in Clean Energy and Infrastructure

• PROJECT PRODUCTIVITY - Increased productivity in Clean Energy and Infrastructure and Communications segments

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 15 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the construction & engineering peer group is "buy"

• Wall Street's median 12-month price target for MasTec Inc is $195.00, about 2.6% above its July 30 closing price of $189.87

• The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 20 three months ago

Press Release: ID:nBw39DY5ha