Why MasTec's Shares Got a Jolt
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of MasTec (NYS: MTZ) popped 17% today after the company reported blowout earnings numbers.
So what: Revenue rose 38% from a year ago to $992.2 million and crushed the $889.5 million in revenue analysts expected. Earnings per share were $0.37, which topped estimates by $0.02.
Now what: The company is benefiting from the energy transition taking place in the U.S., toward natural gas and renewable energy. These markets are exploding and now the company expects to earn $1.50 per share this year, instead of its old target of $1.42 per share. With shares trading at 12 times this year's new estimate and growth looking strong, I think shares can continue to rise as the company builds out our new energy infrastructure.
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The article Why MasTec's Shares Got a Jolt originally appeared on Fool.com.Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.