Why Tutor Perini's Shares Soared Today
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 construction company Tutor Perini jumped 12% today after the company released earnings.
So what: First quarter revenue was up 9%, to $992.9 million, and earnings nearly quadrupled, to $0.31 per share. Wall Street expected revenue to be $983.2 million and earnings of just $0.24, so investors were pleasantly surprised by the results.
Now what: The company also recently won a $985 million bid for the California High-Speed Rail project, and an $840 million deal for San Francisco's light rail, building a backlog of $6.5 billion. Tutor Perini trades at just seven times forward estimates, a cheap price, especially after such a large earnings beat. I think the recent contract wins will help drive the company's results going forward and help the stock move higher.
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The article Why Tutor Perini's Shares Soared Today originally appeared on Fool.com.Fool contributor Travis Hoium has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. 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.
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