# Tetra Tech Inc. (TTEK) fundamentals

Data as of 2026-09-08. NASDAQ, United States. Sector: Industrials / Construction & Engineering. Price $35.91, market value $9.2 billion.

## Valuation
- **P/E (trailing): 21.6×** (5-yr avg 32.5×, 3-yr avg 34.0×). Tetra Tech Inc. trades at 21.6× trailing earnings, well below its own five-year average of 32.5×: cheap by its own standards. The Industrials median in the September 2026 study was 25.7×. Forward P/E is 20.7×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 1.8×**. Each dollar of revenue is priced at 1.8×.
- **Price / book: 5.0×**. The shares trade at 5.0× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 14.6×**. Enterprise value is 14.6× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 6.0%** (5-yr avg 4.1%). Free cash flow equals 6.0% of the market value, above its five-year average of 4.1%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 4.6%**. The inverse of the P/E: 4.6% of the price is earned each year.

## Profitability
- **Gross margin: 18.8%**. Tetra Tech Inc. keeps 18.8% of revenue after the direct cost of what it sells, a thin margin typical of retail, distribution and commodity businesses.
- **Operating margin: 12.1%**. 12.1% of revenue is left after running the business.
- **Net margin: 4.6%**. 4.6% of each dollar of sales reaches the bottom line.
- **Return on equity: 13.9%**. 13.9% on shareholders' equity is solid.
- **Return on invested capital: 20.3%**. Return on all capital, debt included, is 20.3%: comfortably above what that capital costs.
- **Return on assets: 10.2%**. Each dollar of assets produces 10.2% of profit.

## Growth
- **Revenue growth (1 yr): 4.7%** (3-yr 15.8%/yr, 5-yr 12.7%/yr). Revenue grew 4.7% over the last year, against 12.7% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -24.4%** (3-yr -1.4%/yr, 5-yr 8.0%/yr). Earnings per share fell 24.4%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 10.5%/yr**. Free cash flow has compounded at 10.5% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.43**. Debt is 0.43 times equity: a conservative balance sheet.
- **Net debt / EBITDA: 0.9×**. It would take 0.9 years of operating earnings to repay net borrowings, within the comfortable range.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 0.80%** ($0.27 per share, trailing). Tetra Tech Inc. yields 0.80%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 26%** (13% of free cash flow). 26% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 12**. 12 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 13.9%/yr** (1-yr 11.9%). The dividend has compounded at 13.9% a year over five years, doubling roughly every 5 years at that pace.

## Analyst view
- **Analyst consensus: buy** (6 analysts). 6 analysts cover Tetra Tech Inc.; the consensus is buy, with an average price target of $40.33 (+12% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 1.3%** (YTD 7.5%, 3-mo 28.7%). The shares are up 1.3% over twelve months including dividends.
- **From 52-week high: -16.8%** (39.1% above the low). Trading 17% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 56**. An RSI of 56 is neutral.
- **Beta (1 yr): 0.38** (volatility 37%). Beta of 0.38 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=TTEK · Page: https://foliofundamentals.com/stocks/ttek

Not investment advice.