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Tetra Tech Inc. (TTEK) Stock Fundamental Analysis & AI Rating 2026

TTEK Nasdaq Services-Engineering Services DE CIK: 0000831641
Recently Updated • Analysis: Apr 17, 2026 • SEC Data: 2025-12-28
SELL
68% Conf
Pending
Analysis scheduled

📊 TTEK Key Takeaways

Revenue: $1.2B
Net Margin: 8.7%
Free Cash Flow: $68.1M
Current Ratio: 1.31x
Debt/Equity: 0.45x
EPS: $0.40
AI Rating: SELL with 68% confidence
Tetra Tech Inc. (TTEK) receives a SELL rating with 68% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $1.2B, net profit margin of 8.7%, and return on equity (ROE) of 5.7%, Tetra Tech Inc. demonstrates mixed fundamentals in the Services sector. Below is our complete TTEK stock analysis for 2026.

Is Tetra Tech Inc. (TTEK) a Good Investment?

Claude

TETRA TECH demonstrates operational challenges with declining profitability despite 4.7% revenue growth, evidenced by flat net income YoY and a concerning 24.4% EPS decline, likely from share dilution. Critically low returns on capital (ROE 5.7%, ROA 2.5%) indicate poor capital efficiency, while margin compression and tight interest coverage (2.7x) suggest limited operational leverage and debt service capacity.

Why Buy Tetra Tech Inc. Stock? TTEK Key Strengths

Claude
  • + Positive free cash flow of $68.1M demonstrates continued cash generation capability
  • + Moderate leverage with 0.45x debt-to-equity ratio provides some financial flexibility
  • + Stable engineering services sector with 4.7% revenue growth and reasonable $269.4M cash position

TTEK Stock Risks: Tetra Tech Inc. Investment Risks

Claude
  • ! Return on equity of 5.7% is severely inadequate; company underutilizing shareholder capital
  • ! Net income flat YoY despite revenue growth indicates margin compression and operational headwinds
  • ! EPS collapsed 24.4% suggesting significant share dilution masking underlying profit deterioration
  • ! Interest coverage of only 2.7x provides minimal cushion for debt obligations
  • ! Gross margin of 18.2% constrains profitability potential in a capital-intensive services business

Key Metrics to Watch

Claude
  • * Operating margin and gross margin trends - critical to assess if margin compression stabilizes
  • * Return on equity trajectory - must improve substantially from 5.7% floor
  • * Free cash flow conversion ratio relative to net income - currently weak at 65%

Tetra Tech Inc. (TTEK) Financial Metrics & Key Ratios

Revenue
$1.2B
Net Income
$105.0M
EPS (Diluted)
$0.40
Free Cash Flow
$68.1M
Total Assets
$4.3B
Cash Position
$269.4M

💡 AI Analyst Insight

Tetra Tech Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.

TTEK Profit Margin, ROE & Profitability Analysis

Gross Margin 18.2%
Operating Margin 11.6%
Net Margin 8.7%
ROE 5.7%
ROA 2.5%
FCF Margin 5.6%

TTEK vs Services Sector: How Tetra Tech Inc. Compares

How Tetra Tech Inc. compares to Services sector averages

Net Margin
TTEK 8.7%
vs
Sector Avg 10.0%
TTEK Sector
ROE
TTEK 5.7%
vs
Sector Avg 16.0%
TTEK Sector
Current Ratio
TTEK 1.3x
vs
Sector Avg 1.5x
TTEK Sector
Debt/Equity
TTEK 0.5x
vs
Sector Avg 0.7x
TTEK Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Tetra Tech Inc. Stock Overvalued? TTEK Valuation Analysis 2026

Based on fundamental analysis, Tetra Tech Inc. has mixed fundamental signals relative to the Services sector in 2026.

Return on Equity
5.7%
Sector avg: 16%
Net Profit Margin
8.7%
Sector avg: 10%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.45x
Sector avg: 0.7x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Tetra Tech Inc. Balance Sheet: TTEK Debt, Cash & Liquidity

Current Ratio
1.31x
Quick Ratio
1.31x
Debt/Equity
0.45x
Debt/Assets
0.0%
Interest Coverage
2.69x
Long-term Debt
$837.1M

TTEK Revenue & Earnings Growth: 5-Year Financial Trend

TTEK 5-year financial data: Year 2021: Revenue $3.2B, Net Income $158.8M, EPS $2.84. Year 2022: Revenue $3.5B, Net Income $173.9M, EPS $3.16. Year 2023: Revenue $4.5B, Net Income $232.8M, EPS $4.26. Year 2024: Revenue $5.2B, Net Income $263.2M, EPS $0.97. Year 2025: Revenue $5.4B, Net Income $273.5M, EPS $1.02.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Tetra Tech Inc.'s revenue has grown significantly by 69% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.02 reflects profitable operations.

TTEK Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
5.6%
Free cash flow / Revenue

TTEK Quarterly Earnings & Performance

Quarterly financial performance data for Tetra Tech Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $1.2B N/A $0.00
Q3 2025 $1.3B $85.8M $0.32
Q2 2025 $1.3B $5.4M $0.02
Q1 2025 $1.2B N/A $0.00
Q3 2024 $1.2B N/A $1.12
Q2 2024 $1.2B N/A $0.80
Q1 2024 $894.8M N/A $1.40
Q3 2023 $890.2M N/A $1.09

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Tetra Tech Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$72.3M
Cash generated from operations
Stock Buybacks
$50.0M
Shares repurchased (TTM)
Capital Expenditures
$4.2M
Investment in assets
Dividends Paid
$16.9M
Returned to shareholders

TTEK SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Tetra Tech Inc. (CIK: 0000831641)

📋 Recent SEC Filings

Date Form Document Action
Mar 26, 2026 8-K tm269832d1_8k.htm View →
Mar 18, 2026 4 xslF345X06/wk-form4_1773881002.xml View →
Feb 20, 2026 4 xslF345X05/wk-form4_1771632243.xml View →
Feb 20, 2026 4 xslF345X05/wk-form4_1771632146.xml View →
Feb 20, 2026 8-K tm266903d1_8k.htm View →

Frequently Asked Questions about TTEK

What is the AI rating for TTEK?

Tetra Tech Inc. (TTEK) has an AI rating of SELL with 68% confidence, based on fundamental analysis of SEC EDGAR filings.

What are TTEK's key strengths?

Claude: Positive free cash flow of $68.1M demonstrates continued cash generation capability. Moderate leverage with 0.45x debt-to-equity ratio provides some financial flexibility.

What are the risks of investing in TTEK?

Claude: Return on equity of 5.7% is severely inadequate; company underutilizing shareholder capital. Net income flat YoY despite revenue growth indicates margin compression and operational headwinds.

What is TTEK's revenue and growth?

Tetra Tech Inc. reported revenue of $1.2B.

Does TTEK pay dividends?

Tetra Tech Inc. pays dividends, with $16.9M distributed to shareholders in the trailing twelve months.

Where can I find TTEK SEC filings?

Official SEC filings for Tetra Tech Inc. (CIK: 0000831641) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is TTEK's EPS?

Tetra Tech Inc. has a diluted EPS of $0.40.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is TTEK a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Tetra Tech Inc. has a SELL rating with 68% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is TTEK stock overvalued or undervalued?

Valuation metrics for TTEK: ROE of 5.7% (sector avg: 16%), net margin of 8.7% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.

Should I buy TTEK stock in 2026?

Our dual AI analysis gives Tetra Tech Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is TTEK's free cash flow?

Tetra Tech Inc.'s operating cash flow is $72.3M, with capital expenditures of $4.2M. FCF margin is 5.6%.

How does TTEK compare to other Services stocks?

Vs Services sector averages: Net margin 8.7% (avg: 10%), ROE 5.7% (avg: 16%), current ratio 1.31 (avg: 1.5).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 17, 2026 | Data as of: 2025-12-28 | Powered by Claude AI