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1. Company Snapshot

1.a. Company Description

MasTec, Inc., an infrastructure construction company, provides engineering, building, installation, maintenance, and upgrade services for communications, energy, utility, and other infrastructure primarily in the United States and Canada.It operates through Communications, Clean Energy and Infrastructure, Oil and Gas, Power Delivery, and Other segments.The company builds underground and overhead distribution systems, including trenches, conduits, cell towers, cable, and power lines, which provide wireless and wireline/fiber communications; clean energy infrastructure comprising renewable energy; natural gas, product transport; electrical and gas transmission, and distribution systems; heavy industrial plants; compressor and pump stations, and treatment plants; water and sewer infrastructure, including water pipelines; and other civil construction infrastructure.


It also installs electrical and other gas distribution and transmission systems, power generation facilities, buried and aerial fiber optic and other cables, as well as home automation and energy management solutions.In addition, the company offers maintenance and upgrade support services comprising maintenance of customers' distribution facilities, networks, and infrastructure, including communications, power generation, pipeline, electrical distribution and transmission, and heavy civil infrastructure; service restoration for natural disasters and accidents; and routine replacements and upgrades to overhauls.Its customers include public and private energy providers, pipeline operators, wireless and wireline/fiber service providers, broadband operators, install-to-the-home service providers, and government entities.


MasTec, Inc.was founded in 1929 and is headquartered in Coral Gables, Florida.

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1.b. Last Insights on MTZ

MasTec's recent performance has been driven by robust growth momentum across its communications, clean energy, and power delivery segments. A $5B communications backlog and 42% revenue jump in Q2 2025 signal strong upside. The company's Power Delivery business is emerging as a key growth driver, fueled by utility demand and grid modernization projects. Institutional investors, including Stephens Inc. AR and Blair William & Co. IL, have boosted their positions in the company, with Stephens Inc. AR increasing its stake by 55.9%.

1.c. Company Highlights

2. MasTec's Q3 2025 Earnings: A Strong Performance Across Segments

MasTec reported revenue of $4 billion for Q3 2025, a 22% year-over-year increase, with adjusted EBITDA of $374 million, a 20% year-over-year increase. Adjusted earnings per share (EPS) was $2.48, beating consensus estimates of $2.31. The company's financial performance was driven by solid execution across its segments, with the Communications segment growing revenues 33% year-over-year, Power Delivery segment growing revenue 17% year-over-year, and Clean Energy and Infrastructure segment growing revenue 20% year-over-year.

Publication Date: Nov -08

📋 Highlights
  • Revenue and EBITDA Growth: Q3 revenue reached $4 billion (+22% YoY), with adjusted EBITDA at $374 million (+20% YoY), outpacing consensus by $0.20/share.
  • Segment Performance: Communications segment revenue surged 33% YoY, Power Delivery grew 17% YoY, and Clean Energy & Infrastructure rose 20% YoY with 36% EBITDA growth.
  • Margin Improvements: Clean Energy & Infrastructure margins expanded 100 bps, while Communications and Power Delivery saw 40 bps and 30 bps gains, respectively.
  • Guidance and Backlog: Full-year revenue guidance set at $14.075 billion, with adjusted EBITDA of $1.135 billion; total backlog hit record $1.5 billion.

Segment Performance

The Communications segment continued to produce substantial growth, with revenue of $915 million, a 33% year-over-year increase. The Power Delivery segment also posted significant growth, with a 17% year-over-year increase in revenue. The Clean Energy and Infrastructure segment saw revenue grow 20% year-over-year, driven by a strong renewables business, with revenue growing almost 50% year-over-year.

Guidance and Outlook

MasTec updated its consolidated guidance, with full-year revenue guidance of $14.075 billion and adjusted EBITDA of $1.135 billion. The company expects adjusted EPS to be $6.40, a 62% increase from 2024. For 2026, MasTec is guiding for 10% revenue growth and more than 20% EBITDA growth. As Jose Mas noted, "Our solid execution across these segments, coupled with the expectations of significantly improved pipeline market as natural gas plays a much larger role in future energy generation, position MasTec for continued growth and strong financial performance."

Valuation and Growth Prospects

With a P/E Ratio of 47.04 and EV/EBITDA of 19.85, MasTec's valuation multiples suggest that the market is pricing in significant growth prospects. The company's ROE of 11.17% and ROIC of 8.2% indicate a strong return on equity and invested capital. MasTec's guidance for 10% revenue growth and more than 20% EBITDA growth in 2026 suggests that the company is well-positioned for continued growth. Analysts estimate next year's revenue growth at 10.2%, which is in line with the company's guidance.

Cash Flow and Balance Sheet

MasTec generated cash flow from operations of $89 million in Q3 2025 and free cash flow of $36 million. The company has a strong balance sheet, providing significant financial flexibility to pursue a disciplined return-focused capital allocation strategy. MasTec's net debt to EBITDA ratio is 2.75, indicating a manageable level of debt.

3. NewsRoom

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MasTec: Strong Q3 Execution And Broad-Based Demand Strengthen The Bullish Case

Dec -01

Source: seekingalpha.com

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Advantage Alpha Capital Partners LP Sells 3,055 Shares of MasTec, Inc. $MTZ

Nov -28

Source: defenseworld.net

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Atika Capital Management LLC Makes New Investment in MasTec, Inc. $MTZ

Nov -27

Source: defenseworld.net

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Primoris Services vs. MasTec: Which Construction Stock to Bet on Now?

Nov -26

Source: zacks.com

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Is MasTec Positioned to Benefit From Expanding Telecom Infrastructure?

Nov -26

Source: zacks.com

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MasTec: Positive Q3, Strong Backlog And Future Growth Potential

Nov -23

Source: seekingalpha.com

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MasTec Stock Down 8% Post Q3 Earnings: Should You Buy the Dip or Fold?

Nov -21

Source: zacks.com

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Is MasTec's 15% Pipeline Margin Just the Start of a Rebound?

Nov -20

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.83%)

6. Segments

Clean Energy and Industrial

Expected Growth: 5%

MasTec's Clean Energy and Industrial segment growth is driven by increasing demand for renewable energy sources, government incentives for clean energy adoption, and rising investments in energy storage and grid modernization. Additionally, growing industrial activity and infrastructure development also contribute to the segment's growth.

Communications

Expected Growth: 4%

MasTec's 4% growth is driven by increasing demand for 5G network infrastructure, fiber optic deployments, and renewable energy projects. The company's diversified services portfolio, strong relationships with major carriers, and strategic acquisitions also contribute to its growth momentum.

Power Delivery

Expected Growth: 7%

MasTec's Power Delivery segment growth is driven by increasing demand for renewable energy, grid modernization, and infrastructure upgrades. Strong relationships with major utilities, a growing backlog, and strategic acquisitions also contribute to the 7% growth rate.

Oil and Gas

Expected Growth: 3%

MasTec, Inc.'s Oil and Gas segment growth is driven by increasing demand for pipeline infrastructure, rising energy production, and growing need for maintenance and repair services. Additionally, the company's strategic acquisitions and expansion into new markets, such as renewable energy, are contributing to its growth.

Eliminations

Expected Growth: 2%

MasTec's 2% growth in eliminations is driven by increased intersegment revenues from its Communications and Oil and Gas segments, primarily due to higher demand for infrastructure services and cross-selling opportunities. Additionally, the company's strategic acquisitions and organic growth initiatives have contributed to the eliminations growth.

7. Detailed Products

Wireless Network Solutions

Design, deployment, and maintenance of wireless networks for telecommunications companies

Fiber Optic Deployment

Design, installation, and maintenance of fiber optic networks for telecommunications and internet service providers

Electrical Transmission and Distribution

Design, construction, and maintenance of electrical transmission and distribution systems for utilities and municipalities

Oil and Gas Infrastructure

Design, construction, and maintenance of oil and gas infrastructure, including pipelines and facilities

Renewable Energy Solutions

Design, installation, and maintenance of renewable energy systems, including solar and wind farms

Government and Civil Infrastructure

Design, construction, and maintenance of government and civil infrastructure, including roads, bridges, and buildings

8. MasTec, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

MasTec, Inc. operates in the infrastructure industry, which has a moderate threat of substitutes. While there are alternative infrastructure providers, MasTec's specialized services and strong relationships with customers reduce the likelihood of substitution.

Bargaining Power Of Customers

MasTec, Inc. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's specialized services and long-term contracts further limit customer bargaining power.

Bargaining Power Of Suppliers

MasTec, Inc. relies on a network of suppliers for materials and equipment. While the company has some bargaining power due to its size, suppliers may still exert some pressure on prices and delivery terms.

Threat Of New Entrants

The infrastructure industry has high barriers to entry, including significant capital requirements and regulatory hurdles. This limits the threat of new entrants and allows MasTec, Inc. to maintain its market position.

Intensity Of Rivalry

The infrastructure industry is highly competitive, with several established players competing for market share. MasTec, Inc. must continually innovate and improve its services to maintain its competitive edge.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 52.62%
Debt Cost 11.72%
Equity Weight 47.38%
Equity Cost 11.99%
WACC 11.85%
Leverage 111.06%

11. Quality Control: MasTec, Inc. passed 2 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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A-Score: 4.4/10

Value: 2.7

Growth: 5.8

Quality: 4.0

Yield: 0.0

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Volatility: 4.7

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Momentum: 3.0

Volatility: 3.3

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

219.52$

Current Price

219.52$

Potential

-0.00%

Expected Cash-Flows