Infrastructure

11 Infrastructure Giants Loving Trump's Infrastructure Ambitions

Granite Construction Inc. (NYSE: GVA) is a civil engineering player in infrastructure projects that works on streets and roads, highways and bridges, sites and underground, and power-related facilities, utilities and other large projects. Granite also mines and processes aggregates and sells construction materials for operations of infrastructure and heavy construction. Granite Construction operates through Construction, Large Project Construction and Construction Materials segments.

Granite Construction was up 4.4% at $55.36. The 52-week range is $40.16 to $62.18, and the consensus price target is $65.22. It has a market cap of $2.2 billion. The stock was down 3.6% year to date.

Jacobs Engineering Group Inc. (NYSE: JEC) is based in Pasadena, California, and provides about every level of infrastructure planning and consulting. It serves government and private industry. The company had about 48,000 workers in 2013, and that is now closer to 50,000. Much of Jacobs Engineering’s effort is international, and it has about 200 offices.

Shares of Jacobs Engineering traded up 2.4% to $57.78. They have a 52-week range of $57.35 to $58.40. The stock was down 0.8% year to date.

KBR Inc. (NYSE: KBR) is based in Houston. For many years KBR was considered to be a war-support and disaster-support company, but if military activity and expansion will come about then it could be yet another win. KBR’s Government and Infrastructure business offers services to civilian authorities and private clients outside of the military. One thing that has helped KBR in the past was that it could mobilize workers for disaster assistance perhaps in a faster manner than any other company.

KBR was last seen up 3.5%, at $15.57 in a 52-week range of $12.08 to $17.95. It has a consensus price target of $19.23 and a market cap of $2.2 billion. The stock was down nearly 10% year to date.

Martin Marietta Materials Inc. (NYSE: MLM) supplies aggregates products and heavy building materials for the construction industry, both here and abroad. It mines, processes and sells granite, limestone, sand, gravel and other aggregate products for use in the public infrastructure — in effect cement, concrete and other solid materials used for all types of infrastructure.

Martin Marietta Materials was last seen up 2.5% at $221.41, in a 52-week range of $144.04 to $243.98. It has a market cap of $14 billion. So far in 2017 the stock was down 2.5%.

Tetra Tech Inc. (NASDAQ: TTEK) is based in Pasadena, California, and its shares surged over 2016. It operates in two segments: Water, Environment and Infrastructure, and Resource Management and Energy. Tetra Tech is considered one of the greats when it comes to consulting, engineering, construction, technical services and project management in water infrastructure and resource management. It has about 16,000 employees, up from 14,000 employees in early 2013.

Tetra Tech shares were trading up 3.2% to $41.55. The 52-week range is $27.19 to $44.85, and the consensus price target is $49.00. The market cap is $2.4 billion. So far in 2017 the stock was down 6.5%.

United Rentals Inc. (NYSE: URI) has been a stellar performer since the election. It is involved in oil and gas equipment, as well as all sorts of equipment for building projects, ranging from residential to commercial to massive infrastructure projects. This is also a failed buyout from the private equity boom of yesteryear, and it has grown exponentially since.

United Rentals was last seen up 4.2%, at $133.40 in a 52-week range of $52.03 to $133.85. It has a consensus price target of $123.86 and a market cap of $11.3 billion. The stock was up 21% year to date.

United States Steel Corp. (NYSE: X) has been among the major U.S. infrastructure and Trump winners since the election. Being among the top steel players is going to give the company access into just about every sort of project it wants to be involved in. Keeping foreign steel product out, or at least without foreign dumping efforts, will protect its profits as well.

U.S. Steel was up 2.6% at $39.72, in a 52-week range of $9.51 to $41.83. Its consensus price target is $36.27, and it has a market cap of $6.9 billion. So far in 2017 the stock was up 17.5%.

As a reminder, these are far from being the only infrastructure winners. There are just so many to track that we tend to stick with the ones that seem to be the most obvious winners. Consensus analyst targets and valuation metrics were from Thomson Reuters.