Here's What to Expect From Tutor Perini's Q2 Earnings

Tutor Perini Corporation TPC is scheduled to report its second quarter of 2024 results on Aug 1, after market close.

In the last quarter, earnings and revenues topped the Zacks Consensus Estimate by 266.7% and 14.1%, respectively. Moreover, on a year-over-year basis, the bottom and top lines grew.

Estimates

The Zacks Consensus Estimate for second-quarter earnings per share has remained unchanged at 16 cents over the past 60 days. The current estimate indicates 122.2% growth from the year-ago quarter's reported figure.

The consensus mark for revenues is pegged at $1.18 billion, indicating 15.4% growth from the year-ago quarter's level.

Factors to Note

The top line of Tutor Perini is expected to have improved year over year on the back of increased project execution activities, primarily under its Building and Civil segments. The uptrend is likely to have been backed by the ongoing favorable demand environment for large projects, thanks to the federal, state, and local government funding sources and limited competition for many of the larger projects. Furthermore, the increased new award activity is likely to have boosted the backlog of the company, positioning it for further growth.

The Zacks Consensus Estimate for revenues from the Building and Specialty Contractors segments is pegged at $447 million and $177 million, indicating year-over-year growth of 35% and 30%, respectively. The consensus mark for the Civil segment's revenues is pegged at $554 million, flat year over year.

The bottom line of Tutor Perini is likely to benefit, mainly due to the absence of a prior-year unfavorable adjustment related to an adverse legal ruling on a completed mixed-use project in New York. This, alongside an improved top line due to increased project activities and other operational initiatives, is likely to have added to the uptrend.

What the Zacks Model Unveils

Our proven model does not conclusively predict an earnings beat for Tutor Perini this time around. The company does not have the right combination of the two key ingredients — a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) — to increase the odds of an earnings beat.

Earnings ESP: TPC has an Earnings ESP of 0.00%.

Zacks Rank: The company currently carries a Zacks Rank of 3.

Stocks Poised to Beat Earnings

Here are some companies in the Zacks Construction sector, which, according to our model, have the right combination of elements to post an earnings beat in their respective quarters.

Aspen Aerogels, Inc. ASPN currently has an Earnings ESP of +23.53% and a Zacks Rank of 1.

ASPN's earnings topped the Zacks Consensus Estimate in each of the last four quarters, the average surprise being 68.2%. Earnings for the second quarter of 2024 are expected to increase a whopping 122.7% year over year.

Dycom Industries, Inc. DY currently has an Earnings ESP of +4.43% and a Zacks Rank of 2.

DY's earnings for the second quarter are expected to increase 7.4%. The company reported better-than-expected earnings in three of the trailing four quarters and missed on the remaining occasion, the average surprise being 30.2%.

Peer Releases

EMCOR Group, Inc. EME reported impressive second-quarter 2024 results, with earnings and revenues surpassing the Zacks Consensus Estimate and increasing year over year.

The upside was backed by a continued strong mix and pipeline of projects in large and growing market sectors with long-term secular trends, including high-tech and traditional manufacturing, network and communications, institutional and healthcare. During the quarter, EME observed strong demand for its specialty contracting services, indicating a positive business trajectory. Also, remaining performance obligations approached record levels and the pipeline remained robust. Owing to this solid performance, the company raised its financial guidance for 2024.

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