Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of infrastructure construction company MasTec
So what: MasTec's fourth-quarter EPS was pretty much in line with estimates, but a big beat on the top line -- $774 million versus the consensus of just $680.6 million -- is triggering fresh optimism over prolonged growth going forward. MasTec posted record revenue, EBITDA, and net income in 2011, suggesting that the company has plenty of tailwinds working in its favor.
Now what: Looking ahead, MasTec sees 2012 net income of $122 million on revenue of about $3.25 billion. "We are starting the year with record levels of backlog and we are well positioned in our core markets," CEO Jose Mas said. "Our guidance anticipates another year of record revenues and profits and a bounce back to double-digit EBITDA margins. In short, we project a great 2012." With the stock still off about 20% from its 52-week highs and trading at a forward P/E of 11, betting on that optimism might pay off.
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