RBC Capital analysts started coverage of Tetra Tech (NASDAQ:TTEK) with an Outperform rating and a price target of $181.00.

The analysts noted that Tetra Tech is a specialized engineering company that provides investors with a distinctive avenue for exposure to sustainability-focused markets. The company's track record of robust growth and its substantial presence within the United States are seen as advantageous, particularly within the ongoing infrastructure investment cycle.

The analysts highlighted that approximately 55% of Tetra Tech's revenue is derived from the highly appealing Water sector, a factor contributing significantly to its valuation.