Beyond the Tech Giants: 35 Non-Tech AI Opportunities

21. Tetra Tech, Inc. (NASDAQ:TTEK)

Number of Hedge Fund Holders: 37   

Tetra Tech, Inc. (NASDAQ:TTEK) provides consulting and engineering services in the United States and internationally. Joseph Fong, a high level executive at the firm, underlined the importance of Tetra Tech in the AI revolution during the second quarter earnings call. Fond noted how the US government had approved $200 billion to set up fabrication manufacturing across the country. These facilities, per Fond, needed the production of ultrapure water that was essential for the ultrathin processing with silicon wafers used to create computer chips. He also said his firm was developing a liquid cooling solution for AI data centers.

Tetra Tech, Inc. (NASDAQ:TTEK) has received bullish calls on Wall Street. RBC Capital recently raised the price target on the stock to $259 from $233 and kept an Outperform rating, noting the firm posted better-than-expected Q3 results and the 3rd straight upward revision to FY24 guidance, and remains well positioned to drive organic growth and further margin improvement, while the balance sheet provides optionality on capital allocation.