MasTec Inc. (NYSE:MTZ) Offers a Compelling Mix of High Growth Momentum and Strong Technical Setup

For investors looking to join solid fundamental momentum with good technical entry points, a layered screening method can be very useful. By selecting for stocks that show solid earnings and sales growth, positive estimate changes, and growing profit margins, qualities captured in a High Growth Momentum (HGM) Rating, and then adding strong technical health and a stabilizing price pattern, traders try to find chances where growth and timing come together. This approach tries to find companies not only in a strong growth period but also in a place where the chart indicates a reasonable risk-reward arrangement for entry.

MASTEC INC (NYSE:MTZ) comes from such a screen, showing a profile that deserves more attention from growth-focused investors.

Looking at the Growth Momentum Profile

MasTec's attraction for momentum investors is based on a notable earnings rebound and growth. The company's fundamental numbers show a business seeing strong operational leverage and quickening profitability.

• Earnings Strength: The trailing twelve-month (TTM) EPS is $5.92, showing a large year-over-year growth of about 90%. This is not a single-quarter event; recent quarterly EPS growth rates have been very solid, including a 492% jump two quarters ago and a 52% rise in the newest quarter.
• Profit Margin Growth: A main factor of high-growth momentum is growing profitability. MasTec's profit margin has shown clear improvement in sequence, moving from 0.35% two quarters ago to 4.05% in the latest quarter. This pattern shows the company is effectively turning higher revenue into net income.
• Steady Performance: The company has exceeded analyst EPS estimates in each of the past four quarters, with an average beat of over 19%. Also, analysts have been raising their future estimates over the past three months, showing more belief in the company's earnings path.
• Cash Flow Creation: Backing the earnings story, free cash flow per share has grown by 87% over the past year, proving that the profit growth is becoming real cash.

These points together build MasTec's HGM Rating of 6. For momentum plans, this score points to a company where earnings speed, positive surprises, and analyst hope are meeting—a standard profile looked for by growth investors following methods like CANSLIM.

Technical Health and Setup Condition

A solid growth story is best matched with a helpful chart. According to the detailed ChartMill Technical Report, MasTec does well here too, getting a high Technical Rating of 9 and a Setup Rating of 8.

• Solid Trend: The report states that both the short-term and long-term trends for MTZ are good, a main base for any momentum trade. The stock is trading above all its main moving averages (20, 50, 100, and 200-day), which are all pointing up, confirming the trend's health.
• Market Outperformance: With a relative strength percentile of 91, MTZ has done better than 91% of all stocks over the past year, a sign of market outperformance. It also does better than 87% of its group in the Construction & Engineering industry.
• Stabilization for Possible Move: The Setup Rating of 8 points out that the stock has been stabilizing its recent advances. The report shows less volatility and prices trading in a set range between about $182 and $214 over the past month. This stabilization phase, happening near 52-week highs, can sometimes come before a new move up.
• Clear Risk Limits: The technical study finds specific support and resistance areas. A main support area exists between $199.55 and $201.72, made by a mix of moving averages and trendlines. Directly above, a resistance area sits between $215.82 and $221.37. This shape allows for a careful trade plan: a possible breakout entry above resistance, with a stop-loss set below the support area to control risk.

A Meeting Chance for Momentum Investors

MasTec shows a situation where fundamental momentum and technical condition agree. The company's fast earnings growth, margin growth, and steady beating of expectations give the "why" for investor interest—the energy for possible continued price gains. At the same time, the high technical rating confirms the stock is in a clear uptrend and showing market-leading health, while the high setup rating indicates it is resting in a stabilization, possibly giving a lower-risk entry point compared to buying a stock in a straight rise.

This mix is exactly what the screening method tries to find: companies with the fundamental engine to push prices higher, appearing at a technically good time.

For investors wanting to find other stocks that meet these conditions of solid growth momentum paired with good technical setups, you can view the pre-set screen here.

Disclaimer: This article is for information only and does not make up investment advice, a suggestion, or an offer or request to buy or sell any securities. The study is based on given data and should not be the only base for an investment choice. Investors should do their own research and think about their personal money situation and risk comfort before making any investment. Past results are not a guide for future results.