Tetra TechSTU:TT6 +0.52%84 ROE % is 20.32% as of Mar. 2026, which is 22% above its 10-year median of 16.69. GuruFocus rates STU:TT6 with a GF Score™ of 84/100 and a GF Value™ of €30.24 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 1,744 Construction companies, Tetra Tech ranks better than 89.39% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Tetra Tech's annualized net income for the quarter that ended in Mar. 2026 was €324 Mil. Tetra Tech's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was €1,594 Mil. Therefore, Tetra Tech's annualized ROE % for the quarter that ended in Mar. 2026 was 20.32%.
The historical rank and industry rank for Tetra Tech's ROE % or its related term are showing as below:
STU:TT6'
s ROE % Range Over the Past 10 Years
Min: 9.71 Med: 16.69 Max: 25
Current: 25
During the past 13 years, Tetra Tech's highest ROE % was 25.00%. The lowest was 9.71%. And the median was 16.69%.
STU:TT6's ROE % is ranked better than 89.39% of 1744
companies
in the Construction industry
Industry Median: 6.705
vs STU:TT6: 25.00
Tetra Tech (STU:TT6) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
Tetra Tech ROE % Related Terms
Tetra Tech ROE % Historical Data
* Premium members only.
The historical data trend for Tetra Tech's ROE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Engineering & Construction subindustry, Tetra Tech's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Tetra Tech ROE % vs Construction Industry
For the Construction industry and Industrials sector, Tetra Tech's ROE % distribution charts can be found below:
* The bar in red indicates where Tetra Tech's ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Tetra Tech (STU:TT6) has a ROE % of 20.32% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Tetra Tech and its competitors. This is 22% above median its historical median of 16.69. Over the past decade, Tetra Tech's ROE % has ranged from 9.71 to 25.00. According to the industry distribution chart, Tetra Tech ranks #185 out of 1744 companies in the Construction industry, placing it in the top 10.6%.
Is Tetra Tech's ROE % too high?
Tetra Tech's current ROE % of 20.32% is 22% above median its 10-year median of 16.69. Over the past 10 years, this metric has ranged from a low of 9.71 to a high of 25.00. The Construction industry median ROE % is 6.71. Tetra Tech's value of 20.32% is 203.1% above this industry median. Based on the distribution chart, Tetra Tech ranks #185 out of 1744 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Tetra Tech has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Tetra Tech's ROE % compare to FLR and MYRG?
According to the Construction industry distribution chart, Tetra Tech ranks #185 out of 1744 companies for ROE %. This places Tetra Tech in the top 11% of its industry — outperforming the majority of peers. The industry median ROE % is 6.71. Tetra Tech's value of 20.32% is 203.1% above this benchmark. Historically, Tetra Tech's own ROE % has ranged from 9.71 to 25.00 over the past decade. While the company's 10-year median is 16.69 vs. the industry median of 6.71, Tetra Tech has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Construction company?
The median ROE % among Construction companies is 6.71, based on 1,744 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Tetra Tech's current ROE % of 20.32% is 203.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Tetra Tech and its competitors. For the Construction industry, the median ROE % is 6.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tetra Tech's current ROE % is 20.32%, which is 22% above median its own 10-year median of 16.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tetra Tech stock overvalued right now?
Based on GuruFocus' analysis, Tetra Tech (STU:TT6) is currently considered Modestly Undervalued. The stock's GF Value™ is €30.24, compared to a current price of €27.16 — trading 10.2% below its estimated fair value. The current ROE % is 20.32%, which is 22% above median its 10-year median of 16.69 and 203.1% above the Construction industry median of 6.71. Tetra Tech's overall GF Score™ is 84/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Tetra Tech (STU:TT6), the current ROE % is 20.32% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Tetra Tech (STU:TT6) Overvalued in 2026?
Based on GuruFocus' analysis, Tetra Tech stock appears to be undervalued.
The current stock price of €27.16 is trading 10.2% below its estimated GF Value™ of €30.24.
GuruFocus considers Tetra Tech to be Modestly Undervalued.
Key valuation signals for STU:TT6:
ROE %: 20.32% (22% above median its 10-year median of 16.69)
GF Value™: €30.24 vs. price of €27.16 (10.2% below fair value)
Industry Position: 203.1% above the Construction median (#185 of 1744)
No single metric tells the full story. See the STU:TT6 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tetra Tech Inc provides consulting and engineering services for environmental, infrastructure, resource management, energy, and international development markets. It specializes in providing water-related services for public and private clients. It designs infrastructure, facilities, and other structures with complex plans and resource management. it has two reportable segments. Its Government Services Group (GSG) segment includes activities with U.S. government clients (federal, state and local) and activities with development agencies world-wide. Commercial/International Services Group (CIG) segment, which derives maximum revenue, includes activities with U.S. commercial clients and international clients other than development agencies.
84GF Score
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