We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Stantec (STN) Announces Acquisition of Morrison Hershfield
Read MoreHide Full Article
Stantec (STN - Free Report) announced the acquisition of Morrison Hershfield on Jan 9. The acquisition is expected to be closed by the first quarter of 2024. It fosters collaboration on projects with a shared understanding of market dynamics and client needs, thus enabling both firms to capitalize on significant infrastructure project opportunities.
Stantec has gained 20.2% in the past six months, outperforming its industry’s 9.3% growth and S&P 500 composite’s 6.1% rise in the same time frame.
Morrison Hershfield, an Ontario-based engineering and management firm, specializes in transportation, buildings and environmental services. With 1,150 employees across Canada, the United States and India, it brings expertise in infrastructure, data center engineering and environmental impact assessment. The firm's client-focused approach and top-tier reputation contribute to its prominence in the industry.
Stantec considers acquisition a crucial strategy for fostering growth. Through this approach, the company aims to introduce diversified offerings, strengthen its existing businesses, expand its geographical presence and augment its employee base.
The acquisition checks all the boxes as it offers significant benefits. Morrison Hershfield's expertise in engineering and management, particularly in transportation, buildings and environmental services, complements Stantec's existing services. This synergy allows for a broader range of offerings and increased capabilities, especially in areas like Horizontal Infrastructure and Buildings engineering. Morrison Hershfield's Horizontal Infrastructure business doubles Stantec's transportation presence in Ontario, strengthening its capabilities in bridge, highway, construction administration, program management and inspection services.
Morrison Hershfield's strong presence in Canada, particularly in major markets, will expand Stantec's reach and enhance its Canadian workforce by approximately 10%. The acquisition strengthens Stantec's position in key growth markets, including the Greater Toronto Area, and provides a foothold in Western Canada. This diversification helps Stantec tap into new opportunities and fortifies its market presence.
STN currently carries a Zacks Rank #2 (Buy).
Other Stocks to Consider
The following top-ranked stocks from the broader Business Services sector are also worth consideration:
Clean Harbors (CLH - Free Report) currently carries a Zacks Rank of 2 and a VGM Score of A. The Zacks Consensus Estimate for the company’s revenues for 2023 is pegged at $5.42 billion, up 5% from the year-ago figure. The consensus mark for earnings is pegged at $6.81 per share, which indicates a decline of 4.8%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CLH beat the Zacks Consensus Estimate in three of the past four quarters and missed on one instance, with an average surprise of 3.2%.
Broadridge Financial Solutions (BR - Free Report) currently carries a Zacks Rank of 2. The Zacks Consensus Estimate for the company’s revenues for 2023 is pegged at $6.53 billion, up 7.7% from the year-ago figure. The consensus mark for earnings is pegged at $7.72 per share, which indicates an increase of 10.1%.
BR beat the Zacks Consensus Estimate in three of the past four quarters and matched on one instance, with an average surprise of 3.2%.
ABM Industries (ABM - Free Report) carries a Zacks Rank of 2 and has a VGM Score of A at present. The Zacks Consensus Estimate for the company’s revenues for 2023 is pegged at $8.14 billion, slightly higher than the year-ago figure. The consensus mark for earnings is pegged at $3.32 per share, which indicates a decline of 5.1%.
ABM beat the Zacks Consensus Estimate in three of the past four quarters and missed on one instance, with an average surprise of 1.4%.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Stantec (STN) Announces Acquisition of Morrison Hershfield
Stantec (STN - Free Report) announced the acquisition of Morrison Hershfield on Jan 9. The acquisition is expected to be closed by the first quarter of 2024. It fosters collaboration on projects with a shared understanding of market dynamics and client needs, thus enabling both firms to capitalize on significant infrastructure project opportunities.
Stantec has gained 20.2% in the past six months, outperforming its industry’s 9.3% growth and S&P 500 composite’s 6.1% rise in the same time frame.
Morrison Hershfield, an Ontario-based engineering and management firm, specializes in transportation, buildings and environmental services. With 1,150 employees across Canada, the United States and India, it brings expertise in infrastructure, data center engineering and environmental impact assessment. The firm's client-focused approach and top-tier reputation contribute to its prominence in the industry.
Stantec Inc. Price
Stantec Inc. price | Stantec Inc. Quote
What the Acquisition Brings for Stantec
Stantec considers acquisition a crucial strategy for fostering growth. Through this approach, the company aims to introduce diversified offerings, strengthen its existing businesses, expand its geographical presence and augment its employee base.
The acquisition checks all the boxes as it offers significant benefits. Morrison Hershfield's expertise in engineering and management, particularly in transportation, buildings and environmental services, complements Stantec's existing services. This synergy allows for a broader range of offerings and increased capabilities, especially in areas like Horizontal Infrastructure and Buildings engineering. Morrison Hershfield's Horizontal Infrastructure business doubles Stantec's transportation presence in Ontario, strengthening its capabilities in bridge, highway, construction administration, program management and inspection services.
Morrison Hershfield's strong presence in Canada, particularly in major markets, will expand Stantec's reach and enhance its Canadian workforce by approximately 10%. The acquisition strengthens Stantec's position in key growth markets, including the Greater Toronto Area, and provides a foothold in Western Canada. This diversification helps Stantec tap into new opportunities and fortifies its market presence.
STN currently carries a Zacks Rank #2 (Buy).
Other Stocks to Consider
The following top-ranked stocks from the broader Business Services sector are also worth consideration:
Clean Harbors (CLH - Free Report) currently carries a Zacks Rank of 2 and a VGM Score of A. The Zacks Consensus Estimate for the company’s revenues for 2023 is pegged at $5.42 billion, up 5% from the year-ago figure. The consensus mark for earnings is pegged at $6.81 per share, which indicates a decline of 4.8%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CLH beat the Zacks Consensus Estimate in three of the past four quarters and missed on one instance, with an average surprise of 3.2%.
Broadridge Financial Solutions (BR - Free Report) currently carries a Zacks Rank of 2. The Zacks Consensus Estimate for the company’s revenues for 2023 is pegged at $6.53 billion, up 7.7% from the year-ago figure. The consensus mark for earnings is pegged at $7.72 per share, which indicates an increase of 10.1%.
BR beat the Zacks Consensus Estimate in three of the past four quarters and matched on one instance, with an average surprise of 3.2%.
ABM Industries (ABM - Free Report) carries a Zacks Rank of 2 and has a VGM Score of A at present. The Zacks Consensus Estimate for the company’s revenues for 2023 is pegged at $8.14 billion, slightly higher than the year-ago figure. The consensus mark for earnings is pegged at $3.32 per share, which indicates a decline of 5.1%.
ABM beat the Zacks Consensus Estimate in three of the past four quarters and missed on one instance, with an average surprise of 1.4%.