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Is MasTec's Record $24.5B Backlog a Launchpad for 2027 Growth Ahead?
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Key Takeaways
MasTec's 18-month backlog hit a record $24.5 billion, up from $16.8 billion a year earlier.
Power Delivery revenues surged 65% and EBITDA climbed 132%, with backlog reaching $8.9 billion.
MTZ expects over $1B in 2026 operating cash flow, but 34% of backlog lacks minimum purchase commitments.
MasTec, Inc. (MTZ - Free Report) is entering 2027 with a record 18-month backlog of $24.5 billion, up from $16.8 billion a year earlier. The 1.6x quarterly book-to-bill ratio, including 1.3x organically, points to healthy demand and improving project visibility. Still, backlog conversion, rather than its headline size, will determine how much growth reaches the bottom line.
Power Delivery is the clearest growth engine. During the third quarter of 2026, this segment’s revenues rose 65%, while EBITDA increased 132%, supported by transmission, distribution, data-center electrical work and the July acquisition of Superior. Its backlog reached $8.9 billion, with 12 consecutive quarters of expansion. Clean Energy and Infrastructure also advanced, with revenues up 34% and EBITDA up 29%. Renewables, water infrastructure and general buildings are benefiting from demand, while management expects full-year 2026 segment revenues and EBITDA growth above 40%.
MTZ’s Pipeline Infrastructure offers another opportunity as natural gas demand, LNG exports and power-generation needs support new projects. However, permitting-related delays pushed some work into the fourth quarter and 2027, weighing on near-term utilization. Communications remains the key weak spot, as slower customer spending reduced third-quarter 2026 revenues. Management is pursuing cost and efficiency measures and sees potential margin improvement in 2027.
The record backlog provides a strong starting point, but execution and its quality matter. About 34% is tied to master service agreements without minimum purchase commitments, many cancellable on short notice. MasTec also expects more than $1 billion in 2026 operating cash flow and net leverage below 2x by year-end. Strong demand supports the outlook, but timely project starts, labor capacity and backlog conversion remain important to sustaining growth.
MasTec, Dycom & EMCOR: Which Backlog Packs More Punch?
MasTec, along with market peers Dycom Industries, Inc. (DY - Free Report) and EMCOR Group, Inc. (EME - Free Report) , are riding a broad secular infrastructure buildout, but their strengths differ.
Dycom is more directly leveraged to fiber deployment, broadband expansion, network maintenance and hyperscaler connectivity; its growing Building Systems business adds exposure to data-center cabling and critical infrastructure. EMCOR brings deep mechanical and electrical capabilities, benefiting from data-center power and cooling needs as well as healthcare, water, institutional and industrial investment.
All three have strong forward-work visibility, although their backlog measures are not directly comparable. MasTec faces near-term communications softness and pipeline permitting delays, while Dycom has deferred wireless work. EMCOR’s broad nonresidential exposure and execution record position it well as complex projects expand.
MTZ Stock’s Price Performance & Valuation Trend
Shares of this Florida-based infrastructure construction company have plunged 13% so far this year, underperforming the Zacks Building Products - Heavy Construction industry, the broader Zacks Construction sector and the S&P 500 index.
Image Source: Zacks Investment Research
MTZ stock is currently trading at a premium compared with its industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 15.77, as shown in the chart below.
Image Source: Zacks Investment Research
EPS Trend of MTZ
The Zacks Consensus Estimate for MTZ’s 2026 and 2027 earnings reflects a declining trend over the past 60 days, currently settling at $9.20 and $12.44 per share, respectively. However, the estimated figures for 2026 and 2027 imply 40.5% and 35.3% year-over-year growth, respectively.
View the Zacks #1 Rank List
Image: Bigstock
Is MasTec's Record $24.5B Backlog a Launchpad for 2027 Growth Ahead?
Key Takeaways
MasTec, Inc. (MTZ - Free Report) is entering 2027 with a record 18-month backlog of $24.5 billion, up from $16.8 billion a year earlier. The 1.6x quarterly book-to-bill ratio, including 1.3x organically, points to healthy demand and improving project visibility. Still, backlog conversion, rather than its headline size, will determine how much growth reaches the bottom line.
Power Delivery is the clearest growth engine. During the third quarter of 2026, this segment’s revenues rose 65%, while EBITDA increased 132%, supported by transmission, distribution, data-center electrical work and the July acquisition of Superior. Its backlog reached $8.9 billion, with 12 consecutive quarters of expansion. Clean Energy and Infrastructure also advanced, with revenues up 34% and EBITDA up 29%. Renewables, water infrastructure and general buildings are benefiting from demand, while management expects full-year 2026 segment revenues and EBITDA growth above 40%.
MTZ’s Pipeline Infrastructure offers another opportunity as natural gas demand, LNG exports and power-generation needs support new projects. However, permitting-related delays pushed some work into the fourth quarter and 2027, weighing on near-term utilization. Communications remains the key weak spot, as slower customer spending reduced third-quarter 2026 revenues. Management is pursuing cost and efficiency measures and sees potential margin improvement in 2027.
The record backlog provides a strong starting point, but execution and its quality matter. About 34% is tied to master service agreements without minimum purchase commitments, many cancellable on short notice. MasTec also expects more than $1 billion in 2026 operating cash flow and net leverage below 2x by year-end. Strong demand supports the outlook, but timely project starts, labor capacity and backlog conversion remain important to sustaining growth.
MasTec, Dycom & EMCOR: Which Backlog Packs More Punch?
MasTec, along with market peers Dycom Industries, Inc. (DY - Free Report) and EMCOR Group, Inc. (EME - Free Report) , are riding a broad secular infrastructure buildout, but their strengths differ.
Dycom is more directly leveraged to fiber deployment, broadband expansion, network maintenance and hyperscaler connectivity; its growing Building Systems business adds exposure to data-center cabling and critical infrastructure. EMCOR brings deep mechanical and electrical capabilities, benefiting from data-center power and cooling needs as well as healthcare, water, institutional and industrial investment.
All three have strong forward-work visibility, although their backlog measures are not directly comparable. MasTec faces near-term communications softness and pipeline permitting delays, while Dycom has deferred wireless work. EMCOR’s broad nonresidential exposure and execution record position it well as complex projects expand.
MTZ Stock’s Price Performance & Valuation Trend
Shares of this Florida-based infrastructure construction company have plunged 13% so far this year, underperforming the Zacks Building Products - Heavy Construction industry, the broader Zacks Construction sector and the S&P 500 index.
Image Source: Zacks Investment Research
MTZ stock is currently trading at a premium compared with its industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 15.77, as shown in the chart below.
Image Source: Zacks Investment Research
EPS Trend of MTZ
The Zacks Consensus Estimate for MTZ’s 2026 and 2027 earnings reflects a declining trend over the past 60 days, currently settling at $9.20 and $12.44 per share, respectively. However, the estimated figures for 2026 and 2027 imply 40.5% and 35.3% year-over-year growth, respectively.
Image Source: Zacks Investment Research
MasTec stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.