Mastec Inc (MTZ-N)

They hit all-time highs, then dropped 20% after reporting last week. He still likes this infrastucture company though. CAT is better industrial play, however.

MTZ vs. PWR Construction engineering services in the US. Rallied on the back of the infrastructure bill. He prefers Quanta Services, with its better quality management team, better track record, and lower risk areas of operation. PWR has better leverage to the bill and US growth. MTZ is not cheap, so probably won't be a takeover target.

(A Top Pick July 18/17 Up 14%). This is a leader in infrastructure for pipelines and wireless network towers. He sees 5G adding headwinds and thinks the pipeline business will renew its growth. He would still be buying here.

Construction and infrastructure. Mostly energy, communication, energy and utilities. They are going to get some more business in communication because of the build out of 5G. Looks undervalued, improving their return, good opportunity in communication this year. (Analysts’ price target is $57.)

Has been a little disappointing recently. It’s a great business. They do construction and engineering for cell tower companies and pipelines. The pipeline business is a little soft, so the stock has been consolidating. You could possibly give this the benefit of the doubt, because the market seems to be reaccelerating here. NextEra Energy (NEE-N) looks more attractive. It is the leader in green energy and the fastest growing utility.

Builds and maintains cell towers for the telcos, and they build pipelines. A great company. It has performed better than 67% of the S&P companies so far this year. Has been consolidating since June. He continues to really like telecoms, which is 45% of their revenue. There is still some growth in US oil production, and they should continue to do okay.

Why is MacQuarrie (MIC-N) weaker than Mastec (MTZ-N)? MacQuarrie Infrastructure, has a whole bunch of different types of hard assets and assets that are long life. It is going to act more like a bond because they are long life fairly predictable assets. Mastec is a company that is in a couple of secular themes, but is a growth stock. It is tightly tied to growth in a couple of areas. Thinks the secular changes taking place in both telecom equipment and pipelines, is significant. Mastek builds infrastructure, like pipelines, as well as being very big in maintenance and infrastructure work on cell towers, which are both going through very strong lifts. We are about to go through a process where all telcos are going to be putting up 5G equipment on cell towers, and Mastec gets paid to do that stuff. You could buy this and use a Stop such as $35-$35.50.

A construction company contractor in 3 basic areas. Oil/gas infrastructure pipelines, electric transmission/power generation and communications. They build out infrastructure, and are benefiting as the communication companies build out additional gear on all their towers. There has been a bunch of new pipeline capacity approved that will be built out. Because of electric cars, it is possible we are going to need additional generation and transmission capabilities. (Analysts’ price target is $52.50.)

A company that builds infrastructure for telecoms. They manage build outs of towers and gear. They also do fibre to the home where there is a lot of money being spent building bandwidth. Have also found their way into oil/gas service.