Mizuho analyst Maheep Mandloi has maintained an Outperform rating on MasTec, raising the price target to $502 from $498. The adjustment reflects an updated valuation outlook for the infrastructure construction company.

The revised target comes as the firm evaluates MasTec's market position and future earnings potential. The previous target of $498 has been increased to $502, indicating a stronger expected performance.

MasTec, Inc. has entered into a definitive agreement to acquire Electrical Specialists, Inc., d/b/a The Superior Group, for approximately $1.65 billion to expand its infrastructure capabilities across data center and mission-critical end markets. The transaction comprises approximately $475 million payable in shares of MasTec common stock and approximately $1.175 billion payable in cash, subject to customary purchase price adjustments. The acquisition is anticipated to close in mid to late July 2026, subject to antitrust regulatory approval.

The acquisition advances MasTec’s strategy of building a scaled infrastructure capacity platform to serve accelerating demand for data center, power, and mission-critical infrastructure. The combination extends MasTec’s expertise from power generation and grid interconnection through electrical systems, connectivity, and long-term maintenance services. The Superior Group will serve as a new operating group within MasTec, and its financial results are expected to be reflected in the Power Delivery segment.

Financial Projections

The Superior Group is projected to generate full year 2026 revenue and Adjusted EBITDA of approximately $1.6 billion to $1.7 billion and approximately $225 million to $250 million, respectively. For the remainder of 2026, MasTec expects The Superior Group to contribute revenue of $800 million-$900 million, Adjusted EBITDA of $100 million-$115 million, and Adjusted Diluted EPS of $0.50-$0.65. For full year 2027, MasTec expects The Superior Group to generate revenue of $2.2 billion-$2.5 billion and Adjusted EBITDA of $250 million-$275 million.

Strategic Rationale and Integration

The addition of The Superior Group extends MasTec's capabilities inside the fence with electrical systems, integrated building systems, and ongoing facility services. The Superior Group brings direct, strategic relationships with leading hyperscalers, data center developers, general contractors, and technology customers. The company provides access to one of the largest and most scalable skilled electrical labor platforms in the U.S., with approximately 3,000 employees.

Jose Mas, Chief Executive Officer of MasTec, stated that The Superior Group expands the company's ability to serve the ongoing buildout of data center, power, and mission-critical infrastructure. The existing management team of The Superior Group, including Bryan Stewart, Chairman and CEO, will remain in place to lead the new operating group. MasTec anticipates funding the cash portion of the transaction with a combination of cash on hand, drawings under its existing credit facility, and drawings under two delayed draw term loan facilities.