Mattr’s Infrastructure Renewal Drive Boosts Its Demand

Mattr has successfully completed its strategic transformation from a cyclical pipeline coating contractor into a high-margin, growth-oriented infrastructure technology platform. The company’s Connection Technologies division is directly aligned with secular macro tailwinds, including grid modernization, industrial automation, and rapid data center construction requiring specialized harsh-environment electrical cables and heat-shrink solutions. This structural shift enhances pricing power, smooths out cash generation, and yields higher return on invested capital across market cycles.

With composite piping capturing market share from legacy steel alternatives due to corrosion-resistant properties and lower installation costs, the firm is expanding its addressable infrastructure footprint. Meanwhile, the stock trades at a reasonable 21.8 times the company’s forward earnings forecast.

MATTR CORP. (Toronto symbol MATR) sold most of its pipeline coating business to Tenaris S.A. (New York symbol TS) in 2024 for $241.2 million.

The remaining firm is now a global materials technology company engineering advanced composite piping, underground storage tanks, and high-performance connection systems for critical infrastructure in electrification, energy, and water management.

In January 2025, Mattr completed its acquisition of AmerCable Inc. for $280 million U.S. (about $404 million Canadian). Based in Arkansas, this firm makes a variety of power cables and wires for industrial customers.

Mattr has almost doubled since the start of 2026, thanks to strong demand for its electrical cables and sheaths from the builders of new artificial intelligence datacentres. Orders for its plastic pipes and tanks are also improving.

Mattr’s Connection Technologies division is anchored by brands such as Shawflex, DSG-Canusa, and AmerCable and is positioned in the supply chain for electrical grid expansion and industrial electrification. Key long-term demand drivers include:

Data Center Expansion: The buildout of high-density artificial intelligence and cloud computing facilities requires engineered, heat-resistant, low-smoke zero-halogen cabling and sealants. Mattr’s data center shipments are projected to double year-over-year.

Nuclear Life Extensions: The renaissance in clean nuclear baseload energy provides multi-year recurring visibility, as Shawflex supplies safety-critical instrumentation and power cabling for Canadian CANDU reactor refurbishments and small modular reactor (SMR) development.

Utility Grid Modernization: Aging distribution infrastructure and renewable utility interconnections in North America continue to drive steady replacement cycles for medium-voltage custom cables and specialty heat-shrink sleeves.

Meanwhile through its Flexpipe and Xerxes product lines, Mattr’s Composite Technologies segment is driving an adoption curve away from traditional steel and concrete.

Corrosion Immunity and Lower TCO: Traditional carbon steel pipelines and storage units suffer from rust and chemical degradation. Mattr’s fiberglass-reinforced plastic (FRP) tanks and spoolable composite pipes provide multi-decade operational lives with lower total cost of ownership (TCO) and rapid trenching installation.

Market Share Gains in Larger Diameters: Flexpipe continues to win market share by commercializing larger-diameter spoolable pipes, allowing the company to expand from small-bore gathering lines into larger high-pressure industrial fluid conduits and international markets.

Water Management Mandates: Stricter environmental regulations governing stormwater retention, municipal wastewater treatment, and retail fueling station containment are expanding Xerxes’ non-energy revenue base.
[ofie_ad]

Mattr’s industrial technology platform raises full year earnings outlook

Mattr’s revenue in the three months ended June 30, 2026, rose 23.4%, to $395.2 million from $321.0 million a year earlier. That beat the consensus forecast of $376.6 million.
Sales of wire and cable products (58% of the total) rose 29.1%, while sales of plastic pipes and tanks (42%) gained 16.5%.

Earnings from continuing operations jumped 225.0%, to $0.39 a share (or a total of $24.1 million) from $0.12 a share (or $7.1 million). That matched the consensus estimate.

For all of 2026, the company will probably earn $1.01 a share, and the stock trades at a reasonable 21.8 times that estimate.

Recommendation in The Successful Investor: Mattr Corp. (formerly Shawcor) is a buy for highly aggressive investors.

Copy
Link copied
Email
Print

Jim Bates

Jim is an associate editor at TSI Network. He is the lead reporter and analyst for The Successful Investor and Wall Street Stock Forecaster and a member of the Investment Planning Committee. Jim has held the Chartered Financial Analyst designation since 1992 and spent more than a decade at the Financial Post DataGroup before joining TSI Network. He has a Bachelor of Commerce degree from the University of Toronto.

Even the most disciplined DIY investors have blind spots.

Don’t let decades-long progress be undone by one mistake.

Get a free professional second opinion on your portfolio.

GET A SECOND OPINION

Testimonials

The cornerstones of Pat’s strategy–value, diversification and timelines–make his newsletter, The Successful Investor, highly profitable while minimizing risk. His advice is no-nonsense, down-to-earth and based on solid research. You’ll know what to invest in and what to avoid.

Chuck Chakrapani, PhD
Investors Association of Canada
The older I get the better dividends look. For retirees and would-be retirees who want to sleep at night, I can’t think of a better source of information on reliable growing dividend income than Pat McKeough’s newsletter, Dividend Advisor.

Jonathan Chevreau
Financial Post Columnist
As a manager of more than $500 million in mutual funds, I have access to the best brokerage research available in this country. But I still take time to read Pat McKeough’s premium newsletters

John Sartz
I appreciate the 25 years of above market returns I received by following your advice. at least 95% of my investment decisions were based on TSI recommendations.

Chuck J.
Subscriber since 1996. Inner Circle Member Since 2006
The newsletters I receive in Inner Circle Pro are fantastic! I have been following Pat’s advice for years and everything he has said has been amazing. His commentaries are brilliant, insightful, educational, rational and balanced. My returns are almost double the TSE and I have referred many of my friends who have switched over to your services.

Walter H.
Inner Circle Pro subscriber

Find 5 Safe Stocks to
Buy & Hold for Long-Term
Growth and Steady Income

No Credit Card Required

SEND ME THIS FREE REPORT

Free Reports

5 Best Stocks to Buy This Month

The Successful Investor Approach to AI Investing

7 Winning Strategies for Dividend Investors

The Best Blue Chips for Canadian Investors

The ETF Investor’s Handbook

The Canadian Guide on How to Invest in Stocks Successfully

Power and Profits of Energy Stocks

Juniors to Giants: The Complete Guide to Mining Stocks

How to Find the Best Growth Stocks

7 Pro Secrets to Value Investing

Browse Topics

Blue Chip Stocks

Blue chip stocks are big, well-established, dividend-paying corporations with strong business prospects. These are companies that also have sound management that should be able to make the right moves to keep competing successfully in a changing marketplace.

Dividend Stocks

Dividend stocks make cash payouts that serve as a way for companies to share the wealth they’ve accumulated. These payouts are drawn from earnings and cash flow and paid to the shareholders of the company. Typically, these dividends are paid quarterly, although they may be paid annually or even monthly as well.

Value Stocks

What are value stocks?

One of the sweetest and most profitable pleasures of successful investing is to buy high-quality “value stocks” (or stocks that are reasonably priced, if not cheap, in relation to its sales, earnings or assets), then hold on to them as mainstream investors recognize the value and push up the share price.

Growth Stocks

Growth stocks are companies that are likely to have sales and earnings growth well above market average. Frequently they pay few, if any, dividends. Instead they typically reinvest any extra cash flow to promote further growth. Chosen wisely—according to Pat McKeough’s advice—high-quality growth-oriented stocks can be worthwhile additions to most well-diversified portfolios.

ETFs

What are ETFs?

ETF is an acronym for exchange traded fund.. These exchange traded funds are used to track indexes as closely as possible, since investors cannot actually buy an index outright.

How To Invest

Pat McKeough has been making investing for beginners simple—and profitable—by helping investors make big gains for more than 25 years. His advice to beginning investors is the same as it is for all investors: buy high-quality, mostly dividend paying stocks (or ETFs that hold these stocks) and evenly spread your investments over the five main economic sectors (Resources, Manufacturing, Finance, Utilities and Consumer). Pat also believes investors should avoid stocks in the broker/media limelight and focus on those with hidden or little-noticed assets.

Wealth Management

Wealth management is the practice of putting your savings to work so that it continues to grow over your lifetime and will also benefit your heirs. Wealth management encompasses many different areas of investing like long term investment planning and retirement planning.

AI Investing

Artificial intelligence (AI) is essentially the merging of today’s big computing with big data. This has resulted in breakthroughs in everything from creating machines to recognize faces with more accuracy than a human, to the development of chatbots able to collect, organize and simplify all the Internet has to say on any topic.

Spinoffs

One of the ways a company can try to unlock its own hidden value is by creating a separate company out of a corporate subsidiary. The parent company can either sell stock in the new company to the public, or spin it off—hand the stock out to its own investors.

Penny Stocks

A penny stock in general trades for under five dollars a share, and as the name implies, sometimes for pennies. Most of the time they’re young companies, or start-ups in speculative markets like mining or technology.

Mining Stocks

Mining stocks are investments in companies that produce or explore for minerals. Some of these minerals include uranium, coal, molybdenum (which is used in steelmaking), copper, silver and gold. They are affected by fluctuating commodity prices in addition to their own business and operating risks.

Energy Stocks

What are energy stocks?

Businesses that work in the extraction, refining and delivery of energy sources such as natural gas, oil, uranium and coal, are considered energy stocks.