QUANTA SERVICES INC (PWR) Stock Fundamental Analysis
USA - NYSE:PWR - US74762E1029 - Common Stock
451.18 USD
+0.8 (+0.18%)
We assign a fundamental rating of 5 out of 10 to PWR. PWR was compared to 55 industry peers in the Construction & Engineering industry. Both the profitability and the financial health of PWR get a neutral evaluation. Nothing too spectacular is happening here. PWR shows excellent growth, but is valued quite expensive already. These ratings could make PWR a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
In the past year PWR was profitable.
PWR had a positive operating cash flow in the past year.
Each year in the past 5 years PWR has been profitable.
Each year in the past 5 years PWR had a positive operating cash flow.
1.2 Ratios
PWR has a Return On Assets (4.48%) which is comparable to the rest of the industry.
The Return On Equity of PWR (12.13%) is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 7.46%, PWR is in the better half of the industry, outperforming 61.82% of the companies in the same industry.
PWR had an Average Return On Invested Capital over the past 3 years of 7.28%. This is significantly below the industry average of 16.81%.
The 3 year average ROIC (7.28%) for PWR is below the current ROIC(7.46%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.48% | ||
| ROE | 12.13% | ||
| ROIC | 7.46% |
ROA(3y)4.36%
ROA(5y)4.43%
ROE(3y)11.12%
ROE(5y)10.62%
ROIC(3y)7.28%
ROIC(5y)6.8%
1.3 Margins
PWR has a Profit Margin (3.74%) which is comparable to the rest of the industry.
PWR's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 5.60%, PWR perfoms like the industry average, outperforming 54.55% of the companies in the same industry.
PWR's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 15.16%, PWR perfoms like the industry average, outperforming 45.45% of the companies in the same industry.
PWR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.6% | ||
| PM (TTM) | 3.74% | ||
| GM | 15.16% |
OM growth 3Y4.36%
OM growth 5Y3.12%
PM growth 3Y0.69%
PM growth 5Y2.86%
GM growth 3Y-0.48%
GM growth 5Y2.34%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PWR is destroying value.
Compared to 1 year ago, PWR has more shares outstanding
Compared to 5 years ago, PWR has more shares outstanding
Compared to 1 year ago, PWR has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.74 indicates that PWR is not in any danger for bankruptcy at the moment.
The Altman-Z score of PWR (4.74) is better than 70.91% of its industry peers.
The Debt to FCF ratio of PWR is 4.50, which is a neutral value as it means it would take PWR, 4.50 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 4.50, PWR is doing good in the industry, outperforming 63.64% of the companies in the same industry.
PWR has a Debt/Equity ratio of 0.66. This is a neutral value indicating PWR is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.66, PWR perfoms like the industry average, outperforming 54.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 4.5 | ||
| Altman-Z | 4.74 |
ROIC/WACC0.74
WACC10.04%
2.3 Liquidity
PWR has a Current Ratio of 1.34. This is a normal value and indicates that PWR is financially healthy and should not expect problems in meeting its short term obligations.
PWR has a Current ratio of 1.34. This is in the better half of the industry: PWR outperforms 63.64% of its industry peers.
PWR has a Quick Ratio of 1.30. This is a normal value and indicates that PWR is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.30, PWR is doing good in the industry, outperforming 61.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 30.48% over the past year.
Measured over the past years, PWR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.25% on average per year.
PWR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 18.72%.
Measured over the past years, PWR shows a quite strong growth in Revenue. The Revenue has been growing by 14.34% on average per year.
EPS 1Y (TTM)30.48%
EPS 3Y22.25%
EPS 5Y18.25%
EPS Q2Q%22.43%
Revenue 1Y (TTM)18.72%
Revenue growth 3Y22.18%
Revenue growth 5Y14.34%
Sales Q2Q%17.53%
3.2 Future
Based on estimates for the next years, PWR will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.45% on average per year.
PWR is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.09% yearly.
EPS Next Y19.17%
EPS Next 2Y18.25%
EPS Next 3Y17.59%
EPS Next 5Y18.45%
Revenue Next Year17.32%
Revenue Next 2Y14.87%
Revenue Next 3Y13.92%
Revenue Next 5Y14.09%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 42.85, the valuation of PWR can be described as expensive.
PWR's Price/Earnings ratio is in line with the industry average.
PWR's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.28.
PWR is valuated quite expensively with a Price/Forward Earnings ratio of 35.97.
The rest of the industry has a similar Price/Forward Earnings ratio as PWR.
When comparing the Price/Forward Earnings ratio of PWR to the average of the S&P500 Index (33.61), we can say PWR is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.85 | ||
| Fwd PE | 35.97 |
4.2 Price Multiples
60.00% of the companies in the same industry are cheaper than PWR, based on the Enterprise Value to EBITDA ratio.
The rest of the industry has a similar Price/Free Cash Flow ratio as PWR.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 53.7 | ||
| EV/EBITDA | 30.16 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PWR does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of PWR may justify a higher PE ratio.
A more expensive valuation may be justified as PWR's earnings are expected to grow with 17.59% in the coming years.
PEG (NY)2.24
PEG (5Y)2.35
EPS Next 2Y18.25%
EPS Next 3Y17.59%
5. Dividend
5.1 Amount
PWR has a yearly dividend return of 0.09%, which is pretty low.
Compared to an average industry Dividend Yield of 1.78, PWR pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.09, PWR pays less dividend than the S&P500 average, which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.09% |
5.2 History
On average, the dividend of PWR grows each year by 17.70%, which is quite nice.
PWR has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)17.7%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
PWR pays out 5.78% of its income as dividend. This is a sustainable payout ratio.
The dividend of PWR is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP5.78%
EPS Next 2Y18.25%
EPS Next 3Y17.59%
NYSE:PWR (11/11/2025, 2:46:54 PM)
451.18
+0.8 (+0.18%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners94.73%
Inst Owner Change-2.05%
Ins Owners0.61%
Ins Owner Change-0.06%
Market Cap67.23B
Revenue(TTM)27.19B
Net Income(TTM)1.02B
Analysts76.67
Price Target433.75 (-3.86%)
Short Float %3.05%
Short Ratio4.71
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.09% |
Yearly Dividend0.37
Dividend Growth(5Y)17.7%
DP5.78%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.83%
Min EPS beat(2)0.46%
Max EPS beat(2)1.21%
EPS beat(4)4
Avg EPS beat(4)4.54%
Min EPS beat(4)0.46%
Max EPS beat(4)11.07%
EPS beat(8)7
Avg EPS beat(8)3.48%
EPS beat(12)10
Avg EPS beat(12)3.81%
EPS beat(16)13
Avg EPS beat(16)4.01%
Revenue beat(2)2
Avg Revenue beat(2)2.18%
Min Revenue beat(2)2.11%
Max Revenue beat(2)2.26%
Revenue beat(4)3
Avg Revenue beat(4)1.94%
Min Revenue beat(4)-1.87%
Max Revenue beat(4)5.24%
Revenue beat(8)6
Avg Revenue beat(8)2.21%
Revenue beat(12)10
Avg Revenue beat(12)3.29%
Revenue beat(16)14
Avg Revenue beat(16)3.7%
PT rev (1m)1.57%
PT rev (3m)4.09%
EPS NQ rev (1m)-0.69%
EPS NQ rev (3m)1.45%
EPS NY rev (1m)0.14%
EPS NY rev (3m)2.25%
Revenue NQ rev (1m)1.05%
Revenue NQ rev (3m)2.45%
Revenue NY rev (1m)0.71%
Revenue NY rev (3m)3.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.85 | ||
| Fwd PE | 35.97 | ||
| P/S | 2.47 | ||
| P/FCF | 53.7 | ||
| P/OCF | 37.05 | ||
| P/B | 8.01 | ||
| P/tB | N/A | ||
| EV/EBITDA | 30.16 |
EPS(TTM)10.53
EY2.33%
EPS(NY)12.54
Fwd EY2.78%
FCF(TTM)8.4
FCFY1.86%
OCF(TTM)12.18
OCFY2.7%
SpS182.48
BVpS56.34
TBVpS-4.23
PEG (NY)2.24
PEG (5Y)2.35
Graham Number115.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.48% | ||
| ROE | 12.13% | ||
| ROCE | 9.7% | ||
| ROIC | 7.46% | ||
| ROICexc | 7.77% | ||
| ROICexgc | 19.33% | ||
| OM | 5.6% | ||
| PM (TTM) | 3.74% | ||
| GM | 15.16% | ||
| FCFM | 4.6% |
ROA(3y)4.36%
ROA(5y)4.43%
ROE(3y)11.12%
ROE(5y)10.62%
ROIC(3y)7.28%
ROIC(5y)6.8%
ROICexc(3y)7.87%
ROICexc(5y)7.25%
ROICexgc(3y)18.13%
ROICexgc(5y)15.89%
ROCE(3y)9.46%
ROCE(5y)8.84%
ROICexgc growth 3Y19.69%
ROICexgc growth 5Y10.82%
ROICexc growth 3Y17.18%
ROICexc growth 5Y2.48%
OM growth 3Y4.36%
OM growth 5Y3.12%
PM growth 3Y0.69%
PM growth 5Y2.86%
GM growth 3Y-0.48%
GM growth 5Y2.34%
F-Score6
Asset Turnover1.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 4.5 | ||
| Debt/EBITDA | 2.31 | ||
| Cap/Depr | 64.71% | ||
| Cap/Sales | 2.07% | ||
| Interest Coverage | 7.01 | ||
| Cash Conversion | 75.86% | ||
| Profit Quality | 122.97% | ||
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 4.74 |
F-Score6
WACC10.04%
ROIC/WACC0.74
Cap/Depr(3y)73.31%
Cap/Depr(5y)79.62%
Cap/Sales(3y)2.39%
Cap/Sales(5y)2.5%
Profit Quality(3y)152.78%
Profit Quality(5y)138.11%
High Growth Momentum
Growth
EPS 1Y (TTM)30.48%
EPS 3Y22.25%
EPS 5Y18.25%
EPS Q2Q%22.43%
EPS Next Y19.17%
EPS Next 2Y18.25%
EPS Next 3Y17.59%
EPS Next 5Y18.45%
Revenue 1Y (TTM)18.72%
Revenue growth 3Y22.18%
Revenue growth 5Y14.34%
Sales Q2Q%17.53%
Revenue Next Year17.32%
Revenue Next 2Y14.87%
Revenue Next 3Y13.92%
Revenue Next 5Y14.09%
EBIT growth 1Y30.1%
EBIT growth 3Y27.5%
EBIT growth 5Y17.91%
EBIT Next Year108.61%
EBIT Next 3Y38.24%
EBIT Next 5Y30.28%
FCF growth 1Y71.21%
FCF growth 3Y96.17%
FCF growth 5Y41.08%
OCF growth 1Y57.02%
OCF growth 3Y52.89%
OCF growth 5Y31.64%
QUANTA SERVICES INC / PWR FAQ
What is the ChartMill fundamental rating of QUANTA SERVICES INC (PWR) stock?
ChartMill assigns a fundamental rating of 5 / 10 to PWR.
Can you provide the valuation status for QUANTA SERVICES INC?
ChartMill assigns a valuation rating of 2 / 10 to QUANTA SERVICES INC (PWR). This can be considered as Overvalued.
Can you provide the profitability details for QUANTA SERVICES INC?
QUANTA SERVICES INC (PWR) has a profitability rating of 6 / 10.
What is the valuation of QUANTA SERVICES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for QUANTA SERVICES INC (PWR) is 42.85 and the Price/Book (PB) ratio is 8.01.
What is the financial health of QUANTA SERVICES INC (PWR) stock?
The financial health rating of QUANTA SERVICES INC (PWR) is 5 / 10.