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PWRYahoo Finance ↗Quanta ServicesGrid Construction

~$516PE: 42xMCap: $76.9B-5% from ATH

Market data via Yahoo Finance as of Feb 12, 2026· Analysis as of Feb 12, 2026

COMPOSITE

+36%

BULL UPSIDE

ENTRY QUALITY

62%

CONFIDENCE

ℹ️ How are these calculated?

COMPOSITE = Σ(event relevance × event probability) × entry quality / 100. Combines how much this stock benefits from macro events with how good the entry point is right now. For PWR: (20 × 85% + 5 × 60% + 0 × 35% + 5 × 55% + -15 × 0% + 90 × 0% + 20 × 0%) × 30/100 = 7. Higher is better. Range: typically 0–100.

BULL UPSIDE = (bull price target − current price) / current price. For PWR: ($700 − $516) / $516 = +36%. This is the maximum upside if the most optimistic analyst thesis plays out.

ENTRY QUALITY (0–100) = how attractive the current price is as a buy point. Based on: % below all-time high (-5%), upside to bull PT (+36%), forward PE (42x vs sector), and analyst conviction. Score: 30. Poor entry — near ATH or very expensive valuation.

CONFIDENCE = our overall conviction in the thesis (0–100%). Factors: strength of catalysts, analyst coverage quality, thesis durability, risk/reward skew.Moderate conviction — thesis is solid but risks are material.

$227~$516$543$700

52W LowATHBull PT

🎯 Investment Thesis

Quanta is the picks-and-shovels play on the energy grid supercycle — they build the transmission lines, substations, and interconnections that connect every new power plant to the grid. JP Morgan upgraded to Overweight $515, Citi Buy $540, Stifel Buy $517. The 2,300 GW interconnection queue with 4+ year wait times means Quanta's backlog extends for years. At 5% below ATH, the market is pricing in the structural demand story.

⚠️ Key Risk

At 42x forward PE, extremely expensive for a construction company. Bernstein Market Perform $428 sees limited upside. $8B+ debt in a rate-sensitive business. Construction is labor-intensive with execution risk. Permitting delays could slow projects. If grid spending disappoints, the premium multiple collapses.

By The Numbers

Price

$516

ATH

$543

52W Low

$227

Fwd PE

42x

Market Cap

$76.9B

Revenue

$23.7B

Rev Growth

+18% YoY

Gross Margin

15%

Op Margin

FCF

$1.5B

Cash

$500M

Debt

$8.2B

Event Impact

🤖

AI Infrastructure Boom

Builds electrical infrastructure for data center campuses. Indirect AI beneficiary through power delivery.

+20 ⚔️

Iran Geopolitical Crisis

Energy infrastructure construction benefits from energy security spending.

+5 ⚛️

Quantum Computing Breakout

No quantum relevance.

0 🇨🇳

China Trade War Escalation

Domestic construction company. Reshoring drives more infrastructure projects.

+5 💵

USD & Fed Policy

At 42x PE, high rate sensitivity. $8B+ debt for an E&C company. Higher rates slow infrastructure project approvals.

-15 ⚡

Energy Grid Supercycle

Largest US electrical construction and grid services company. Builds transmission lines, substations, and renewable interconnections. Every GW of new capacity needs Quanta to connect it to the grid.

+90 🏛️

US Fiscal & DOGE

Benefits from IRA/OBBBA infrastructure spending. Government grid modernization programs. Bipartisan support for grid reliability.

+20

Price Targets

Current

$516

Bear PT

$350

Consensus

$479

Bull PT

$700

Upcoming Catalysts

HIGHFeb 2026Q4 2025 earnings — backlog growth and margin expansion

HIGH2026-2028FERC Order 2023 interconnection reform — accelerates queue processing

Competitive Landscape

MTZ ↗MasTec

Smaller grid contractor, more diversified into telecom

EME ↗EMCOR Group

Electrical/mechanical construction, less transmission focus

Company Background

Founded 1997 through consolidation of electrical contractors. Has grown into the dominant US grid construction company. CEO Duke Austin has positioned Quanta at the intersection of every major energy trend.