The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 21 | 86.8x | 20.8x | Bottom tier | |
Growth | 84 | 21.1% | 6.1% | Top tier | |
Quality | 58 | 10.1% | 6.6% | Around median | |
Safety | 66 | 2.2x | 0.7x | Top tier | |
Capital Return | 13 | 0.07% | 2.02% | Bottom tier | |
Momentum | 88 | 90.9% | 4.1% | Top tier | |
Sentiment | 54 | 17 | 3 | Around median |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Quanta Services is a leading provider of critical infrastructure solutions, specializing in modernizing electrical grids, integrating renewable energy, and building infrastructure for large-load data centers. The company generates revenue by providing comprehensive engineering, construction, and maintenance services to utility and technology companies, relying on a highly skilled craft workforce and integrated supply chain solutions that ensure execution certainty for its customers.
In the first quarter of fiscal year 2026, Quanta reported strong financial results, achieving revenues of $7.9 billion and a net income of $220.6 million, translating to a GAAP earnings per share of $1.45 and an adjusted earnings per share of $2.68. Adjusted EBITDA reached $686 million, driven by solid execution and a favorable mix in the Underground Utility and Infrastructure Solutions segment, alongside a record backlog that grew to $48.5 billion.
Supported by this positive momentum, management raised its full-year fiscal 2026 guidance, now expecting revenues to range between $34.7 billion and $35.2 billion, and adjusted earnings per share to range between $13.55 and $14.25. The company is actively investing between $500 million and $700 million to double its power transformer manufacturing capacity, in addition to expanding its manufacturing footprint to 6.7 million square feet to meet growing demand from large technology companies and massive utility projects such as AEP's 765kV transmission lines.
Quanta Services stock is trading within a 52-week range of $363.01 and $788.75, supported by an analyst consensus recommending a 'Buy' rating. The median analyst price target sits at $724.77, reflecting confidence in the company's growth trajectory, while the most bullish analysts see the stock reaching a higher target of $940. With the upward revision of the 2026 financial guidance and a record backlog, the current valuation appears aligned with the strong positive outlook for the grid modernization sector.
Figures in the text are as of 2026-07-20; the live price is shown at the top of the page.
Quanta is taking bold steps toward vertical integration, most notably announcing an investment between $500 million and $700 million to double its power transformer manufacturing capacity. Furthermore, the company established a joint venture with Hyosung in June 2026 to enhance the domestic production of critical grid equipment. This strategy significantly contributes to de-risking project timelines for major utility clients who are facing lead times of up to 36 months to procure transformers.
Data centers represent a massive growth trajectory for Quanta, with management expecting over 100% revenue growth in technology and load center markets. The company is actively involved in expanding power infrastructure for big tech companies, including supporting NiSource on a $5.7 billion programmatic opportunity tied to Alphabet and Amazon facilities. To support this rapid deployment, Quanta is doubling its off-site manufacturing and assembly footprint to 6.7 million square feet.
Driven by strong double-digit growth, the company reported revenues of $7.9 billion and adjusted EBITDA of $686 million. The primary driver of this performance was margin improvement and excellent execution within the Underground Utility and Infrastructure Solutions segment, supported by the integration of the DSI business. Additionally, the company experienced broad-based demand that pushed the total backlog to an unprecedented record level of $48.5 billion.
Automated analysis for informational purposes only — not investment advice.
Yes, management considers strategic acquisitions a primary use of future capital, alongside maintaining a strong balance sheet targeting a leverage ratio between 1.5x and 2.0x. Although no acquisitions were made in the first quarter of 2026, the company expects to execute M&A deals over the next nine months to fill strategic gaps and expand capabilities. These future acquisitions are expected to be highly accretive to the company's already increased financial guidance for 2026.
Quanta is deeply involved in all forms of power generation, including a growing focus on combined-cycle gas turbines and renewable sources such as solar and wind. The company leverages its flexible craft workforce to navigate these converging markets, ensuring it captures opportunities regardless of the specific generation technology. Management noted that although combined-cycle projects carry higher risks, they are carefully structuring contracts to protect margins and expect these projects to build significantly in their backlog by late 2026 and beyond.