Key Stats for Quanta Stock
- Past-Week Performance: +3.5%
- 52-Week Range: $227.1 to $576.9
- Current Price: $574
What Happened?
Quanta Services (PWR), an infrastructure contractor that builds and maintains the power grid, data centers, and renewable energy systems, just guided 2026 revenue to $33.5B at midpoint, a figure that exceeded the Street’s $31.5B estimate by nearly $2B and confirmed the AI buildout is now a structural revenue driver, not a cyclical one.
Last month, Q4 adjusted EPS of $3.16 beat the IBES estimate of $3.02 while revenue of $7.84B cleared the $7.37B consensus, sending shares up roughly 6% in premarket to $543 and pushing the stock to within striking distance of its 52-week high of $576.86.
The record $43.98B total backlog, a measure of contracted future work that gives investors visibility into revenue years ahead, drives the conviction: data centers are now the fastest-growing component of that backlog, and CEO Duke Austin confirmed the company is already booking work it expects to build out to 2032.
Duke Austin, President and CEO, stated on the Q4 2025 earnings call that “the convergence of the utility, power generation, and large-load industries continues to create significant opportunities,” a comment anchored directly to Quanta’s $500M–$700M vertical supply chain investment in power transformer manufacturing that is designed to remove the bottleneck slowing grid expansion.
A confirmed Analyst Day, expected in late March or early April 2026, positions Quanta to lay out a multi-year earnings compounding framework built on three reinforcing levers: the $43.98B backlog converting into revenue, the transformer manufacturing investment creating a supply chain moat no competitor currently offers, and a data center market Duke Austin described as “at least a decade of growth.”
Wall Street’s Take on PWR Stock
The $2B revenue guidance beat on February 19 is not noise: it directly reprices the forward earnings trajectory by confirming that AI data center construction, the fastest-growing component of Quanta’s $43.98B backlog, is pulling through faster than consensus expected.
Estimates show EPS normalized accelerating from $10.75 in 2025A to $13.11 in 2026E, a 22% jump driven by the $33.5B revenue midpoint guidance and the $0.4–$0.5 EPS contribution from the Tri-City, Wilson, and Billings acquisitions, then continuing to $15.4 in 2027E (+17.5%) as the transformer manufacturing investment begins converting backlog at higher margin.
Meanwhile, twenty analysts cover PWR with 18 buys, 1 outperform, 10 holds, and 1 underperform, producing a mean price target of $579.74 that implies just 1.0% upside from $574.02, a consensus the street has chased upward as the stock nearly doubled off its 52-week low of $227.08.
The spread between the street’s $380 low and $685 high target is wide enough to define two distinct scenarios: the bear case prices a slowdown in data center backlog conversion and craft labor tightening compressing electric segment margins below the 10.3% midpoint, while the $685 bull case assumes 765kV large transmission contracts begin entering backlog in H2 2027 as Duke Austin flagged.
What Does the Valuation Model Say?
TIKR’s mid-case model prices PWR at $845.20 by December 2030, a 47.2% total return at 8.4% annualized IRR, built on a 13.2% revenue CAGR and a net income margin expansion from 5.7% in 2025A to 7.2% in the mid-case.
The $500M–$700M vertical supply chain investment in transformer manufacturing is the specific lever that justifies the margin expansion assumption embedded in that target.
The market is treating PWR as a near-fully priced infrastructure contractor at $574, but the $43.98B backlog has never been larger and 765kV transmission work has not yet entered it.
TIKR’s $845.20 mid-case target is underwritten by a 13.2% revenue CAGR, directly supported by the confirmed $33.5B–$33.75B 2026 guidance and a data center backlog Duke Austin described as booked “at least a decade” forward.
Duke Austin stated on the Q4 earnings call that Quanta has “produced record revenues 8 of the last 9 years” and “9 consecutive years of record adjusted diluted earnings per share,” a compounding track record the current multiple does not appear to price forward.
The key risk is craft labor: if tight labor conditions in data center construction push the electric segment’s self-perform rate below the 80%–85% threshold, the EPS compounding assumption breaks and the 22.0% 2026E EPS growth rate compresses materially.
Like mentioned before, the Analyst Day, expected late March or early April 2026, is the single event to watch: the number that matters is the long-term EPS CAGR target management puts on the table, which will confirm or reframe whether the TIKR mid-case 17.4% EPS CAGR holds.
Should You Invest in Quanta Services, Inc.?
The only way to really know is to look at the numbers yourself. TIKR gives you free access to the same institutional-quality financial data that professional analysts use to answer exactly that question.
Pull up PWR stock and you’ll see years of historical financials, what Wall Street analysts expect for revenue and earnings in the quarters ahead, how valuation multiples have moved over time, and whether price targets are trending up or down.
You can build a free watchlist to track Quanta Services, Inc. alongside every other stock on your radar. No credit card required. Just the data you need to decide for yourself.
Access Professional Tools to Analyze PWR stock on TIKR for Free →
