Quanta Services (NYSE:PWR) Downgraded to Hold Rating by Zacks Research

Zacks Research cut shares of Quanta Services (NYSE:PWR) from a strong-buy rating to a hold rating in a research note released on Monday,Zacks.com reports.

A number of other analysts have also weighed in on the company. BNP Paribas Exane started coverage on Quanta Services in a research note on Tuesday, April 14th. They issued a “neutral” rating for the company. Cantor Fitzgerald increased their price objective on shares of Quanta Services from $630.00 to $901.00 and gave the stock an “overweight” rating in a report on Monday, May 11th. Jefferies Financial Group raised their price objective on shares of Quanta Services from $654.00 to $857.00 and gave the company a “buy” rating in a research report on Monday, May 4th. Oppenheimer upgraded shares of Quanta Services from a “market perform” rating to an “outperform” rating and set a $800.00 target price on the stock in a research report on Thursday, May 28th. Finally, Mizuho increased their price target on shares of Quanta Services from $580.00 to $693.00 and gave the company a “neutral” rating in a research note on Friday, May 1st. Nineteen equities research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $755.18.

Quanta Services Stock Performance

NYSE PWR opened at $656.48 on Monday. Quanta Services has a 1-year low of $363.01 and a 1-year high of $788.75. The company has a 50 day moving average of $712.92 and a 200-day moving average of $587.03. The company has a current ratio of 1.14, a quick ratio of 1.09 and a debt-to-equity ratio of 0.57. The firm has a market cap of $98.51 billion, a price-to-earnings ratio of 90.05, a PEG ratio of 2.65 and a beta of 1.21.

Quanta Services (NYSE:PWR) last announced its earnings results on Thursday, April 30th. The construction company reported $2.68 EPS for the quarter, topping the consensus estimate of $2.04 by $0.64. Quanta Services had a return on equity of 18.64% and a net margin of 3.67%.The business had revenue of $7.87 billion for the quarter, compared to the consensus estimate of $7 billion. During the same period in the previous year, the business earned $1.78 EPS. Quanta Services’s revenue was up 26.3% compared to the same quarter last year. Quanta Services has set its FY 2026 guidance at 13.550-14.250 EPS. On average, equities analysts forecast that Quanta Services will post 12.81 earnings per share for the current fiscal year.

Quanta Services announced that its board has authorized a share buyback program on Friday, May 22nd that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the construction company to purchase up to 0.9% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s board of directors believes its stock is undervalued.

Quanta Services Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, July 13th. Stockholders of record on Wednesday, July 1st will be given a dividend of $0.11 per share. The ex-dividend date is Wednesday, July 1st. This represents a $0.44 annualized dividend and a dividend yield of 0.1%. Quanta Services’s payout ratio is currently 6.04%.

Insider Activity at Quanta Services

In other Quanta Services news, CEO Earl C. Jr. Austin sold 130,000 shares of the firm’s stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $770.65, for a total value of $100,184,500.00. Following the transaction, the chief executive officer directly owned 556,911 shares of the company’s stock, valued at approximately $429,183,462.15. This trade represents a 18.93% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Paul Nobel sold 4,000 shares of Quanta Services stock in a transaction on Monday, May 4th. The stock was sold at an average price of $756.98, for a total transaction of $3,027,920.00. Following the sale, the chief accounting officer directly owned 8,080 shares of the company’s stock, valued at $6,116,398.40. This represents a 33.11% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 159,992 shares of company stock worth $123,244,714 over the last 90 days. 0.60% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Quanta Services

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Cedar Mountain Advisors LLC increased its stake in shares of Quanta Services by 321.4% in the 4th quarter. Cedar Mountain Advisors LLC now owns 59 shares of the construction company’s stock valued at $25,000 after acquiring an additional 45 shares during the last quarter. Darwin Wealth Management LLC acquired a new position in Quanta Services during the second quarter valued at approximately $26,000. Boreal Capital Management LLC bought a new stake in Quanta Services in the first quarter valued at approximately $27,000. Flagship Harbor Advisors LLC acquired a new stake in Quanta Services in the fourth quarter worth $28,000. Finally, MV Capital Management Inc. acquired a new stake in Quanta Services in the fourth quarter worth $30,000. Institutional investors own 90.49% of the company’s stock.

About Quanta Services

Quanta Services, Inc is a leading specialty contractor that provides comprehensive infrastructure solutions for the electric power, pipeline and energy, and communications markets. Headquartered in Houston, Texas, the company delivers engineering, procurement, construction, installation, maintenance and repair services that support the development, modernization and ongoing operation of critical energy and communications networks.

In the electric power sector, Quanta works on transmission and distribution systems, substation construction and grid modernization projects that include integration of renewable generation and energy storage.