Update shared on08 Oct 2025
Fair value Increased 1.14%Quanta Services' analyst price target has increased significantly from $419.40 to $424.20. Analysts cite expanding market opportunities, favorable demand trends, and an improved earnings outlook as key drivers for the upward revision.
Analyst Commentary
Analysts covering Quanta Services have provided a range of insights based on recent coverage, upgrades, and target revisions. Their perspectives highlight both opportunities and potential risks for investors.
Bullish Takeaways- Bullish analysts point to the company’s expanding addressable markets, including growth in data centers, renewables, transmission, and pipelines. These areas are seen as meaningful drivers for future earnings growth.
- There is a consensus that Quanta's strong customer relationships and craft-labor leverage position it for high-teens earnings growth into the next decade.
- Recent results have exceeded expectations. The company has raised its outlook and capitalized on recent acquisitions, which are seen as enhancing its position as a premier provider in its sector.
- Several price target increases have been justified by healthy demand trends, regulatory stabilization, and broad momentum across core markets. Some analysts note the current valuation presents an attractive entry point after a pullback from recent highs.
- Bearish analysts note that, despite strong secular tailwinds, current valuation levels and financial leverage present caution. Some prefer to wait for better entry points or reduced debt before recommending shares.
- Certain cautious perspectives highlight that further upside may be constrained if market expectations become overly optimistic based on recent successes.
- Analysts neutral on the stock emphasize the need for continued execution and disciplined capital management, given the scale of ongoing expansion initiatives.
What's in the News
- Seaport Research initiated coverage of Quanta Services with a Neutral rating (Periodicals).
- BBVA Securities Inc., BMO Capital Markets Corp., Citizens JMP Securities, LLC, and U.S. Bancorp Investments, Inc. were each added as Co-Lead Underwriters for two separate fixed-income offerings totaling nearly $1 billion (Key Developments).
- From April 1 to June 30, 2025, Quanta repurchased 67,172 shares for $15.99 million, completing the repurchase of 540,788 shares under its previously announced buyback plan (Key Developments).
- Quanta Services raised its full-year 2025 earnings and revenue guidance. The company now expects revenues between $27.4 billion and $27.9 billion, and diluted EPS to range between $6.47 and $7.07 (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has risen slightly from $419.40 to $424.20.
- Discount Rate has increased marginally from 8.30% to 8.34%.
- Revenue Growth assumptions have risen from 12.94% to 13.09%.
- Net Profit Margin has improved minimally from 4.57% to 4.58%.
- Future P/E has edged up from 47.55x to 47.82x.
Disclaimer
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