Quanta Services
Market Cap
US$4.4b
Last Updated
2020/04/04 07:43 UTC
Data Sources
Company Financials +
Executive Summary
Quanta Services, Inc. provides specialty contracting services in the United States, Canada, Australia, Latin America, and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with solid track record.
Similar Companies
Share Price & News
How has Quanta Services's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PWR's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
2.4%
PWR
1.2%
US Construction
-2.0%
US Market
1 Year Return
-22.7%
PWR
-27.0%
US Construction
-15.1%
US Market
Return vs Industry: PWR exceeded the US Construction industry which returned -27% over the past year.
Return vs Market: PWR underperformed the US Market which returned -15.1% over the past year.
Shareholder returns
| PWR | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.4% | 1.2% | -2.0% |
| 30 Day | -21.9% | -27.3% | -19.7% |
| 90 Day | -25.2% | -30.9% | -23.2% |
| 1 Year | -22.3%-22.7% | -26.4%-27.0% | -13.4%-15.1% |
| 3 Year | -14.0%-14.6% | -25.1%-26.8% | 10.9%3.7% |
| 5 Year | 7.6%6.8% | -8.7%-12.1% | 28.4%14.4% |
Price Volatility Vs. Market
How volatile is Quanta Services's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
A Sliding Share Price Has Us Looking At Quanta Services, Inc.'s (NYSE:PWR) P/E Ratio3 weeks ago | Simply Wall St
Is Quanta Services, Inc.'s (NYSE:PWR) CEO Pay Justified?1 month ago | Simply Wall St
Quanta Services, Inc. Just Beat Analyst Forecasts, And Analysts Have Been Updating Their PredictionsValuation
Is Quanta Services undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PWR ($30.56) is trading below our estimate of fair value ($74.5)
Significantly Below Fair Value: PWR is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PWR is poor value based on its PE Ratio (11.1x) compared to the Construction industry average (10.2x).
PE vs Market: PWR is good value based on its PE Ratio (11.1x) compared to the US market (12.4x).
Price to Earnings Growth Ratio
PEG Ratio: PWR is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: PWR is good value based on its PB Ratio (1.1x) compared to the US Construction industry average (1.2x).
Next Steps
Future Growth
How is Quanta Services forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
12.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PWR's forecast earnings growth (12.7% per year) is above the savings rate (1.7%).
Earnings vs Market: PWR's earnings (12.7% per year) are forecast to grow slower than the US market (13.4% per year).
High Growth Earnings: PWR's earnings are forecast to grow, but not significantly.
Revenue vs Market: PWR's revenue (3.7% per year) is forecast to grow slower than the US market (7.1% per year).
High Growth Revenue: PWR's revenue (3.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PWR's Return on Equity is forecast to be low in 3 years time (10.4%).
Next Steps
Past Performance
How has Quanta Services performed over the past 5 years?
16.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PWR has high quality earnings.
Growing Profit Margin: PWR's current net profit margins (3.3%) are higher than last year (2.6%).
Past Earnings Growth Analysis
Earnings Trend: PWR's earnings have grown by 16.9% per year over the past 5 years.
Accelerating Growth: PWR's earnings growth over the past year (37.1%) exceeds its 5-year average (16.9% per year).
Earnings vs Industry: PWR earnings growth over the past year (37.1%) exceeded the Construction industry 23.5%.
Return on Equity
High ROE: PWR's Return on Equity (10%) is considered low.
Next Steps
Financial Health
How is Quanta Services's financial position?
Financial Position Analysis
Short Term Liabilities: PWR's short term assets ($3.8B) exceed its short term liabilities ($2.3B).
Long Term Liabilities: PWR's short term assets ($3.8B) exceed its long term liabilities ($2.0B).
Debt to Equity History and Analysis
Debt Level: PWR's debt to equity ratio (33.7%) is considered satisfactory.
Reducing Debt: PWR's debt to equity ratio has increased from 1.8% to 33.7% over the past 5 years.
Debt Coverage: PWR's debt is well covered by operating cash flow (38.5%).
Interest Coverage: PWR's interest payments on its debt are well covered by EBIT (9x coverage).
Balance Sheet
Inventory Level: PWR has a high level of physical assets or inventory.
Debt Coverage by Assets: PWR's debt is covered by short term assets (assets are 2.8x debt).
Next Steps
Dividend
What is Quanta Services's current dividend yield, its reliability and sustainability?
0.65%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: PWR's dividend (0.65%) isn’t notable compared to the bottom 25% of dividend payers in the US market (2.05%).
High Dividend: PWR's dividend (0.65%) is low compared to the top 25% of dividend payers in the US market (5.71%).
Stability and Growth of Payments
Stable Dividend: PWR is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: PWR is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: PWR is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of PWR's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.7yrs
Average management tenure
CEO
Duke Austin (49yo)
4.08s
Tenure
US$8,808,204
Compensation
Mr. Earl C. Austin, Jr., also known as Duke, has been the Chief Operating Officer of Quanta Services, Inc. since January 1, 2013. Mr. Austin has been Director, President and Chief Executive Officer at Quan ...
CEO Compensation Analysis
Compensation vs Market: Duke's total compensation ($USD8.81M) is above average for companies of similar size in the US market ($USD5.69M).
Compensation vs Earnings: Duke's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 4.08yrs | US$8.81m | 0.55% $23.8m | |
| Chief Financial Officer | 7.92yrs | US$3.72m | 0.24% $10.3m | |
| Executive VP & General Counsel | 2.92yrs | US$2.63m | 0.047% $2.0m | |
| President of Pipeline & Industrial Division and Chief Strategy Officer | 3.25yrs | US$4.93m | 0.17% $7.6m | |
| Chief Accounting Officer | 2.92yrs | no data | 0.013% $561.1k | |
| Vice President of Investor Relations | 8.83yrs | no data | no data | |
| President of Electric Power Division | 1.08yrs | no data | no data | |
| VP of Finance & Treasurer | 20.5yrs | US$722.71k | 0.033% $1.4m | |
| Corporate Secretary | no data | no data | no data |
3.7yrs
Average Tenure
53.5yo
Average Age
Experienced Management: PWR's management team is considered experienced (3.7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 4.08yrs | US$8.81m | 0.55% $23.8m | |
| Independent Director | 7.33yrs | US$273.69k | 0.022% $954.0k | |
| Independent Director | 22.25yrs | US$263.69k | 0.17% $7.5m | |
| Independent Chairman | 2.92yrs | US$419.72k | 0.018% $801.1k | |
| Independent Director | 16.08yrs | US$278.69k | 0.031% $1.3m | |
| Director | 0.50yr | no data | no data | |
| Independent Director | 14.92yrs | US$283.69k | 0.015% $657.3k | |
| Independent Director | 13.92yrs | US$258.69k | 0.012% $529.3k | |
| Independent Director | 12.67yrs | US$273.69k | 0.015% $657.3k | |
| Independent Director | 4.08yrs | US$258.69k | 0.011% $488.8k |
10.0yrs
Average Tenure
61.5yo
Average Age
Experienced Board: PWR's board of directors are seasoned and experienced ( 10 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: PWR insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Quanta Services, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Quanta Services, Inc.
- Ticker: PWR
- Exchange: NYSE
- Founded: 1997
- Industry: Construction and Engineering
- Sector: Capital Goods
- Market Cap: US$4.356b
- Shares outstanding: 142.55m
- Website: https://www.quantaservices.com
Number of Employees
Location
- Quanta Services, Inc.
- 2800 Post Oak Boulevard
- Suite 2600
- Houston
- Texas
- 77056
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| PWR | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Feb 1998 |
| QAA | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Feb 1998 |
| 0KSR | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Feb 1998 |
| QAA | BRSE (Berne Stock Exchange) | Yes | Common Stock | CH | CHF | Feb 1998 |
Biography
Quanta Services, Inc. provides specialty contracting services in the United States, Canada, Australia, Latin America, and internationally. Its Electric Power Infrastructure Services segment designs, installs, upgrades, repairs, and maintains electric power transmission and distribution infrastructure, and substation facilities, as well as provides other engineering and technical services; designs, installs, maintains, and repairs commercial and industrial wiring; and operates a postsecondary educational institution. It also offers emergency restoration services, including the repair of infrastructure damaged by inclement weather; installation, maintenance, and upgrade of electric power infrastructure; and installation of smart grid technologies on electric power networks. In addition, this segment provides services related to development of solar, wind, and various natural gas generation facilities, as well as related switchyards and transmission infrastructure; and construction of electric power generation facilities. The company’s Pipeline and Industrial Infrastructure Services segment designs, installs, repairs, and maintains pipeline transmission and distribution systems, gathering systems, production systems, storage systems, and compressor and pump stations, as well as offers related trenching, directional boring, and mechanized welding services; and designs, installs, and maintains fueling systems, and water and sewer infrastructure. This segment also provides pipeline protection, integrity testing, and rehabilitation and replacement, as well as pipeline support systems, and related structures and facilities fabrication services; and high-pressure and critical-path turnaround, electrical, piping, fabrication, and storage tank services. The company serves electric power, energy, and communications companies, as well as commercial, industrial, and governmental entities. Quanta Services, Inc. was founded in 1997 and is headquartered in Houston, Texas.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/04 07:43 |
| End of Day Share Price | 2020/04/03 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.