Quanta Services (PWR) versus Its Competitors Head to Head Contrast

Quanta Services (NYSE:PWR) is one of 188 publicly-traded companies in the “Construction & Engineering” industry, but how does it compare to its competitors? We will compare Quanta Services to similar businesses based on the strength of its institutional ownership, valuation, profitability, earnings, analyst recommendations, dividends and risk.

Earnings and Valuation

This table compares Quanta Services and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Quanta Services	$28.48 billion	$1.03 billion	45.91
Quanta Services Competitors	$10.76 billion	$456.60 million	-5,803.92

Quanta Services has higher revenue and earnings than its competitors. Quanta Services is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Quanta Services and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Quanta Services	4.51%	23.56%	8.13%
Quanta Services Competitors	-4.05%	2.62%	3.83%

Volatility & Risk

Quanta Services has a beta of 1.29, indicating that its share price is 29% more volatile than the S&P 500. Comparatively, Quanta Services’ competitors have a beta of 1.60, indicating that their average share price is 60% more volatile than the S&P 500.

Dividends

Quanta Services pays an annual dividend of $0.44 per share and has a dividend yield of 0.1%. Quanta Services pays out 4.0% of its earnings in the form of a dividend. As a group, “Construction & Engineering” companies pay a dividend yield of 2.4% and pay out 25.6% of their earnings in the form of a dividend. Quanta Services has increased its dividend for 6 consecutive years.

Analyst Recommendations

This is a summary of current ratings and target prices for Quanta Services and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Quanta Services	3	6	23	1	2.67
Quanta Services Competitors	847	3457	7347	359	2.60

Quanta Services presently has a consensus target price of $763.81, suggesting a potential upside of 50.70%. As a group, “Construction & Engineering” companies have a potential upside of 49.03%. Given Quanta Services’ stronger consensus rating and higher probable upside, analysts plainly believe Quanta Services is more favorable than its competitors.

Institutional and Insider Ownership

90.5% of Quanta Services shares are owned by institutional investors. Comparatively, 48.9% of shares of all “Construction & Engineering” companies are owned by institutional investors. 0.6% of Quanta Services shares are owned by company insiders. Comparatively, 20.9% of shares of all “Construction & Engineering” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Quanta Services beats its competitors on 12 of the 15 factors compared.

About Quanta Services

Quanta Services, Inc. provides infrastructure solutions for the electric and gas utility, renewable energy, communications, and pipeline and energy industries in the United States, Canada, Australia, and internationally. The company’s Electric Power Infrastructure Solutions segment engages in the design, procurement, construction, upgrade, repair, and maintenance of electric power transmission and distribution infrastructure and substation facilities; installation, maintenance, and upgrade of electric power infrastructure projects; installation of smart grid technologies on electric power networks; and design, installation, maintenance, and repair of commercial and industrial wirings. This segment also offers aviation services; emergency restoration services; and other engineering and technical services; design and construction solutions to wireline and wireless communications, cable multi-system operators, and other customers; and training for electric workers, as well as training for the gas distribution and communications industries. The company’s Renewable Energy Infrastructure Solutions segment is involved in engineering, procurement, construction, repair, and maintenance of wind, solar, and hydropower generation facilities, as well as battery storage facilities; and provision of engineering and construction services for substations and switchyards, transmission, and other electrical infrastructures. The company’s Underground Utility and Infrastructure Solutions segment offers design, engineering, procurement, construction, upgrade, repair, and maintenance services for natural gas systems for gas utility customers; fabrication services for pipeline support systems and structures and facilities; and engineering and construction services for pipeline and storage systems, and compressor and pump stations. The company was formerly known as Fabal Construction, Inc. and changed its name to Quanta Services, Inc. in November 1997. The company was incorporated in 1997 and is headquartered in Houston, Texas.