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.

Quanta Services, Inc.

Primoris Services Corporation PRIM has been witnessing strong demand trends for projects concerning power delivery, gas operations and communication. It is witnessing an uptick in power-related projects not only across industrial and residential market sections, but also due to the increased demand for emerging technologies and data center development. This tailwind is directly aiding its Utilities segment, through which it offers services across power and gas distribution, communications infrastructure and underground utility. During the first six months of 2025, the revenues from the Utilities segment grew year over year by 13.4% to $1.26 billion, with total segmental backlog as of June 30 increasing 15.1% to $6.03 billion.
Recently, PRIM highlighted the evaluation process for about $1.7 billion of work related to data centers, which it expects to receive contracts for by the end of 2025. These projects include solutions across early-stage site preparation, power generation, utility infrastructure and fiber network construction. This prospective multi-year opportunity is expected to boost the company’s revenue visibility as well as expand its market exposure towards new project possibilities in the future.
Besides favorable market trends, the company is also undertaking strategic measures to ensure operational efficiency and expand the bottom line. It is putting efforts into keeping the cost and expense structure mix pliable to not pressurize margins despite revenue growth. During the first six months of 2025, the company’s gross margin expanded year over year by 60 basis points (bps) to 11.4% because of rising leverage from the increased top line and its ongoing cost-optimization efforts. During the said time frame, adjusted earnings per share increased to $2.66 from $1.52 a year ago.
Earnings Estimate Revision of PRIM
PRIM’s earnings estimates for 2025 and 2026 have trended upward in the past 30 days to $4.67 and $5.23 per share, respectively. The estimated figures for 2025 and 2026 imply year-over-year growth of 20.7% and 12.1%, respectively.
Image Source: Zacks Investment Research
The favorable year-over-year comparisons indicate that PRIM will be able to capitalize on its in-house business strategies and ensure incremental prospects amid favorable market fundamentals.
Primoris vs. Other Market Players
Firms like EMCOR Group EME and Quanta Services, Inc. PWR offer substantial competition to Primoris Services in the public infrastructure field, mainly across power, communications and industrial infrastructure.
EMCOR’s breadth in mechanical and electrical construction and Quanta Services’ dominance in electric power infrastructure create intense competition, with Primoris Services competing by focusing on niche strengths in utility, pipeline and specialty contracting. Although the mentioned market players often secure the largest projects, PRIM is competitive on specialized contracts and selective bidding, giving it an edge in profitability and execution in its chosen areas. Its ability to balance risk and remain agile helps it carve out a defensible position despite the scale advantage of EMCOR and Quanta Services.
PRIM Stock’s Price Performance & Valuation Trend
Shares of this Texas-based specialty construction and infrastructure company have surged 73.7% in the past six months, significantly outperforming the Zacks Building Products - Heavy Construction industry, the broader Zacks Construction sector and the S&P 500 index.
Image Source: Zacks Investment Research
PRIM stock is currently trading at a premium compared with the industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 22.21, as evidenced by the chart below. The overvaluation of the stock compared with its industry peers indicates its strong potential in the market.
Image Source: Zacks Investment Research
The stock currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
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Quanta Services, Inc. (PWR) : Free Stock Analysis Report
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Will Strong Utilities Demand Drive Primoris Services' EPS Higher?

Thursday, August 21, 2025
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Alphabet Inc. (GOOGL), Exxon Mobil Corp. (XOM) and AbbVie Inc. (ABBV). These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
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You can read today's AWS here >>> Jobless Claims Up, Philly Fed Down, Walmart Q2 Mixed
Today's Featured Research Reports
Shares of Alphabet have gained +5.5% over the year-to-date period against the Zacks Internet - Services industry’s gain of +6.9%. The company is riding on strong cloud and search growth. Google Cloud is benefiting from accelerated growth across AI infrastructure and Generative AI Solutions. Google Cloud’s annual revenue run rate is now more than $50 billion.
GOOGL is advancing visual and contextual search capabilities. The Circle to Search feature is now active on more than 300 million devices. AI Overviews now reach more than 2 billion users per month and are available in over 200 countries across 40 languages. It is now driving over 10% more queries globally.
Google Cloud is benefiting from its partnership with the likes of NVIDIA and PayPal. Google Cloud’s expanding clientele is expected to boost GOOGL’s top line. However, increasing litigation issues and intensifying competition in cloud computing are concerns.
(You can read the full research report on Alphabet here >>>)
Exxon Mobil’s shares have gained +3.7% over the year-to-date period against the Zacks Oil and Gas - Integrated - International industry’s gain of +6.7%. The company is advancing key oil projects in the Permian Basin and offshore Guyana, boosting production and efficiency. Its recent merger with Pioneer enhances its U.S. operations, while Guyana remains a major growth driver.
Exxon Mobil is also expanding into cleaner energy, with a major low-carbon hydrogen and ammonia plant in Texas and progress in advanced plastic recycling. The company’s low debt exposure positions it to navigate different commodity cycles with ease. The company reported better-than-expected second-quarter earnings fueled by higher liquid production from the United States and stronger industry refining margins.
However, the Chemicals Division remains a weak spot, with global oversupply leading to margin compression. Moreover, ongoing tariff tensions are weighing on the energy giant’s already oversupplied chemicals business.
(You can read the full research report on Exxon Mobil here >>>)
Shares of AbbVie have outperformed the Zacks Large Cap Pharmaceuticals industry over the year-to-date period (+21% vs. +0.2%). The company beats second-quarter estimates for both earnings and sales. AbbVie has successfully navigated Humira's loss of exclusivity (LOE) by launching two other successful new immunology medicines, Skyrizi and Rinvoq, which are performing extremely well, bolstered by approvals in new indications.
These should support top-line growth in the next few years. AbbVie is returning to robust revenue growth in 2025, which is just the second year following the U.S. Humira LOE. It has been on an acquisition spree in the past couple of years to bolster its early-stage pipeline that should drive long-term growth.
However, the company faces several near-term headwinds like Humira LOE impact, increasing competitive pressure on Imbruvica and slowing sales of its aesthetics franchise.
(You can read the full research report on AbbVie here >>>)
Other noteworthy reports we are featuring today include Constellation Energy Corp. (CEG), Quanta Services, Inc. (PWR) and Markel Group Inc. (MKL).
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Top Stock Reports for Alphabet, Exxon Mobil & AbbVie

Primoris Services Corporation’s PRIM share price performance has trended upward by 22.8% since reporting the second quarter of 2025 earnings on Aug. 4, outperforming the Zacks Building Products - Heavy Construction industry, the broader Zacks Construction sector and the S&P 500 index. The detailed share price performance can be studied from the chart below.
Image Source: Zacks Investment Research
The company’s second-quarter 2025 adjusted earnings of $1.68 per share and revenues of $1.89 billion topped the Zacks Consensus Estimate by 58.5% and 12.3%, respectively. Year over year, the metrics rose 162.5% and 20.9%, respectively, mainly driven by the growing demand for infrastructure solutions across power generation, electric utility and data centers throughout North America. With several federal and state initiatives supporting public infrastructure demand, the company remains well-positioned for outbound exploration in the market and strengthening its earnings potential in the process. Besides external factors, its internal approach in reducing debt levels and enhancing operating leverage by controlling costs and expenses is not to be missed. Total backlog as of June 30, 2025, increased 10% to $11.49 billion from $10.45 billion a year ago.
Besides, Primoris Services boosted investors’ confidence by lifting its 2025 adjusted earnings per share (EPS) and adjusted EBITDA guidance. It now expects adjusted EPS between $4.90 and $5.10 (up from previously expected in the range of $4.20-$4.40) and adjusted EBITDA between $490 million and $510 million (up from priorly expected range of $440-$460 million).
What is Driving Primoris Services’ Momentum?
Market Trends in Favor: Primoris Services’ expertise mainly lies in constructing utility-scale power generation resources and infrastructure supporting the transmission and distribution of power. As the demand trend for data center infrastructure is going strong currently, the company is looking for opportunities and acting on them to expand its market exposure. The market for data centers and power generation is proving to be incremental for other key market players as well, like EMCOR Group, Inc. EME, Quanta Services, Inc. PWR and MasTec, Inc. MTZ.
Recently, PRIM highlighted the evaluation process for about $1.7 billion of work related to data centers, which it expects to receive contracts for by the end of 2025. These projects include solutions across early-stage site preparation, power generation, utility infrastructure and fiber network construction. This prospective multi-year opportunity is expected to boost the company’s revenue visibility as well as expand its market exposure towards new project possibilities in the future. As of the second quarter of 2025, the company is planning to submit bids for more than $2.5 billion in natural gas generation projects for the upcoming years, alongside about $20-$30 billion worth of solar projects planned through 2028.
Ensuring Operating Leverage: The company is undergoing several internal initiatives to boost its business operations and support revenue growth amid a favorable external market environment. Although these efforts are elevating the cost structure in the short term, the scale prospects in the long term weigh heavily.
Amid these strategic efforts, PRIM is consistently putting efforts into keeping the cost and expense structure mix pliable to not pressurize margins despite revenue growth. During the first six months of 2025, the company’s gross margin expanded year over year by 60 basis points (bps) to 11.4% because of rising leverage from the increased top line and its ongoing cost-optimization efforts. During the same time frame, selling, general and administrative expenses (as a percentage of revenue) contracted year over year by 50 bps to 5.8%.
Reducing Debt Levels: PRIM follows a balanced capital allocation approach, which encompasses effectively using the free cash to reduce debt levels, invest in business opportunities and pay dividends. Regarding debt obligation reduction, as of June 30, 2025, the company’s long-term debt (net of current portion) reduced to $525 million from $660.2 million as of 2024-end.
As of the second quarter of 2025, the company had $390.3 million worth of cash and cash equivalents compared with $455.8 million at 2024-end. As of the said time frame, it had $144.6 million of net cash provided by operating activities against $12.4 million of net cash used in operating activities a year ago. Currently, Primoris Services has sufficient liquidity to meet its short-term obligations of $78.1 million.
Understanding PRIM’s Competitive Position in the Market
Primoris Services holds a solid yet smaller-scale position compared with its larger peers, EMCOR, MasTec and Quanta. While these market players dominate with greater scale and diversification across power, communications and industrial infrastructure, Primoris Services competes by focusing on niche strengths in utility, pipeline and specialty contracting. EMCOR’s breadth in mechanical and electrical construction, MasTec’s leadership in communications and energy transition projects, and Quanta Services’ dominance in electric power infrastructure create intense competition. However, Primoris Services differentiates itself with strong regional relationships, mid-market flexibility and targeted growth in renewable and civil sectors.
Although the mentioned market players often secure the largest projects, PRIM is competitive on specialized contracts and selective bidding, giving it an edge in profitability and execution in its chosen areas. Its ability to balance risk and remain agile helps it carve out a defensible position despite the scale advantage of EMCOR, MasTec and Quanta Services.
Month-to-date, shares of EMCOR and Quanta have tumbled 3.1% and 3.7%, respectively, while those of MasTec have inched up 2.1%.
Earnings Estimate Revision of PRIM
PRIM’s earnings estimates for 2025 and 2026 have trended upward in the past seven days to $4.67 and $5.23 per share, respectively. The estimated figures for 2025 and 2026 imply year-over-year growth of 20.7% and 12.1%, respectively.
Image Source: Zacks Investment Research
The favorable year-over-year comparisons indicate that PRIM will be able to capitalize on its in-house business strategies and ensure incremental prospects amid favorable market fundamentals.
PRIM Trading at a Premium
PRIM stock is currently trading at a premium compared with the industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 22.28, as evidenced by the chart below. The overvaluation of the stock compared with its industry peers indicates its strong potential in the market. However, this trend is making it difficult for investors to figure out a suitable entry point.
Image Source: Zacks Investment Research
Should You Go for PRIM Stock?
Primoris Services is strongly capitalizing on the ongoing market trajectory toward public infrastructure demand. Several government initiatives backing this demand are currently reaching their peak and are expected to continue for more coming years. Project demand for sectors like data centers is going strong, opening new doors for companies like PRIM to explore new service possibilities despite certain ongoing macro risks.
The long-term positioning of the company is visible from the upward earnings estimate revisions and positive year-over-year comparisons, despite a premium valuation obstructing investors’ judgment.
Analysts’ optimism regarding PRIM stock is reflected in nine of the 10 recommendations pointing to a "Strong Buy”, representing 90% of all recommendations.
Image Source: Zacks Investment Research
Thus, based on the above discussion and trends of the technical indicators, this Zacks Rank #1 (Strong Buy) stock is a decent choice to be added to the portfolio for now. You can see the complete list of today’s Zacks #1 Rank stocks here.
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Primoris Services Stock Up 22.8% Since Q2 Earnings: Buy or Wait?

AECOM’s ACM growth prospects are gaining from the robust public infrastructure spending environment, with several federal and state initiatives across the United States backing the wave. Given the company’s expertise across diversified service offerings, it is successfully managing to capitalize on these opportunities and boost its revenue visibility in the process.
Moreover, ACM prioritizing sustainability and innovation is resonating with the clients’ priorities and global trends, further catalyzing the growth trends.
However, amid all the favorable market trends, the company faces challenges due to macroeconomic uncertainties and potential project delays, especially across government projects.
What’s Driving AECOM’s Momentum?
Global Public Spending Trends: AECOM has been witnessing robust market trends due to the $1.2 trillion Infrastructure Investment and Jobs Act (IIJA) in the United States, with public infrastructure demand reaching new heights. Recently, the company highlighted that since the launch, only about 36% of the IIJA funding has been spent across its target markets. This positioning reflects incremental long-term revenue visibility for it mainly across key market segments, including AI (with data centers taking the major share), water, transportation, aviation, coastal protection and electricity. These favorable trends are also being shared by a few key market players, including Jacobs Solutions Inc. J, EMCOR Group, Inc. EME and Quanta Services, Inc. PWR, offering substantial competition to AECOM, especially across data center projects.
Similar public spending trends are now visible in AECOM’s international markets, including the United Kingdom, Canada, the UAE and Asia. The recent 10-year infrastructure strategy announcement by the U.K. government highlights investments of GBP 725 billion across key sectors, including transportation, water and energy, reflecting heightened opportunities for the company in the upcoming term. In the Middle East, AECOM successfully managed to align its opportunities with the shifts in investment priorities for infrastructure development for the World Expo and World Cup in Saudi Arabia. With Canada’s aim of prioritizing public infrastructure projects 60% quicker, the company is positioned to capitalize on these tailwinds in the near and long term.
Favorable Long-Term Growth Positioning: Thanks to the robust initiation of government strategies regarding the enhancement of public infrastructure, alongside AECOM’s in-house capabilities, the company’s backlog is growing, in turn, increasing revenue visibility in the upcoming period. As of the third quarter of fiscal 2025, the total backlog was $24.59 billion, up 5% from $23.36 billion reported in the prior-year period. Moreover, during the first nine months of fiscal 2025, NSR grew 6% on an adjusted basis to $1.938 billion, with net service revenues (defined as revenues excluding subcontractor and other direct costs) in the Americas and International segments growing year over year by 8% and 3%, respectively.
The company’s investment strategies to enhance leadership, technical development and AI capabilities offer its substantial competitive advantage over its market peers, underpinning its ability to consistently secure large and complex projects, as indicated in its top rankings by Engineering News-Record across major markets. For the long term, AECOM aims to achieve 5-8% organic NSR growth annually, with at least 20-30 basis points of adjusted operating margin and adjusted EBITDA margin expansion.
Focus on Sustainability & Innovation: AECOM’s investments in digital water systems, predictive analytics and energy-efficient infrastructure position it as a forward-thinking leader. The adoption of digital water solutions is addressing a $70 billion market opportunity through 2030, particularly in regions like the United States and the United Kingdom, where water utilities are undergoing modernization.
Thanks to its innovative approach regarding sustainability, the company was recently selected by a major U.S. water client for a significant metering project, indicating the growing demand for accurate water management. Through a combination of strong market trends, strategic focus and operational excellence, AECOM is poised to capitalize on long-term growth drivers while maintaining its leadership in the global infrastructure space.
Risks to AECOM’s Growth
Lingering Macro Risks: AECOM operates across multiple geographies. Factors like changes in the United States’ and other national governments’ trade policies, regulatory practices, tariffs and taxes, further devaluations and other conversion restrictions and logistical & communication challenges might adversely impact the company’s financials. The ongoing uncertainties surrounding the new tariff regime are hammering the nail, and are expected to dig in deeper in the upcoming period in the form of increased costs and expenses.
In fiscal 2024, 27% of total revenues were attributable to the services provided to non-U.S. clients. The ongoing conflict between Russia and Ukraine, political and economic instability in the Middle East and Southeast Asia and currency fluctuations are posing as major threats to the company in the current environment.
Project Delays: The company derives a considerable share of its revenues from government projects, exposing it more to the adverse impacts of alterations in the government rules and regulations. Moreover, the company’s inability to renew government contracts during regulated procurement processes can materially impact operations and reduce profits & revenues going forward.
During fiscal 2024, 2023 and 2022, approximately 46%, 43% and 41%, respectively, of its total revenues were derived from contracts with government entities. Given the long-term nature of most government contracts, any budgetary changes during the tenure are expected to negatively affect AECOM’s business.
Details on the Other Market Players
Jacobs: This Texas-based provider of professional, technical and construction services is witnessing steady progress across key sectors, including Life Sciences, Data Center, Energy & Power, Water and Transportation. Jacobs has been witnessing strong growth in Water and Environmental services, driven by government-backed infrastructure projects, climate resilience initiatives and investments in aging infrastructure. At the fiscal third-quarter 2025 end, the backlog of $22.7 billion was up 14.3% on a year-over-year basis, with a book-to-bill ratio of 1.2x.
EMCOR: This Connecticut-based mechanical and electrical construction, industrial and energy infrastructure, and building services provider is massively gaining from the growing infrastructural demand across the network and communications sector, mainly in data centers. As of June 30, 2025, Remaining Performance Obligations (RPOs) were $11.91 billion, indicating 22% organic growth and 32.4% growth after including Miller Electric’s acquisition contribution, year over year. The diversity in EMCOR’s RPOs stretches across various market segments, with the networking and communications sector contributing about $3.8 billion (as of June 30), and the healthcare sector contributing $1.4 billion.
Quanta: This Texas-based infrastructure services provider’s strength lies in its ability to deliver complex, large-scale projects such as power grid modernization, solar and wind farm buildouts and next-gen telecom networks. Moreover, the recent acquisition of Dynamic Systems (DSI), LLC, strengthens Quanta’s critical path capabilities and front-end services for the growing technology, manufacturing and other load center markets. As of June 30, 2025, the company had a total backlog of $35.84 billion, with a 12-month backlog of $20.05 billion.
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Can AECOM's $24.6B Backlog Weather Economic and Policy Shocks?

Sterling Infrastructure, Inc. STRL is benefiting from the ongoing demand trends across public infrastructure, especially for data center buildouts, AI infrastructure and utility grid modernization. Amid the favorable market fundamentals, to further boost its capabilities, the company also engages in inorganic initiatives, which can be substantiated by its recent strategic move.
On June 16, 2025, the company entered into a definitive agreement to acquire CEC Facilities Group, LLC, under its E-Infrastructure Solutions segment, and the acquisition is expected to close by the third quarter of 2025. CEC Facilities is a Texas-based specialty electrical and mechanical contractor, which is expected to amplify the capabilities of STRL across mission-critical electrical and mechanical services across existing and new markets, like Texas. The company believes that after the full integration of CEC Facilities’ capabilities, the combined service portfolio will be able to offer higher value, end-to-end E-Infrastructure solutions to its customers, thus ensuring higher value and better revenue visibility in the upcoming period.
As of the first six months of 2025, the E-Infrastructure Solutions segment contributed 51% to Sterling’s total revenues, growing 24.2% year over year to $528.7 million. As of June 30, 2025, E-Infrastructure Solutions’ backlog was up year over year by 44% to $1.2 billion, with major contributors being mission-critical projects, including data centers and manufacturing.
Combined with the synergies from the acquisition of CEC Facilities, the favorable market trends for public infrastructure demand are likely to boost the revenue visibility and profitability structure for Sterling in the upcoming period. Moreover, tapping into new markets through the acquisition is just an add-on to the tailwinds backing up STRL’s progress.
STRL Stock’s Price Performance vs. Other Market Players
Shares of this Texas-based infrastructure services provider have surged 117.6% in the past six months, significantly outperforming the Zacks Engineering - R and D Services industry, the broader Zacks Construction sector and the S&P 500 index.
Image Source: Zacks Investment Research
Moreover, firms like Quanta Services, Inc. PWR and AECOM ACM offer substantial competition to Sterling in the public infrastructure field, especially across mission-critical infrastructure solutions. Although the market trends are favoring these companies, they are falling behind in realizing the benefits from the robust fundamentals compared with STRL. In the past six months, shares of Quanta Services and AECOM have gained 29.7% and 14.7%, respectively.
Sterling’s Valuation Trend
Sterling stock is currently trading at a premium compared with the industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 32.17, as evidenced by the chart below. The overvaluation of the stock compared with its industry peers indicates its strong potential in the market, given the favorable trends backing it up.
Image Source: Zacks Investment Research
Notably, Quanta Services and AECOM are currently trading at a forward 12-month P/E ratio of 33.57 and 20.83, respectively.
EPS Trend of Sterling
For 2025 and 2026, STRL’s earnings estimates have trended upward in the past seven days to $8.90 and $9.74 per share, respectively. The revised estimated figures reflect 45.9% and 9.4% year-over-year growth, respectively.
Earnings Estimate Revision
Image Source: Zacks Investment Research
The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Will the CEC Acquisition Push Sterling Into New Growth Markets?

Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the SP Funds S&P 500 Sharia Industry Exclusions ETF (Symbol: SPUS), we found that the implied analyst target price for the ETF based upon its underlying holdings is $51.31 per unit.
With SPUS trading at a recent price near $46.66 per unit, that means that analysts see 9.95% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of SPUS's underlying holdings with notable upside to their analyst target prices are Charles River Laboratories International Inc. (Symbol: CRL), Quanta Services, Inc. (Symbol: PWR), and Labcorp Holdings Inc (Symbol: LH). Although CRL has traded at a recent price of $148.74/share, the average analyst target is 11.65% higher at $166.07/share. Similarly, PWR has 11.06% upside from the recent share price of $386.15 if the average analyst target price of $428.86/share is reached, and analysts on average are expecting LH to reach a target price of $293.41/share, which is 10.37% above the recent price of $265.85. Below is a twelve month price history chart comparing the stock performance of CRL, PWR, and LH:
Below is a summary table of the current analyst target prices discussed above:
Name
Symbol
Recent Price
Avg. Analyst 12-Mo. Target
% Upside to Target
Charles River Laboratories International Inc.
CRL
$148.74
$166.07
11.65%
Quanta Services, Inc.
PWR
$386.15
$428.86
11.06%
Labcorp Holdings Inc
LH
$265.85
$293.41
10.37%
Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Analysts Expect 10% Gains Ahead For The Holdings of SPUS

Below is Validea's guru fundamental report for QUANTA SERVICES INC (PWR). Of the 22 guru strategies we follow, PWR rates highest using our Twin Momentum Investor model based on the published strategy of Dashan Huang. This momentum model looks for a combination of fundamental momentum and price momentum.
QUANTA SERVICES INC (PWR) is a large-cap growth stock in the Construction Services industry. The rating using this strategy is 94% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of QUANTA SERVICES INC
More Information on Dashan Huang
About Dashan Huang: Dashan Huang is an Assistant Professor of Finance at the Lee Kong Chian School of Business at Singapore Management University. His paper "Twin Momentum" looked at combining traditional price momentum with improving fundamentals to generate market outperformance. In the paper, he identified seven fundamental variables (earnings, return on equity, return on assets, accrual operating profitability to equity, cash operating profitability to assets, gross profit to assets and net payout ratio) that he combined into a single fundamental momentum measure. He showed that stocks in the top 20% of the universe according to that measure outperformed the market going forward. When he combined that measure with price momentum, he was able to double its outperformance.
Additional Research Links
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

PWR Quantitative Stock Analysis

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Quanta (PWR) Q2 2025 Earnings Call Transcript

Sterling Infrastructure, Inc. STRL is actively investing in enhancing its modular construction capabilities and inorganic business initiatives. The current market demand is actively shifting toward data center buildouts, AI infrastructure and utility grid modernization, which is proving favorable for the company’s prospects in the long term. Amid this robust market trend, STRL is engaging in expanding its modular fabrication capacity, being optimistic about the scalable and margin-accretive characteristics of such mission-critical projects.
Through the E-Infrastructure Solutions segment, Sterling operates the business for modular buildings and data centers. Backed by the robust market trends, the E-Infrastructure segment’s (51% of first-quarter 2025 revenues) backlog grew 27% year over year to $1.2 billion as of the first quarter of 2025, with data center-related work accounting for more than 65%.
Besides modular expenditures, Sterling also actively focuses on making strategic investments in mergers and acquisitions (M&A). It believes that bolt-on acquisitions and scalable partnerships are likely to boost its business capabilities and market share, thus offering it a competitive advantage over its peers. Recently, on June 17, 2025, STRL announced the signing of a definitive agreement to acquire CEC Facilities Group, LLC for $505 million, under its E-Infrastructure Solutions segment. CEC Facilities is a non-union electrical contractor with operations focused on fast-growing markets such as data centers, semiconductors and manufacturing, based in Texas. The combined business is expected to benefit from cross-selling opportunities and a broader customer base, thus strengthening Sterling’s market reach across Texas and other key regions.
For 2025, STRL expects capital expenditures to be between $70 million and $80 million, up from $70.8 million in 2024. Thus, with the in-house strategies combined with the favorable market fundamentals, the company is expected to boost its revenue visibility and profit structure in the upcoming period.
STRL Stock’s Price Performance vs. Other Market Players
Shares of this Texas-based infrastructure services provider have surged 69% in the past three months, significantly outperforming the Zacks Engineering - R and D Services industry, the broader Zacks Construction sector and the S&P 500 index.
Image Source: Zacks Investment Research
Moreover, firms like Quanta Services, Inc. PWR and EMCOR Group, Inc. EME offer substantial competition to Sterling in the public infrastructure field, especially across mission-critical infrastructure solutions. Although the market trends are favoring these companies, they are falling behind in realizing benefits from the robust fundamentals compared with STRL. In the past three months, shares of Quanta Services and EMCOR have gained 40.2% and 41.1%, respectively.
Sterling’s Valuation Trend
Sterling stock is currently trading at a premium compared with the industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 27.78, as evidenced by the chart below. The overvaluation of the stock compared with its industry peers indicates its strong potential in the market, given the favorable trends backing it up.
Image Source: Zacks Investment Research
Notably, Quanta Services and EMCOR are currently trading at a forward 12-month P/E ratio of 36.62 and 23.48, respectively.
EPS Trend of STRL
For 2025 and 2026, STRL’s earnings estimates have remained unchanged over the past 60 days at $8.61 and $9.48 per share, respectively. However, the estimated figures reflect 41.2% and 10.1% year-over-year growth, respectively.
Image Source: Zacks Investment Research
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
#1 Semiconductor Stock to Buy (Not NVDA)
The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.
One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Will Modular CapEx and M&A Keep Sterling in Growth Mode?

Two factors often determine stock prices in the long run: earnings and interest rates. Investors can't control the latter, but they can focus on a company's earnings results every quarter.
The earnings figure itself is key, of course, but a beat or miss on the bottom line can sometimes be just as, if not more, important. Therefore, investors should consider paying close attention to these earnings surprises, as a big beat can help a stock climb and vice versa.
Now that we know how important earnings and earnings surprises are, it's time to show investors how to take advantage of these events to boost their returns by utilizing the Zacks Earnings ESP filter.
The Zacks Earnings ESP, Explained
The Zacks Earnings ESP, or Expected Surprise Prediction, aims to find earnings surprises by focusing on the most recent analyst revisions. The basic premise is that if an analyst reevaluates their earnings estimate ahead of an earnings release, it means they likely have new information that could possibly be more accurate.
With this in mind, the Expected Surprise Prediction compares the Most Accurate Estimate (being the most recent) against the overall Zacks Consensus Estimate. The percentage difference provides the ESP figure. The system also utilizes our core Zacks Rank to provide a stronger system for identifying stocks that might beat their next quarterly earnings estimate and possibly see the stock price climb.
When we join a positive earnings ESP with a Zacks Rank #3 (Hold) or stronger, stocks posted a positive bottom-line surprise 70% of the time. Plus, this system saw investors produce roughly 28% annual returns on average, according to our 10 year backtest.
Stocks with a #3 (Hold) ranking, which is most stocks covered at 60%, are expected to perform in-line with the broader market. But stocks that fall into the #2 (Buy) and #1 (Strong Buy) ranking, or the top 15% and top 5% of stocks, respectively, should outperform the market. Strong Buy stocks should outperform more than any other rank.
Should You Consider Aspen Aerogels?
The last thing we will do today, now that we have a grasp on the ESP and how powerful of a tool it can be, is to quickly look at a qualifying stock. Aspen Aerogels (ASPN) holds a #2 (Buy) at the moment and its Most Accurate Estimate comes in at $0.06 a share 30 days away from its upcoming earnings release on August 7, 2024.
By taking the percentage difference between the $0.06 Most Accurate Estimate and the $0.05 Zacks Consensus Estimate, Aspen Aerogels has an Earnings ESP of +28.57%. Investors should also know that ASPN is one of a large group of stocks with positive ESPs. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
ASPN is one of just a large database of Construction stocks with positive ESPs. Another solid-looking stock is Louisiana-Pacific (LPX).
Louisiana-Pacific, which is readying to report earnings on August 7, 2024, sits at a Zacks Rank #1 (Strong Buy) right now. It's Most Accurate Estimate is currently $2.03 a share, and LPX is 30 days out from its next earnings report.
Louisiana-Pacific's Earnings ESP figure currently stands at +0.5% after taking the percentage difference between its Most Accurate Estimate and its Zacks Consensus Estimate of $2.02.
Because both stocks hold a positive Earnings ESP, ASPN and LPX could potentially post earnings beats in their next reports.
Find Stocks to Buy or Sell Before They're Reported
Use the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>
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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Indicator	TTM Median
P/E	48.54 21.57
Price/Sales	1.85 1.27
P/B	5.90 2.25
P/FCF	28.25 17.73

Indicator	TTM Median
ROE	13.21 15.62
ROA	5.24 6.45
ROI	8.66 9.56
Net Worth	43.92 1.27
Quick Ratio	1.26 1.16
Current Ratio	1.30 1.57

Indicator	TTM Median
Net Profit Margin	3.82 7.30
Operating Margin	5.69 10.18
Gross Margin	14.83 32.61
Return on tangible equity	233.59 25.97

Indicator	TTM Median
EPS	1.58 0.49
EPS Forecast	1.45 0.52
Revenue	6.55B 194.00M
Gross Profit	1.06B —
EBITDA	665.00M —

Quanta Services, Inc.

Fundamental PWR

Valuation

Debts

Efficiency

Other ratios

Revenue