3 Reasons Why Quanta Services (PWR) Is a Great Growth Stock

Core Viewpoint - Growth investors are increasingly focused on stocks with above-average financial growth, but identifying such stocks can be challenging due to inherent risks and volatility [1] Group 1: Company Overview - Quanta Services (PWR) is currently highlighted as a recommended growth stock based on the Zacks Growth Style Score, which evaluates a company's real growth potential beyond traditional metrics [2] - The company has a historical EPS growth rate of 23.2%, with projected EPS growth of 18.2% this year, significantly outperforming the industry average of 10.2% [4] Group 2: Financial Metrics - Quanta Services has an asset utilization ratio (sales-to-total-assets ratio) of 1.4, indicating that the company generates $1.4 in sales for every dollar in assets, surpassing the industry average of 1.17 [5] - The company's sales are expected to grow by 11.9% this year, compared to the industry average of 5.6%, showcasing strong sales growth potential [6] Group 3: Earnings Estimates - The current-year earnings estimates for Quanta Services have been revised upward, with the Zacks Consensus Estimate increasing by 0.3% over the past month, indicating positive momentum [8] - The combination of strong earnings growth, efficient asset utilization, and positive earnings estimate revisions positions Quanta Services favorably for outperformance in the market [9]