Quanta Services, Inc. (PWR) Soars to 52-Week High, Time to Cash Out?

Core Insights - Quanta Services (PWR) has shown strong stock performance, with an 8.8% increase over the past month and a 39.5% gain since the beginning of the year, outperforming the Zacks Construction sector and the Zacks Engineering - R and D Services industry [1][2] Financial Performance - The company has consistently exceeded earnings expectations, reporting an EPS of $2.48 against a consensus estimate of $2.43 in its last earnings report [2] - For the current fiscal year, Quanta Services is projected to achieve earnings of $10.58 per share on revenues of $27.8 billion, reflecting a 17.95% increase in EPS and a 17.45% increase in revenues [3] - The next fiscal year forecasts earnings of $12.32 per share on revenues of $30.58 billion, indicating a year-over-year change of 16.47% in EPS and 9.98% in revenues [3] Valuation Metrics - Quanta Services currently trades at a valuation of 41.7 times the current fiscal year EPS estimates, which is significantly higher than the peer industry average of 23.8 times [7] - On a trailing cash flow basis, the stock trades at 33 times compared to the peer group's average of 10.5 times, and it has a PEG ratio of 2.41, suggesting it is not among the top value stocks [7] Style Scores and Zacks Rank - The company has a Value Score of D, while its Growth and Momentum Scores are B and A, respectively, resulting in a combined VGM Score of B [6] - Quanta Services holds a Zacks Rank of 2 (Buy), supported by favorable earnings estimate revisions from analysts [8] - The combination of a Zacks Rank of 1 or 2 and Style Scores of A or B indicates that Quanta Services shares may have further upside potential in the near term [9]