Quanta Services (PWR – Research Report), the Industrials sector company, was revisited by a Wall Street analyst yesterday. Analyst Ameet Thakkar from BMO Capital upgraded the rating on the stock to a Buy and gave it a $316.00 price target.
Ameet Thakkar has given his Buy rating due to a combination of factors that highlight Quanta Services as an attractive investment opportunity. The recent decline in the stock price of Quanta Services presents a favorable entry point, as the company is now trading at a valuation that aligns with the broader market. This is particularly appealing given Quanta’s substantial and diversified backlog, which is expected to benefit from a long-term investment cycle in the electric, energy, and telecommunications sectors.
Thakkar also notes that Quanta Services’ recent fiscal year 2025 guidance has reinforced confidence in the company’s growth potential, with multiple avenues for expansion and a favorable risk/reward profile. The company’s valuation has become more reasonable, moving from a previous premium to the S&P 500 to a level that is now in line with market expectations. Additionally, Quanta’s strategic acquisitions and strong position as a key partner to major North American utilities and renewable power developers further support the Buy rating, as these factors are likely to drive future revenue synergies and growth.
In another report released yesterday, Stifel Nicolaus also maintained a Buy rating on the stock with a $323.00 price target.