Is QUANTA SERVICES INC (NYSE:PWR) suited for quality investing?

In this article we will dive into QUANTA SERVICES INC (NYSE:PWR) as a possible candidate for quality investing. Investors should always do their own research, but we noticed QUANTA SERVICES INC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Highlighting Notable Quality Metrics of NYSE:PWR.

• Over the past 5 years, QUANTA SERVICES INC has experienced impressive revenue growth, with 13.33% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• With a notable ROIC excluding cash and goodwill at 20.3%, QUANTA SERVICES INC demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
• The Debt/Free Cash Flow Ratio of QUANTA SERVICES INC stands at 2.32, reflecting the company's prudent capital structure and cash flow dynamics. This ratio highlights the company's ability to generate robust free cash flow relative to its debt obligations.
• With a favorable Profit Quality (5-year) ratio of 119.0%, QUANTA SERVICES INC showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
• QUANTA SERVICES INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 13.45%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• QUANTA SERVICES INC has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

Fundamental analysis of NYSE:PWR

At ChartMill, a crucial aspect of their analysis is the assignment of a Fundamental Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous fundamental indicators and properties.

PWR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 44 industry peers in the Construction & Engineering industry. PWR has only an average score on both its financial health and profitability. While showing a medium growth rate, PWR is valued expensive at the moment.

Check the latest full fundamental report of PWR for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.