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Should you consider NYSE:PWR for quality investing?

By Mill Chart

Last update: Dec 18, 2024

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.


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Some of the quality metrics of NYSE:PWR highlighted

  • QUANTA SERVICES INC has achieved substantial revenue growth over the past 5 years, with a 13.33% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
  • The ROIC excluding cash and goodwill of QUANTA SERVICES INC stands at 20.3%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
  • QUANTA SERVICES INC maintains a healthy Debt/Free Cash Flow Ratio of 2.32, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
  • QUANTA SERVICES INC exhibits impressive Profit Quality (5-year) with a 119.0% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
  • The 5-year EBIT growth of QUANTA SERVICES INC has been remarkable, with 13.45% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
  • The EBIT 5-year growth of QUANTA SERVICES INC has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.

How does the complete fundamental picture look for 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.

We assign a fundamental rating of 6 out of 10 to PWR. PWR was compared to 45 industry peers in the Construction & Engineering industry. PWR has an average financial health and profitability rating. PWR shows excellent growth, but is valued quite expensive already. With these ratings, PWR could be worth investigating further for growth investing!.

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

More quality stocks can be found in our Caviar Cruise screen.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

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