For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries.
Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.
What if you'd invested in Quanta Services (PWR) ten years ago? It may not have been easy to hold on to PWR for all that time, but if you did, how much would your investment be worth today?
Quanta Services' Business In-Depth
With that in mind, let's take a look at Quanta Services' main business drivers.
Quanta Services, Inc. is a leading national provider of specialty contracting services, and one of the largest contractors serving the transmission and distribution sector of the North American electric utility industry. Quanta has operations in the United States, Canada, Australia and other selected international markets.
Starting from the first quarter of 2025, Quanta reports results under two reportable segments: Electric Infrastructure Solutions and Underground Utility and Infrastructure Solutions. The move highlights efficient allocation of resources and better management of the strategies and comprehensive solutions for its growing and increasingly converging addressable markets.
Electric Infrastructure Solutions segment (accounting for 79.3% of first-quarter 2025 revenues): This segment is the amalgamation of the previously reported Electric Power Infrastructure Solutions and the Renewable Energy Infrastructure Solutions segments. This new segment indulges in comprehensive services for the electric power, renewable energy, technology and communications markets. A few of its core services include the design, procurement, new construction, upgrade and repair and maintenance services for electric power transmission and distribution infrastructure; solar and hydropower generation facilities and battery storage facilities; and installation of “smart grid” technologies on electric power networks.
Underground Utility and Infrastructure Solutions segment (20.7%): This segment provides solutions to customers involved in the transportation of natural gas, oil and other pipeline products. Services include design, installation, repair and maintenance of oil and gas transmission and distribution systems, and related trenching and directional boring services. Also, this segment provides pipeline protection services, high-pressure and critical-path turnaround services to the downstream and midstream energy markets.
Bottom Line
Anyone can invest, but building a successful investment portfolio requires research, patience, and a little bit of risk. So, if you had invested in Quanta Services, ten years ago, you're likely feeling pretty good about your investment today.
According to our calculations, a $1000 investment made in October 2015 would be worth $22,155.75, or a gain of 2,115.57%, as of October 29, 2025, and this return excludes dividends but includes price increases.
In comparison, the S&P 500's gained 229.65% and the price of gold went up 232.10% over the same time frame.
Analysts are anticipating more upside for PWR.
Shares of Quanta have outperformed the industry year to date. It is benefiting from increasing demand for electric transmission and grid modernization, fueled by the exponential rise in power needs from data centers, AI adoption and domestic manufacturing policies. Its record $35.8 billion backlog underscores long-cycle visibility, while acquisitions and investment in Bell Lumber expand its addressable markets and supply chain capabilities. Moreover, Quanta's self-perform model and $288 million year-to-date free cash flow enhance execution and capital deployment. Earnings estimates for 2025 have moved up in the past 60 days, depicting analysts' optimism. However, rising labor and material costs, regulatory reliance, and cyclical utility spending create risks, while competition and a valuation premium temper its near-term upside.
Shares have gained 6.07% over the past four weeks and there have been 3 higher earnings estimate revisions for fiscal 2025 compared to none lower. The consensus estimate has moved up as well.
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Quanta Services, Inc. (PWR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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