Quanta Services, Inc.
PWR
Electrical Work
Mkt Cap
$40.81BPE
53.14Debt
$4.267BCash
$533.4MEV
$44.54BFCF
$1.338BP/E Ratio
53.14Debt
$4.267BCash
$533.4MEV
$44.54BFCF
$1.338BCharts data: {"Earnings":[{"time":"2014-12-30","value":296714000},{"time":"2015-12-30","value":310907000},{"time":"2016-12-30","value":198383000},{"time":"2017-12-30","value":314978000},{"time":"2018-12-30","value":293346000},{"time":"2019-12-30","value":402044000},{"time":"2020-12-30","value":445596000},{"time":"2021-12-30","value":485956000},{"time":"2022-12-30","value":491189000},{"time":"2023-12-30","value":744689000}],"Sales":[{"time":"2014-12-30","value":7851250000},{"time":"2015-12-30","value":7572436000},{"time":"2016-12-30","value":7651319000},{"time":"2017-12-30","value":9466478000},{"time":"2018-12-30","value":11171423000},{"time":"2019-12-30","value":12112153000},{"time":"2020-12-30","value":11202672000},{"time":"2021-12-30","value":12980213000},{"time":"2022-12-30","value":17073903000},{"time":"2023-12-30","value":20882206000}],"Net Margins":[{"time":"2014-12-30","value":0.03779194395796848},{"time":"2015-12-30","value":0.04105772567770794},{"time":"2016-12-30","value":0.025927947847946217},{"time":"2017-12-30","value":0.03327298706023507},{"time":"2018-12-30","value":0.026258606446108074},{"time":"2019-12-30","value":0.033193438028730315},{"time":"2020-12-30","value":0.039775867757263626},{"time":"2021-12-30","value":0.03743821461173249},{"time":"2022-12-30","value":0.02876840755157154},{"time":"2023-12-30","value":0.03566141431609285}],"Assets":[{"time":"2014-12-30","value":6312024000},{"time":"2015-12-30","value":5213543000},{"time":"2016-12-30","value":5354059000},{"time":"2017-12-30","value":6480154000},{"time":"2018-12-30","value":7075787000},{"time":"2019-12-30","value":8331682000},{"time":"2020-12-30","value":8398272000},{"time":"2021-12-30","value":12855189000},{"time":"2022-12-30","value":13464337000},{"time":"2023-12-30","value":16237225000}],"Stockholders Equity":[{"time":"2014-12-30","value":4525540000},{"time":"2015-12-30","value":3087815000},{"time":"2016-12-30","value":3342702000},{"time":"2017-12-30","value":3795629000},{"time":"2018-12-30","value":3605453000},{"time":"2019-12-30","value":4053831000},{"time":"2020-12-30","value":4348972000},{"time":"2021-12-30","value":5116921000},{"time":"2022-12-30","value":5398819000},{"time":"2023-12-30","value":6283355000}],"ROE":[{"time":"2014-12-30","value":0.06556433044454363},{"time":"2015-12-30","value":0.10068835082412644},{"time":"2016-12-30","value":0.059348096240705875},{"time":"2017-12-30","value":0.08298440126787945},{"time":"2018-12-30","value":0.08136175953479355},{"time":"2019-12-30","value":0.0991763100139103},{"time":"2020-12-30","value":0.10246007562246894},{"time":"2021-12-30","value":0.09497039332833163},{"time":"2022-12-30","value":0.09098082376905023},{"time":"2023-12-30","value":0.11851773455423098}],"ROA":[{"time":"2014-12-30","value":0.07534429526883928},{"time":"2015-12-30","value":0.045555009328589025},{"time":"2016-12-30","value":0.05991958624288601},{"time":"2017-12-30","value":0.05846296245428735},{"time":"2018-12-30","value":0.07635461610136088},{"time":"2019-12-30","value":0.06868805122423059},{"time":"2020-12-30","value":0.07279723733644254},{"time":"2021-12-30","value":0.05161503265335111},{"time":"2022-12-30","value":0.06476798671928666},{"time":"2023-12-30","value":0.06946852063699309}]}
Quanta Services, Inc. provides infrastructure solutions for the electric and gas utility, renewable energy, communications, and pipeline and energy industries worldwide. The company's Electric Power Infrastructure Solutions segment engages in the design, procurement, construction, upgrade, repair, and maintenance of electric power transmission and distribution infrastructure and substation facilities; installation, maintenance, and upgrade of electric power infrastructure projects; installation of smart grid technologies on electric power networks; and design, installation, maintenance, and repair of commercial and industrial wirings. This segment also offers aviation services; emergency restoration services; and other engineering and technical services; design and construction solutions to wireline and wireless communications, cable multi-system operators, and other customers; and training for electric workers, as well as training for the gas distribution and communications industries. The company's Renewable Energy Infrastructure Solutions segment is involved in engineering, procurement, construction, repair, and maintenance of wind, solar, and hydropower generation facilities, as well as battery storage facilities; and provision of engineering and construction services for substations and switchyards, transmission, and other electrical infrastructures. The company's Underground Utility and Infrastructure Solutions segment offers design, engineering, procurement, construction, upgrade, repair, and maintenance services for natural gas systems for gas utility customers; fabrication services for pipeline support systems and structures and facilities; and engineering and construction services for pipeline and storage systems, and compressor and pump stations. The company was formerly known as Fabal Construction, Inc. and changed its name to Quanta Services, Inc. in November 1997. Quanta Services, Inc. was incorporated in 1997 and is headquartered in Houston, Texas.
DCF
Discounted Cash Flow Valuation of Quanta Services, Inc.
Value
Growth
%
%
Discount
%
%
Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $1.338B | $1.471B | $1.609B | $1.751B | $1.896B | $2.042B | $2.189B | $2.334B | $2.477B | $2.614B | $2.745B | $27.45B |
| DCF | $1.279B | $1.216B | $1.151B | $1.084B | $1.015B | $946.4M | $877.6M | $809.6M | $743.1M | $678.5M | $6.785B | |
| Value | $16.59B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 13%
Earnings Stability 69%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | 4.1% | 2.6% | 3.3% | 2.6% | 3.3% | 4% | 3.7% | 2.9% | 3.6% | 3.6% |
| ROA | 4.6% | 6% | 5.8% | 7.6% | 6.9% | 7.3% | 5.2% | 6.5% | 6.9% | 7.4% |
| ROE | 10% | 5.9% | 8.3% | 8.1% | 9.9% | 10% | 9.5% | 9.1% | 12% | 12% |
What is the average Net Margin?
The average Net Margin over the past 5 years is +3.35%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is +0.09%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +6.73%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is -0.19%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is +9.79%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is +0.44%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | 1.19 | 2.17 | 5.27 | 17.46 | 5.42 | 1.40 | 19.17 | 5.36 | 4.15 | 3.19 |
| Debt Equity | 0.16 | 0.11 | 0.18 | 0.32 | 0.35 | 0.28 | 0.74 | 0.70 | 0.75 | 0.67 |
| MIN | ||||||||||
| Graham Stability | - | - | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is 3.19.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is -1.40.
What is the Graham’s Stability?
Graham’s Stability measure stands at 1.00.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 12-2016 | 12-2018 | 12-2020 | 12-2022 | Trend |
|---|---|---|---|---|---|
| Revenue | 15% | 13% | 23% | 22% | 2.6% |
| Net Income | 21% | 20% | 19% | 52% | 3.6% |
| Stockholders Equity | 9.4% | 12% | 13% | 16% | 3.4% |
| FCF | 31% | 77% | 10% | 62% | -260% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is +13.33%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is +2.56%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is +20.48%.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is +3.62%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is +11.75%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is +3.41%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is +77.27%.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is -261.71%.