M.D. Sass LLC Reduces Stake in Quanta Services, Inc. $PWR

Key Points

• M.D. Sass LLC reduced its stake in Quanta Services by 30.8% in the first quarter, selling 28,221 shares and leaving it with 63,442 shares worth about $34.8 million.
• Quanta Services reported strong quarterly results, posting EPS of $2.68 versus the $2.04 estimate and revenue of $7.87 billion, while also raising guidance for FY 2026 to 13.55–14.25 EPS.
• The company recently approved a $1 billion share buyback, and analysts remain broadly positive with a consensus rating of “Moderate Buy” and an average price target of $745.55.

M.D. Sass LLC cut its holdings in shares of Quanta Services, Inc. (NYSE:PWR - Free Report) by 30.8% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 63,442 shares of the construction company's stock after selling 28,221 shares during the quarter. Quanta Services accounts for about 2.6% of M.D. Sass LLC's portfolio, making the stock its 21st largest holding. M.D. Sass LLC's holdings in Quanta Services were worth $34,831,000 at the end of the most recent quarter.

Several other institutional investors have also recently made changes to their positions in the business. Evoke Wealth LLC bought a new position in Quanta Services during the 4th quarter worth $368,000. Sequoia Financial Advisors LLC raised its position in Quanta Services by 3.1% during the fourth quarter. Sequoia Financial Advisors LLC now owns 130,436 shares of the construction company's stock valued at $55,052,000 after purchasing an additional 3,966 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. raised its holdings in shares of Quanta Services by 9.9% during the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 50,602 shares of the construction company's stock worth $21,357,000 after buying an additional 4,568 shares in the last quarter. Lebenthal Global Advisors LLC grew its position in Quanta Services by 9.8% in the fourth quarter. Lebenthal Global Advisors LLC now owns 9,277 shares of the construction company's stock valued at $3,915,000 after acquiring an additional 830 shares during the last quarter. Finally, North Dakota State Investment Board bought a new stake in shares of Quanta Services during the 4th quarter valued at approximately $2,131,000. Hedge funds and other institutional investors own 90.49% of the company's stock.

Quanta Services Stock Up 1.6%

Shares of NYSE PWR opened at $653.25 on Friday. The company's 50 day moving average price is $692.83 and its 200-day moving average price is $605.45. The company has a debt-to-equity ratio of 0.57, a quick ratio of 1.09 and a current ratio of 1.14. Quanta Services, Inc. has a 52-week low of $363.01 and a 52-week high of $788.75. The company has a market capitalization of $98.03 billion, a P/E ratio of 89.61, a price-to-earnings-growth ratio of 2.53 and a beta of 1.21.

Quanta Services (NYSE:PWR - Get Free Report) last announced its earnings results on Thursday, April 30th. The construction company reported $2.68 earnings per share for the quarter, topping analysts' consensus estimates of $2.04 by $0.64. Quanta Services had a net margin of 3.67% and a return on equity of 18.64%. The business had revenue of $7.87 billion during the quarter, compared to the consensus estimate of $7 billion. During the same quarter last year, the firm earned $1.78 earnings per share. Quanta Services's quarterly revenue was up 26.3% on a year-over-year basis. Quanta Services has set its FY 2026 guidance at 13.550-14.250 EPS. Equities analysts forecast that Quanta Services, Inc. will post 12.8 earnings per share for the current year.

Quanta Services announced that its Board of Directors has approved a share buyback plan on Friday, May 22nd that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the construction company to reacquire up to 0.9% of its stock through open market purchases. Stock buyback plans are generally a sign that the company's management believes its stock is undervalued.

Quanta Services Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Monday, July 13th. Stockholders of record on Wednesday, July 1st were paid a $0.11 dividend. The ex-dividend date was Wednesday, July 1st. This represents a $0.44 annualized dividend and a dividend yield of 0.1%. Quanta Services's dividend payout ratio (DPR) is currently 6.04%.

Insider Transactions at Quanta Services

In other news, CAO Paul Nobel sold 4,000 shares of the business's stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $756.98, for a total transaction of $3,027,920.00. Following the completion of the sale, the chief accounting officer owned 8,080 shares in the company, valued at $6,116,398.40. The trade was a 33.11% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Earl C. Jr. Austin sold 25,992 shares of the company's stock in a transaction that occurred on Tuesday, May 5th. The stock was sold at an average price of $770.71, for a total value of $20,032,294.32. Following the transaction, the chief executive officer directly owned 16,508 shares in the company, valued at $12,722,880.68. The trade was a 61.16% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 159,992 shares of company stock valued at $123,244,714 over the last ninety days. 0.60% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades

Several research analysts have recently issued reports on PWR shares. Truist Financial upped their price target on shares of Quanta Services from $851.00 to $940.00 and gave the stock a "buy" rating in a report on Thursday, July 2nd. B. Riley Financial restated a "neutral" rating on shares of Quanta Services in a research report on Friday, May 1st. Weiss Ratings cut Quanta Services from a "buy (b-)" rating to a "hold (c+)" rating in a report on Monday. TD Cowen increased their target price on Quanta Services from $570.00 to $775.00 and gave the company a "buy" rating in a research report on Monday, May 4th. Finally, BMO Capital Markets lifted their price target on Quanta Services from $650.00 to $800.00 and gave the company an "outperform" rating in a research note on Friday, May 1st. Seventeen research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company's stock. Based on data from MarketBeat, Quanta Services presently has an average rating of "Moderate Buy" and a consensus target price of $745.55.

About Quanta Services

Quanta Services, Inc is a leading specialty contractor that provides comprehensive infrastructure solutions for the electric power, pipeline and energy, and communications markets. Headquartered in Houston, Texas, the company delivers engineering, procurement, construction, installation, maintenance and repair services that support the development, modernization and ongoing operation of critical energy and communications networks.

In the electric power sector, Quanta works on transmission and distribution systems, substation construction and grid modernization projects that include integration of renewable generation and energy storage.

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