Quanta Services, Inc. $PWR Stake Cut by South Street Advisors LLC

Key Points

• South Street Advisors reduced its Quanta Services stake by 8.6% in the fourth quarter, selling 5,702 shares and ending with 60,346 shares valued at about $25.47 million.
• Analysts remain upbeat on PWR, with several firms lifting price targets; the consensus rating is Moderate Buy and the average price target is $733.87.
• Quanta Services reported strong quarterly results, beating estimates on both EPS and revenue, while also announcing a $1 billion share repurchase program and a small quarterly dividend.

South Street Advisors LLC cut its holdings in Quanta Services, Inc. (NYSE:PWR - Free Report) by 8.6% in the 4th quarter, according to its most recent 13F filing with the SEC. The fund owned 60,346 shares of the construction company's stock after selling 5,702 shares during the period. Quanta Services accounts for about 3.6% of South Street Advisors LLC's holdings, making the stock its 10th biggest position. South Street Advisors LLC's holdings in Quanta Services were worth $25,470,000 at the end of the most recent quarter.

Several other institutional investors also recently bought and sold shares of PWR. Brighton Jones LLC acquired a new position in Quanta Services in the 4th quarter valued at $298,000. Woodline Partners LP increased its holdings in Quanta Services by 40.7% in the 1st quarter. Woodline Partners LP now owns 12,471 shares of the construction company's stock valued at $3,170,000 after purchasing an additional 3,606 shares in the last quarter. Arrowstreet Capital Limited Partnership acquired a new stake in Quanta Services in the 2nd quarter valued at $4,632,000. Marshall Wace LLP acquired a new stake in Quanta Services in the 2nd quarter valued at $996,000. Finally, StoneX Group Inc. acquired a new stake in Quanta Services in the 2nd quarter valued at $204,000. 90.49% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of research firms have weighed in on PWR. Citigroup upped their price objective on shares of Quanta Services from $640.00 to $733.00 and gave the company a "buy" rating in a research report on Monday, April 27th. Zacks Research raised shares of Quanta Services from a "hold" rating to a "strong-buy" rating in a research report on Friday, May 8th. Sanford C. Bernstein upped their price objective on shares of Quanta Services from $538.00 to $725.00 and gave the company a "market perform" rating in a research report on Tuesday, May 5th. B. Riley Financial reissued a "neutral" rating on shares of Quanta Services in a research report on Friday, May 1st. Finally, BMO Capital Markets upped their price objective on shares of Quanta Services from $650.00 to $800.00 and gave the company an "outperform" rating in a research report on Friday, May 1st. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat, Quanta Services has an average rating of "Moderate Buy" and a consensus price target of $733.87.

Insider Activity

In other news, CEO Earl C. Jr. Austin sold 130,000 shares of the stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $770.65, for a total transaction of $100,184,500.00. Following the transaction, the chief executive officer owned 556,911 shares of the company's stock, valued at approximately $429,183,462.15. This trade represents a 18.93% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CAO Paul Nobel sold 4,000 shares of the stock in a transaction dated 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 transaction, the chief accounting officer directly owned 8,080 shares in the company, valued at $6,116,398.40. The trade was a 33.11% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 159,992 shares of company stock worth $123,244,714 in the last ninety days. Corporate insiders own 0.60% of the company's stock.

Quanta Services Stock Performance

Shares of PWR stock opened at $730.74 on Friday. 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 one year low of $336.57 and a one year high of $788.75. The company's 50-day simple moving average is $645.16 and its 200-day simple moving average is $537.30. The stock has a market capitalization of $109.65 billion, a price-to-earnings ratio of 100.24, a PEG ratio of 2.52 and a beta of 1.24.

Quanta Services (NYSE:PWR - Get Free Report) last issued its quarterly earnings results on Thursday, April 30th. The construction company reported $2.68 EPS for the quarter, topping the consensus estimate 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 for the quarter, compared to analysts' expectations of $7 billion. During the same quarter last year, the company posted $1.78 earnings per share. The company's quarterly revenue was up 26.3% compared to the same quarter last year. Quanta Services has set its FY 2026 guidance at 13.550-14.250 EPS. Equities analysts anticipate that Quanta Services, Inc. will post 12.84 earnings per share for the current fiscal year.

Quanta Services Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, July 13th. Stockholders of record on Wednesday, July 1st will be given a dividend of $0.11 per share. The ex-dividend date of this dividend is 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 presently 6.04%.

Quanta Services announced that its board has authorized a stock repurchase program on Friday, May 22nd that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the construction company to buy up to 0.9% of its stock through open market purchases. Stock buyback programs are typically an indication that the company's leadership believes its shares are undervalued.

Quanta Services Profile

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.

Want to see what other hedge funds are holding PWR? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Quanta Services, Inc. (NYSE:PWR - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.