Quanta Services Inc. [NYSE: PWR] stock went on an upward path that rose over 1.10% on Thursday, amounting to a one-week price increase of more than 10.16%. The company report on September 23, 2020 that Quanta Services Announces Closing of Senior Notes Offering and Amendment to Bank Credit Agreement.
Quanta Services, Inc. (NYSE:PWR) announced today the closing of its offering of $1.0 billion aggregate principal amount of 2.9% senior notes due 2030 for net proceeds of approximately $986.7 million, after deducting underwriting discounts and estimated offering expenses. Quanta used the net proceeds from the offering, together with cash on hand, to repay the term loans under its credit agreement. Additionally, Quanta amended its credit agreement to, among other things, increase the aggregate revolving commitments of the lenders from $2.135 billion to $2.510 billion and extend the maturity date for the revolving commitments under the credit agreement from October 31, 2022 to September 22, 2025.
“Quanta is proud to have received an investment grade credit rating associated with our recent debt offering and to have expanded the capacity and extended the term of our credit facility, which we believe points to our strong financial profile, the resiliency and sustainability of our business model and a positive multi-year outlook,” said Duke Austin, President and Chief Executive Officer of Quanta Services.
Over the last 12 months, PWR stock rose by 58.26%. The one-year Quanta Services Inc. stock forecast points to a potential downside of -2.48. The average equity rating for PWR stock is currently 1.60, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $7.95 billion, with 139.86 million shares outstanding and 137.80 million shares in the current float. Compared to the average trading volume of 1.17M shares, PWR stock reached a trading volume of 1217882 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Quanta Services Inc. [PWR]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for PWR shares is $57.57 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on PWR stock is a recommendation set at 1.60. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Bernstein have made an estimate for Quanta Services Inc. shares, keeping their opinion on the stock as Outperform, with their previous recommendation back on September 23, 2020. While these analysts kept the previous recommendation, Northland Capital raised their target price to Outperform. The new note on the price target was released on May 28, 2020, representing the official price target for Quanta Services Inc. stock. Previously, the target price had yet another raise to $46, while Robert W. Baird analysts kept a Outperform rating on PWR stock.
The Average True Range (ATR) for Quanta Services Inc. is set at 1.75, with the Price to Sales ratio for PWR stock in the period of the last 12 months amounting to 0.68. The Price to Book ratio for the last quarter was 2.11, with the Price to Cash per share for the same quarter was set at 3.94. Price to Free Cash Flow for PWR in the course of the last twelve months was 6.73 with Quick ratio for the last quarter at 1.70.
PWR Stock Performance Analysis:
Quanta Services Inc. [PWR] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 10.16. With this latest performance, PWR shares gained by 12.96% in over the last four-week period, additionally plugging by 75.86% over the last 6 months – not to mention a rise of 58.26% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for PWR stock in for the last two-week period is set at 77.02, with the RSI for the last a single of trading hit 83.77, and the three-weeks RSI is set at 74.04 for Quanta Services Inc. [PWR]. The present Moving Average for the last 50 days of trading for this stock 50.60, while it was recorded at 57.24 for the last single week of trading, and 40.36 for the last 200 days.
Insight into Quanta Services Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Quanta Services Inc. [PWR] shares currently have an operating margin of +4.81 and a Gross Margin at +12.70. Quanta Services Inc.’s Net Margin is presently recorded at +3.32.
Return on Total Capital for PWR is now 11.17, given the latest momentum, and Return on Invested Capital for the company is 7.90. Return on Equity for this stock inclined to 10.50, with Return on Assets sitting at 5.22. When it comes to the capital structure of this company, Quanta Services Inc. [PWR] has a Total Debt to Total Equity ratio set at 40.89. Additionally, PWR Total Debt to Total Capital is recorded at 29.02, with Total Debt to Total Assets ending up at 19.88. Long-Term Debt to Equity for the company is recorded at 36.76, with the Long-Term Debt to Total Capital now at 26.09.
Reflecting on the efficiency of the workforce at the company, Quanta Services Inc. [PWR] managed to generate an average of $9,976 per employee. Receivables Turnover for the company is 3.86 with a Total Asset Turnover recorded at a value of 1.57.Quanta Services Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.70 and a Current Ratio set at 1.70.
PWR Stock EPS
With the latest financial reports released by the company, Quanta Services Inc. posted 1.14/share EPS, while the average EPS was predicted by analysts to be reported at 1.03/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 10.70%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for PWR. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Quanta Services Inc. go to 10.03%.
Quanta Services Inc. [PWR] Insider Position Details
There are presently around $7,477 million, or 95.20% of PWR stock, in the hands of institutional investors. The top three institutional holders of PWR stocks are: VANGUARD GROUP INC with ownership of 14,723,984, which is approximately -5.696% of the company’s market cap and around 0.40% of the total institutional ownership; BLACKROCK INC., holding 14,140,699 shares of the stock with an approximate value of $834.3 million in PWR stocks shares; and PECONIC PARTNERS LLC, currently with $335.49 million in PWR stock with ownership of nearly 4.487% of the company’s market capitalization.
Positions in Quanta Services Inc. stocks held by institutional investors increased at the end of August and at the time of the August reporting period, where 201 institutional holders increased their position in Quanta Services Inc. [NYSE:PWR] by around 12,561,244 shares. Additionally, 250 investors decreased positions by around 15,558,173 shares, while 61 investors held positions by with 98,600,964 shares. The mentioned changes placed institutional holdings at 126,720,381 shares, according to the latest SEC report filing. PWR stock had 70 new institutional investments in for a total of 6,324,712 shares, while 68 institutional investors sold positions of 5,004,449 shares during the same period.