Jefferies lifts Quanta Services stock target to $277, keeps Hold rating

Published 04/10/2025, 06:01 AM
Jefferies lifts Quanta Services stock target to $277, keeps Hold rating

The analyst further stated that opportunities in data center sectors are becoming increasingly tangible for Quanta Services (NYSE:PWR), particularly through its subsidiary, CEI. The continued expansion into this area is expected to contribute to the company's growth prospects.Jefferies' maintained Hold rating and revised price target reflect a nuanced view of Quanta Services' position within the industry, recognizing both the potential challenges and opportunities that lie ahead for the company. The new price target of $277 signifies a modest increase, suggesting that while Jefferies sees value in the stock, they advise a cautious approach to investing at this time. According to InvestingPro's Fair Value analysis, the stock appears to be trading above its intrinsic value, with 10+ additional ProTips available to subscribers in the comprehensive Pro Research Report. According to InvestingPro's Fair Value analysis, the stock appears to be trading above its intrinsic value, with 10+ additional ProTips available to subscribers in the comprehensive Pro Research Report.

The analyst further stated that opportunities in data center sectors are becoming increasingly tangible for Quanta Services, particularly through its subsidiary, CEI. The continued expansion into this area is expected to contribute to the company's growth prospects.Jefferies' maintained Hold rating and revised price target reflect a nuanced view of Quanta Services' position within the industry, recognizing both the potential challenges and opportunities that lie ahead for the company. The new price target of $277 signifies a modest increase, suggesting that while Jefferies sees value in the stock, they advise a cautious approach to investing at this time. According to InvestingPro's Fair Value analysis, the stock appears to be trading above its intrinsic value, with 10+ additional ProTips available to subscribers in the comprehensive Pro Research Report.

The analyst further stated that opportunities in data center sectors are becoming increasingly tangible for Quanta Services, particularly through its subsidiary, CEI. The continued expansion into this area is expected to contribute to the company's growth prospects.

Jefferies' maintained Hold rating and revised price target reflect a nuanced view of Quanta Services' position within the industry, recognizing both the potential challenges and opportunities that lie ahead for the company. The new price target of $277 signifies a modest increase, suggesting that while Jefferies sees value in the stock, they advise a cautious approach to investing at this time.

In other recent news, Quanta Services reported a substantial increase in revenue for 2024, reaching $23.7 billion, marking a 13.4% year-over-year growth. This growth is supported by a 5% organic increase, highlighting strong demand in the electric power infrastructure sector. Additionally, S&P Global Ratings upgraded Quanta Services' credit rating to 'BBB' from 'BBB-', citing the company's robust operating and financial performance. The company also declared a quarterly cash dividend of $0.10 per share, signaling its commitment to shareholder value.

Meanwhile, Stifel analysts adjusted their price target for Quanta Services to $287, down from $323, while maintaining a Buy rating. They noted the company's potential for growth, particularly with orders for Cupertino expected to exceed $3 billion in 2024. Bernstein analysts maintained an Outperform rating with a $347 price target, projecting a compound annual growth rate in earnings per share of approximately 20% through 2030. Quanta Services also introduced new incentive plans for employees, aiming to align performance metrics with corporate goals. These recent developments highlight Quanta Services' strategic moves and financial health in the evolving energy and utility landscape.

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