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Quanta Services - AI Stock Analysis

Analysis generated July 26, 2025

Quanta Services, Inc. is a leading provider of specialty contracting services, delivering comprehensive infrastructure solutions for the electric power, natural gas, and telecommunications industries. The company operates across North America and spans several areas, including infrastructure planning, design, installation, repair, and maintenance services. With a robust history of growth and expansion, Quanta Services has developed a reputation for reliability and innovation. The company's diverse service offerings position it as a key player in modernizing and expanding critical infrastructure.

Fundamental Analysis

For the most recent quarter, Quanta Services reported revenue of $6.23 billion. While this indicates a slight decrease of 4.88% compared to the previous quarter, it represents an impressive year-over-year growth of 23.88%, underscoring the company's ability to increase revenues significantly over the long term.

Net income for the last quarter stood at $144 million. Although this figure represents a substantial decrease of 52.72% compared to the quarter before, it marks a positive year-over-year growth of 21.88%, indicating long-term profitability improvements.

EBITDA for the last quarter was $451 million. Although there was a decrease of 34.21% quarter-over-quarter, there is a notable year-over-year increase of 45.41%, indicating improved operational efficiency.

The current Price-to-Earnings (P/E) ratio is 65.68, which could be considered high. This suggests that the stock may be overvalued at present levels, potentially indicating a bearish outlook.

Technical Analysis

Quanta Services' stock price is currently at $421.68. This represents an increase of 11.15% compared to a month ago, indicating a positive short-term trend. Over the past year, the stock has appreciated by 64.46%, suggesting a strong long-term upward trajectory.

The current Simple Moving Average (SMA10) is 405.71, up from the previous SMA10 of 402.46. This indicates potential upward momentum in the stock's price movement.

The Relative Strength Index (RSI) is 52, indicating a neutral market condition. Given the bullish trend and positive SMA indicators, the stock could continue its upward movement.

Alternative Data Analysis

Analyzing job postings and employee sentiment, Quanta Services currently has 96 open positions, a 10% increase over the last couple of months. This suggests that the company is in a growth phase and is expanding its workforce, which is generally a healthy sign.

Employee sentiment at Quanta Services is very high, with 91% of employees having a positive outlook. This indicates strong internal confidence in the company's future.

However, customer acquisition data presents a mixed picture. The estimated 32,000 visitors to their webpage is down by 24% over the last couple of months, which could signal a potential loss in customer interest.

Meanwhile, customer engagement is on the rise, with a 6% increase in Instagram followers, now totaling 12,000. Quanta Services also has 2,300 Twitter followers with stable, unchanged numbers. Increased social media engagement may indicate rising interest and brand awareness among potential customers.

AltIndex, which predicts stock prices using various data inputs, gives Quanta Services an AI score of 78, signifying a buy signal.

Conclusion and Recommendation

Quanta Services exhibits strong fundamental growth year-over-year, particularly in revenue and EBITDA, albeit with some concerns regarding short-term declines. The high P/E ratio suggests potential overvaluation. Technical indicators remain bullish, supported by strong recent price performance and positive moving averages. Alternative data showcases growth in employment and social media engagement, although the decline in website traffic warrants caution.

Based on the available data, Quanta Services appears to be a strong investment opportunity with a positive long-term outlook. Potential investors should be mindful of short-term volatility and consider the high P/E ratio. Overall, the recommendation would lean towards a "Buy" given the strong fundamentals, positive technical indicators, and encouraging alternative data signals.

Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.