Infrastructure solutions provider Quanta (NYSE:PWR) will be reporting results tomorrow before the bell. Here’s what to look for.

Quanta missed analysts’ revenue expectations by 1% last quarter, reporting revenues of $6.49 billion, up 15.5% year on year. It was a strong quarter for the company, with a solid beat of analysts’ backlog estimates and an impressive beat of analysts’ adjusted operating income estimates.

Is Quanta a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Quanta’s revenue to grow 14.4% year on year to $6.62 billion, slowing from the 31% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.62 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Quanta has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 5% on average.

Looking at Quanta’s peers in the construction and engineering segment, some have already reported their Q4 results, giving us a hint as to what we can expect. MDU Resources’s revenues decreased 52.8% year on year, missing analysts’ expectations by 32.3%, and Construction Partners reported revenues up 41.6%, topping estimates by 9.7%. MDU Resources traded down 7.8% following the results while Construction Partners was also down 3.6%.

Read our full analysis of MDU Resources’s results here and Construction Partners’s results here.

Inflation has progressed towards the Fed’s 2% goal as of late, leading to strong stock market performance. Recent rate cuts and the 2024 Presidential election's conclusion added further sparks to the market, and while some of the construction and engineering stocks have shown solid performance, the group has generally underperformed, with share prices down 4.3% on average over the last month. Quanta is down 19.7% during the same time and is heading into earnings with an average analyst price target of $346.33 (compared to the current share price of $287.59).

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