The latest trading session saw Quanta Services (PWR) ending at $285.45, denoting a -1.86% adjustment from its last day's close. The stock trailed the S&P 500, which registered a daily loss of 0.01%. Elsewhere, the Dow lost 0.37%, while the tech-heavy Nasdaq added 0.41%.

Heading into today, shares of the specialty contractor for utility and energy companies had lost 13.48% over the past month, lagging the Construction sector's gain of 1.57% and the S&P 500's gain of 4.88% in that time.

The investment community will be closely monitoring the performance of Quanta Services in its forthcoming earnings report. The company is scheduled to release its earnings on February 20, 2025. The company is predicted to post an EPS of $2.64, indicating a 29.41% growth compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $6.63 billion, indicating a 14.68% growth compared to the corresponding quarter of the prior year.

Investors should also take note of any recent adjustments to analyst estimates for Quanta Services. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.2% lower. Quanta Services is holding a Zacks Rank of #3 (Hold) right now.

With respect to valuation, Quanta Services is currently being traded at a Forward P/E ratio of 28.25. Its industry sports an average Forward P/E of 19.23, so one might conclude that Quanta Services is trading at a premium comparatively.

Also, we should mention that PWR has a PEG ratio of 1.32. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. By the end of yesterday's trading, the Engineering - R and D Services industry had an average PEG ratio of 1.33.

The Engineering - R and D Services industry is part of the Construction sector. This industry currently has a Zacks Industry Rank of 147, which puts it in the bottom 42% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.

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