$PWR

Truist highlighted top infrastructure services stocks, with Quanta Services (PWR) leading, followed by MasTec (MTZ), AECOM (ACM), and Fluor (FLR). The firm sees growth potential in power, communications, and energy projects, despite industry bottlenecks. All four stocks have Buy ratings from Truist, with PWR expected to outperform due to diversified exposure and growth prospects.

Goldman Sachs projects 27% average return for 10 energy and power stocks, including Quanta Services, Duke Energy, and Baker Hughes. Target prices and returns vary, with Golar LNG having the highest return at 38%. The report highlights growth opportunities and catalysts for these companies.

Quanta Services (PWR) shares rose 3% on Friday after Citigroup analysts identified it as a stock that typically gains post-storm, citing historical data. The company has a $50B backlog, including AI data center projects.

Quanta Services reported a 41.1% revenue increase to $9.56 billion in Q2 2026, matching the EIA's forecast for wholesale electricity price surge in PJM. The company's growth was driven by grid infrastructure demand, with data centers contributing 15-20%. Quanta's net income rose 96.89% YoY, and its stock has gained 63.68% YTD. The EIA forecasts a 41% increase in PJM wholesale electricity prices for 2026, the largest among regions tracked.

GE Vernova (GEV), Quanta Services (PWR), and Vertiv (VRT) are benefiting from AI data center demand, reporting strong orders and sales growth. OpenAI and Anthropic reported over $80B in combined losses, raising concerns about AI spending sustainability. Analysts note these suppliers gain regardless of AI developer success.

Analysts updated ratings and price targets for multiple companies. Lululemon (LULU) was downgraded to neutral with a target of $100. Marvell (MRVL) was upgraded to buy with a target of $350. Coinbase (COIN) maintained underweight but raised its target to $149. Microsoft (MSFT) kept outperform with a target of $635. Robinhood (HOOD) maintained overweight with a target of $132.

Quanta Services (PWR) trades at a 73% earnings premium over MasTec (MTZ) due to stronger cash flow. Quanta reported Q2 revenue of $9.56B (+41% YoY) and adjusted EPS of $4.24, raising its full-year EPS guidance to $16.45-$16.95 and free cash flow to $2B-$2.5B. Both companies are key players in AI data center infrastructure construction, with Quanta's scale and execution supporting its valuation.

Quanta Services Inc. (PWR) shares rose 5.29% to $719.56 on Tuesday, marking the fourth straight day of gains. The S&P 500 and Dow Jones also increased by 0.58% and 0.49%, respectively.

Data centers are booming, with electricity consumption projected to rise from 4.4% to 6.7%-12% of U.S. usage by 2028. Companies like Digital Realty (DLR), Vertiv (VRT), and Quanta Services (PWR) are key players in this growth, offering different investment opportunities. DLR reported $1.4B in annualized base rent and a 25.4% cash increase on renewals. VRT saw 24% sales growth, while PWR reported $9.56B revenue and $53.4B backlog.

Amazon, Microsoft, Alphabet, and Meta are expected to spend $735 billion on data centers in 2024, with global AI infrastructure investment projected to reach $31.6 trillion by 2050. Quanta Services (PWR), specializing in electrical and energy infrastructure, is well-positioned to benefit from this growth, reporting a 34% revenue increase and an 80% net income surge in H1 2026. The company raised its 2026 guidance, projecting $39.5 billion in revenue and $16.70 EPS.