Best Stock to Buy Now and Hold: Quanta Services (PWR)

Quanta Services PWR helps physically build and maintain the AI energy boom, the electrification push, grid expansion and hardening, and other increasingly critical aspects of the economy and Wall Street.

PWR posted a big beat-and-raise Q2 report on July 30, proving once again to be one of the biggest beneficiaries of the AI and energy capex spree that’s just heating up.

The U.S. infrastructure powerhouse expanded its backlog by ~50% YoY to $53.4 billion, and its upward earnings revisions land Quanta Services a Zacks Rank #1 (Strong Buy).

The energy infrastructure standout is projected to grow its earnings by a 50% in 2026 on 38% higher revenue and then expand its EPS and sales by another 15% in 2027. This growth outlook comes after Quanta Services more than doubled its revenue and its GAAP (and adjusted) earnings between 2021 and 2025.

Wall Street already shook off AI bubble concerns as the capex boom and spending pledges ramp up. Just last week Nvidia reached a deal with BlackRock, Goldman Sachs, and other Wall Street giants to raise $500 billion to fund the AI-infrastructure build-out.

Bank of America followed up Nvidia’s AI capex spending news with its own plan to inject $250 billion into AI data centers, energy, and critical minerals. 

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Quanta already bounced back off some key technical ranges alongside the broader AI-driven market. Now PWR is on the verge breaking out and posting new highs.

Is PWR One of the Best Stocks to Buy and Hold for the Next 10 Years?

Quanta is a specialty infrastructure contractor that designs, builds, upgrades, repairs, and maintains critical energy and utility systems. The firm works across electric transmission lines, substations, distribution networks, renewable generation, pipelines, communications infrastructure, and much more.

The AI arms race, coupled with the electrification push and the reshoring of critical manufacturing, is projected to lift U.S. electricity demand 100% by 2050. U.S. transmission capacity must double to keep up with projected growth. This backdrop is why PWR’s business and its backlog are soaring.

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Quanta said in early 2026 that it’s on the “clear path to more than doubling” its adjusted EPS by 2030 vs. its 2025 levels as it aims to grab a larger share of a total addressable market worth $2.4 trillion through 2030, given its “unique positioning at the center of converging utility, generation and large-load markets.” 

PWR’s consensus earnings estimates have jumped roughly 15% for 2026 and 2027 since its July 30 release. Its recent upward earnings revisions land Quanta a Zacks Rank #1 (Strong Buy). The U.S. infrastructure powerhouse also expanded its backlog by 50% YoY to $53.4 billion.

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The energy infrastructure standout, which more than doubled its revenue and its GAAP (and adjusted) earnings between 2021 and 2025, is projected to expand its EPS by 50% in 2026 and another 16% next year to reach $18.66 a share vs. $10.75 a share in 2025.

Quanta is projected to grow its revenue by 38% in 2026 and another 15% next year to hit $45.3 billion, vs. $11.2 billion in 2020.

Buy Zacks Rank #1 (Strong Buy) PWR Stock for Breakout Potential and Value

Quanta is playing a more vital role than ever as the U.S. economy and Wall Street enter a new age of capex-centric growth.

The next 10 years alone are projected to require more new electricity generation than any period in U.S. history, boosted by converging megatrends. McKinsey projects that $7 trillion will be spent globally on AI-focused capex by 2030.

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The energy infrastructure stock has skyrocketed ~3,650% vs. the S&P 500’s 580% and its sector’s 433%. PWR has charged 650% higher in the past five years and 70% in 2026. Yet, PWR’s average Zacks price target implies 18% upside from its current levels, and it is down around 8% from its early-May peaks.

PWR already surged off its 200-day and found support near its long-term 50-week in late July. The stock surged again on Monday, nearing a key technical range that could help it post new highs sooner rather than later.

Quanta’s downturn, mixed with its impressive earnings growth outlook, has it trading 34% below its highs at 41.3X forward 12-month earnings. PWR is also churning out solid free cash flow growth, and its strong balance sheet helped it announce a new $1 billion repurchase program in late May.

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This article originally published on Zacks Investment Research (zacks.com).

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