Quanta’s 2026 Rally Meets Rising Valuation and Project Risks

Quanta Services shares have gained 64.6% year to date, outpacing the S&P 500’s 13.8% advance, according to Zacks. The publisher linked the rally to infrastructure demand but said Quanta’s elevated valuation and execution risks may weigh on further gains.

Quanta is benefiting from investment in electricity generation, grid upgrades and data centers, Zacks reported. In the second quarter of 2026, the Electric Infrastructure Solutions segment’s revenue grew 44% year over year, while the Underground Utility and Infrastructure Solutions segment’s revenue rose 31%.

The company reported a record $53.4 billion backlog at June 2026-end, including $32.3 billion scheduled within 12 months. Electric Infrastructure accounted for $43.8 billion of the backlog, providing visibility into future work, according to the article.

Following its second-quarter results, management raised its 2026 revenue guidance to $39.3 billion to $39.7 billion and adjusted earnings-per-share guidance to $16.45 to $16.95. Zacks also said acquisitions made during the second quarter and July are expected to contribute $1.2 billion to $1.4 billion in revenue this year.

The stock trades at 36.92 times forward 12-month earnings, Zacks said, above the industry multiple of 23.67 times. The publisher cited permitting, weather, labor and supply-chain challenges among the risks to large projects, along with the complexity of integrating acquisitions.