BN · rank #20 · 2026-07-20
POWL
NASDAQ · $8.48B (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.13 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +19.2% |
| Forward net margin Consensus forward net margin. | +16.9% |
| Net margin TTM Trailing twelve month net margin. | +16.5% |
| Margin expansion Forward minus trailing net margin (percentage points). | +0.4% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | 2.57 |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 0.01× |
| Analyst upside Spread between the consensus 12m target and the current price. | +35.9% |
| Last EPS surprise Most recent reported EPS versus consensus. | -8% |
| Market cap (USD) | $8.48B |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
Powell Industries designs and manufactures engineered-to-order medium-voltage switchgear and integrated power control rooms, increasingly anchored by large AI data-center campus and electric-utility projects with backlog extending visibility to fiscal 2028.
Rationale
The bottleneck-solver thesis is directly reinforced by POWL's record ~$1.8B backlog, a >$400M behind-the-meter AI campus mega-contract, and 1.7x book-to-bill, confirming Powell occupies a genuine structural chokepoint in delivering reliable medium-voltage power to hyperscale AI infrastructure where larger OEMs do not offer the same integrated engineered-to-order campus solution.
Material risks
- 1Concentration in a single >$400M behind-the-meter data-center campus order means cancellation, permitting failure, or customer financing collapse would materially impair backlog and invalidate the multi-year revenue visibility underpinning the thesis.
- 2The recent -8.1% EPS miss signals execution or cost pressure risk on long-duration fixed-price engineered contracts, where margin erosion on mega-projects could compress the ~17% net margin assumption embedded in the forward model.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.