BN · rank #19 · 2026-07-23
POWL
NASDAQ · $8.77B (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. | 2.70 |
| 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. | +31.4% |
| Last EPS surprise Most recent reported EPS versus consensus. | -8% |
| Market cap (USD) | $8.77B |
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 for AI data centers, electric utilities, and industrial customers, with a record ~$1.8B backlog extending visibility to fiscal 2028.
Rationale
POWL is a textbook bottleneck-solver — its behind-the-meter campus switchgear is a non-commoditized, long-lead engineered product sitting on the critical path of AI data-center power delivery, and the >$400M mega-contract plus 1.7x book-to-bill confirm the structural demand signal the quant model is capturing.
Material risks
- 1Hyper-concentration in a single >$400M behind-the-meter campus order means any cancellation, interconnection denial, or on-site generation regulatory reversal would gut backlog and collapse the revenue ramp that justifies the 2.7x forward PEG.
- 2The recent -8.1% EPS miss signals execution friction (labor, supply chain, or project timing) that could compress the already-thin margin expansion story (only +41bps forecast) as the mix shifts toward larger, more complex mega-projects.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.