BN · rank #17 · 2026-09-10
POWL
NASDAQ · $6.57B (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.27 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +24.6% |
| Forward net margin Consensus forward net margin. | +16.8% |
| Net margin TTM Trailing twelve month net margin. | +16.5% |
| Margin expansion Forward minus trailing net margin (percentage points). | +0.3% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | 1.99 |
| 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. | +55.3% |
| Last EPS surprise Most recent reported EPS versus consensus. | -5% |
| Market cap (USD) | $6.57B |
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 manufactures custom-engineered medium- and low-voltage switchgear, power control rooms, and electrical distribution equipment for large power users, with data centers now representing roughly one-third of its record $2.4 billion backlog.
Rationale
The bottleneck-solver thesis is strongly reinforced — Powell holds a specialized, custom-engineered position in behind-the-meter electrical infrastructure that hyperscale customers cannot easily replicate in-house, evidenced by a $400M+ single order and backlog visibility extending through fiscal 2028.
Material risks
- 1EPS missed by ~5% last quarter despite record orders, suggesting execution or cost absorption pressure that could compress the 16.8% forward margin if project complexity scales faster than manufacturing capacity.
- 2Roughly one-third of backlog concentration in a single end-market (data centers) means any hyperscaler capex pause or behind-the-meter regulatory/permitting setback could stall the primary growth engine abruptly.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.