BN · rank #11 · 2026-10-20
POWL
NASDAQ · $6.04B (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.25 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +24.5% |
| 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. | 2.10 |
| 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. | +61.4% |
| Last EPS surprise Most recent reported EPS versus consensus. | -5% |
| Market cap (USD) | $6.04B |
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 engineers and manufactures custom high-voltage electrical switchgear and distribution systems for data centers, oil & gas, LNG, and utilities, with a $2.4 billion backlog extending visibility into fiscal 2028.
Rationale
A record $934 million quarter of new orders including a $400M+ data-center behind-the-meter generation award directly validates the bottleneck-solver thesis—Powell is a scarce fabricator of engineered-to-order electrical infrastructure that cannot be quickly replicated by competitors or substituted off-the-shelf.
Material risks
- 1Backlog concentration and execution risk are acute—a 69% YoY backlog surge strains the Jacintoport yard and leased Houston/Ohio capacity, and any project delays, labor shortfalls, or customer cancellations could cause a sharp revenue miss against elevated expectations embedded in the 61% analyst upside target.
- 2Institutional 13F median change of -2.9% signals smart-money trimming despite the bullish order flow, and a recent EPS miss of -4.7% suggests margin or cost pressures may already be emerging as Powell scales rapidly into the capacity expansion.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.