PWRNEUTRAL

PWR Gross Margin Analysis

16.2%

Higher than 30% of Industrials sector peers

Updated 201h ago·SEC filings & market data

Key Takeaway

Gross margin is the percentage of revenue a company keeps after paying direct production costs, and 16.2% means Quanta retains $0.162 of each sales dollar for overhead and profit.

Sector Performance

30th percentile

PWR

16.2%

Sector Median

28.9%

Sector Avg

846.3%

Prior Period

14.1%(Jul 2026)

↑ Improving

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Deep Analysis

Gross margin is the percentage of revenue a company keeps after paying direct production costs, and 16.2% means Quanta retains $0.162 of each sales dollar for overhead and profit.

That is below the sector median of 30.5%, putting the company at the 26th percentile among Industrials peers, so profitability from core operations is lower than most competitors. The year-over-year change is N/A, and the quarter-over-quarter change is +14.9%, with the most recent two values moving from 14.1% to 16.2%; the trend direction for the last 8 quarters is N/A, so only a short-term improvement is visible. The combination of a low margin relative to peers but a recent quarterly increase suggests improving cost control, yet the absolute level remains a concern for sustained profitability. This presents a moderate risk because the company operates with thin margins, though the positive QoQ move offers an opportunity for further recovery. The metric partially supports the NEUTRAL verdict: it does not strongly justify a bullish case, but the short-term improvement prevents a bearish read. Overall, the gross margin data is consistent with a neutral stance on the stock.

Frequently Asked Questions

What does the Gross Margin tell investors about PWR?

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

How is the Gross Margin calculated?

Gross Margin is calculated as: Gross Profit / Revenue.

How does PWR's Gross Margin compare to its sector?

PWR's Gross Margin of 16.2% compares to a Industrials sector median of 28.9%, placing it in the 30th percentile.

Who are PWR's closest peers by Gross Margin?

The closest Industrials peers by Gross Margin include: AVY (29.6%), BLDR (28.1%), SAVE (31.3%), AAL (26.0%), JOBY (22.4%).

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Learn More About Gross Margin

Gross Margin vs Net Margin: Why the Gap Between Them Tells You Everything

Gross margin vs net margin: learn what the spread between them reveals about operating leverage, cost structure, and early warning signs in any stock.

The Formula

Gross Profit / Revenue

Why It Matters

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.