Dark pool activity was detected in PWR stock in after-hours trading on December 27, 2019, after it was revealed that PWR is on Stephens Best Ideas list for 2020.
We are hesitant to say that this huge dark pool trade was a buy order because price did not respond to the print as it was in after-hours trading. Also, we do not have options flow to detecting front-running of the dark pool order.
On December 20, 2019, DA Davidson analyst Brent Thielman upgraded Quanta Services to Buy from Neutral with a price target of $50, up from $48, following his meetings with its management and investors. The analyst says he is “incrementally more positive” on the company’s 2020 and near-term growth prospects given its focus on large projects, opportunity in telecom, strong execution, and positive industry expectations. Thielman also believes that Quanta Services offers improved prospects for growth acceleration with greater margin stability and expansion next year.
Back on October 31, 2019, Quanta Services reported Q3 adjusted EPS of $1.14 versus the consensus estimate of $1.03. The company reported Q3 revenue of $3.35B versus the consensus estimate of $3.19B.
CEO Duke Austin states: “Quanta achieved record quarterly revenues, adjusted EBITDA, adjusted diluted earnings per share and backlog during the third quarter. Of note, our pipeline and industrial segment generated record quarterly operating income and produced operating income margin of nine percent. Quanta is on track for another record year and due to our solid third quarter results, healthy end market drivers and the addition of recently announced acquisitions, we are increasing our full-year 2019 revenue, EBITDA and earnings per share expectations. We are also executing well on our strategic plan and continue to believe there is opportunity to drive multi-year revenue and earnings growth by focusing on our base business, supporting the long-term programmatic spend of utilities and participating in the development of infrastructure that supports technology deployments such as 5G and electric vehicles. We believe these dynamics, as well as the acquisitions we completed in the third quarter and anticipated construction levels on the Watay and East West Tie Line transmission projects, support our expectations for profitable growth in 2020 and beyond.”
The dark pool order in after-hours trading on December 27, 2019, could have been a sell order on the uptrend line break on the daily chart of PWR stock.