Powell Industries (POWL)
Market Price (2/18/2026): $557.66 | Market Cap: $6.8 BilSector: Industrials | Industry: Electrical Components & Equipment
Powell Industries (POWL)
Market Price (2/18/2026): $557.66Market Cap: $6.8 BilSector: IndustrialsIndustry: Electrical Components & Equipment
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 16%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 14% | Meaningful short interestShort Interest % of Basic SharesShort Interest % of Basic Shares = (Short Interest Quantity) / (Basic Shares Outstanding). A high fraction of short interest can indicate potential risk of a short squeeze. is 10% | Expensive valuation multiplesP/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 39x |
| Megatrend and thematic driversMegatrends include Sustainable Infrastructure, and Hydrogen Economy. Themes include Smart Grid Technologies, Renewable Energy Equipment, Show more. | Stock price has recently run up significantly6M Rtn6 month market price return is 121%, 12M Rtn12 month market price return is 164% | |
| Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 83% | ||
| Key risksPOWL key risks include [1] declining revenue from its core oil & gas and petrochemical markets, Show more. |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 16%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 14% |
| Megatrend and thematic driversMegatrends include Sustainable Infrastructure, and Hydrogen Economy. Themes include Smart Grid Technologies, Renewable Energy Equipment, Show more. |
| Meaningful short interestShort Interest % of Basic SharesShort Interest % of Basic Shares = (Short Interest Quantity) / (Basic Shares Outstanding). A high fraction of short interest can indicate potential risk of a short squeeze. is 10% |
| Expensive valuation multiplesP/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 39x |
| Stock price has recently run up significantly6M Rtn6 month market price return is 121%, 12M Rtn12 month market price return is 164% |
| Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 83% |
| Key risksPOWL key risks include [1] declining revenue from its core oil & gas and petrochemical markets, Show more. |
Qualitative Assessment
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Powell Industries (POWL) stock has gained about 45% since 10/31/2025 because of the following key factors:
1. Exceptional Earnings Performance and Strong Fiscal 2026 Outlook.
Powell Industries reported significant earnings beats and provided a confident outlook for fiscal year 2026. The company's Q4 2025 earnings per share (EPS) of $4.22 surpassed analyst estimates of $3.76 by $0.46. This strong performance continued into Q1 2026, with an EPS of $3.40, beating analyst expectations of $2.85 by 19.30% ($0.55). Management expressed confidence in sustaining growth and profitability through fiscal 2026, citing a stable pricing environment and efficient project execution.
2. Record New Orders and Backlog Driven by High-Growth Markets.
Powell Industries achieved record new orders totaling $439 million in Q1 2026, marking a 63% increase year-over-year and representing the highest quarterly total in over two years. This led to a historic backlog of $1.6 billion as of December 31, 2025, a 16% increase compared to the prior year. A significant portion of these new orders came from "mega orders" exceeding $100 million each, particularly within the expanding data center and Liquefied Natural Gas (LNG) markets.
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1. Exceptional Earnings Performance and Strong Fiscal 2026 Outlook.
Powell Industries reported significant earnings beats and provided a confident outlook for fiscal year 2026. The company's Q4 2025 earnings per share (EPS) of $4.22 surpassed analyst estimates of $3.76 by $0.46. This strong performance continued into Q1 2026, with an EPS of $3.40, beating analyst expectations of $2.85 by 19.30% ($0.55). Management expressed confidence in sustaining growth and profitability through fiscal 2026, citing a stable pricing environment and efficient project execution.
2. Record New Orders and Backlog Driven by High-Growth Markets.
Powell Industries achieved record new orders totaling $439 million in Q1 2026, marking a 63% increase year-over-year and representing the highest quarterly total in over two years. This led to a historic backlog of $1.6 billion as of December 31, 2025, a 16% increase compared to the prior year. A significant portion of these new orders came from "mega orders" exceeding $100 million each, particularly within the expanding data center and Liquefied Natural Gas (LNG) markets.
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Stock Movement Drivers
Fundamental Drivers
The 46.5% change in POWL stock from 10/31/2025 to 2/17/2026 was primarily driven by a 37.6% change in the company's P/E Multiple.| (LTM values as of) | 10312025 | 2172026 | Change |
|---|---|---|---|
| Stock Price ($) | 383.07 | 561.37 | 46.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 1,081 | 1,114 | 3.0% |
| Net Income Margin (%) | 16.2% | 16.8% | 3.7% |
| P/E Multiple | 26.4 | 36.3 | 37.6% |
| Shares Outstanding (Mil) | 12 | 12 | -0.3% |
| Cumulative Contribution | 46.5% |
Market Drivers
10/31/2025 to 2/17/2026| Return | Correlation | |
|---|---|---|
| POWL | 46.5% | |
| Market (SPY) | 0.1% | 26.4% |
| Sector (XLI) | 12.9% | 37.7% |
Fundamental Drivers
The 137.2% change in POWL stock from 7/31/2025 to 2/17/2026 was primarily driven by a 120.2% change in the company's P/E Multiple.| (LTM values as of) | 7312025 | 2172026 | Change |
|---|---|---|---|
| Stock Price ($) | 236.65 | 561.37 | 137.2% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 1,083 | 1,114 | 2.8% |
| Net Income Margin (%) | 16.0% | 16.8% | 5.1% |
| P/E Multiple | 16.5 | 36.3 | 120.2% |
| Shares Outstanding (Mil) | 12 | 12 | -0.3% |
| Cumulative Contribution | 137.2% |
Market Drivers
7/31/2025 to 2/17/2026| Return | Correlation | |
|---|---|---|
| POWL | 137.2% | |
| Market (SPY) | 8.3% | 37.0% |
| Sector (XLI) | 15.7% | 41.3% |
Fundamental Drivers
The 135.2% change in POWL stock from 1/31/2025 to 2/17/2026 was primarily driven by a 89.9% change in the company's P/E Multiple.| (LTM values as of) | 1312025 | 2172026 | Change |
|---|---|---|---|
| Stock Price ($) | 238.67 | 561.37 | 135.2% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 1,012 | 1,114 | 10.0% |
| Net Income Margin (%) | 14.8% | 16.8% | 13.6% |
| P/E Multiple | 19.1 | 36.3 | 89.9% |
| Shares Outstanding (Mil) | 12 | 12 | -0.9% |
| Cumulative Contribution | 135.2% |
Market Drivers
1/31/2025 to 2/17/2026| Return | Correlation | |
|---|---|---|
| POWL | 135.2% | |
| Market (SPY) | 14.5% | 50.0% |
| Sector (XLI) | 27.8% | 51.5% |
Fundamental Drivers
The 1353.7% change in POWL stock from 1/31/2023 to 2/17/2026 was primarily driven by a 552.1% change in the company's Net Income Margin (%).| (LTM values as of) | 1312023 | 2172026 | Change |
|---|---|---|---|
| Stock Price ($) | 38.62 | 561.37 | 1353.7% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 533 | 1,114 | 109.2% |
| Net Income Margin (%) | 2.6% | 16.8% | 552.1% |
| P/E Multiple | 33.2 | 36.3 | 9.3% |
| Shares Outstanding (Mil) | 12 | 12 | -2.5% |
| Cumulative Contribution | 1353.7% |
Market Drivers
1/31/2023 to 2/17/2026| Return | Correlation | |
|---|---|---|
| POWL | 1353.7% | |
| Market (SPY) | 74.2% | 32.1% |
| Sector (XLI) | 79.4% | 36.5% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| POWL Return | 4% | 24% | 156% | 152% | 44% | 84% | 2102% |
| Peers Return | 44% | -17% | 46% | 29% | 15% | 29% | 237% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | -0% | 82% |
Monthly Win Rates [3] | |||||||
| POWL Win Rate | 42% | 58% | 67% | 67% | 67% | 100% | |
| Peers Win Rate | 65% | 37% | 62% | 65% | 55% | 100% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 50% | |
Max Drawdowns [4] | |||||||
| POWL Max Drawdown | -19% | -35% | -2% | -13% | -30% | 0% | |
| Peers Max Drawdown | -2% | -37% | -8% | -6% | -25% | 0% | |
| S&P 500 Max Drawdown | -1% | -25% | -1% | -2% | -15% | -1% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: ETN, HUBB, AZZ, NVT, GNRC.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 2/17/2026 (YTD)
How Low Can It Go
| Event | POWL | S&P 500 |
|---|---|---|
| 2022 Inflation Shock | ||
| % Loss | -49.0% | -25.4% |
| % Gain to Breakeven | 95.9% | 34.1% |
| Time to Breakeven | 246 days | 464 days |
| 2020 Covid Pandemic | ||
| % Loss | -68.1% | -33.9% |
| % Gain to Breakeven | 213.4% | 51.3% |
| Time to Breakeven | 1,141 days | 148 days |
| 2018 Correction | ||
| % Loss | -43.4% | -19.8% |
| % Gain to Breakeven | 76.7% | 24.7% |
| Time to Breakeven | 267 days | 120 days |
| 2008 Global Financial Crisis | ||
| % Loss | -68.7% | -56.8% |
| % Gain to Breakeven | 219.5% | 131.3% |
| Time to Breakeven | 1,567 days | 1,480 days |
Compare to ETN, HUBB, AZZ, NVT, GNRC
In The Past
Powell Industries's stock fell -49.0% during the 2022 Inflation Shock from a high on 5/14/2021. A -49.0% loss requires a 95.9% gain to breakeven.
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About Powell Industries (POWL)
Powell Industries, Inc., together with its subsidiaries, designs, develops, manufactures, sells, and services custom-engineered equipment and systems for the distribution, control, and monitoring of electrical energy. The company's principal products include integrated power control room substations, custom-engineered modules, electrical houses, medium-voltage circuit breakers, monitoring and control communications systems, motor control centers, and bus duct systems, as well as traditional and arc-resistant distribution switchgears and control gears. Its products have application in voltages ranging from 480 volts to 38,000 volts; and are used in oil and gas refining, onshore and offshore oil and gas production, petrochemical, liquid natural gas terminals, pipeline, terminal, mining and metals, light rail traction power, electric utility, pulp and paper, and other heavy industrial markets. It also provides value-added services, such as spare parts, field service inspection, installation, commissioning, modification and repair, retrofit and retrofill components for existing systems, and replacement circuit breakers for switchgear. The company has operations in the United States, Canada, the Middle East, Africa, Europe, Mexico, and Central and South America. Powell Industries, Inc. was founded in 1947 and is headquartered in Houston, Texas.
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Here are a few analogies for Powell Industries:
- Powell Industries is like a specialized Eaton or Schneider Electric, focusing on custom-engineered electrical power distribution and control for heavy industry.
- Think of Powell Industries as a niche Siemens or ABB, providing custom, critical electrical power distribution and control systems for industrial and utility clients.
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- Custom-Engineered Electrical Solutions: Powell Industries designs, manufactures, and integrates advanced electrical power control and distribution systems, such as switchgear, motor control centers, and substations, for demanding industrial and utility applications.
- Aftermarket Services: The company provides comprehensive field services, maintenance, parts, upgrades, and technical support for its installed base of electrical equipment and systems.
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Major Customers of Powell Industries (POWL)
Powell Industries (POWL) primarily sells its custom-engineered solutions for electrical energy distribution, control, and monitoring to other companies (Business-to-Business, or B2B).
As per Powell Industries' public filings (e.g., their annual 10-K reports), no single customer accounts for more than 10% of their consolidated net sales in recent fiscal years. Consequently, Powell Industries does not publicly disclose the names of its specific major customer companies. Instead, they operate across various industrial and commercial sectors, serving a diverse base of corporate and institutional clients.
Based on their reported customer base and market focus, the major categories of companies that Powell Industries serves include:
- Energy and Heavy Industrial Sector: This category encompasses large companies engaged in hydrocarbon processing, oil and gas production (including onshore and offshore operations), pipelines, utility and electrical power generation, mining, metals, and other capital-intensive process industries. These customers are typically major national or multinational corporations, utility providers, and large industrial operators requiring robust and reliable electrical infrastructure.
- Commercial and Infrastructure Sector: This category includes institutional customers such as universities, large hospital systems, data centers, and mass transit authorities. These organizations represent significant infrastructure projects with complex electrical power distribution and control needs.
While specific customer names and their symbols are not disclosed due to the diversified customer base and confidentiality, their client base generally consists of well-established public or large private corporations within these heavy industrial, energy, and infrastructure sectors globally.
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Brett A. Cope, Chairman, President and Chief Executive Officer
Mr. Cope has served as the President and Chief Executive Officer of Powell Industries, Inc. since October 2016 and was elected Chairman of the Board of Directors in 2019. He joined Powell in 2011 as Vice President of Sales and Marketing, then became Chief Operating Officer in 2015. Prior to joining Powell Industries, Mr. Cope spent 20 years at ABB Ltd., an international provider of power and automation products, where he held various roles in engineering, project operations, and sales management, including Group Vice President responsible for global business initiatives with ExxonMobil Corporation. He holds a Bachelor of Science in Applied Science from Miami University in Oxford, Ohio.
Michael W. Metcalf, Executive Vice President, Chief Financial Officer, Secretary & Treasurer
Mr. Metcalf has been the Chief Financial Officer and Executive Vice President of Powell Industries since 2018. Before joining Powell, he served as Chief Financial Officer of Global Supply Chain and Operations at GE Oil & Gas from 2011 to 2015. His other previous roles include Chief Financial Officer of Production Solutions at GE Oil & Gas, Chief Financial Officer of Artificial Lift Systems at Baker Hughes, a GE company, and Chief Financial Officer of Aero derivative Products at GE Power.
Milburn E. Honeycutt, Vice President, Corporate Controller & Chief Accounting Officer
Mr. Honeycutt serves as the Vice President, Corporate Controller, and Chief Accounting Officer for Powell Industries, a position he has held since 2005. Prior to his time at Powell, he was Senior Vice President of Operations Administration at Comfort Systems USA and also held roles as Controller at Comfort Systems USA and Vice President/Controller at Synagro.
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Key Risks to Powell Industries (POWL)
- Exposure to Cyclicality and Declining Demand in Key End Markets: Powell Industries remains significantly exposed to the cyclical nature and capital expenditure trends of its core industrial markets, particularly the Oil & Gas and Petrochemical sectors. While the company is working on diversification, these segments still constitute a substantial portion of its revenue, and recent reports indicate declines in revenue from both the Petrochemical (down 25% in Q4 FY2025) and Oil & Gas (down 10% in Q4 FY2025) sectors. A prolonged downturn in these markets could directly challenge the company's ability to sustain its revenue.
- Execution Risk Associated with Record Backlog and Manufacturing Capacity Expansion: The company has a record backlog of $1.4 billion, with approximately $824 million expected to be recognized as revenue in fiscal year 2026. While this indicates future revenue visibility, it also introduces substantial execution risk, requiring flawless project management to maintain high gross margins amidst ongoing supply chain and labor challenges. Furthermore, Powell Industries is undertaking manufacturing capacity upgrades, and there is a risk that if growth projections are overestimated, the company could end up over-investing, potentially affecting its returns on invested capital.
- Intense Competition and Potential Erosion of Pricing Power: Powell Industries operates in a highly competitive industry and faces challenges from larger players. There is a risk that as supply normalizes and power component shortages ease, particularly in 2025, the company's pricing power could erode, impacting its margins and overall profitability.
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Powell Industries, Inc. (POWL) provides custom-engineered solutions for the management, distribution, and control of electrical energy, primarily serving the oil and gas, utility, and industrial sectors globally. Their main products and services include various types of switchgear, integrated power control room substations (E-Houses), motor control centers, bus duct systems, and automation and control systems, as well as field services and traction power systems.
The addressable markets for Powell Industries' main products and services are sizable across various regions:
- Switchgear (High Voltage): The global high voltage switchgear market was valued at approximately USD 17.3 billion in 2024 and is projected to reach USD 32 billion by 2034, growing at a CAGR of 6.2% from 2025 to 2034. Another source estimated the market at USD 55.72 billion in 2024, projected to grow to USD 88.83 billion by 2035. North America's share of this market was 30.1% in 2022. The global high voltage equipment market, which includes switchgear, was valued at USD 126.43 billion in 2023 and is predicted to reach USD 198.69 billion by 2030.
- Switchgear (Low Voltage): The global low voltage switchgear market was valued at USD 86.1 billion in 2024 and is estimated to reach USD 180 billion by 2034, with a CAGR of 7.6% from 2025 to 2034. The U.S. low voltage switchgear market was valued at USD 10 billion in 2024. Another estimate places the global market at USD 41.83 billion in 2023, expected to reach USD 84.29 billion by 2032.
- Integrated Power Control Room Substations / E-Houses: The global E-house market was estimated at USD 1.72 billion in 2024 and is projected to reach USD 3.05 billion by 2033, with a CAGR of 6.56% from 2025 to 2033. Asia Pacific held the largest share of 29.00% in the global E-house market in 2024. The global E-House market was valued at USD 1.801 billion in 2024 and is projected to reach USD 4.801 billion by 2035, growing at a CAGR of 9.32% from 2025 to 2035.
- Substations (including integrated power control room substations): The global substation market size was valued at USD 159.85 billion in 2024 and is projected to reach USD 226.91 billion by 2032, exhibiting a CAGR of 4.48% during the forecast period. The U.S. substation market is projected to reach USD 47.78 billion by 2032. Another source valued the global substation market at USD 138.7 billion in 2024, growing to USD 198.76 billion by 2032. North America holds more than 15.3% in revenue share in the global substations market in 2024.
- Substation Automation: The global substation automation market size was valued at USD 47.76 billion in 2024 and is projected to grow at a CAGR of 6.6% from 2025 to 2030. North America dominated this market with a revenue share of 31.3% in 2024.
- Traction Power Systems: The global traction power systems market for railways is estimated at USD 15 billion in 2025 and is projected to expand at a CAGR of 7% from 2025 to 2033, reaching approximately USD 25 billion by 2033. Asia-Pacific is expected to dominate this market, followed by Europe and North America. Another estimate for the global electric traction systems market size is USD 21.54 billion in 2025, growing to USD 29.48 billion by 2033, at a CAGR of 4.00%. North America held over 37% of the global revenue with a market size of USD 7.97 billion in 2025.
- Power Management Systems: The global power management system market is expected to grow from USD 7.02 billion in 2025 to USD 12.80 billion by 2034, at a CAGR of 6.91%. The U.S. power management system market size was USD 1.52 billion in 2024 and is projected to be around USD 3.02 billion by 2034.
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Expected Drivers of Future Revenue Growth for Powell Industries (POWL)
- Growth in the Electric Utility Market: Powell Industries is experiencing robust demand within the electric utility sector, which has demonstrated consistent strong performance and double-digit growth. The company recently secured its largest electric utility project in its history, and management maintains a very strong and balanced outlook for this market across various customers and geographies.
- Expansion in the Data Center Market: The Commercial and Other Industrial sector, which encompasses the growing data center market, is showing significant momentum and increased activity. Powell Industries is actively pursuing and identifying growing opportunities to further penetrate this market with its new products and solutions.
- New Product Launches and Capacity Expansion: The company has introduced several new products, including a grounding switch, compact/power control aisle substations, and low-voltage data-center switchgear. Furthermore, Powell has completed a facility expansion at its electrical products facility in Houston. These initiatives are expected to generate incremental revenue, with projections of $20 million to $40 million in additional annualized revenue in fiscal year 2026, contingent on product adoption rates.
- Strong Backlog and Order Activity: Powell Industries benefits from a substantial and growing order backlog, which stood at $1.4 billion as of the third quarter of fiscal year 2025. This significant backlog provides strong revenue visibility for the coming years. The company continues to report robust new order activity, highlighted by a book-to-bill ratio of 1.3x in Q3 2025.
- Strategic Acquisitions and LNG Market Opportunities: The recent acquisition of Remsdaq Ltd., a UK-based manufacturer of SCADA remote terminal units for electrical substation control and automation, is expected to significantly strengthen Powell's electric automation platform. Additionally, the company is optimistic about future growth in the Liquefied Natural Gas (LNG) market, anticipating continued momentum in both greenfield and brownfield projects following the lifting of a moratorium on permitting activity.
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Share Repurchases
Powell Industries has not announced any significant share repurchase programs or made substantial share repurchases within the last 3-5 years.
Share Issuance
No significant share issuances by Powell Industries have been reported over the last 3-5 years.
Inbound Investments
No information is available regarding large investments made in Powell Industries by third-parties during the last 3-5 years.
Outbound Investments
- In July 2025, Powell Industries announced a definitive agreement to acquire U.K.-based Remsdaq Ltd. for approximately $16.3 million (£12.2 million).
- This acquisition aims to enhance Powell's automation platform capabilities by integrating Remsdaq's SCADA Remote Terminal Units (RTUs) for electrical substation control and automation.
Capital Expenditures
- Powell Industries announced a $12.4 million investment in August 2025 to expand production capacity at its Jacintoport manufacturing facility in Houston. This expansion will increase the Power Control Room laydown area by 62% and double the shoreline bulkhead length, primarily supporting Oil & Gas customers.
- This Jacintoport expansion is part of a broader $40 million cumulative investment across Powell's three Houston manufacturing facilities.
- In fiscal year 2024, capital expenditures included $6 million for property and $12 million for land stabilization. The company's capital expenditures grew by 53% in FY24, primarily for new property and facility expansion in Houston.
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|---|---|---|---|---|---|---|---|
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| 01302026 | PAYC | Paycom Software | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | -7.0% | -7.0% | -11.9% |
| 01302026 | HTZ | Hertz Global | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | 2.9% | 2.9% | 0.0% |
| 01232026 | PAYX | Paychex | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | -11.5% | -11.5% | -13.3% |
| 01022026 | CPRT | Copart | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | -0.7% | -0.7% | -2.8% |
| 11072025 | POWL | Powell Industries | Quality | Q | Momentum | UpsideQuality Stocks with Momentum and UpsideBuying quality stocks with strong momentum but still having room to run | 60.3% | 60.3% | -22.7% |
Research & Analysis
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 312.48 |
| Mkt Cap | 16.1 |
| Rev LTM | 3,966 |
| Op Inc LTM | 533 |
| FCF LTM | 426 |
| FCF 3Y Avg | 440 |
| CFO LTM | 553 |
| CFO 3Y Avg | 540 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 5.3% |
| Rev Chg 3Y Avg | 9.7% |
| Rev Chg Q | 7.8% |
| QoQ Delta Rev Chg LTM | 1.9% |
| Op Mgn LTM | 17.4% |
| Op Mgn 3Y Avg | 16.6% |
| QoQ Delta Op Mgn LTM | 0.2% |
| CFO/Rev LTM | 15.5% |
| CFO/Rev 3Y Avg | 18.0% |
| FCF/Rev LTM | 13.5% |
| FCF/Rev 3Y Avg | 15.3% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 16.1 |
| P/S | 5.0 |
| P/EBIT | 30.3 |
| P/E | 33.7 |
| P/CFO | 32.0 |
| Total Yield | 3.2% |
| Dividend Yield | 0.3% |
| FCF Yield 3Y Avg | 4.4% |
| D/E | 0.1 |
| Net D/E | 0.1 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | 12.8% |
| 3M Rtn | 32.9% |
| 6M Rtn | 22.0% |
| 12M Rtn | 50.3% |
| 3Y Rtn | 145.5% |
| 1M Excs Rtn | 16.1% |
| 3M Excs Rtn | 29.1% |
| 6M Excs Rtn | 16.9% |
| 12M Excs Rtn | 38.0% |
| 3Y Excs Rtn | 88.2% |
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Development, design, manufacturing and servicing of custom-engineered equipment and systems for the | 1,012 | 699 | 533 | 471 | 518 |
| Total | 1,012 | 699 | 533 | 471 | 518 |
| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Development, design, manufacturing and servicing of custom-engineered equipment and systems for the | 179 | ||||
| Total | 179 |
| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Development, design, manufacturing and servicing of custom-engineered equipment and systems for the | 150 | ||||
| Total | 150 |
Price Behavior
Price Behavior
| Market Price | $561.37 | |
| Market Cap ($ Bil) | 6.8 | |
| First Trading Date | 03/26/1990 | |
| Distance from 52W High | -5.3% | |
| 50 Days | 200 Days | |
| DMA Price | $409.61 | $297.18 |
| DMA Trend | up | up |
| Distance from DMA | 37.1% | 88.9% |
| 3M | 1YR | |
| Volatility | 63.8% | 58.1% |
| Downside Capture | -134.39 | 129.80 |
| Upside Capture | 206.73 | 214.08 |
| Correlation (SPY) | 15.0% | 50.7% |
POWL Betas & Captures as of 1/31/2026
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | -0.04 | 1.78 | 1.85 | 2.14 | 1.56 | 1.56 |
| Up Beta | -4.71 | -2.36 | 1.13 | 1.84 | 1.39 | 1.93 |
| Down Beta | -0.22 | 1.62 | 2.05 | 1.92 | 1.29 | 1.04 |
| Up Capture | 505% | 505% | 259% | 443% | 421% | 1370% |
| Bmk +ve Days | 11 | 22 | 34 | 71 | 142 | 430 |
| Stock +ve Days | 15 | 29 | 39 | 77 | 137 | 412 |
| Down Capture | -274% | 106% | 151% | 152% | 135% | 106% |
| Bmk -ve Days | 9 | 19 | 27 | 54 | 109 | 321 |
| Stock -ve Days | 5 | 12 | 22 | 48 | 114 | 339 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with POWL | |
|---|---|---|---|---|
| POWL | 164.3% | 57.9% | 1.89 | - |
| Sector ETF (XLI) | 28.4% | 19.2% | 1.17 | 52.4% |
| Equity (SPY) | 13.0% | 19.4% | 0.51 | 50.5% |
| Gold (GLD) | 67.2% | 25.5% | 1.99 | 4.2% |
| Commodities (DBC) | 5.2% | 16.8% | 0.13 | 20.5% |
| Real Estate (VNQ) | 7.8% | 16.6% | 0.28 | 25.2% |
| Bitcoin (BTCUSD) | -28.8% | 44.9% | -0.62 | 24.4% |
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Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with POWL | |
|---|---|---|---|---|
| POWL | 84.2% | 62.7% | 1.21 | - |
| Sector ETF (XLI) | 15.9% | 17.2% | 0.75 | 35.9% |
| Equity (SPY) | 13.3% | 17.0% | 0.62 | 30.7% |
| Gold (GLD) | 21.3% | 17.1% | 1.02 | 5.3% |
| Commodities (DBC) | 10.2% | 18.9% | 0.42 | 10.0% |
| Real Estate (VNQ) | 5.3% | 18.8% | 0.19 | 17.3% |
| Bitcoin (BTCUSD) | 8.2% | 57.2% | 0.36 | 15.4% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with POWL | |
|---|---|---|---|---|
| POWL | 39.7% | 53.8% | 0.83 | - |
| Sector ETF (XLI) | 15.4% | 19.8% | 0.69 | 42.9% |
| Equity (SPY) | 15.8% | 17.9% | 0.76 | 37.8% |
| Gold (GLD) | 14.8% | 15.6% | 0.79 | 1.9% |
| Commodities (DBC) | 8.0% | 17.6% | 0.37 | 17.1% |
| Real Estate (VNQ) | 6.8% | 20.7% | 0.29 | 29.1% |
| Bitcoin (BTCUSD) | 68.5% | 66.7% | 1.08 | 13.4% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Expand for More| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 2/3/2026 | |||
| 11/18/2025 | -11.3% | -2.8% | 3.5% |
| 8/5/2025 | -3.6% | 14.4% | 14.7% |
| 5/6/2025 | -8.0% | 2.5% | -3.8% |
| 2/6/2025 | -6.5% | -12.5% | -35.3% |
| 11/19/2024 | -16.1% | -13.0% | -22.0% |
| 7/30/2024 | 37.8% | 22.9% | 23.8% |
| 4/30/2024 | 18.9% | 10.3% | 44.3% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 9 | 13 | 12 |
| # Negative | 10 | 6 | 7 |
| Median Positive | 17.5% | 10.3% | 25.0% |
| Median Negative | -5.2% | -4.5% | -8.6% |
| Max Positive | 39.6% | 35.4% | 44.3% |
| Max Negative | -16.1% | -13.0% | -35.3% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 12/31/2025 | 02/04/2026 | 10-Q |
| 09/30/2025 | 11/19/2025 | 10-K |
| 06/30/2025 | 08/06/2025 | 10-Q |
| 03/31/2025 | 05/07/2025 | 10-Q |
| 12/31/2024 | 02/07/2025 | 10-Q |
| 09/30/2024 | 11/20/2024 | 10-K |
| 06/30/2024 | 07/31/2024 | 10-Q |
| 03/31/2024 | 05/01/2024 | 10-Q |
| 12/31/2023 | 01/31/2024 | 10-Q |
| 09/30/2023 | 12/06/2023 | 10-K |
| 06/30/2023 | 08/02/2023 | 10-Q |
| 03/31/2023 | 05/03/2023 | 10-Q |
| 12/31/2022 | 02/01/2023 | 10-Q |
| 09/30/2022 | 12/06/2022 | 10-K |
| 06/30/2022 | 08/03/2022 | 10-Q |
| 03/31/2022 | 05/04/2022 | 10-Q |
Insider Activity
Expand for More| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Mauney, William Marshall Jr | Vice President, R&D | Direct | Sell | 12222025 | 331.73 | 3,000 | 995,190 | 1,476,530 | Form |
| 2 | McKertcher, Terry B | Vice President, Operations | Direct | Sell | 12082025 | 340.64 | 2,100 | 715,341 | 2,531,966 | Form |
| 3 | Metcalf, Michael William | Exec Vice President | Direct | Sell | 9242025 | 298.74 | 3,200 | 955,969 | 7,677,629 | Form |
| 4 | Mudge, Frederick N | Vice President, Operations | Direct | Sell | 8282025 | 277.50 | 6,400 | 1,776,000 | 6,934,170 | Form |
| 5 | Birchall, John | Managing Director | Direct | Sell | 8272025 | 260.03 | 3,000 | 780,090 | 1,742,201 | Form |
POWL Trade Sentinel
Core Investment Debate
The Backlog Cushion vs. The Order Cliff
BULL VIEW
Secular trends in electrification and data centers will sustain demand, and the massive backlog provides over a year of revenue visibility, smoothing any near-term order volatility.
CORE TENSION
Can a record $1.4B backlog offset a sharp deceleration in new orders (0.91x book-to-bill), or is a cyclical peak imminent?
PREVAILING SENTIMENT
BULLISH
The latest Q1 2026 earnings report on Feb 4, 2026, showed new orders surged 63% YoY to $439M, driving a record backlog of $1.6B and a book-to-bill ratio of 1.7x.
BEAR VIEW
The negative book-to-bill ratio and weakness in legacy industrial segments signal a cyclical peak; the high-quality backlog will inevitably erode, revealing a sharp growth slowdown.
Next 6 months: Risks and Catalysts
| Timeline | Event & Metric To Watch |
|---|---|
Early May 2026 | Q2 2026 Earnings Call Watch: Book-to-bill ratio > 1.2x and sustained gross margins near 28%. |
Next 3-6 Months | Major Cloud Provider Capex Guidance Watch: Guidance from Microsoft, Amazon, Google on data center capital expenditure acceleration vs. optimization. |
Second Half 2026 | Jacintoport Facility Expansion Update Watch: Confirmation of on-schedule completion to meet demand for large LNG projects. |
Ongoing / Next Earnings Call | Raw Material Cost Commentary (Steel, Copper) Watch: Management commentary on ability to pass through costs and protect gross margins from inflation. |
Key Events in Last 6 Months
| Date | Event | Stock Impact |
|---|---|---|
2025-07-15 | Acquisition of Remsdaq Ltd. Details: Announced agreement to acquire UK-based Remsdaq to enhance its automation and control solutions offerings for the utility market. | Muted (0.26%) $210.16 -> $210.70 |
2025-08-11 | Q3 2025 Earnings Release Details: Beat earnings expectations, driven by strong demand from the utility sector. Announced a record $60M contract from a major utility, boosting backlog. | Stock surged +8.6% $243.39 -> $264.33 |
2025-11-18 | Q4 2025 Earnings Release Details: Despite beating estimates, the stock fell sharply on concerns of slowing growth, weakness in oil & gas, and a book-to-bill ratio of 0.91x. | Stock plummeted -11.3% $321.66 -> $285.29 |
2026-02-04 | Q1 2026 Earnings Release Details: Company reported record new orders of $439M (up 63% YoY), a record backlog of $1.6B, and beat EPS estimates. This reversed the prior quarter's negative order trend. | Stock surged +16.34% $453.24 -> $527.30 |
Risk Management
Position Sizing
4% - 6%
NORMAL
Stock is in an Explosive Volatility regime (5.3x S&P) with Spiking near-term vol. While the fundamental sentiment is now Bullish, the extreme volatility caps sizing to manage drawdown risk. (Bucket B, Scenario 3).
Diversification Alternatives
ETN
SECTORETN offers broader diversification, a larger scale, and has shown more consistent backlog and order growth, especially in the key data center vertical, representing a more stable investment.
Core Thesis: A globally diversified power management company with a strong moat built on scale, distribution, and a massive patent portfolio, well-positioned for secular growth in electrification and digitalization.
VRT
INDUSTRYVRT is a pure-play on the data center and AI infrastructure buildout, offering more direct exposure to the fastest-growing end market than Powell's more diversified business.
Core Thesis: A leading provider of critical digital infrastructure (power and cooling) essential for data centers. The business model benefits from high switching costs and recurring revenue from service contracts.
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
Prefer one of these to Trefis? Tell us why.