MasTec, Inc. (MTZ) vs Quanta Services, Inc. (PWR)

MasTec, Inc. and Quanta Services, Inc. are both Engineering & Construction companies. Quanta Services, Inc. is the larger, with a market value of $97.1B against $17.2B — 5.7× the size. MasTec, Inc. trades at the lower P/E: 33.5× against 73.2×. Quanta Services, Inc. grew revenue faster over the last twelve months: 26.3% against 23.5%. Quanta Services, Inc. has the higher net margin (4.03% vs 3.07%) and the lower return on invested capital (8.29% vs 8.57%). Across the 22 metrics below, Quanta Services, Inc. leads on 12 and MasTec, Inc. on 10.

Valuation

Metric MTZ PWR Engineering & Construction median
P/E 33.47 73.18 28.59
P/S 1.03 2.96 1.15
P/B 4.61 10.01 3.96
Price to free cash flow 56.29 41.50 25.24
EV/EBITDA 14.77 33.62 14.87
EV/Sales 1.18 3.13 1.42
Earnings yield 2.99% 1.37% 2.47%
Free cash flow yield 1.78% 2.41% 1.91%

Profitability

Metric MTZ PWR Engineering & Construction median
Gross margin 12.91% 15.46% 18.76%
Operating margin 5.13% 6.19% 6.26%
Net margin 3.07% 4.03% 2.23%
Free cash flow margin 1.83% 7.15% 1.83%
Return on equity 14.95% 15.07% 7.90%
Return on assets 4.93% 5.51% 0.87%
Return on invested capital 8.57% 8.29% 2.52%

Growth

Metric MTZ PWR Engineering & Construction median
Revenue growth (TTM) 23.46% 26.30% 16.67%
EPS growth (last fiscal year) 146.12% 12.77% —
Revenue growth, 5-year CAGR 17.73% 20.52% 11.76%
Net income growth, 5-year CAGR 4.33% 18.21% 0.00%

Health

Metric MTZ PWR Engineering & Construction median
Debt to equity 0.76 0.63 0.40
Current ratio 1.40 1.10 1.39
Net debt to EBITDA 1.79 2.20 0.38

Dividend

Metric MTZ PWR Engineering & Construction median
Dividend yield — 0.15% 0.65%
Payout ratio 0.00 0.08 0.00

Size

Metric MTZ PWR Engineering & Construction median
Market cap 17.19b 97.14b 1.31b

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