PWR vs STRL: How Quanta Services and Sterling Infrastructure Compare (2026)
Last updated August 2026
Short answer
PWR is the larger of the two ($100.33B market cap): the incumbent the market prices for continued execution (36.54x forward earnings, beta 1.22). STRL is the smaller challenger ($18.31B), cheaper on forward earnings (23.63x): more room to run, but more to prove. The real question is which set of drivers you believe, and whether owning one (or both) leaves you over-concentrated.
PWR vs STRL: the tie-breaker metrics
Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.
| Metric | PWR | STRL | What it tells you |
|---|---|---|---|
| Market cap | $100.33B | $18.31B | Size. The larger name is the incumbent; the smaller has more room to grow and more to prove. |
| Forward P/E | 36.54 | 23.63 | Valuation on next year's expected earnings, the same yardstick for both. Lower is cheaper for that growth; higher means the market is paying up. |
| Trailing P/E | 76.36 | 53.19 | Valuation on the last 12 months. A big drop from trailing to forward means the market expects earnings to jump, so more growth is already in the price. |
| Beta | 1.22 | 1.83 | Volatility vs the market. Above 1 swings harder than the index; below 1 is steadier. Higher beta means bigger drawdowns to hold through. |
| Price vs 52-week range | 71% of range | 45% of range | Where today's price sits between the 52-week low and high. Near the high is momentum with less margin of safety; near the low is out of favor or a discount, depending on why. |
| Price / book | 11.07 | 15.39 | How much you pay over book value. Very high can signal an asset-light, high-return business or a rich price. |
Reading it: STRL is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.
Before you buy: how PWR and STRL affect your concentration
The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. PWR and STRL share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.
This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined PWR and STRL exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.
What does Quanta Services (PWR) do?
Quanta Services is the largest specialty contractor for electric power, oil and gas pipeline, and communications infrastructure in North America. The company designs and constructs the physical infrastructure that delivers electricity from generation to customers: transmission lines, distribution networks, substations, and increasingly renewable energy interconnections. Quanta also has a meaningful underground utility infrastructure business (water, sewer, gas pipelines) and a communications infrastructure business (broadband, fiber).
What does Sterling Infrastructure (STRL) do?
Sterling Infrastructure is a specialty infrastructure construction company organized around three segments. E-Infrastructure Solutions provides site development for data centers, distribution centers, e-commerce fulfillment facilities, and other large industrial sites. Transportation Solutions provides heavy civil construction for highways, bridges, ports, and aviation. Building Solutions provides concrete services for residential and commercial construction.
PWR vs STRL: how do they differ?
Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.
- PWR drivers: Grid investment and AI data center load; Renewable energy interconnection.
- STRL drivers: Data center site development; Reshoring industrial site development.
Which fits which kind of investor
A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Utility regulatory cycles affect transmission and distribution capex pace. For STRL, customer concentration in hyperscaler data center work.
PWR or STRL: which should you pick?
Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick PWR if you believe its drivers more; STRL if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the PWR and STRL guides.
PWR vs STRL: the full fundamentals
PWR. Quanta trades at a premium reflecting the grid investment tailwind, the AI data center load growth narrative, and the structural labor moat. The multiple has expanded with recognition that utility capex is entering a generational increase to support AI and renewable interconnection.
STRL. Sterling trades at a premium to traditional construction reflecting the data center and reshoring exposure. The multiple has expanded with the AI infrastructure thesis. Smaller market cap creates higher volatility than larger infrastructure peers.
Headline figures (approximate, early 2026): PWR shows revenue (ttm) ~$25 billion, operating margin ~7% (cyclical and labor-intensive), net income (ttm) ~$1.2 billion, eps (ttm) ~$8.00; STRL shows revenue (ttm) ~$2.5 billion, operating margin ~12% (improving with mix), net income (ttm) ~$250 million, eps (ttm) ~$8.00.
The bottom line: PWR vs STRL
PWR and STRL are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined PWR and STRL exposure against your real portfolio. It is not an investment adviser.
Wondering how PWR or STRL fits the portfolio you already own? Walnut is an AI investing app that connects your brokerage read-only and answers questions like that about your actual holdings: overlap, concentration, and how each position tracks the S&P 500. Compare the best AI portfolio analyzers or see the best AI investing apps in 2026.
Investing in Quanta Services with AI
Connect the broker you already use and ask Walnut's AI how PWR fits what you actually hold: whether you own it already through a fund, what it would do to your concentration, and how it has tracked the S&P 500. Read-only by default, and you approve anything before it reaches your broker.
FAQ
What is the difference between PWR and STRL?
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Quanta Services is the largest specialty contractor for electric power, oil and gas pipeline, and communications infrastructure in North America. Sterling Infrastructure is a specialty infrastructure construction company organized around three segments. They show up together because they share investment themes, but they are different businesses, so the better fit depends on which thesis you are expressing.
Is PWR or STRL the better stock?
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Neither is universally better. PWR is the larger incumbent; STRL is the smaller challenger and looks cheaper on forward earnings. Walnut is informational, not investment advice. Compare what each does, the tie-breaker metrics above, and the risks, then decide which fits your thesis and what you already own.
Which is cheaper, PWR or STRL?
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On forward P/E (as of August 2026), PWR trades at 36.54x and STRL at 23.63x, so STRL is the cheaper of the two on next year's expected earnings. A lower multiple is not automatically the better buy: a richer valuation can be justified by faster growth, and a lower one can reflect real risk. Weigh the multiple against how fast each business is compounding.
Should you own both PWR and STRL?
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Because they share themes, owning both concentrates you in that theme. That can be intentional (a focused bet) or accidental (less diversification than it looks). Walnut can show your combined exposure across both, and whether adding either over-concentrates you, before you buy.
What are the risks of PWR vs STRL?
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PWR: Utility regulatory cycles affect transmission and distribution capex pace. Skilled labor availability remains a long-term constraint. Margin pressure during labor inflation periods. Renewable interconnection demand depends on policy support. STRL: Customer concentration in hyperscaler data center work. Construction execution risk on large projects. Cyclical exposure across all three segments. Smaller market capitalization with higher volatility.
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Walnut is informational, not investment advice. This page is descriptive and not a recommendation to buy or sell PWR or STRL; figures are approximate and dated (as of August 2026). Verify current data before investing.