Why Quanta Services (PWR) Is Popping on Thursday

NEW YORK (TheStreet) -- Quanta Services (PWR) is popping after posting fourth-quarter results which beat expectations on the top- and bottom-line. Management also forecast 2014 earnings and revenue above consensus. 

By early afternoon, shares had added 6.3% to $34.13.

In the three months to December, the construction services contractor recorded net income of 50 cents a share, 10 cents higher than analysts surveyed by Thomson Reuters had expected. Revenue of $1.82 billion was 9% higher than a year earlier and beat expectations by $112 million.

"Our customer relationships are expanding as capital programs become larger and more complex, requiring Quanta's growing geographic presence and comprehensive service offerings," said CEO Jim O'Neill in a statement.

"We believe these factors, coupled with our record backlog, will provide the opportunity for double-digit growth for at least the next two years."

For the current quarter ending March, management forecasts revenue between $1.65 billion and $1.75 billion, in-line with consensus of $1.68 billion. Projected per-share earnings of 41 cents to 43 cents came in higher than analyst expectations of 36 cents a share.

Over fiscal 2014, the Houston-based company anticipates revenues between $7.4 billion and $7.8 billion with net income of $1.85 to $2.05 a share. Analysts had forecast revenue of $7.1 billion and net income of $1.77 a share.

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TheStreet Ratings team rates QUANTA SERVICES INC as a Buy with a ratings score of A. The team has this to say about their recommendation:

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