Powell Industries Inc logo

Powell Industries Inc(POWL)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL
4-STAR RATING
PASS
LAST CLOSE
$196.1
10/02/2026
(24-hour delay)

Advisory History & Simulated Performance *

*as per simulation (see disclosures)
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Upturn Advisory & Investor View for POWL

10/02/2026: POWL (4-star) is currently NOT-A-BUY. Pass it for now.

Powell Industries is an established manufacturer of electrical distribution equipment, specializing in complex, custom-engineered systems for the energy, utility, and industrial sectors. The company is currently experiencing a strong growth phase driven by robust infrastructure spending and increasing demand for reliable power in modern data centers. Key strengths include its reputation for quality and a large project backlog, though the business remains sensitive to cyclical industrial trends and execution risks in custom projects. While it provides a dividend, investors should monitor the competitive landscape where large multinationals pose a constant pricing threat. Overall, it is a play on infrastructure and electrification, suitable for investors seeking exposure to capital-intensive growth trends.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorStrong fitThe company is benefiting from long-term secular trends in infrastructure and electrification.
Momentum investorStrong fit while signal remains positiveThe stock has demonstrated strong relative strength in alignment with the industrial sector.
Value investorMixed fitRecent stock performance has elevated valuation multiples, reducing the margin of safety.
Dividend investorMixed fitWhile dividends are paid, the yield is relatively low compared to high-yield income investments.
Low-risk investorMixed fitThe stock's volatility is tied to cyclical industrial spending, which may not suit ultra-conservative profiles.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityMedium / highThe stock is susceptible to swings in industrial capital expenditure cycles.
Valuation riskMediumSignificant recent gains have placed the stock at higher valuation levels.
Competition risk (Diversified Industrials)HighLarge multinationals can exert significant pricing pressure.
Business qualityMediumThe business relies on project-based work, which can be lumpy.
Dividend incomeLowDividend yield is secondary to the capital appreciation story.
Execution riskMediumDelivering custom-engineered projects on time and budget is critical for margins.

Price Behavior

Rolling Over
PRICE PATH

Rolling Over

The price momentum is slowing down and beginning to turn downward.

Choppy
PRICE STABILITY

Choppy

The stock has experienced frequent reversals and pronounced short-term price swings.

Analysis of Past Performance

Type Stock
Historic Profit 73.5%
Avg. Invested days 30
Today’s Advisory PASS
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 3.0
Stock Returns Performance Upturn Returns Performance icon 4.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 10/02/2026

Upturn Scorecard

Upturn Star Rating

★★★★★
POWL receives a 4-star rating, supported by solid unit economics, and solid company fundamentals. The rating is constrained by weak price momentum.

Company Fundamentals

★★★★★
POWL has solid overall fundamentals (4 stars), with solid financial health, solid growth momentum, and strong ownership. In FY2025 versus FY2024, solid earnings growth (+20.6%) and solid cash generation (FCF margin 14.0%) are partially offset by moderate revenue growth (+9.1%).

Financial Health Rating

★★★★★
POWL's financial health is supported by solid liquidity, including working-capital and asset support (WC/assets 43.8%). Profitability is moderate (3 stars), which helps explain the 4-star overall score.

Growth Momentum Score

★★★★★
Free-cash-flow growth is POWL's strongest growth driver at +60.1% FY2025 versus FY2024 (strong, 5 stars). By comparison, earnings growth (+20.6%, solid) is also solid, while revenue growth (+9.1%, moderate) holds the profile back, so recent growth is not broad-based across the business.

Ownership

★★★★★
Institutional ownership is 93.4% and approximately 79.4% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership of 20.61% supports management-shareholder alignment.

Top 5 Institutional Investors

BlackRock Inc 9.91%
Vanguard Portfolio Management, LLC 4.28%
First Trust Advisors L.P. 3.92%
Vanguard Capital Management, LLC 3.52%
Dimensional Fund Advisors, Inc. 2.68%

Unit Economics (Per $1K Revenue)

★★★★★
POWL generates approximately $294 of gross profit, $197 of operating income, and $140 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Moderate margins, cash conversion, and capital efficiency support the rating.

Economic Dimensions

★★★★★
Effective Tax Rate: 22.61%

Quantitative Style Profile

★★★★★
POWL has a high-quality, liquid profile. Weak momentum is the primary drawback, while valuation that is moderately attractive rather than deeply discounted.

Style Classification

Quality Focused

Quality TiltSmall / Mid Cap RiskShort Squeeze RiskHighly Liquid / Institution-Friendly

Key Highlights

Company Size Mid-Cap Stock
Market Capitalization 7.14B USD
Price to earnings Ratio 37.57
1Y Target Price 280
Price to earnings Ratio 37.57
1Y Target Price 280
Volume (30-day avg) 523.3K shares
Beta 1.19
52 Weeks Range 92.47 - 327.74
Updated Date 10/02/2026
52 Weeks Range 92.47 - 327.74
Updated Date 10/02/2026
Dividends yield (FY) 0.19%
Basic EPS (TTM) 5.22

How Company Makes Money

Business areaWhat it includesRetail investor read
Electrical EquipmentSwitchgear, motor controls, and busway systems.This is the core of their business; they make the equipment that manages heavy-duty electrical power.
ServicesField maintenance, testing, and system upgrades.This provides a smaller, more consistent stream of income from equipment already in the field.
GeographyPrimary operations and revenue generation in North America.The company's performance is closely tied to North American industrial and energy infrastructure spending.

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

Revenue by Geography

Geography revenue - Year on Year

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Valuation

Trailing PE 37.57
Forward PE 29.33
Enterprise Value 6.36B
Price to Sales(TTM) 6.17
Enterprise Value 6.36B
Price to Sales(TTM) 6.17
Enterprise Value to Revenue 5.49
Enterprise Value to EBITDA 26.93
Shares Outstanding 36.43M
Shares Floating 28.92M
Shares Outstanding 36.43M
Shares Floating 28.92M
Percent Insiders 20.61
Percent Institutions 93.41

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Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About Powell Industries Inc

Exchange NASDAQ
Headquarters Houston, TX, United States
IPO Launch date 1990-03-26
Chairman of the Board, President & CEO Mr. Brett A. Cope
Sector Industrials
Industry Electrical Equipment & Parts
Full time employees 3143
Full time employees 3143

Powell Industries, Inc., together with its subsidiaries, designs, develops, manufactures, sells, and services custom-engineered equipment and systems. The company's products portfolio includes integrated power control room substations, custom-engineered modules, and electrical houses; and traditional and arc-resistant distribution switchgears and control gears, medium-voltage circuit breakers, monitoring and control communications systems, motor control centers, switches, and bus duct systems. It also provides field service inspection, installation, commissioning, modification, and repair services; spare parts; retrofit and retrofill components for existing systems; and replacement circuit breakers for switchgears. The company serves onshore and offshore production, liquefied natural gas facilities and terminals, pipelines and refineries, petrochemical, electric utility, light rail traction power, mining and metals, pulp and paper, data centers, commercial construction, and other industrial markets, as well as universities and government entities. It operates in the United States, Canada, the Middle East, Africa, Europe, Mexico, the Asia/Pacific, and Central and South America. Powell Industries, Inc. was founded in 1947 and is headquartered in Houston, Texas.