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Powell Industries (POWL) Laps the Stock Market: Here's Why

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In the latest close session, Powell Industries (POWL - Free Report) was up +2.32% at $373.85. The stock's change was more than the S&P 500's daily gain of 1.54%. At the same time, the Dow added 0.81%, and the tech-heavy Nasdaq gained 2.27%.

The stock of energy equipment company has risen by 21.36% in the past month, leading the Industrial Products sector's gain of 3.55% and the S&P 500's gain of 0.29%.

Market participants will be closely following the financial results of Powell Industries in its upcoming release. The company plans to announce its earnings on November 18, 2025. In that report, analysts expect Powell Industries to post earnings of $3.76 per share. This would mark a year-over-year decline of 0.27%. Meanwhile, the latest consensus estimate predicts the revenue to be $292.85 million, indicating a 6.47% increase compared to the same quarter of the previous year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $14.39 per share and a revenue of $1.1 billion, indicating changes of +17.09% and 0%, respectively, from the former year.

Investors should also take note of any recent adjustments to analyst estimates for Powell Industries. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.27% upward. Powell Industries is holding a Zacks Rank of #2 (Buy) right now.

Investors should also note Powell Industries's current valuation metrics, including its Forward P/E ratio of 24.45. This expresses a discount compared to the average Forward P/E of 25.61 of its industry.

Meanwhile, POWL's PEG ratio is currently 1.75. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Manufacturing - Electronics industry held an average PEG ratio of 1.9.

The Manufacturing - Electronics industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 44, which puts it in the top 18% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow POWL in the coming trading sessions, be sure to utilize Zacks.com.


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