Piper Jaffray Reduces PT on Quanta Services to $22 (PWR)

Piper Jaffray reduced its price target on Quanta Services PWR from $25 to $22. In a research report published today, Piper remains upbeat on Quanta's future in spite of some drawbacks. In the report, Piper states, "Despite regulatory hurdles and pricing challenges that hampered 1Q performance, we continue to believe the long-term catalysts to drive growth for Quanta remain in place. Total project backlog continues to provide a indication of an improving environment with 18% y/y and 4% sequential growth, a number we expect to show further growth this year. We see the growing use of mobile devices as being a key catalyst for strong Telecommunication segment activity. Our revised estimates move toward the mid-point of guidance and our price target moves to $22." Piper currently has an Overweight rating on Quanta. In yesterday's trading, Quanta lost 0.61% to end the day at $19.62.