The U.S. engineering and infrastructure sector is experiencing robust demand driven by public and private investment in areas such as power, grid modernization, and energy-related projects. Key players in this space, EMCOR Group, Inc. (EME) and Quanta Services, Inc. (PWR), are well-positioned to leverage long-duration contracts, with EMCOR reporting a 54.1% year-over-year revenue increase in its Electrical Construction segment, totaling $3.71 billion in the first nine months of 2025. Meanwhile, Quanta’s Electric segment generated revenues of $6.17 billion in Q3 2025, reflecting a 17.9% growth and accounting for 80.9% of its total revenues.
As of September 30, 2025, EMCOR’s Remaining Performance Obligations (RPO) reached $12.61 billion, marking a 29% annual growth, while Quanta’s backlog increased to $39.2 billion from $33.96 billion year-over-year. Both companies are expected to benefit from recent interest rate cuts by the Federal Reserve, which has reduced its benchmark rate to a range of 3.5% to 3.75% as of December 10, 2025.
Looking toward 2026, EMCOR anticipates revenue growth of 5.9% and an increase in earnings per share (EPS) of 8.6%, while Quanta projects revenues to grow by 11% with EPS increasing by 16.9%. Despite facing near-term challenges, both companies are positioned to capitalize on sustained infrastructure spending in the U.S.
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