4 models fit Powell Industries Inc. Common Stock and they partly agree: 2 of 4 land within 15% of the average. The price is above every model.
Two or more of our models back this value.
Large premium(i)
Valued as a mature, profitable company: Discounted cash flow, P/E comparison, EV/EBITDA comparison, and Graham number.
ACCE opinionPowell Industries Inc. Common Stock (POWL)
Fair value (4 models)
$93.43
ACCE price target
$181
Rating
Overvalued
Horizon
12 months
Fair value published on 23 Oct 2026, 10:03 CEST; previously $97.62 since 21 Oct 2026, 12:04 CEST.
ACCE price target published on 10 Oct 2026, 00:00 CEST.
Rating published on 21 Oct 2026, 12:04 CEST.
Price used: $151 at the close on 23 Oct 2026, 22:00 CEST.
Models: Discounted cash flow, P/E comparison, EV/EBITDA comparison, and Graham number.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
61.6% above
-38.1% to fair value
ACCE score
55
out of 100
Analysts
50% buy
4 covering
P/E
28.9x
forward 29.3x
1-year return
+32.6%
Dividend yield
0.24%
Powell Industries Inc. Common Stock in four questions
Plain answers, details below
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Overview
ACCE thesis
Powell Industries builds the switchgear, control systems and substation packages that sit between the grid and heavy industry, and its custom-engineered electrical houses go into data centers, refineries and utility projects. Its edge is in engineering-heavy, one-off installations where customers pay for reliability and fast delivery more than for the cheapest box, which is why gross margin holds at 30.1%. The structural tailwind is electrification: power-hungry AI data centers and grid upgrades are pulling forward demand for exactly this kind of equipment, and the company's backlog is the main thing to watch as those projects convert to revenue. Revenue growth of 8.9% is solid rather than spectacular, so the stock is priced for execution, with a forward P/E of 29.3 against a trailing 35.0. At a 20.5% operating margin and 28.2% ROE the business is clearly profitable, but the score of 53/100 and the premium multiple mean a deeper look should test whether margins can hold as the mix shifts toward larger, lower-margin projects.