Powell Industries (POWL) Price Target Increased to $360 by JPMorgan

Powell Industries, Inc. (NASDAQ:POWL) is one of the 10 Best Industrial Stocks Benefiting from the Data Center Boom. According to a report by TheFly on May 7, JPMorgan increased its price target on Powell to $360 from $310 while maintaining an Overweight rating on the shares, following the company’s second quarter earnings report.

Powell Industries (POWL) - Among the 10 Best Performing Dividend Stocks So Far in 2026

The price target adjustment comes more than a week after JPMorgan initiated coverage on Powell on April 27, with an Overweight rating and $310 price target. JPMorgan earlier expressed optimism for the company’s growth given its exposure to megatrends such as AI, automation, and electrification.

On May 4, Powell reported a 6% rise in revenues for the second quarter of Fiscal Year 2026 to $296.6 million from $278.6 million in the prior year. The company attributed the growth to a 35% increase in revenues in the commercial & other industrial segment.

During the quarter, Powell said it was awarded a mega electric utility order and a mega data center order, each with a value exceeding $75 million. Additionally, subsequent to the end of the second quarter, the company was also awarded an additional mega data center order valued at $400 million, which is related to a behind-the-meter design of on-site generation assets.

Based on 6 analyst ratings compiled by CNN, Powell has an average price rating of $320, a 3.43% increase from the current price of $309.39.

Powell Industries, Inc. (NASDAQ:POWL) is engaged in the development, design, manufacture, and service of custom-engineered equipment and systems that distribute, control, and monitor the flow of electrical energy and provide protection to motors, transformers, and other electrically powered equipment. The company primarily serves the oil and gas, petrochemical, electric utility, and commercial and other industrial markets.

While we acknowledge the risk and potential of POWL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than POWL and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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