Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of infrastructure services company Quanta Services
So what: Third-quarter results for Quanta were fine. Revenue of $1.25 billion was up from $1.21 billion last year and ahead of the $1.21 billion that Wall Street was expecting. Earnings per share fell to $0.25 from $0.30 in 2010, but matched analysts' estimates.
While investors may be plenty satisfied with those results, what's likely driving most of the stock's gain today is the announcement that Quanta will be part of TransCanada's
Now what: While the details of Quanta's role in the project are still yet to be hammered out, the company expects that it will play a "significant role." CEO Jim O'Neil called Keystone XL Pipeline "the largest individual infrastructure project on the horizon in the industries we serve" and said that it would likely create at least 2,000 construction jobs at Quanta alone. That seems like good reason for investors to be excited about the company's future.
Of course, if there's a hitch that Quanta shareholders need to keep in mind as they celebrate today, it's that Keystone XL still hasn't been approved and has been hotly debated. There will obviously be little to celebrate if it ends up that Quanta is part of a project that never happens.
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Fool contributor Matt Koppenheffer does not have a financial interest in any of the companies mentioned. You can check out what Matt is keeping an eye on by visiting his CAPS portfolio, or you can follow Matt on Twitter @KoppTheFool or Facebook. The Fool's disclosure policy prefers dividends over a sharp stick in the eye.