"So we have a silicon shortage today, a voltage step-down transformer shortage probably in about a year, and then just electricity shortages in general in about two years," Musk explained to Lex Fridman. My eyes darted to the timestamp on the podcast—Lex had recorded this nine months ago.
I pulled up a few tickers that trafficked in step-down transformers to see how Elon's thesis had played out. About four months after Lex had released the podcast, the companies had gone parabolic.
A little too late to this party, I thought to myself.
What’s next? The question lingered in my mind as I sifted through industry reports and market chatter, looking for the next domino to fall. That’s when I stumbled across Powell Industries. At first, I didn’t think much of them. They weren’t making headlines or turning heads with flashy announcements. But something about their presence kept pulling me back.
It started with a look at LinkedIn. Powell had posted what felt like a hundred new job openings in just the past three weeks—engineers, project managers, technicians. These weren’t filler roles; they were positions that screamed expansion and preparation for something bigger. It was the kind of move that companies make when they know demand is coming, and they
want to be ready before anyone else.
Curious, I dove deeper. Powell’s financials were a revelation. They had reported a staggering 45% jump in revenue to $1 billion, with gross margins climbing from 21.1% to 27.0%. Their balance sheet was pristine—$358 million in cash, zero debt, and a $1.3 billion project backlog that provided a clear runway into FY2027. While others were struggling to adjust to supply chain disruptions, Powell was expanding, doubling down on their Gulf Coast facility with water access—a logistical dream for large-scale projects.
And it wasn’t just the numbers. The more I read about their CEO, Brett Cope, the clearer it became that Powell was a company with direction. Cope wasn’t just reacting to market conditions; he was orchestrating a strategic transformation. Opening a new engineering satellite office to secure talent, diversifying into data centers and clean energy projects, and maintaining a relentless focus on safety and reliability—all of it pointed to a company building something enduring.
What really stuck with me was Powell’s role in the bigger picture. They weren’t just another industrial supplier—they were the ones making the energy transition possible. From hydrogen production facilities to carbon capture projects, they were laying the groundwork for tomorrow’s infrastructure. And they were doing it with precision, solving problems most people didn’t even know existed yet.
I couldn’t help but think back to Musk’s words on the podcast. The shortages he had predicted weren’t just isolated issues; they were symptoms of a deeper, systemic challenge in how we power and build the world. Powell wasn’t just addressing those challenges—they were preempting them.
As I closed my laptop, I realized this wasn’t just a story about numbers or market opportunities. It was about vision and execution—a company quietly building the foundation for tomorrow while others scrambled to catch up.
Powell had become the protagonist in this unfolding narrative, leading in ways most hadn’t even begun to appreciate.
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