Analysts rate Algonquin Power & Utilities Corp(AQN:TSX) with a Buy rating and a target of $20

Algonquin Power & Utilities Corp Stock Analysis:

Analysts rate Algonquin Power & Utilities Corp with a consensus Buy rating and a 12-month average target price of $20.18 per share.

Based on the Algonquin Power & Utilities Corp stock forecasts from 4 analysts, the average analyst target price for Algonquin Power & Utilities Corp is CAD 20.18 over the next 12 months. Algonquin Power & Utilities Corp’s average analyst rating is Buy . Stock Target Advisor’s own stock analysis of Algonquin Power & Utilities Corp is Bullish , which is based on 9 positive signals and 3 negative signals. At the last closing, Algonquin Power & Utilities Corp’s stock price was CAD 14.43Algonquin Power & Utilities Corp’s stock price has changed by -3.09% over the past week, -18.89% over the past month and -22.08% over the last year.

About Algonquin Power & Utilities Corp (AQN:CA:TSX)

Algonquin Power & Utilities Corp., through its subsidiaries, owns and operates a portfolio of regulated and non-regulated generation, distribution, and transmission utility assets. The company operates through two segments, Regulated Services Group and Renewable Energy Group. The Regulated Services Group segment operates a portfolio of rate-regulated utilities located in the United States, Canada, Chile, and Bermuda. Its utilities provide distribution services to approximately 1,093,000 customer connections in the electric, natural gas, and water and wastewater sectors The Renewable Energy Group segment generates and sells electrical energy, capacity, ancillary products, and renewable attributes produced by its portfolio of renewable and clean power generation facilities primarily in the United States and Canada. It owns and operates hydroelectric, wind, solar, and thermal facilities; and owns and operates a portfolio of clean energy and water infrastructure assets. The company was incorporated in 1988 and is headquartered in Oakville, Canada.

What we like:

Superior risk adjusted returns

This stock has performed well, on a risk adjusted basis, compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile.

Superior total returns

The stock has outperformed its sector peers on average annual total returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile.

Underpriced compared to earnings

The stock is trading low compared to its peers on a price to earning basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Underpriced compared to book value

The stock is trading low compared to its peers on a price to book value basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Low debt

The company is less leveraged than its peers ,, and is among the top quartile, which makes it more flexible. However, do check the news and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Superior Earnings Growth

This stock has shown top quartile earnings growth in the previous 5 years compared to its sector.

Superior Revenue Growth

This stock has shown top quartile revenue growth in the previous 5 years compared to its sector.

What we don’t like:

Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Poor return on assets

The company management has delivered below median return on assets in the most recent 4 quarters compared to its peers.

Overpriced on free cash flow basis

The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Analysts rate Altus Power Inc. (AMPS:NYE) with a Hold rating and a $11 target

Morgan Stanley maintains the $14 Altus stock price target and rates it as Equal-Weight.

Based on the Altus Stock Forecast from 3 analysts, the average analyst Altus stock price target is USD 11.17 over the next 12 months. Altus Power Inc’s average analyst rating is Hold. Stock Target Advisor’s own stock analysis of Altus stock forecast is Slightly Bearish, which is based on 4 positive signals and 5 negative signals. At the last closing, Altus Power’s stock price was USD 13.90Altus Power’s stock price has changed by +2.18% over the past week, +2.78% over the past month and +0.00% over the last year.

 

About Altus Power Inc. (AMPS:NYE):

Altus Power, Inc., a clean electrification company, originates, develops, owns, and operates roof, ground, and carport-based photovoltaic solar energy generation and storage systems. It serves commercial, industrial, public sector, and community solar customers. The company was founded in 2013 and is based in Stamford, Connecticut.

 

AMPS Stock Most Recent Analyst Ratings:

Maintains Morgan Stanley Equal-Weight USD 12.5 » USD 14 2022-09-22
Target Raised Morgan Stanley Equal Weight USD 10 » USD 12.5 2022-08-18
Target Raised by JP Morgan Neutral USD 9 » USD 11 2022-08-08
Initiated JP Morgan & Company Neutral USD 9 2022-07-18
Downgraded by Citigroup Buy » Neutral 2022-07-08
Maintains Morgan Stanley Equal-Weight USD 10.5 » USD 10 2022-06-13
Initiated by Morgan Stanley Equal Weight USD 10.5 2022-04-07
Initiated by Citigroup Buy USD 13 2022-01-04
Initiated by SVB Leerink Buy 2022-01-04

 

What we like:

Superior return on equity:

The company management has delivered better return on equity in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior capital utilization:

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Positive cash flow:

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow:

The company had positive total free cash flow in the most recent four quarters.

 

What we don’t like:

Low market capitalization:

Altus Group stock is among the smaller entities in its sectors with below median market capitalization. That may make it less stable in the long run unless it has a unique technology or market which can help it grow or get acquired in future.

Overpriced compared to book value:

Altus stock price is trading high compared to its peers median on a price to book value basis.

Overpriced on cashflow basis:

Altus stock price is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Poor return on assets:

The company management has delivered below median return on assets in the most recent 4 quarters compared to its peers.

Overpriced on free cash flow basis:

Altus stock price is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.