Algonquin Power & Utilities Corp
Algonquin Power & Utilities Corp Fundamental Analysis
Algonquin Power & Utilities Corp (AGQPF) shows weak financial fundamentals with a PE ratio of 64.23, profit margin of 6.86%, and ROE of 3.71%. The company generates $2.5B in annual revenue with moderate year-over-year growth of 5.59%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 25.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze AGQPF's fundamental strength across five key dimensions:
Efficiency Score
WeakAGQPF struggles to generate sufficient returns from assets.
Valuation Score
ModerateAGQPF shows balanced valuation metrics.
Growth Score
ModerateAGQPF shows steady but slowing expansion.
Financial Health Score
ModerateAGQPF shows balanced financial health with some risks.
Profitability Score
WeakAGQPF struggles to sustain strong margins.
Key Financial Metrics
Is AGQPF Expensive or Cheap?
P/E Ratio
AGQPF trades at 64.23 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, AGQPF's PEG of 0.05 indicates potential undervaluation.
Price to Book
The market values Algonquin Power & Utilities Corp at 2.38 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.71 times EBITDA. This is generally considered low.
How Well Does AGQPF Make Money?
Net Profit Margin
For every $100 in sales, Algonquin Power & Utilities Corp keeps $6.86 as profit after all expenses.
Operating Margin
Core operations generate 19.73 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.71 in profit for every $100 of shareholder equity.
ROA
Algonquin Power & Utilities Corp generates $1.23 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Algonquin Power & Utilities Corp produces operating cash flow of $569.26M, showing steady but balanced cash generation.
Free Cash Flow
Algonquin Power & Utilities Corp generates weak or negative free cash flow of $-117.95M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.15 in free cash annually.
FCF Yield
AGQPF converts -1.06% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
64.23
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.05
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.38
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.41
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.44
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.05
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How AGQPF Stacks Against Its Sector Peers
| Metric | AGQPF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 64.23 | 19.63 | Worse (Expensive) |
| ROE | 3.71% | 906.00% | Weak |
| Net Margin | 6.86% | 858.00% | Weak |
| Debt/Equity | 1.44 | 1.39 | Neutral |
| Current Ratio | 1.05 | 1.39 | Neutral |
| ROA | 1.23% | -4814.00% (disorted) | Weak |
AGQPF outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Algonquin Power & Utilities Corp's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
7.31%
Industry Style: Defensive, Dividend, Income
GrowingEPS CAGR
-82.65%
Industry Style: Defensive, Dividend, Income
DecliningFCF CAGR
-16.40%
Industry Style: Defensive, Dividend, Income
Declining