AES CORP (AES) Stock Fundamental Analysis

NYSE:AES • US00130H1059

16.26 USD
-0.25 (-1.51%)
At close: Feb 23, 2026
16.27 USD
+0.01 (+0.06%)
After Hours: 2/23/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

Taking everything into account, AES scores 4 out of 10 in our fundamental rating. AES was compared to 20 industry peers in the Independent Power and Renewable Electricity Producers industry. While AES is still in line with the averages on profitability rating, there are concerns on its financial health. AES has a correct valuation and a medium growth rate. AES also has an excellent dividend rating.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • In the past year AES was profitable.
  • In the past year AES had a positive cash flow from operations.
  • The reported net income has been mixed in the past 5 years: AES reported negative net income in multiple years.
  • Each year in the past 5 years AES had a positive operating cash flow.
AES Yearly Net Income VS EBIT VS OCF VS FCFAES Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B -2B -4B

1.2 Ratios

  • With a decent Return On Assets value of 2.23%, AES is doing good in the industry, outperforming 80.00% of the companies in the same industry.
  • Looking at the Return On Equity, with a value of 29.37%, AES belongs to the top of the industry, outperforming 95.00% of the companies in the same industry.
  • AES's Return On Invested Capital of 3.43% is fine compared to the rest of the industry. AES outperforms 75.00% of its industry peers.
  • AES had an Average Return On Invested Capital over the past 3 years of 5.05%. This is in line with the industry average of 3.99%.
Industry RankSector Rank
ROA 2.23%
ROE 29.37%
ROIC 3.43%
ROA(3y)0.89%
ROA(5y)0.31%
ROE(3y)11.23%
ROE(5y)4.16%
ROIC(3y)5.05%
ROIC(5y)6.06%
AES Yearly ROA, ROE, ROICAES Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40 -40

1.3 Margins

  • The Profit Margin of AES (9.38%) is better than 70.00% of its industry peers.
  • In the last couple of years the Profit Margin of AES has grown nicely.
  • Looking at the Operating Margin, with a value of 14.83%, AES is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
  • In the last couple of years the Operating Margin of AES has declined.
  • AES has a Gross Margin of 17.26%. This is amonst the worse of the industry: AES underperforms 80.00% of its industry peers.
  • AES's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 14.83%
PM (TTM) 9.38%
GM 17.26%
OM growth 3Y-13.97%
OM growth 5Y-4.63%
PM growth 3YN/A
PM growth 5Y35.68%
GM growth 3Y-8.16%
GM growth 5Y-3.95%
AES Yearly Profit, Operating, Gross MarginsAES Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20

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ROAROEROICOperating and Profit MarginShow most profitable peers

0

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AES is destroying value.
  • AES has more shares outstanding than it did 1 year ago.
  • Compared to 5 years ago, AES has more shares outstanding
  • AES has a worse debt/assets ratio than last year.
AES Yearly Shares OutstandingAES Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M
AES Yearly Total Debt VS Total AssetsAES Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B

2.2 Solvency

  • Based on the Altman-Z score of 0.46, we must say that AES is in the distress zone and has some risk of bankruptcy.
  • With a Altman-Z score value of 0.46, AES perfoms like the industry average, outperforming 55.00% of the companies in the same industry.
  • A Debt/Equity ratio of 6.85 is on the high side and indicates that AES has dependencies on debt financing.
  • AES's Debt to Equity ratio of 6.85 is on the low side compared to the rest of the industry. AES is outperformed by 85.00% of its industry peers.
Industry RankSector Rank
Debt/Equity 6.85
Debt/FCF N/A
Altman-Z 0.46
ROIC/WACC0.54
WACC6.32%
AES Yearly LT Debt VS Equity VS FCFAES Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10B 20B

2.3 Liquidity

  • AES has a Current Ratio of 0.72. This is a bad value and indicates that AES is not financially healthy enough and could expect problems in meeting its short term obligations.
  • AES's Current ratio of 0.72 is on the low side compared to the rest of the industry. AES is outperformed by 70.00% of its industry peers.
  • A Quick Ratio of 0.66 indicates that AES may have some problems paying its short term obligations.
  • The Quick ratio of AES (0.66) is worse than 75.00% of its industry peers.
Industry RankSector Rank
Current Ratio 0.72
Quick Ratio 0.66
AES Yearly Current Assets VS Current LiabilitesAES Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • The earnings per share for AES have decreased strongly by -10.78% in the last year.
  • The Earnings Per Share has been growing by 9.23% on average over the past years. This is quite good.
  • Looking at the last year, AES shows a decrease in Revenue. The Revenue has decreased by -1.55% in the last year.
  • AES shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.80% yearly.
EPS 1Y (TTM)-10.78%
EPS 3Y11.42%
EPS 5Y9.23%
EPS Q2Q%5.63%
Revenue 1Y (TTM)-1.55%
Revenue growth 3Y3.29%
Revenue growth 5Y3.8%
Sales Q2Q%1.89%

3.2 Future

  • Based on estimates for the next years, AES will show a small growth in Earnings Per Share. The EPS will grow by 5.68% on average per year.
  • AES is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.94% yearly.
EPS Next Y2.06%
EPS Next 2Y4.77%
EPS Next 3Y3.98%
EPS Next 5Y5.68%
Revenue Next Year-2.72%
Revenue Next 2Y0.74%
Revenue Next 3Y1.96%
Revenue Next 5Y8.94%

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
AES Yearly Revenue VS EstimatesAES Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5B 10B 15B
AES Yearly EPS VS EstimatesAES Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1 2 3

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Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • AES is valuated cheaply with a Price/Earnings ratio of 7.86.
  • Based on the Price/Earnings ratio, AES is valued cheaper than 95.00% of the companies in the same industry.
  • When comparing the Price/Earnings ratio of AES to the average of the S&P500 Index (26.64), we can say AES is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 6.95, the valuation of AES can be described as very cheap.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of AES indicates a rather cheap valuation: AES is cheaper than 95.00% of the companies listed in the same industry.
  • When comparing the Price/Forward Earnings ratio of AES to the average of the S&P500 Index (27.75), we can say AES is valued rather cheaply.
Industry RankSector Rank
PE 7.86
Fwd PE 6.95
AES Price Earnings VS Forward Price EarningsAES Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 50 100 150

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, AES is valued a bit cheaper than the industry average as 65.00% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 12.76
AES Per share dataAES EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10 15

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)3.82
PEG (5Y)0.85
EPS Next 2Y4.77%
EPS Next 3Y3.98%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

8

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 4.30%, AES is a good candidate for dividend investing.
  • AES's Dividend Yield is rather good when compared to the industry average which is at 1.26. AES pays more dividend than 90.00% of the companies in the same industry.
  • AES's Dividend Yield is rather good when compared to the S&P500 average which is at 1.80.
Industry RankSector Rank
Dividend Yield 4.3%

5.2 History

  • The dividend of AES has a limited annual growth rate of 5.08%.
  • AES has paid a dividend for at least 10 years, which is a reliable track record.
  • AES has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.08%
Div Incr Years12
Div Non Decr Years12
AES Yearly Dividends per shareAES Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6

5.3 Sustainability

  • AES pays out 43.88% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • The dividend of AES is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP43.88%
EPS Next 2Y4.77%
EPS Next 3Y3.98%
AES Yearly Income VS Free CF VS DividendAES Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -2B -4B
AES Dividend Payout.AES Dividend Payout, showing the Payout Ratio.AES Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

AES CORP

NYSE:AES (2/23/2026, 8:04:00 PM)

After market: 16.27 +0.01 (+0.06%)

16.26

-0.25 (-1.51%)

Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryIndependent Power and Renewable Electricity Producers
Earnings (Last)11-04
Earnings (Next)02-26
Inst Owners90.61%
Inst Owner Change-2.19%
Ins Owners0.46%
Ins Owner Change-0.36%
Market Cap11.58B
Revenue(TTM)12.09B
Net Income(TTM)1.14B
Analysts74.74
Price Target15.47 (-4.86%)
Short Float %2.77%
Short Ratio2.28
Dividend
Industry RankSector Rank
Dividend Yield 4.3%
Yearly Dividend0.7
Dividend Growth(5Y)5.08%
DP43.88%
Div Incr Years12
Div Non Decr Years12
Ex-Date01-30
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)12.94%
Min EPS beat(2)-1.83%
Max EPS beat(2)27.71%
EPS beat(4)2
Avg EPS beat(4)14.46%
Min EPS beat(4)-23.78%
Max EPS beat(4)55.73%
EPS beat(8)6
Avg EPS beat(8)15.12%
EPS beat(12)8
Avg EPS beat(12)10.58%
EPS beat(16)11
Avg EPS beat(16)8.08%
Revenue beat(2)1
Avg Revenue beat(2)-1.63%
Min Revenue beat(2)-6.15%
Max Revenue beat(2)2.89%
Revenue beat(4)1
Avg Revenue beat(4)-3.17%
Min Revenue beat(4)-6.15%
Max Revenue beat(4)2.89%
Revenue beat(8)1
Avg Revenue beat(8)-5.51%
Revenue beat(12)3
Avg Revenue beat(12)-3.09%
Revenue beat(16)6
Avg Revenue beat(16)0.96%
PT rev (1m)-1%
PT rev (3m)-0.46%
EPS NQ rev (1m)0.1%
EPS NQ rev (3m)2.18%
EPS NY rev (1m)-0.17%
EPS NY rev (3m)-0.25%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)-0.13%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.19%
Valuation
Industry RankSector Rank
PE 7.86
Fwd PE 6.95
P/S 0.96
P/FCF N/A
P/OCF 2.74
P/B 3
P/tB 7.7
EV/EBITDA 12.76
EPS(TTM)2.07
EY12.73%
EPS(NY)2.34
Fwd EY14.38%
FCF(TTM)-2.66
FCFYN/A
OCF(TTM)5.94
OCFY36.51%
SpS16.98
BVpS5.43
TBVpS2.11
PEG (NY)3.82
PEG (5Y)0.85
Graham Number15.9
Profitability
Industry RankSector Rank
ROA 2.23%
ROE 29.37%
ROCE 4.34%
ROIC 3.43%
ROICexc 3.58%
ROICexgc 3.8%
OM 14.83%
PM (TTM) 9.38%
GM 17.26%
FCFM N/A
ROA(3y)0.89%
ROA(5y)0.31%
ROE(3y)11.23%
ROE(5y)4.16%
ROIC(3y)5.05%
ROIC(5y)6.06%
ROICexc(3y)5.35%
ROICexc(5y)6.38%
ROICexgc(3y)5.76%
ROICexgc(5y)6.92%
ROCE(3y)6.4%
ROCE(5y)7.67%
ROICexgc growth 3Y-21.13%
ROICexgc growth 5Y-6.98%
ROICexc growth 3Y-20.11%
ROICexc growth 5Y-7.08%
OM growth 3Y-13.97%
OM growth 5Y-4.63%
PM growth 3YN/A
PM growth 5Y35.68%
GM growth 3Y-8.16%
GM growth 5Y-3.95%
F-Score4
Asset Turnover0.24
Health
Industry RankSector Rank
Debt/Equity 6.85
Debt/FCF N/A
Debt/EBITDA 8.3
Cap/Depr 439.1%
Cap/Sales 50.61%
Interest Coverage 1.75
Cash Conversion 132.66%
Profit Quality N/A
Current Ratio 0.72
Quick Ratio 0.66
Altman-Z 0.46
F-Score4
WACC6.32%
ROIC/WACC0.54
Cap/Depr(3y)567.25%
Cap/Depr(5y)416.01%
Cap/Sales(3y)52.42%
Cap/Sales(5y)39.18%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.78%
EPS 3Y11.42%
EPS 5Y9.23%
EPS Q2Q%5.63%
EPS Next Y2.06%
EPS Next 2Y4.77%
EPS Next 3Y3.98%
EPS Next 5Y5.68%
Revenue 1Y (TTM)-1.55%
Revenue growth 3Y3.29%
Revenue growth 5Y3.8%
Sales Q2Q%1.89%
Revenue Next Year-2.72%
Revenue Next 2Y0.74%
Revenue Next 3Y1.96%
Revenue Next 5Y8.94%
EBIT growth 1Y-17.14%
EBIT growth 3Y-11.13%
EBIT growth 5Y-1%
EBIT Next Year28.87%
EBIT Next 3Y16.68%
EBIT Next 5Y9.84%
FCF growth 1Y48.35%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y21.84%
OCF growth 3Y13.34%
OCF growth 5Y3.54%

AES CORP / AES FAQ

What is the ChartMill fundamental rating of AES CORP (AES) stock?

ChartMill assigns a fundamental rating of 4 / 10 to AES.


What is the valuation status for AES stock?

ChartMill assigns a valuation rating of 5 / 10 to AES CORP (AES). This can be considered as Fairly Valued.


What is the profitability of AES stock?

AES CORP (AES) has a profitability rating of 5 / 10.


What is the financial health of AES CORP (AES) stock?

The financial health rating of AES CORP (AES) is 0 / 10.


Is the dividend of AES CORP sustainable?

The dividend rating of AES CORP (AES) is 8 / 10 and the dividend payout ratio is 43.88%.