ALGONQUIN PWR & UTILITY - AQNCN 6.469 PERP (AQN-PR-A.CA) Stock Fundamental Analysis
TSX:AQN-PR-A - Toronto Stock Exchange - CA0158573034 - Currency: CAD
We assign a fundamental rating of 2 out of 10 to AQN-PR-A. AQN-PR-A was compared to 22 industry peers in the Multi-Utilities industry. Both the profitability and financial health of AQN-PR-A have multiple concerns. AQN-PR-A is valued expensive and it does not seem to be growing. Finally AQN-PR-A also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year AQN-PR-A was profitable.
In the past year AQN-PR-A had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: AQN-PR-A reported negative net income in multiple years.
In the past 5 years AQN-PR-A always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of -8.74%, AQN-PR-A is doing worse than 77.27% of the companies in the same industry.
AQN-PR-A's Return On Equity of -31.49% is on the low side compared to the rest of the industry. AQN-PR-A is outperformed by 77.27% of its industry peers.
AQN-PR-A's Return On Invested Capital of 2.77% is on the low side compared to the rest of the industry. AQN-PR-A is outperformed by 77.27% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AQN-PR-A is in line with the industry average of 3.36%.
The 3 year average ROIC (2.15%) for AQN-PR-A is below the current ROIC(2.77%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.74% | ||
| ROE | -31.49% | ||
| ROIC | 2.77% |
ROA(3y)-3.11%
ROA(5y)-0.39%
ROE(3y)-11.12%
ROE(5y)-2.83%
ROIC(3y)2.15%
ROIC(5y)2.11%
1.3 Margins
Looking at the Operating Margin, with a value of 19.43%, AQN-PR-A is doing worse than 77.27% of the companies in the same industry.
In the last couple of years the Operating Margin of AQN-PR-A has declined.
AQN-PR-A has a Gross Margin (74.09%) which is in line with its industry peers.
In the last couple of years the Gross Margin of AQN-PR-A has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.43% | ||
| PM (TTM) | N/A | ||
| GM | 74.09% |
OM growth 3Y3.93%
OM growth 5Y-3.09%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.98%
GM growth 5Y0.16%
2. Health
2.1 Basic Checks
AQN-PR-A has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, AQN-PR-A has more shares outstanding
The number of shares outstanding for AQN-PR-A has been increased compared to 5 years ago.
AQN-PR-A has a better debt/assets ratio than last year.
2.2 Solvency
AQN-PR-A has an Altman-Z score of 0.65. This is a bad value and indicates that AQN-PR-A is not financially healthy and even has some risk of bankruptcy.
AQN-PR-A has a Altman-Z score (0.65) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.32 is on the high side and indicates that AQN-PR-A has dependencies on debt financing.
AQN-PR-A's Debt to Equity ratio of 1.32 is amongst the best of the industry. AQN-PR-A outperforms 95.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.65 |
ROIC/WACC0.44
WACC6.32%
2.3 Liquidity
A Current Ratio of 0.76 indicates that AQN-PR-A may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.76, AQN-PR-A is doing worse than 77.27% of the companies in the same industry.
A Quick Ratio of 0.64 indicates that AQN-PR-A may have some problems paying its short term obligations.
AQN-PR-A has a worse Quick ratio (0.64) than 77.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.64 |
3. Growth
3.1 Past
AQN-PR-A shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -28.85%.
The earnings per share for AQN-PR-A have been decreasing by -10.38% on average. This is quite bad
The Revenue has grown by 13.29% in the past year. This is quite good.
AQN-PR-A shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.38% yearly.
EPS 1Y (TTM)-28.85%
EPS 3Y-19.53%
EPS 5Y-10.38%
EPS Q2Q%-62.5%
Revenue 1Y (TTM)13.29%
Revenue growth 3Y0.49%
Revenue growth 5Y7.38%
Sales Q2Q%-12.31%
3.2 Future
Based on estimates for the next years, AQN-PR-A will show a small growth in Earnings Per Share. The EPS will grow by 2.86% on average per year.
AQN-PR-A is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.82% yearly.
EPS Next Y-20.16%
EPS Next 2Y-0.53%
EPS Next 3Y0.93%
EPS Next 5Y2.86%
Revenue Next Year-5.33%
Revenue Next 2Y-0.84%
Revenue Next 3Y0.32%
Revenue Next 5Y0.82%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 44.90, AQN-PR-A can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as AQN-PR-A.
AQN-PR-A is valuated expensively when we compare the Price/Earnings ratio to 28.33, which is the current average of the S&P500 Index.
AQN-PR-A is valuated quite expensively with a Price/Forward Earnings ratio of 55.98.
77.27% of the companies in the same industry are cheaper than AQN-PR-A, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.37, AQN-PR-A is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.9 | ||
| Fwd PE | 55.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AQN-PR-A is valued a bit more expensive than the industry average as 77.27% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 18.08 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.53%
EPS Next 3Y0.93%
5. Dividend
5.1 Amount
AQN-PR-A has a Yearly Dividend Yield of 4.87%, which is a nice return.
AQN-PR-A's Dividend Yield is comparable with the industry average which is at 5.25.
AQN-PR-A's Dividend Yield is rather good when compared to the S&P500 average which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.87% |
5.2 History
The dividend of AQN-PR-A has a limited annual growth rate of 0.06%.
AQN-PR-A has been paying a dividend for at least 10 years, so it has a reliable track record.
AQN-PR-A has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.06%
Div Incr Years1
Div Non Decr Years12
5.3 Sustainability
AQN-PR-A has negative earnings and hence a negative payout ratio. The dividend may be in danger.
AQN-PR-A's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-19.94%
EPS Next 2Y-0.53%
EPS Next 3Y0.93%
ALGONQUIN PWR & UTILITY - AQNCN 6.469 PERP
TSX:AQN-PR-A (4/22/2025, 7:00:00 PM)
22.9
+0.08 (+0.35%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners65.03%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap17.57B
Analysts69.23
Price Target18.23 (-20.39%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.87% |
Yearly Dividend0.56
Dividend Growth(5Y)0.06%
DP-19.94%
Div Incr Years1
Div Non Decr Years12
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-20.44%
Min EPS beat(2)-25.74%
Max EPS beat(2)-15.13%
EPS beat(4)1
Avg EPS beat(4)-9.65%
Min EPS beat(4)-25.74%
Max EPS beat(4)13.41%
EPS beat(8)2
Avg EPS beat(8)-8.19%
EPS beat(12)4
Avg EPS beat(12)-6.93%
EPS beat(16)5
Avg EPS beat(16)-5.28%
Revenue beat(2)0
Avg Revenue beat(2)-2.35%
Min Revenue beat(2)-4.61%
Max Revenue beat(2)-0.08%
Revenue beat(4)0
Avg Revenue beat(4)-4.86%
Min Revenue beat(4)-9.57%
Max Revenue beat(4)-0.08%
Revenue beat(8)3
Avg Revenue beat(8)-2.1%
Revenue beat(12)6
Avg Revenue beat(12)-0.23%
Revenue beat(16)10
Avg Revenue beat(16)3.09%
PT rev (1m)-7.35%
PT rev (3m)-13.19%
EPS NQ rev (1m)0.75%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-4.1%
EPS NY rev (3m)-1.18%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.9 | ||
| Fwd PE | 55.98 | ||
| P/S | 4.15 | ||
| P/FCF | N/A | ||
| P/OCF | 26.34 | ||
| P/B | 2.7 | ||
| P/tB | 3.81 | ||
| EV/EBITDA | 18.08 |
EPS(TTM)0.51
EY2.23%
EPS(NY)0.41
Fwd EY1.79%
FCF(TTM)-0.71
FCFYN/A
OCF(TTM)0.87
OCFY3.8%
SpS5.52
BVpS8.5
TBVpS6
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.74% | ||
| ROE | -31.49% | ||
| ROCE | 3.84% | ||
| ROIC | 2.77% | ||
| ROICexc | 2.77% | ||
| ROICexgc | 3.04% | ||
| OM | 19.43% | ||
| PM (TTM) | N/A | ||
| GM | 74.09% | ||
| FCFM | N/A |
ROA(3y)-3.11%
ROA(5y)-0.39%
ROE(3y)-11.12%
ROE(5y)-2.83%
ROIC(3y)2.15%
ROIC(5y)2.11%
ROICexc(3y)2.16%
ROICexc(5y)2.12%
ROICexgc(3y)2.37%
ROICexgc(5y)2.33%
ROCE(3y)2.99%
ROCE(5y)2.93%
ROICexcg growth 3Y4.3%
ROICexcg growth 5Y-5.03%
ROICexc growth 3Y4.14%
ROICexc growth 5Y-4.63%
OM growth 3Y3.93%
OM growth 5Y-3.09%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.98%
GM growth 5Y0.16%
F-Score6
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.8 | ||
| Cap/Depr | 183.02% | ||
| Cap/Sales | 28.54% | ||
| Interest Coverage | 1.37 | ||
| Cash Conversion | 44.99% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.64 | ||
| Altman-Z | 0.65 |
F-Score6
WACC6.32%
ROIC/WACC0.44
Cap/Depr(3y)213.94%
Cap/Depr(5y)245.17%
Cap/Sales(3y)39.89%
Cap/Sales(5y)45.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-28.85%
EPS 3Y-19.53%
EPS 5Y-10.38%
EPS Q2Q%-62.5%
EPS Next Y-20.16%
EPS Next 2Y-0.53%
EPS Next 3Y0.93%
EPS Next 5Y2.86%
Revenue 1Y (TTM)13.29%
Revenue growth 3Y0.49%
Revenue growth 5Y7.38%
Sales Q2Q%-12.31%
Revenue Next Year-5.33%
Revenue Next 2Y-0.84%
Revenue Next 3Y0.32%
Revenue Next 5Y0.82%
EBIT growth 1Y19.34%
EBIT growth 3Y4.45%
EBIT growth 5Y4.06%
EBIT Next Year43.04%
EBIT Next 3Y15.62%
EBIT Next 5YN/A
FCF growth 1Y1.87%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-23.3%
OCF growth 3Y45.17%
OCF growth 5Y-4.65%