ALGONQUIN POWER & UTILITIES (AQN) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:AQN • CA0158571053
6.54 USD
+0.03 (+0.46%)
At close: Feb 3, 2026
6.54 USD
0 (0%)
After Hours: 2/3/2026, 8:04:00 PM
We assign a fundamental rating of 3 out of 10 to AQN. AQN was compared to 26 industry peers in the Multi-Utilities industry. Both the profitability and financial health of AQN have multiple concerns. AQN does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
- In the past year AQN was profitable.
- AQN had a positive operating cash flow in the past year.
- In multiple years AQN reported negative net income over the last 5 years.
- Each year in the past 5 years AQN had a positive operating cash flow.
1.2 Ratios
- AQN's Return On Assets of -0.27% is on the low side compared to the rest of the industry. AQN is outperformed by 92.31% of its industry peers.
- With a Return On Equity value of -0.80%, AQN is not doing good in the industry: 92.31% of the companies in the same industry are doing better.
- Looking at the Return On Invested Capital, with a value of 3.16%, AQN is doing worse than 84.62% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for AQN is in line with the industry average of 3.95%.
- The 3 year average ROIC (2.36%) for AQN is below the current ROIC(3.16%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.27% | ||
| ROE | -0.8% | ||
| ROIC | 3.16% |
ROA(3y)-3.11%
ROA(5y)-0.39%
ROE(3y)-11.12%
ROE(5y)-2.83%
ROIC(3y)2.36%
ROIC(5y)2.31%
1.3 Margins
- AQN has a Operating Margin (21.55%) which is in line with its industry peers.
- AQN's Operating Margin has declined in the last couple of years.
- AQN's Gross Margin of 73.94% is fine compared to the rest of the industry. AQN outperforms 76.92% of its industry peers.
- In the last couple of years the Gross Margin of AQN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.55% | ||
| PM (TTM) | N/A | ||
| GM | 73.94% |
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 has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- AQN has more shares outstanding than it did 1 year ago.
- AQN has more shares outstanding than it did 5 years ago.
- The debt/assets ratio for AQN has been reduced compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 0.35, we must say that AQN is in the distress zone and has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 0.35, AQN is doing worse than 96.15% of the companies in the same industry.
- AQN has a Debt/Equity ratio of 1.33. This is a high value indicating a heavy dependency on external financing.
- AQN's Debt to Equity ratio of 1.33 is fine compared to the rest of the industry. AQN outperforms 65.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.35 |
ROIC/WACC0.54
WACC5.9%
2.3 Liquidity
- A Current Ratio of 1.23 indicates that AQN should not have too much problems paying its short term obligations.
- AQN's Current ratio of 1.23 is amongst the best of the industry. AQN outperforms 92.31% of its industry peers.
- A Quick Ratio of 1.03 indicates that AQN should not have too much problems paying its short term obligations.
- The Quick ratio of AQN (1.03) is better than 92.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
- The earnings per share for AQN have decreased strongly by -29.79% in the last year.
- AQN shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -10.38% yearly.
- AQN shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -23.92%.
- Measured over the past years, AQN shows a small growth in Revenue. The Revenue has been growing by 7.38% on average per year.
EPS 1Y (TTM)-29.79%
EPS 3Y-19.53%
EPS 5Y-10.38%
EPS Q2Q%12.5%
Revenue 1Y (TTM)-23.92%
Revenue growth 3Y0.49%
Revenue growth 5Y7.38%
Sales Q2Q%1.66%
3.2 Future
- AQN is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.09% yearly.
- The Revenue is expected to grow by 2.30% on average over the next years.
EPS Next Y-12.26%
EPS Next 2Y-0.48%
EPS Next 3Y6.43%
EPS Next 5Y4.09%
Revenue Next Year-9.53%
Revenue Next 2Y-3.01%
Revenue Next 3Y-0.37%
Revenue Next 5Y2.3%
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
- Based on the Price/Earnings ratio of 19.82, the valuation of AQN can be described as rather expensive.
- Compared to the rest of the industry, the Price/Earnings ratio of AQN indicates a slightly more expensive valuation: AQN is more expensive than 69.23% of the companies listed in the same industry.
- AQN is valuated rather cheaply when we compare the Price/Earnings ratio to 28.18, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 17.85, which indicates a rather expensive current valuation of AQN.
- Based on the Price/Forward Earnings ratio, AQN is valued a bit more expensive than the industry average as 65.38% of the companies are valued more cheaply.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.51, AQN is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.82 | ||
| Fwd PE | 17.85 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AQN is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.51 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.48%
EPS Next 3Y6.43%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 4.17%, AQN is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 3.50, AQN pays a better dividend. On top of this AQN pays more dividend than 84.62% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.83, AQN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.17% |
5.2 History
- The dividend of AQN has a limited annual growth rate of 0.06%.
- AQN has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.06%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- AQN has negative earnings and hence a negative payout ratio. The dividend may be in danger.
- AQN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-569.86%
EPS Next 2Y-0.48%
EPS Next 3Y6.43%
6.54
+0.03 (+0.46%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)11-07 2025-11-07/bmo
Earnings (Next)02-26 2026-02-26/amc
Inst Owners74.14%
Inst Owner Change-2.04%
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap5.02B
Revenue(TTM)2.39B
Net Income(TTM)-37.22M
Analysts68.33
Price Target5.04 (-22.94%)
Short Float %0.76%
Short Ratio1.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.17% |
Yearly Dividend0.41
Dividend Growth(5Y)0.06%
DP-569.86%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)17.46%
Min EPS beat(2)-0.69%
Max EPS beat(2)35.61%
EPS beat(4)2
Avg EPS beat(4)12.84%
Min EPS beat(4)-25.74%
Max EPS beat(4)42.17%
EPS beat(8)4
Avg EPS beat(8)5.61%
EPS beat(12)5
Avg EPS beat(12)1.98%
EPS beat(16)6
Avg EPS beat(16)-0.66%
Revenue beat(2)1
Avg Revenue beat(2)-0.52%
Min Revenue beat(2)-1.85%
Max Revenue beat(2)0.82%
Revenue beat(4)2
Avg Revenue beat(4)-0.08%
Min Revenue beat(4)-4.61%
Max Revenue beat(4)5.31%
Revenue beat(8)3
Avg Revenue beat(8)-1.75%
Revenue beat(12)6
Avg Revenue beat(12)-0.49%
Revenue beat(16)9
Avg Revenue beat(16)0.59%
PT rev (1m)-0.1%
PT rev (3m)4.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-26.45%
EPS NY rev (1m)0%
EPS NY rev (3m)3.21%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.53%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.82 | ||
| Fwd PE | 17.85 | ||
| P/S | 2.1 | ||
| P/FCF | N/A | ||
| P/OCF | 10.79 | ||
| P/B | 1.08 | ||
| P/tB | 1.54 | ||
| EV/EBITDA | 12.51 |
EPS(TTM)0.33
EY5.05%
EPS(NY)0.37
Fwd EY5.6%
FCF(TTM)-0.47
FCFYN/A
OCF(TTM)0.61
OCFY9.27%
SpS3.11
BVpS6.04
TBVpS4.24
PEG (NY)N/A
PEG (5Y)N/A
Graham Number6.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.27% | ||
| ROE | -0.8% | ||
| ROCE | 4% | ||
| ROIC | 3.16% | ||
| ROICexc | 3.18% | ||
| ROICexgc | 3.56% | ||
| OM | 21.55% | ||
| PM (TTM) | N/A | ||
| GM | 73.94% | ||
| FCFM | N/A |
ROA(3y)-3.11%
ROA(5y)-0.39%
ROE(3y)-11.12%
ROE(5y)-2.83%
ROIC(3y)2.36%
ROIC(5y)2.31%
ROICexc(3y)2.37%
ROICexc(5y)2.33%
ROICexgc(3y)2.6%
ROICexgc(5y)2.56%
ROCE(3y)2.99%
ROCE(5y)2.93%
ROICexgc growth 3Y4.3%
ROICexgc 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-Score4
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.76 | ||
| Cap/Depr | 208.02% | ||
| Cap/Sales | 34.55% | ||
| Interest Coverage | 1.49 | ||
| Cash Conversion | 51.11% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z | 0.35 |
F-Score4
WACC5.9%
ROIC/WACC0.54
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)-29.79%
EPS 3Y-19.53%
EPS 5Y-10.38%
EPS Q2Q%12.5%
EPS Next Y-12.26%
EPS Next 2Y-0.48%
EPS Next 3Y6.43%
EPS Next 5Y4.09%
Revenue 1Y (TTM)-23.92%
Revenue growth 3Y0.49%
Revenue growth 5Y7.38%
Sales Q2Q%1.66%
Revenue Next Year-9.53%
Revenue Next 2Y-3.01%
Revenue Next 3Y-0.37%
Revenue Next 5Y2.3%
EBIT growth 1Y-15.87%
EBIT growth 3Y4.45%
EBIT growth 5Y4.06%
EBIT Next Year48.7%
EBIT Next 3Y21.37%
EBIT Next 5YN/A
FCF growth 1Y-47.31%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-27.45%
OCF growth 3Y45.17%
OCF growth 5Y-4.65%
ALGONQUIN POWER & UTILITIES / AQN FAQ
What is the ChartMill fundamental rating of ALGONQUIN POWER & UTILITIES (AQN) stock?
ChartMill assigns a fundamental rating of 3 / 10 to AQN.
What is the valuation status for AQN stock?
ChartMill assigns a valuation rating of 1 / 10 to ALGONQUIN POWER & UTILITIES (AQN). This can be considered as Overvalued.
How profitable is ALGONQUIN POWER & UTILITIES (AQN) stock?
ALGONQUIN POWER & UTILITIES (AQN) has a profitability rating of 3 / 10.
What is the financial health of ALGONQUIN POWER & UTILITIES (AQN) stock?
The financial health rating of ALGONQUIN POWER & UTILITIES (AQN) is 3 / 10.
Is the dividend of ALGONQUIN POWER & UTILITIES sustainable?
The dividend rating of ALGONQUIN POWER & UTILITIES (AQN) is 6 / 10 and the dividend payout ratio is -569.86%.