See our latest analysis for AltaGas.
AltaGas’s share price has cooled off slightly in the last month, but when you zoom out, long-term investors have still seen a strong payoff. With a 1-year total shareholder return of nearly 27% and an impressive 182% over five years, momentum remains firmly positive even after short-term dips.
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With shares now trading about 10% below analyst targets and a strong track record of returns, the big question is whether AltaGas still offers value or if the market already reflects all future growth potential.
Most Popular Narrative: 9.2% Undervalued
AltaGas’s current share price trails the consensus fair value by a notable margin, fueling debate over whether the stock’s momentum has further to run.
Significant investments in utility modernization and infrastructure expansion (for example, $2 billion since 2018, ongoing ARP and rate base growth, new customer connections, and projects like the Keweenaw Connector) position AltaGas to benefit from population growth, urbanization, and rising electrification demand. This should drive stable, inflation-protected revenue and long-term earnings growth.
What is the secret behind this premium valuation? The consensus relies on several bold assumptions around future profit margins, revenue trajectories, and a projected growth multiple that rivals leaders in the sector. Want to see the full equation that justifies today’s price target? Unlock the details that analysts are betting on for AltaGas’s future value.
Result: Fair Value of $45 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, policy shifts or a slower pace of modernization could dampen AltaGas’s future growth and challenge the current optimistic scenario.
Find out about the key risks to this AltaGas narrative.
Build Your Own AltaGas Narrative
If you’d rather chart your own path or arrive at your own conclusions, you can analyze the figures yourself and craft a unique story in minutes with Do it your way.
A great starting point for your AltaGas research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Valuation is complex, but we're here to simplify it.
Discover if AltaGas might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
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