Atlantica Sustainable Infrastructure plc

NasdaqGS:AY Stock Report

Market Cap: US$2.6b

Atlantica Sustainable Infrastructure Valuation

Is AY undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of AY when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AY ($22.13) is trading above our estimate of fair value ($21.92)

Significantly Below Fair Value: AY is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AY?

Key metric: As AY is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for AY. This is calculated by dividing AY's market cap by their current earnings.
What is AY's PE Ratio?
PE Ratio85.7x
EarningsUS$30.01m
Market CapUS$2.57b

Price to Earnings Ratio vs Peers

How does AY's PE Ratio compare to its peers?

The above table shows the PE ratio for AY vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average46.4x
RNW ReNew Energy Global
91x53.3%US$2.1b
CWEN.A Clearway Energy
25.7x23.0%US$5.6b
ORA Ormat Technologies
41.2x11.4%US$4.9b
MNTK Montauk Renewables
27.7x1.1%US$636.2m
AY Atlantica Sustainable Infrastructure
85.7x38.2%US$2.6b

Price-To-Earnings vs Peers: AY is expensive based on its Price-To-Earnings Ratio (85.7x) compared to the peer average (46.4x).

Price to Earnings Ratio vs Industry

How does AY's PE Ratio compare vs other companies in the North American Renewable Energy Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
AY 85.7xIndustry Avg. 14.4xNo. of Companies4PE01224364860+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: AY is expensive based on its Price-To-Earnings Ratio (85.7x) compared to the Global Renewable Energy industry average (14.4x).

Price to Earnings Ratio vs Fair Ratio

What is AY's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AY PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio85.7x
Fair PE Ratio29.6x

Price-To-Earnings vs Fair Ratio: AY is expensive based on its Price-To-Earnings Ratio (85.7x) compared to the estimated Fair Price-To-Earnings Ratio (29.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst AY forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$22.13
US$22.20
+0.3%
1.8%US$23.00US$22.00n/a5
Nov ’25US$22.08
US$22.20
+0.5%
1.8%US$23.00US$22.00n/a5
Oct ’25US$22.00
US$22.20
+0.9%
1.8%US$23.00US$22.00n/a5
Sep ’25US$21.81
US$22.20
+1.8%
1.8%US$23.00US$22.00n/a5
Aug ’25US$22.14
US$22.17
+0.1%
1.7%US$23.00US$22.00n/a6
Jul ’25US$21.91
US$22.17
+1.2%
1.7%US$23.00US$22.00n/a6
Jun ’25US$21.98
US$23.71
+7.9%
16.1%US$33.00US$22.00n/a7
May ’25US$20.92
US$22.95
+9.7%
15.8%US$33.00US$20.00n/a11
Apr ’25US$18.67
US$23.32
+24.9%
14.9%US$33.00US$20.00n/a11
Mar ’25US$17.82
US$23.73
+33.1%
14.8%US$33.00US$19.00n/a11
Feb ’25US$19.69
US$24.05
+22.1%
14.2%US$33.00US$19.00n/a11
Jan ’25US$21.50
US$23.64
+9.9%
15.2%US$33.00US$19.00n/a11
Dec ’24US$19.68
US$23.64
+20.1%
15.2%US$33.00US$19.00n/a11
Nov ’24US$18.60
US$25.18
+35.4%
17.2%US$34.00US$20.00US$22.0811
Oct ’24US$19.10
US$29.64
+55.2%
12.1%US$36.00US$25.00US$22.0011
Sep ’24US$22.13
US$30.27
+36.8%
10.5%US$36.00US$26.00US$21.8111
Aug ’24US$23.65
US$30.77
+30.1%
9.4%US$36.00US$27.00US$22.1411
Jul ’24US$23.44
US$31.00
+32.3%
8.8%US$36.00US$27.00US$21.9111
Jun ’24US$24.38
US$31.00
+27.2%
9.0%US$36.00US$27.00US$21.9811
May ’24US$26.35
US$31.45
+19.4%
8.3%US$36.00US$28.00US$20.9211
Apr ’24US$29.56
US$31.50
+6.6%
8.7%US$36.00US$28.00US$18.6710
Mar ’24US$26.94
US$31.60
+17.3%
7.9%US$36.00US$29.00US$17.8210
Feb ’24US$27.22
US$32.40
+19.0%
12.5%US$43.00US$29.00US$19.6910
Jan ’24US$25.90
US$33.60
+29.7%
12.0%US$43.00US$29.00US$21.5010
Dec ’23US$27.64
US$33.70
+21.9%
11.6%US$43.00US$30.00US$19.6810
Nov ’23US$28.00
US$35.20
+25.7%
11.1%US$43.00US$28.00US$18.6010

Analyst Forecast: Target price is less than 20% higher than the current share price.

Discover undervalued companies

Engie Brasil Energia

R$31.5b

Generates, sells, and trades in electrical energy in Brazil.

EGIE.Y

R$6.56

7D

-1.7%

1Y

-26.8%

Innergex Renewable Energy

CA$1.7b

Operates as an independent renewable power producer in Canada, the United States, France, and Chile.

INGX.F

CA$5.96

7D

-2.1%

1Y

-15.2%

APA Group

AU$9.3b

Engages in the energy infrastructure business in Australia.

APAJ.F

AU$4.44

7D

-3.5%

1Y

-16.6%