| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 4/6 |
| Past Performance | 2/6 |
| Financial Health | 3/6 |
| Dividends | 3/6 |
AES Stock Overview
The AES Corporation operates as a diversified power generation and utility company.
AES Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$22.95 |
| 52 Week High | US$29.07 |
| 52 Week Low | US$22.46 |
| Beta | 0.83 |
| 1 Month Change | -2.63% |
| 3 Month Change | -7.94% |
| 1 Year Change | -15.31% |
| 3 Year Change | 44.52% |
| 5 Year Change | 101.32% |
| Change since IPO | 600.40% |
Recent News & Updates
Is Now The Time To Look At Buying The AES Corporation (NYSE:AES)?
Let's talk about the popular The AES Corporation ( NYSE:AES ). The company's shares received a lot of attention from a...
Are Investors Undervaluing The AES Corporation (NYSE:AES) By 46%?
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of The AES Corporation...
Re-Rating In AES Stock Is Imminent
AES trades at a discount compared to utility peers. AES deserves a valuation premium due to its above-average characteristics. I believe that a re-rating in AES stock is imminent.
Shareholder Returns
| AES | US Renewable Energy | US Market | |
|---|---|---|---|
| 7D | -0.5% | -2.4% | -4.0% |
| 1Y | -15.3% | -19.6% | 6.6% |
Return vs Industry: AES exceeded the US Renewable Energy industry which returned -19.6% over the past year.
Return vs Market: AES underperformed the US Market which returned 6.6% over the past year.
Price Volatility
| AES volatility | |
|---|---|
| AES Average Weekly Movement | 3.5% |
| Renewable Energy Industry Average Movement | 7.2% |
| Market Average Movement | 6.6% |
| 10% most volatile stocks in US Market | 15.7% |
| 10% least volatile stocks in US Market | 2.4% |
Stable Share Price: AES is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: AES's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1981 | 8,162 | Andres Ricardo Gluski Weilert | https://www.aes.com |
The AES Corporation operates as a diversified power generation and utility company. It owns and/or operates power plants to generate and sell power to customers, such as utilities, industrial users, and other intermediaries. The company also owns and/or operates utilities to generate or purchase, distribute, transmit, and sell electricity to end-user customers in the residential, commercial, industrial, and governmental sectors; and generates and sells electricity on the wholesale market.
AES Fundamentals Summary
| AES fundamental statistics | |
|---|---|
| Market Cap | US$15.30b |
| Earnings (TTM) | US$537.00m |
| Revenue (TTM) | US$10.93b |
28.5x
P/E Ratio1.4x
P/S RatioIs AES overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| AES income statement (TTM) | |
|---|---|
| Revenue | US$10.93b |
| Cost of Revenue | US$8.06b |
| Gross Profit | US$2.88b |
| Expenses | US$2.34b |
| Earnings | US$537.00m |
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | 0.81 |
| Gross Margin | 26.31% |
| Net Profit Margin | 4.91% |
| Debt/Equity Ratio | 343.6% |
How did AES perform over the long term?
See historical performance and comparisonDividends
2.8%
Current Dividend Yield74%
Payout RatioDoes AES pay a reliable dividends?
See AES dividend history and benchmarks| AES dividend dates | |
|---|---|
| Ex Dividend Date | Jan 31 2022 |
| Dividend Pay Date | Feb 15 2022 |
| Days until Ex dividend | 9 days |
| Days until Dividend pay date | 24 days |
Does AES pay a reliable dividends?
See AES dividend history and benchmarksValuation
Is AES undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: AES ($22.95) is trading below our estimate of fair value ($51.33)
Significantly Below Fair Value: AES is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: AES is good value based on its PE Ratio (28.5x) compared to the US Renewable Energy industry average (66x).
PE vs Market: AES is poor value based on its PE Ratio (28.5x) compared to the US market (16.7x).
Price to Earnings Growth Ratio
PEG Ratio: AES is poor value based on its PEG Ratio (1.2x)
Price to Book Ratio
PB vs Industry: AES is overvalued based on its PB Ratio (6.3x) compared to the US Renewable Energy industry average (2.3x).
Future Growth
How is AES forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
23.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AES's forecast earnings growth (23% per year) is above the savings rate (2%).
Earnings vs Market: AES's earnings (23% per year) are forecast to grow faster than the US market (13.1% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: AES's revenue (3.6% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: AES's revenue (3.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AES's Return on Equity is forecast to be high in 3 years time (25.6%)
Past Performance
How has AES performed over the past 5 years?
9.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AES has a large one-off loss of $990.0M impacting its September 30 2021 financial results.
Growing Profit Margin: AES became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: AES's earnings have grown by 9.1% per year over the past 5 years.
Accelerating Growth: AES has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: AES has become profitable in the last year, making it difficult to compare its past year earnings growth to the Renewable Energy industry (-10.5%).
Return on Equity
High ROE: AES's Return on Equity (13.3%) is considered low.
Financial Health
How is AES's financial position?
Financial Position Analysis
Short Term Liabilities: AES's short term assets ($5.7B) exceed its short term liabilities ($4.7B).
Long Term Liabilities: AES's short term assets ($5.7B) do not cover its long term liabilities ($24.5B).
Debt to Equity History and Analysis
Debt Level: AES's net debt to equity ratio (316.4%) is considered high.
Reducing Debt: AES's debt to equity ratio has reduced from 357.2% to 343.6% over the past 5 years.
Debt Coverage: AES's debt is not well covered by operating cash flow (10.2%).
Interest Coverage: AES's interest payments on its debt are well covered by EBIT (3.9x coverage).
Balance Sheet
Dividend
What is AES current dividend yield, its reliability and sustainability?
2.75%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: AES's dividend (2.75%) is higher than the bottom 25% of dividend payers in the US market (1.36%).
High Dividend: AES's dividend (2.75%) is low compared to the top 25% of dividend payers in the US market (3.55%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, AES has been paying a dividend for less than 10 years.
Growing Dividend: AES's dividend payments have increased, but the company has only paid a dividend for 9 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (73.7%), AES's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: AES's dividends in 3 years are forecast to be well covered by earnings (36.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.9yrs
Average management tenure
CEO
Andres Ricardo Gluski Weilert (63 yo)
10.33yrs
Tenure
US$11,468,027
Compensation
Mr. Andres Ricardo Gluski Weilert has been the Chief Executive Officer, President and Director of The AES Corporation since September 30, 2011. He served as the President of AES Gener S.A. He served as the...
CEO Compensation Analysis
Compensation vs Market: Andres Ricardo's total compensation ($USD11.47M) is about average for companies of similar size in the US market ($USD11.42M).
Compensation vs Earnings: Andres Ricardo's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: AES's management team is considered experienced (3.9 years average tenure).
Board Members
Experienced Board: AES's board of directors are considered experienced (6.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
The AES Corporation's employee growth, exchange listings and data sources
Key Information
- Name: The AES Corporation
- Ticker: AES
- Exchange: NYSE
- Founded: 1981
- Industry: Independent Power Producers and Energy Traders
- Sector: Utilities
- Implied Market Cap: US$15.301b
- Shares outstanding: 666.71m
- Website: https://www.aes.com
Number of Employees
Location
- The AES Corporation
- 4300 Wilson Boulevard
- 11th Floor
- Arlington
- Virginia
- 22203
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/21 23:34 |
| End of Day Share Price | 2022/01/21 00:00 |
| Earnings | 2021/09/30 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.