Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
Avangrid. This is due to cash flow or dividend data being
unavailable. The share price is
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
Avangrid's earnings available for a low price, and how does
this compare to other companies in the same industry?
Avangrid's earnings are expected to grow by 14.1% yearly, however this is not considered high growth (20% yearly).
Avangrid's revenue is expected to grow by 2.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Avangrid's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
4/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. James P. Torgesrson, also known as Jim, has been Chief Executive Officer at Avangrid, Inc. since December 16, 2015. Mr. Torgesrson has financial and business experience. He served as an Executive Director of UIL Holdings Corp., since October 2006 until December 16, 2015. He served as the President of UIL Holdings Corporation from January 23, 2006 to December 16, 2015 and served as its Chief Executive Officer from July 1, 2006 to December 16, 2015. Mr. Torgesrson served as the Chief Executive Officer of the United Illuminating Company, a subsidiary of UIL Holdings Corporation from April 24, 2006 to December 16, 2015 and served as its President from January 2013 to December 16, 2015. He is a proven leader in finance, organization design and executive management. He served as an Executive Vice President, Chief Administrative Officer and Chief Financial Officer of Washington Natural Gas Company. He served as the Chief Administrative Officer and Chief Financial Officer of Midwest Independent Transmission System Operator Inc. (ISO). He served as the Chief Executive Officer and President of Midwest Independent Transmission System Operator Inc. (alternate name Midcontinent Independent System Operator, Inc.) from December 2000 to January 2005. He served as Vice President and Chief Financial Officer of DPL Inc., the holding company of Dayton Power and Light and Puget Sound Energy, Inc. Mr. Torgesrson served as an Executive Vice President and Chief Administrative Officer of Washington Energy Co., since August 1995 and served as its Chief Financial Officer since February 1990. He served as Senior Vice President of Finance, Planning and Development of Washington Energy Co. from February 1990 to August 1995. He serves as the Chairman of The Southern Connecticut Gas Company. Mr. Torgerson is the Chairman of the Connecticut Institute for the 21st Century. He had been the Chairman and Director of The United Illuminating Company since November 16, 2010. He served as Chairman and z Director of the Connecticut Business and Industry Association. He has been a Director at Avangrid, Inc. since December 16, 2015. He serves as Director of Yale-New Haven Health Services Corporation. He is the executive committee member of the Edison Electric Institute and the American Gas Association, and trustee of the Hartford Bishops’ Foundation for the Archdiocese of Hartford. He serves as a Director of Midwest Independent Transmission System Operator, Inc. He serves as a Trustee of Yale-New Haven Hospital, Inc. Mr. Torgerson is a Trustee of the Hartford Bishops' Foundation. He served as Chairman of the ISO/RTO Council, a voluntary organization comprised of the highest-ranking full-time executives of North America's Independent System Operators and Regional Transmission Organizations. Mr. Torgesrson received a Bachelor of Business Administration in Accounting from Cleveland State University. He has considerable public company financial, accounting and executive leadership experience and expertise in utility operations and ratemaking.
Jim's compensation has been consistent with company performance over the past year, both up more than 20%.
Jim's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the
management team in years:
The tenure for the Avangrid management team is about average.
CEO & Director
Senior VP & CFO
Senior VP of Human Resources & Corporate Administration
President & CEO of Networks
Vice President Investor & Shareholder Relations
Senior Vice President of Corporate Development
Chief Development Officer
President & CEO of CMP
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The tenure for the Avangrid board of directors is about average.
Has Avangrid, Inc. (NYSE:AGR) Improved Earnings Growth In Recent Times?
In this commentary, I will examine Avangrid, Inc.'s (NYSE:AGR) latest earnings update (31 March 2019) and compare these figures against its performance over the past couple of years, as well as how the rest of the electric utilities industry performed. … Check out our latest analysis for Avangrid Commentary On AGR's Past Performance AGR's trailing twelve-month earnings (from 31 March 2019) of US$568m has jumped 47% compared to the previous year. … You should continue to research Avangrid to get a more holistic view of the stock by looking at: Future Outlook: What are well-informed industry analysts predicting for AGR’s future growth?
Should You Be Concerned About Avangrid, Inc.'s (NYSE:AGR) ROE?
With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Our data shows Avangrid has a return on equity of 3.7% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity
Is Avangrid, Inc. (NYSE:AGR) Struggling With Its 3.5% Return On Capital Employed?
Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Understanding Return On Capital Employed (ROCE). … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.
Investors In Avangrid, Inc. (NYSE:AGR) Should Consider This Data
Dividends play a key role in compounding returns over time and can form a large part of our portfolio return. … (NYSE:AGR) has recently paid dividends to shareholders, and currently yields 3.5%. … Let's dig deeper into whether Avangrid should have a place in your portfolio.
Does Avangrid's (NYSE:AGR) Share Price Gain of 22% Match Its Business Performance?
(NYSE:AGR) share price is up 22% in the last three years, that falls short of the market return. … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … Avangrid was able to grow its EPS at 21% per year over three years, sending the share price higher.
What Does Avangrid, Inc.'s (NYSE:AGR) P/E Ratio Tell You?
We'll look at Avangrid, Inc.'s (NYSE:AGR) P/E ratio and reflect on what it tells us about the company's share price. … Avangrid has a price to earnings ratio of 25.15, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)
Should You Worry About Avangrid, Inc.'s (NYSE:AGR) CEO Pay?
This analysis aims first to contrast CEO compensation with other large companies. … After that, we will consider the growth in the business. … How Does Jim Torgerson's Compensation Compare With Similar Sized Companies?
Why Avangrid, Inc. (NYSE:AGR) Is A Financially Healthy Company
Investors looking for stocks with high market liquidity and little debt on the balance sheet should consider Avangrid, Inc. … With a market valuation of US$15b, AGR is a safe haven in times of market uncertainty due to its strong balance sheet. … These firms won’t be left high and dry if liquidity dries up, and they will be relatively unaffected by rises in interest rates.
Shareholders Should Look Hard At Avangrid, Inc.’s (NYSE:AGR) 3.6% Return On Capital
In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Understanding Return On Capital Employed (ROCE). … ROCE measures the amount of pre-tax profits a company can generate from the capital employed in its business.
Avangrid, Inc. operates as an energy services holding company in the United States. It operates through two segments, Networks and Renewables. The company engages in the generation, transmission, and distribution of electricity, as well as distribution, transportation, and sale of natural gas. It also develops, constructs, and operates renewable energy generation facilities primarily using onshore wind power, as well as solar, biomass, and thermal power. The company delivers natural gas and electricity to residential, commercial, and institutional customers through its regulated utilities in New York, Maine, Connecticut, and Massachusetts; and sells its output to investor-owned utilities, public utilities, and other credit-worthy entities. In addition, it generates and provides power and other services to federal and state agencies, as well as institutional retail and joint action agencies; and delivers thermal output to wholesale customers in the Western United States. As of February 26, 2019, Avangrid, Inc. owned 8 electric and natural gas utilities, serving 3.2 million customers in New York and New England, as well as owned and operated 7.2 gigawatts of electricity capacity, primarily through wind power in 22 states. The company was founded in 1852 and is headquartered in Orange, Connecticut. Avangrid, Inc. is a subsidiary of Iberdrola, S.A.
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