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AGR

AvangridNYSE:AGR Stock Report

Market Cap

US$19.6b

7D

-2.6%

1Y

8.5%

Updated

01 Dec, 2021

Data

Company Financials +
AGR fundamental analysis
Snowflake Score
Valuation1/6
Future Growth1/6
Past Performance5/6
Financial Health3/6
Dividends3/6

AGR Stock Overview

Avangrid, Inc. operates as an energy services holding company in the United States.

Avangrid Competitors

Duke Energy

NYSE:DUK

US$74.6b

Southern

NYSE:SO

US$64.8b

American Electric Power Company

NasdaqGS:AEP

US$40.8b

Eversource Energy

NYSE:ES

US$28.3b

Price History & Performance

Summary of all time highs, changes and price drops for Avangrid
Historical stock prices
Current Share PriceUS$50.85
52 Week HighUS$55.57
52 Week LowUS$44.02
Beta0.31
1 Month Change-3.29%
3 Month Change-8.05%
1 Year Change8.52%
3 Year Change0.14%
5 Year Change38.75%
Change since IPO40.78%

Recent News & Updates

Sep 02
Here's Why Avangrid (NYSE:AGR) Has A Meaningful Debt Burden

Here's Why Avangrid (NYSE:AGR) Has A Meaningful Debt Burden

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Aug 12
Avangrid (NYSE:AGR) Has Affirmed Its Dividend Of US$0.44

Avangrid (NYSE:AGR) Has Affirmed Its Dividend Of US$0.44

Avangrid, Inc. ( NYSE:AGR ) has announced that it will pay a dividend of US$0.44 per share on the 1st of October. This...

Jul 26

Avangrid: A Utility With Potential Earnings Growth

Avangrid stock hasn’t increased much since December 2017. Adjusted earnings guidance for 2021 is about the same or lower than FY2017. There could be upside given Avangrid expects its earnings to grow in the future.

Shareholder Returns

AGRUS Electric UtilitiesUS Market
7D-2.6%-2.4%-4.9%
1Y8.5%6.2%17.8%

Return vs Industry: AGR exceeded the US Electric Utilities industry which returned 6.2% over the past year.

Return vs Market: AGR underperformed the US Market which returned 17.8% over the past year.

Price Volatility

Is AGR's price volatile compared to industry and market?
AGR volatility
AGR Average Weekly Movement3.0%
Electric Utilities Industry Average Movement2.9%
Market Average Movement6.0%
10% most volatile stocks in US Market15.1%
10% least volatile stocks in US Market2.4%

Stable Share Price: AGR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: AGR's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18527,000Dennis Arriolahttps://www.avangrid.com

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.

Avangrid Fundamentals Summary

How do Avangrid's earnings and revenue compare to its market cap?
AGR fundamental statistics
Market CapUS$19.60b
Earnings (TTM)US$709.00m
Revenue (TTM)US$6.71b

27.8x

P/E Ratio

2.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AGR income statement (TTM)
RevenueUS$6.71b
Cost of RevenueUS$4.17b
Gross ProfitUS$2.54b
ExpensesUS$1.83b
EarningsUS$709.00m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.83
Gross Margin37.90%
Net Profit Margin10.57%
Debt/Equity Ratio39.9%

How did AGR perform over the long term?

See historical performance and comparison

Dividends

3.5%

Current Dividend Yield

84%

Payout Ratio

Valuation

Is Avangrid undervalued compared to its fair value and its price relative to the market?

27.77x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: AGR ($50.85) is trading above our estimate of fair value ($35.84)

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


Price To Earnings Ratio

PE vs Industry: AGR is poor value based on its PE Ratio (27.8x) compared to the US Electric Utilities industry average (21.3x).

PE vs Market: AGR is poor value based on its PE Ratio (27.8x) compared to the US market (16.6x).


Price to Earnings Growth Ratio

PEG Ratio: AGR is poor value based on its PEG Ratio (2.5x)


Price to Book Ratio

PB vs Industry: AGR is good value based on its PB Ratio (1x) compared to the US Electric Utilities industry average (1.8x).


Future Growth

How is Avangrid forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

11.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AGR's forecast earnings growth (11.3% per year) is above the savings rate (2%).

Earnings vs Market: AGR's earnings (11.3% per year) are forecast to grow slower than the US market (14.3% per year).

High Growth Earnings: AGR's earnings are forecast to grow, but not significantly.

Revenue vs Market: AGR's revenue (6.2% per year) is forecast to grow slower than the US market (10.1% per year).

High Growth Revenue: AGR's revenue (6.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AGR's Return on Equity is forecast to be low in 3 years time (6.3%).


Past Performance

How has Avangrid performed over the past 5 years?

4.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AGR has high quality earnings.

Growing Profit Margin: AGR's current net profit margins (10.6%) are higher than last year (9.7%).


Past Earnings Growth Analysis

Earnings Trend: AGR's earnings have grown by 4.8% per year over the past 5 years.

Accelerating Growth: AGR's earnings growth over the past year (17.2%) exceeds its 5-year average (4.8% per year).

Earnings vs Industry: AGR earnings growth over the past year (17.2%) exceeded the Electric Utilities industry 3.7%.


Return on Equity

High ROE: AGR's Return on Equity (3.3%) is considered low.


Financial Health

How is Avangrid's financial position?


Financial Position Analysis

Short Term Liabilities: AGR's short term assets ($3.6B) exceed its short term liabilities ($3.1B).

Long Term Liabilities: AGR's short term assets ($3.6B) do not cover its long term liabilities ($15.9B).


Debt to Equity History and Analysis

Debt Level: AGR's net debt to equity ratio (32.8%) is considered satisfactory.

Reducing Debt: AGR's debt to equity ratio has increased from 30.7% to 39.9% over the past 5 years.

Debt Coverage: AGR's debt is not well covered by operating cash flow (15%).

Interest Coverage: AGR's interest payments on its debt are well covered by EBIT (3.1x coverage).


Balance Sheet


Dividend

What is Avangrid current dividend yield, its reliability and sustainability?

3.46%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AGR's dividend (3.46%) is higher than the bottom 25% of dividend payers in the US market (1.37%).

High Dividend: AGR's dividend (3.46%) is low compared to the top 25% of dividend payers in the US market (3.69%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, AGR has been paying a dividend for less than 10 years.

Growing Dividend: AGR's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (84%), AGR's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AGR's dividends in 3 years are forecast to be covered by earnings (72.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.6yrs

Average management tenure


CEO

Dennis Arriola (60 yo)

1.33yrs

Tenure

US$1,779,329

Compensation

Mr. Dennis Victor Arriola serves as Chief Executive Officer and Director at Avangrid, Inc. since July 22, 2020. Mr. Arriola served as an Executive Vice President and Group President at Sempra Energy since...


CEO Compensation Analysis

Compensation vs Market: Dennis's total compensation ($USD1.78M) is below average for companies of similar size in the US market ($USD11.11M).

Compensation vs Earnings: Insufficient data to compare Dennis's compensation with company performance.


Leadership Team

Experienced Management: AGR's management team is considered experienced (4.6 years average tenure).


Board Members

Experienced Board: AGR's board of directors are considered experienced (3.9 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 been diluted in the past year, with total shares outstanding growing by 25.3%.


Top Shareholders

Company Information

Avangrid, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Avangrid, Inc.
  • Ticker: AGR
  • Exchange: NYSE
  • Founded: 1852
  • Industry: Electric Utilities
  • Sector: Utilities
  • Market Cap: US$19.600b
  • Shares outstanding: 387.20m
  • Website: https://www.avangrid.com

Number of Employees


Location

  • Avangrid, Inc.
  • 180 Marsh Hill Road
  • Orange
  • Connecticut
  • 6477
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/01 23:55
End of Day Share Price2021/12/01 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.