Avista
Market Cap
US$2.3b
Last Updated
2020/09/27 06:43 UTC
Data Sources
Company Financials +
Executive Summary
Avista Corporation operates as an electric and natural gas utility company. More Details
Rewards
Risk Analysis
+ 1 more risk
Snowflake Analysis
Established dividend payer and slightly overvalued.
Similar Companies
Share Price & News
How has Avista's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AVA has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-2.2%
AVA
0.5%
US Integrated Utilities
-0.8%
US Market
1 Year Return
-30.5%
AVA
-11.6%
US Integrated Utilities
13.8%
US Market
Return vs Industry: AVA underperformed the US Integrated Utilities industry which returned -11.6% over the past year.
Return vs Market: AVA underperformed the US Market which returned 13.8% over the past year.
Shareholder returns
| AVA | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.2% | 0.5% | -0.8% |
| 30 Day | -8.5% | 0.3% | -5.0% |
| 90 Day | -4.5% | 6.2% | 10.1% |
| 1 Year | -27.8%-30.5% | -8.4%-11.6% | 16.4%13.8% |
| 3 Year | -27.6%-34.5% | 18.9%6.6% | 36.9%27.8% |
| 5 Year | 21.1%2.2% | 59.0%32.6% | 85.0%64.2% |
Price Volatility Vs. Market
How volatile is Avista's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
What Do The Returns On Capital At Avista (NYSE:AVA) Tell Us?2 weeks ago | Simply Wall St
Could The Avista Corporation (NYSE:AVA) Ownership Structure Tell Us Something Useful?Valuation
Is Avista undervalued compared to its fair value and its price relative to the market?
3.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: AVA ($33.9) is trading below our estimate of fair value ($35.17)
Significantly Below Fair Value: AVA is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: AVA is poor value based on its PE Ratio (18.7x) compared to the US Integrated Utilities industry average (18.1x).
PE vs Market: AVA is poor value based on its PE Ratio (18.7x) compared to the US market (17.6x).
Price to Earnings Growth Ratio
PEG Ratio: AVA is poor value based on its PEG Ratio (2.6x)
Price to Book Ratio
PB vs Industry: AVA is good value based on its PB Ratio (1.2x) compared to the US Integrated Utilities industry average (1.7x).
Next Steps
Future Growth
How is Avista forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
7.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AVA's forecast earnings growth (7.2% per year) is above the savings rate (2.2%).
Earnings vs Market: AVA's earnings (7.2% per year) are forecast to grow slower than the US market (22.9% per year).
High Growth Earnings: AVA's earnings are forecast to grow, but not significantly.
Revenue vs Market: AVA's revenue (1.5% per year) is forecast to grow slower than the US market (9.9% per year).
High Growth Revenue: AVA's revenue (1.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AVA's Return on Equity is forecast to be low in 3 years time (8%).
Next Steps
Past Performance
How has Avista performed over the past 5 years?
7.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AVA has a large one-off gain of $21.7M impacting its June 30 2020 financial results.
Growing Profit Margin: AVA's current net profit margins (9.2%) are lower than last year (14.4%).
Past Earnings Growth Analysis
Earnings Trend: AVA's earnings have grown by 7.1% per year over the past 5 years.
Accelerating Growth: AVA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: AVA had negative earnings growth (-38.2%) over the past year, making it difficult to compare to the Integrated Utilities industry average (6.5%).
Return on Equity
High ROE: AVA's Return on Equity (6.2%) is considered low.
Next Steps
Financial Health
How is Avista's financial position?
Financial Position Analysis
Short Term Liabilities: AVA's short term assets ($352.5M) do not cover its short term liabilities ($656.6M).
Long Term Liabilities: AVA's short term assets ($352.5M) do not cover its long term liabilities ($3.7B).
Debt to Equity History and Analysis
Debt Level: AVA's debt to equity ratio (119.1%) is considered high.
Reducing Debt: AVA's debt to equity ratio has increased from 105.8% to 119.1% over the past 5 years.
Debt Coverage: AVA's debt is not well covered by operating cash flow (14.7%).
Interest Coverage: AVA's interest payments on its debt are not well covered by EBIT (2.2x coverage).
Balance Sheet
Next Steps
Dividend
What is Avista current dividend yield, its reliability and sustainability?
4.78%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: AVA's dividend (4.78%) is higher than the bottom 25% of dividend payers in the US market (1.72%).
High Dividend: AVA's dividend (4.78%) is low compared to the top 25% of dividend payers in the US market (4.94%).
Stability and Growth of Payments
Stable Dividend: AVA's dividends per share have been stable in the past 10 years.
Growing Dividend: AVA's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (87.2%), AVA's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: AVA's dividends in 3 years are forecast to be covered by earnings (78.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.4yrs
Average management tenure
CEO
Dennis Vermillion (58 yo)
0.92
Tenure
US$2,382,620
Compensation
Mr. Dennis P. Vermillion has been the President and Director of Avista Corporation since January 1, 2018 and as its Chief Executive Officer since October 1, 2019. Mr. Vermillion is Director of Alaska Elect ...
CEO Compensation Analysis
Compensation vs Market: Dennis's total compensation ($USD2.38M) is below average for companies of similar size in the US market ($USD4.61M).
Compensation vs Earnings: Dennis's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 0.92yr | US$2.38m | 0.088% $ 2.0m | |
| Executive VP | 12yrs | US$1.72m | 0.17% $ 3.9m | |
| Senior Vice President of Energy Resources & Environmental Compliance Officer | 7.75yrs | US$1.39m | 0.027% $ 629.7k | |
| VP, Controller & Principal Accounting Officer | 4.92yrs | no data | 0.021% $ 480.5k | |
| VP, Chief Information Officer & Chief Security Officer | 13.67yrs | no data | 0.015% $ 335.2k | |
| Investor Relations Manager | no data | no data | no data | |
| VP, General Counsel & Chief Compliance Officer | 0.67yr | no data | 0.0026% $ 59.9k | |
| Vice President of Safety & Human Resources | no data | no data | 0.011% $ 263.6k | |
| VP and Chief Counsel for Regulatory & Government Affairs | 16.58yrs | US$519.93k | 0.0082% $ 188.8k | |
| Chief Economist | 8.17yrs | no data | no data | |
| Senior VP of External Affairs & Chief Customer Officer | 2.67yrs | no data | 0.022% $ 507.4k | |
| VP & Chief Strategy Officer | 5yrs | no data | 0.014% $ 313.6k |
6.4yrs
Average Tenure
54yo
Average Age
Experienced Management: AVA's management team is seasoned and experienced (6.4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 0.92yr | US$2.38m | 0.088% $ 2.0m | |
| Independent Director | 14.33yrs | US$190.00k | 0.034% $ 792.9k | |
| Non Executive Chairman | 12.67yrs | US$4.65m | 0.24% $ 5.6m | |
| Independent Director | 35.33yrs | US$207.77k | 0.0092% $ 212.5k | |
| Independent Lead Director | 3.33yrs | US$228.53k | 0.025% $ 585.9k | |
| Independent Director | 11.08yrs | US$184.00k | 0.033% $ 761.1k | |
| Independent Director | 9.08yrs | US$206.50k | 0.030% $ 688.2k | |
| Independent Director | 10.33yrs | US$199.88k | 0.017% $ 399.7k | |
| Independent Director | 6.08yrs | US$191.96k | 0.018% $ 408.2k | |
| Independent Director | 0.83yr | US$32.83k | 0.0041% $ 94.6k | |
| Independent Director | 4.08yrs | US$183.00k | 0.022% $ 516.9k |
9.1yrs
Average Tenure
62yo
Average Age
Experienced Board: AVA's board of directors are considered experienced (9.1 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: AVA insiders have only sold shares 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 2.7%.
Top Shareholders
Company Information
Avista Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Avista Corporation
- Ticker: AVA
- Exchange: NYSE
- Founded: 1889
- Industry: Multi-Utilities
- Sector: Utilities
- Market Cap: US$2.302b
- Shares outstanding: 67.91m
- Website: https://www.avistacorp.com
Number of Employees
Location
- Avista Corporation
- 1411 East Mission Avenue
- Spokane
- Washington
- 99202-2600
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| AVA | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| AV6 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| AV6 | BST (Boerse-Stuttgart) | Yes | Common Stock | DE | EUR | Jan 1968 |
Biography
Avista Corporation operates as an electric and natural gas utility company. It operates through two segments, Avista Utilities and AEL&P. The Avista Utilities segment provides electric distribution and tra ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/09/27 06:43 |
| End of Day Share Price | 2020/09/25 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/12/31 |
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.