company background image
AVA

AvistaNYSE:AVA Stock Report

Last Price

US$43.57

Market Cap

US$3.1b

7D

2.1%

1Y

13.1%

Updated

19 Jan, 2022

Data

Company Financials +
AVA fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance5/6
Financial Health0/6
Dividends6/6

AVA Stock Overview

Avista Corporation operates as an electric and natural gas utility company.

Avista Competitors

Dominion Energy

NYSE:D

US$63.5b

Consolidated Edison

NYSE:ED

US$29.0b

DTE Energy

NYSE:DTE

US$22.9b

Ameren

NYSE:AEE

US$22.6b

Price History & Performance

Summary of all time highs, changes and price drops for Avista
Historical stock prices
Current Share PriceUS$43.57
52 Week HighUS$49.14
52 Week LowUS$36.68
Beta0.66
1 Month Change6.95%
3 Month Change10.28%
1 Year Change13.05%
3 Year Change6.09%
5 Year Change12.18%
Change since IPO183.38%

Recent News & Updates

Jan 19
Is Avista (NYSE:AVA) Using Too Much Debt?

Is Avista (NYSE:AVA) Using Too Much Debt?

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Dec 31
Avista (NYSE:AVA) Might Be Having Difficulty Using Its Capital Effectively

Avista (NYSE:AVA) Might Be Having Difficulty Using Its Capital Effectively

What are the early trends we should look for to identify a stock that could multiply in value over the long term...

Dec 12

Avista: Good Dividend And Growth But High Valuation

Avista is a regulated utility operating in the Pacific Northwest that is poised to grow its earnings at a 5% CAGR over the next few years. Utility stocks are popular among more conservative investors because of the combination of high dividends and stability. Electric utilities have increased in popularity due to electrification but the EIA thinks that may not prove as a major trend as some think. The company's current 4.19% yield appears reasonably sustainable. The company appears to be slightly overvalued compared to some of its peers.

Shareholder Returns

AVAUS Integrated UtilitiesUS Market
7D2.1%-0.4%-3.5%
1Y13.1%12.0%10.2%

Return vs Industry: AVA exceeded the US Integrated Utilities industry which returned 12% over the past year.

Return vs Market: AVA exceeded the US Market which returned 10.2% over the past year.

Price Volatility

Is AVA's price volatile compared to industry and market?
AVA volatility
AVA Average Weekly Movement2.6%
Integrated Utilities Industry Average Movement2.5%
Market Average Movement6.6%
10% most volatile stocks in US Market15.8%
10% least volatile stocks in US Market2.4%

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

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

About the Company

FoundedEmployeesCEOWebsite
1889n/aDennis Vermillionhttps://investor.avistacorp.com

Avista Corporation operates as an electric and natural gas utility company. It operates in two segments, Avista Utilities and AEL&P. The Avista Utilities segment provides electric distribution and transmission, and natural gas distribution services in parts of eastern Washington and northern Idaho; and natural gas distribution services in parts of northeastern and southwestern Oregon, as well as generates electricity in Washington, Idaho, Oregon, and Montana.

Avista Fundamentals Summary

How do Avista's earnings and revenue compare to its market cap?
AVA fundamental statistics
Market CapUS$3.08b
Earnings (TTM)US$155.19m
Revenue (TTM)US$1.39b

19.9x

P/E Ratio

2.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AVA income statement (TTM)
RevenueUS$1.39b
Cost of RevenueUS$449.60m
Gross ProfitUS$937.95m
ExpensesUS$782.76m
EarningsUS$155.19m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)2.19
Gross Margin67.60%
Net Profit Margin11.18%
Debt/Equity Ratio115.8%

How did AVA perform over the long term?

See historical performance and comparison

Dividends

3.9%

Current Dividend Yield

75%

Payout Ratio

Valuation

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

13.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AVA ($43.57) is trading below our estimate of fair value ($50.49)

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 good value based on its PE Ratio (19.9x) compared to the US Integrated Utilities industry average (22.7x).

PE vs Market: AVA is poor value based on its PE Ratio (19.9x) compared to the US market (17x).


Price to Earnings Growth Ratio

PEG Ratio: AVA is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: AVA is good value based on its PB Ratio (1.5x) compared to the US Integrated Utilities industry average (2.2x).


Future Growth

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

10.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AVA's forecast earnings growth (10.3% per year) is above the savings rate (2%).

Earnings vs Market: AVA's earnings (10.3% per year) are forecast to grow slower than the US market (13% per year).

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

Revenue vs Market: AVA's revenue (2.7% per year) is forecast to grow slower than the US market (9.2% per year).

High Growth Revenue: AVA's revenue (2.7% 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 (8.5%).


Past Performance

How has Avista performed over the past 5 years?

3.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AVA has high quality earnings.

Growing Profit Margin: AVA's current net profit margins (11.2%) are higher than last year (9.3%).


Past Earnings Growth Analysis

Earnings Trend: AVA's earnings have grown by 3.1% per year over the past 5 years.

Accelerating Growth: AVA's earnings growth over the past year (27.7%) exceeds its 5-year average (3.1% per year).

Earnings vs Industry: AVA earnings growth over the past year (27.7%) exceeded the Integrated Utilities industry 11.5%.


Return on Equity

High ROE: AVA's Return on Equity (7.4%) is considered low.


Financial Health

How is Avista's financial position?


Financial Position Analysis

Short Term Liabilities: AVA's short term assets ($356.3M) do not cover its short term liabilities ($799.2M).

Long Term Liabilities: AVA's short term assets ($356.3M) do not cover its long term liabilities ($3.8B).


Debt to Equity History and Analysis

Debt Level: AVA's net debt to equity ratio (114.9%) is considered high.

Reducing Debt: AVA's debt to equity ratio has increased from 113.2% to 115.8% over the past 5 years.

Debt Coverage: AVA's debt is not well covered by operating cash flow (11.4%).

Interest Coverage: AVA's interest payments on its debt are not well covered by EBIT (2.5x coverage).


Balance Sheet


Dividend

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

3.88%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AVA's dividend (3.88%) is higher than the bottom 25% of dividend payers in the US market (1.35%).

High Dividend: AVA's dividend (3.88%) is in the top 25% of dividend payers in the US market (3.48%)


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: With its reasonable payout ratio (74.8%), AVA's dividend 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 (73.4% payout ratio).


Next Steps

Management

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

6.3yrs

Average management tenure


CEO

Dennis Vermillion (59 yo)

4yrs

Tenure

US$5,004,083

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 ($USD5.00M) is about average for companies of similar size in the US market ($USD5.14M).

Compensation vs Earnings: Dennis's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: AVA's management team is seasoned and experienced (6.3 years average tenure).


Board Members

Experienced Board: AVA's board of directors are considered experienced (7.4 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 3%.


Top Shareholders

Company Information

Avista Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Avista Corporation
  • Ticker: AVA
  • Exchange: NYSE
  • Founded: 1889
  • Industry: Multi-Utilities
  • Sector: Utilities
  • Implied Market Cap: US$3.083b
  • Shares outstanding: 70.77m
  • Website: https://investor.avistacorp.com

Number of Employees


Location

  • Avista Corporation
  • 1411 East Mission Avenue
  • Spokane
  • Washington
  • 99202-2600
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 23:31
End of Day Share Price2022/01/19 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.