A Closer Look at Avista (AVA) Valuation After Recent 6% Share Price Climb

Avista (AVA) stock has quietly pushed higher over the past month, gaining 6%. Investors may be taking a closer look at the utility’s steady performance and healthy year-over-year growth as broader markets shift focus to more stable sectors.

See our latest analysis for Avista.

Avista’s 6% share price climb over the past month caps off a strong run this year, with momentum carrying the stock to a 14% year-to-date share price return. Over the last twelve months, total shareholder return sits just shy of 13%, which is an encouraging sign that steady fundamentals and renewed investor interest are working together. Avista’s latest close at $41.45 shows the stock building on its gains rather than fading.

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But with Avista trading near its analyst price target and after a solid run this year, investors must ask if the company remains undervalued at current levels or if the market is already looking ahead and pricing in further growth.

Most Popular Narrative: 2.1% Overvalued

Avista's latest fair value estimate by the most watched narrative now sits below its last close price of $41.45. Investors will find this valuation puts the market’s recent momentum in a new light as expectations of future growth encounter a measured reality.

Accelerating electrification and favorable regulatory outcomes position Avista for rate base, revenue, and earnings growth. These drivers are supported by investments in grid expansion and clean energy. Near-term results are pressured by clean tech investments, but sector recovery and public policy could boost non-regulated earnings and book value.

Read the complete narrative.

Curious about what powers this perspective? The narrative builds its outlook around sharply rising utility demand, ambitious investments, and big assumptions for future profitability. Want to see exactly which bold projections underpin this headline fair value? Dive into the full narrative and see for yourself.

Result: Fair Value of $40.60 (OVERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent regulatory uncertainty and heightened wildfire risk could quickly shift Avista’s outlook. This may put pressure on earnings stability and growth projections.

Find out about the key risks to this Avista narrative.

Build Your Own Avista Narrative

If you have a different view or want to dig into the numbers firsthand, you can shape your own take in just a few minutes. Do it your way

A great starting point for your Avista research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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