The AES Corporation (AES)vsAlgonquin Power & Utilities Corp (AQN)
AES
The AES Corporation
$14.67
-0.41%
UTILITIES · Cap: $10.47B
AQN
Algonquin Power & Utilities Corp
$6.01
+1.18%
UTILITIES · Cap: $4.57B
Smart Verdict
WallStSmart Research — data-driven comparison
The AES Corporation generates 393% more annual revenue ($12.49B vs $2.53B). AES leads profitability with a 10.8% profit margin vs 6.7%. AES trades at a lower P/E of 7.7x. AES earns a higher WallStSmart Score of 71/100 (B).
AES
Strong Buy71
out of 100
Grade: B
AQN
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-44.1%
Fair Value
$11.41
Current Price
$14.67
$3.26 premium
Margin of Safety
+70.3%
Fair Value
$22.27
Current Price
$6.01
$16.26 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 30 in profit
Earnings expanding 951.0% YoY
Reasonable price relative to book value
Reasonable price relative to book value
Strong operational efficiency at 22.6%
Areas to Watch
Weak financial health signals
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
ROE of 3.6% — below average capital efficiency
6.7% margin — thin
Elevated debt levels
Earnings declined 10.7%
Comparative Analysis Report
WallStSmart ResearchBull Case : AES
The strongest argument for AES centers on P/E Ratio, Return on Equity, EPS Growth. PEG of 1.09 suggests the stock is reasonably priced for its growth.
Bull Case : AQN
The strongest argument for AQN centers on Price/Book, Operating Margin. Revenue growth of 14.4% demonstrates continued momentum.
Bear Case : AES
The primary concerns for AES are Piotroski F-Score, Free Cash Flow, Altman Z-Score. Debt-to-equity of 7.01 is elevated, increasing financial risk.
Bear Case : AQN
The primary concerns for AQN are Return on Equity, Profit Margin, Debt/Equity.
Key Dynamics to Monitor
AES carries more volatility with a beta of 0.95 — expect wider price swings.
AQN is growing revenue faster at 14.4% — sustainability is the question.
AQN generates stronger free cash flow (-85M), providing more financial flexibility.
Monitor UTILITIES - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.
Bottom Line
AES scores higher overall (71/100 vs 52/100). AQN offers better value entry with a 70.3% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
The AES Corporation
UTILITIES · UTILITIES - DIVERSIFIED · USA
The AES Corporation is a Fortune 500 company that generates and distributes electrical power. AES is headquartered in Arlington, Virginia.
Visit Website →Algonquin Power & Utilities Corp
UTILITIES · UTILITIES - DIVERSIFIED · USA
Algonquin Power & Utilities Corp. The company is headquartered in Oakville, Canada.
Visit Website →Compare with Other UTILITIES - DIVERSIFIED Stocks
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