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Algonquin Power & Utilities Corp T.AQN

Alternate Symbol(s):  AQN | T.AQN.PR.A | T.AQN.PR.D | AGQPF

Algonquin Power & Utilities Corp. is a Canada-based diversified international generation, transmission, and distribution company. The Company through its two business groups, the Regulated Services Group, and the Renewable Energy Group, provides sustainable energy and water solutions through its portfolio of electric generation, transmission, and distribution utility investments to over one million customer connections, largely in the United States and Canada. The Company is engaged in renewable energy through its portfolio of long-term contracted wind, solar, and hydroelectric generating facilities. The Company owns, operates, and/or has net interests in over four gigawatts (GW) of installed renewable energy capacity. The Company is focused on its expanding global pipeline of renewable energy and electric transmission development projects, organic growth within its rate-regulated generation, distribution and transmission businesses, and the pursuit of accretive acquisitions.


TSX:AQN - Post by User

Comment by fairweather1on Feb 08, 2016 12:46pm
116 Views
Post# 24535879

RE:Motley Fool's article

RE:Motley Fool's articleI think the "relative" pe comparisons are misleading.  Utilties are considered a safe haven and never moreso than now, and so an acceptable industry pe is a moving target.  Better to look at fundamentals individually IMO. 

Also, the assumption of continued growth rate is brave.  The bigger and more diverse it gets the more challenging it will become to manage.  Economies of scale can give way to diseconomies of scale.  Not that it had a lasting effect, but just look at the way things snapped back the moment there was some uncertainty about the tax situation (or whatever it was) last year.  Fortunately, it did not turn out to be a serious problem, but it goes to show how little shareholder there is for a great performer like AQN the minute something goes wrong (imagine if they started to miss on growth or got into a pricing problem like Capstone Infrastructure did).

Having said all that, I still like AQN for many reasons.  I just think some analysts get ahead of themselves.
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