Algonquin Power & Utilities Corp T.AQN

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

Utilities Utilities - Diversified

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

Algonquin Power & Utilities Corp > RBC

<< Previous

Bullboard Posts

Next >>

Comment by BiEricon Oct 22, 2021 9:40am

262 Views

Post# 34036821

RE:RBC

retiredcf wrote:
close to 20% upside, Christina said it's a buy. What can possibly go wrong ? Time to back up the truck !

Algonquin Power & Utilities

Outperform (US$18.00 one-year price target)
Third quarter earnings and EPS (release date: November 11)

We expect Algonquin’s Q3/21 adjusted EPS to be US$0.14, slightly below the US$0.15 recorded in Q3/20. We forecast Q3/21 Adjusted EBITDA of US$239 million, above Q3/20 Adjusted EBITDA of US$186 million, driven by EBITDA contribution from the acquisition of the water utility ESSAL in Chile (October 2020), BELCO in Bermuda (November 2020), and a 51% interest in the Texas Coastal Wind facilities (Q1/21). In addition, Algonquin completed the construction of three wind facilities totaling 600 MW in its Missouri utility (H1/21), and commissioned various renewable development projects over the past year. From an EPS perspective, we expect the increase in EBITDA to be offset by higher depreciation, interest, and the additional shares outstanding (related to the equity offering that closed in mid-July 2020 and shares issued under the ATM program). We note that our adjusted EBITDA forecast does not include HLBV income (Q2/21 HLBV income was US$27 million).

We expect investors to focus on updates regarding the pending acquisition of water assets in New York State, updates on the development pipeline, and potential M&A opportunities (e.g., Kentucky Power). The FactSet mean EPS estimate for Q3/21 is US$0.15 (14 estimates ranging from US$0.13 to US$0.19).