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Bullboard - Stock Discussion Forum 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... see more

TSX:AQN - Post Discussion

Algonquin Power & Utilities Corp > RBC Capital Markets Outlines Expectations for Upcoming Call
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Post by davgro on Jan 10, 2023 10:28am

RBC Capital Markets Outlines Expectations for Upcoming Call

2023-01-10 10:22:19 AM ET (MT Newswires)

10:22 AM EST, 01/10/2023 (MT Newswires) -- RBC Capital Markets said Monday that it expects Algonquin Power & Utilities Corp. (AQN.TO) to outline its 2023 EPS guidance in its investor update call on Thursday.
 
RBC estimated Algonquin's 2023 EPS at $0.67 compared to the consensus forecast of $0.70.
 
RBC said the event is highly anticipated after management cut its 2022 EPS guidance and pulled its longer-term outlook in November 2022.
 
Investors are also expected to look for more clarity on the pending $2.6 billion acquisition of Kentucky Power, RBC said.
 
Algonquin's dividend, capital and funding plan, potential asset sales and balance sheet are also key topics for investors, according to RBC.
 
"Due to the level of uncertainty with respect to the pending KP acquisition and potential asset sales, management's 5-year outlook may lack details," RBC said.
 
RBC gave Algonquin a sector perform rating with a US$8.00 price target.
Comment by pjn0987654321 on Jan 10, 2023 10:52am
May release news Wed after close. 
Comment by AlwaysLong683 on Jan 10, 2023 1:38pm
Nope. News will be released at the Investor Day event Thursday January 12 starting at 8am ET before market open. I expect some wild swings up and/or down on the open at 9:30am as the investment community tries to absorb the info in that brief window. Will likely take at least one additional trading day (Friday) before the market has fully digested and studied the news and arrived at its verdict ...more  
Comment by Capharnaum on Jan 10, 2023 1:23pm
I think their 2023 EPS is too high and doesn't match their price target. At $0.67 and a 15x PE (lower than average for utilities), you'd have a $10 USD stock. I believe 2023 EPS will be closer to $0.55 and then back to $0.70+ in 2024.
Comment by Capharnaum on Jan 12, 2023 9:53am
Looks like I was closer than the analysts for the 2023 EPS... However, after the presentation, and considering the tax impact, they may not be back to $0.70+ in 2024. Based on a $0.55 EPS for 2023 (USD), the stock is currently trading around 12.5x earnings, which is extremely low for a utility. At 15x earnings, share price would be around $11 CAD. I would have liked to see an estimate for EPS ...more  
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