Core Viewpoint - AES Corporation's shares have declined by 41% over the past year, significantly underperforming its industry and sector, as well as the broader S&P 500 index [1][2]. Performance Comparison - Other industry players, such as CenterPoint Energy and Consolidated Edison, have shown positive stock performance, with increases of 22.8% and 2.4% respectively over the same period [2]. Reasons Behind Downtrend - AES's poor performance is attributed to disappointing first-quarter 2025 results, with earnings and revenues missing Zacks Consensus Estimates by 27% and 8.7% respectively, alongside year-over-year declines [4]. - As of March 31, 2025, AES had a long-term debt of $26.41 billion and current debt of $4.18 billion, with cash equivalents of only $2.55 billion, indicating a weak solvency position [5]. - Jefferies downgraded AES's stock rating from Buy to Hold in April 2025, citing a weaker balance sheet as a primary concern [6]. Potential for Rebound - The growing adoption of renewable energy presents opportunities for AES, which completed 643 megawatts of solar and energy storage projects in Q1 2025 and plans to add 3.2 gigawatts of new renewables by year-end 2025 [7][10]. - AES is actively retiring coal-fired units to reduce carbon emissions and is pursuing growth in the liquefied natural gas market through long-term contracts [8]. Earnings Estimates - The Zacks Consensus Estimate for AES's earnings per share for 2025 and 2026 has increased by 4.83% and 3.20% respectively over the past 60 days, indicating growing analyst confidence [11]. - Revenue estimates for 2025 and 2026 are projected at $12.74 billion and $13.35 billion, reflecting year-over-year growth of 3.8% and 4.8% [12]. Valuation - AES shares are trading at a forward Price/Earnings (P/E) ratio of 5.70X, significantly lower than the industry average of 14.62X, suggesting a relative discount [14].

Investors with an interest in Utility - Electric Power stocks have likely encountered both AES (AES) and NRG Energy (NRG) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while o ...

Stocks scrambled for direction on Wednesday in a choppy trading session as volatility returned to Wall Street after the Federal Reserve left interest rates unchanged at the end of its two-day policy meeting.Inflation is still high, and the uncertainty over President Donald Trump’s tariffs has raised concerns over the economy’s health. Also, the U.S. economy shrank in the first quarter of 2025. This could keep markets volatile for a longer period.Given this situation, it would be wise to invest in defensive ...

AES (AES) closed the last trading session at $10.44, gaining 2.1% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $14.27 indicates a 36.7% upside potential. According to researchers at several universities across the globe, a price target is one of many pieces of information about a stock that misleads investors far more often than it guides. In fact, empirical research shows that ...

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The AES (AES) Q1 2025 Earnings Call May 02, 2025 10:00 AM ET Company Participants Susan Harcourt - VP - Investor RelationsAndrés Gluski - President & Chief Executive OfficerStephen Coughlin - Executive VP & CFORicardo Manuel Falú - EVP, COO & President - New Energy TechnologiesNicholas Campanella - DirectorDavid Arcaro - Executive Director - Equity ResearchDurgesh Chopra - Managing DirectorMichael Sullivan - Director - Equity ResearchRichard Sunderland - Equity Research - North American Utilities & PowerAnt ...

The AES (AES) Q1 2025 Earnings Call May 02, 2025 10:00 AM ET Company Participants Susan Harcourt - VP - Investor RelationsAndrés Gluski - President & Chief Executive OfficerStephen Coughlin - Executive VP & CFORicardo Manuel Falú - EVP, COO & President - New Energy TechnologiesNicholas Campanella - DirectorDavid Arcaro - Executive Director - Equity ResearchDurgesh Chopra - Managing DirectorMichael Sullivan - Director - Equity ResearchRichard Sunderland - Equity Research - North American Utilities & PowerAnt ...

The AES (AES) Q1 2025 Earnings Call May 02, 2025 10:00 AM ET Speaker0 Hello, everybody, and welcome to the AES Corporation Q1 twenty twenty five Financial Review Call. My name is Emily, and I'll be moderating your call today. After the presentation, you will have the opportunity to ask any questions. I will now hand the call over to Susan Harcourt, Vice President of Investor Relations to begin. Susan, please go ahead. Speaker1 Thank you, operator. Good morning and welcome to our first quarter twenty twenty ...

The AES Corporation’s (AES) first-quarter 2025 adjusted earnings of 27 cents per share missed the Zacks Consensus Estimate of 37 cents by 27%. The bottom line also declined 46% from 50 cents per share in the year-ago quarter. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)The decline in adjusted earnings was mainly due to lower realized tax attributes due to the timing of tax attribute recognition, along with decreased contributions from the Energy Infrastructure SBU.The company ge ...

Financial Performance - The company's Adjusted EBITDA for Q1 2025 was $591 million, a decrease of $49 million compared to $640 million in Q1 2024[11, 47] - Adjusted EPS for Q1 2025 was $0.27, a decrease of $0.23 compared to Q1 2024[11, 49] - Renewables Adjusted EBITDA increased by $50 million, from $111 million in Q1 2024 to $161 million in Q1 2025[52] - Utilities Adjusted PTC increased by $80 million, from $41 million in Q1 2024 to $121 million in Q1 2025[56] - Energy Infrastructure Adjusted EBITDA decreased by $102 million, from $356 million in Q1 2024 to $254 million in Q1 2025[59] Strategic Highlights & Growth - The company signed or was awarded 443 MW of new PPAs for renewables, bringing the backlog to 11.7 GW[12] - Construction of 643 MW of renewables projects was completed, with the remaining 2.6 GW of projects under construction for 2025 being approximately 80% complete[12, 17] - The company achieved its 2025 asset sale proceeds target by selling a minority stake in AGIC for $450 million[12] - The company is on track to invest approximately $1.4 billion across AES Indiana & AES Ohio in 2025[39] Financial Outlook & Capital Allocation - The company reaffirms its 2025 Adjusted EBITDA guidance of $2,650-$2,850 million[9, 66] - The company reaffirms its 2025 Adjusted EPS guidance of $2.10-$2.26[9, 68] - The company expects to generate Parent Free Cash Flow of $1,150-$1,250 million in 2025[71, 112]