Algonquin Power & Utilities (US:AQN) The Motley Fool·2026-03-07 00:49Core Insights - Algonquin Power & Utilities experienced a significant stock decline of over 12% following a disappointing 2027 guidance miss in its latest earnings report [1][8] Financial Performance - For Q4 2025, Algonquin reported revenue of $630.7 million, reflecting a year-over-year growth of nearly 8% [2] - Non-GAAP net income for the same period rose by 11% to $47.2 million, equating to $0.06 per share, surpassing analyst estimates of $616.6 million for revenue and $0.05 per share for non-GAAP net income [4] Strategic Direction - The company has shifted its focus from a diverse utility business to a more streamlined operation, emphasizing traditional utility services [4] - CEO Rod West highlighted a "back to basics" strategy as a key factor in the company's growth, noting substantial regulatory progress and benefits from a disciplined operating model [5] Future Guidance - Algonquin reaffirmed its full-year 2026 profitability guidance, maintaining an adjusted net income forecast of $0.35 to $0.37 per share, with a projected range of $0.38 to $0.42 per share for 2027 [7] - Analyst consensus estimates for adjusted net income are $0.36 for 2026 and $0.45 for 2027, indicating a potential bottom-line miss for 2027 [7] Market Data - The company's market capitalization stands at $5.4 billion, with a current stock price of $6.52, down from a day's range of $5.96 to $6.52 [6] - The stock has a gross margin of 23.82% and a dividend yield of 3.78% [6]