Latest Ratios: P/E Ratio 21.8x · EV/EBITDA 11.2x · ROE 3.2%. (1997–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $3.9B | $4.8B | $3.3B | $4.4B | $4.1B | $9.1B | $9.3B | $7.1B | $4.7B | $4.3B | $2.3B |
| Enterprise Value | $10.4B | $11.2B | $9.9B | $11.8B | $11.6B | $15.2B | $13.7B | $10.9B | $8.0B | $7.3B | $5.4B |
| P/E Ratio → | 21.83 | 26.74 | — | 210.67 | — | 35.24 | 12.01 | 13.35 | 25.13 | 30.16 | 25.70 |
| P/S Ratio | 1.59 | 1.95 | 1.40 | 1.82 | 1.48 | 4.00 | 5.54 | 4.35 | 2.84 | 2.74 | 2.85 |
| P/B Ratio | 0.77 | 0.94 | 0.53 | 0.63 | 0.57 | 1.18 | 1.55 | 1.49 | 1.16 | 1.28 | 1.24 |
| P/FCF | 2.15 | 2.65 | — | — | — | — | — | — | — | — | — |
| P/OCF | 6.40 | 7.86 | 7.10 | 6.83 | 6.90 | 58.23 | 17.46 | 11.31 | 9.31 | 11.79 | 10.83 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 4.62 | 4.28 | 4.93 | 4.18 | 6.67 | 8.19 | 6.73 | 4.84 | 4.67 | 6.65 |
| EV / EBITDA | 11.22 | 12.18 | 10.75 | 12.67 | 13.47 | 18.59 | 19.66 | 16.81 | 12.76 | 11.46 | 17.26 |
| EV / EBIT | 19.81 | 21.36 | 17.51 | 44.52 | — | 41.02 | 14.09 | 14.86 | 28.02 | 21.45 | 27.90 |
| EV / FCF | — | 6.27 | — | — | — | — | — | — | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 73.7% | 73.7% | 74.4% | 69.1% | 68.7% | 68.6% | 76.1% | 72.7% | 70.6% | 74.2% | 73.1% |
| Operating Margin | 21.5% | 21.5% | 19.2% | 19.4% | 14.5% | 18.2% | 22.9% | 22.6% | 22.9% | 24.1% | 21.4% |
| Net Profit Margin | 7.4% | 7.4% | -59.5% | 1.2% | -7.7% | 11.6% | 46.7% | 32.6% | 11.2% | 9.8% | 11.9% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 3.2% | 3.2% | -21.0% | 0.4% | -2.9% | 3.9% | 14.6% | 12.1% | 5.0% | 5.9% | 5.5% |
| ROA | 1.2% | 1.2% | -7.8% | 0.2% | -1.2% | 1.8% | 6.5% | 5.2% | 2.1% | 2.1% | 2.0% |
| ROIC | 3.2% | 3.2% | 2.5% | 2.4% | 2.1% | 2.6% | 3.0% | 3.5% | 4.1% | 5.0% | 3.4% |
| ROCE | 3.7% | 3.7% | 2.8% | 2.9% | 2.6% | 3.0% | 3.4% | 3.9% | 4.5% | 5.6% | 3.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.30 | 1.30 | 1.08 | 1.08 | 1.05 | 0.81 | 0.76 | 0.83 | 0.83 | 0.92 | 1.70 |
| Debt / EBITDA | 7.07 | 7.07 | 7.26 | 8.03 | 8.76 | 7.61 | 6.50 | 6.04 | 5.34 | 4.80 | 10.12 |
| Net Debt / Equity | — | 1.29 | 1.08 | 1.08 | 1.04 | 0.79 | 0.74 | 0.82 | 0.81 | 0.90 | 1.65 |
| Net Debt / EBITDA | 7.04 | 7.04 | 7.22 | 8.00 | 8.69 | 7.46 | 6.36 | 5.94 | 5.27 | 4.73 | 9.86 |
| Debt / FCF | — | 3.62 | — | — | — | — | — | — | — | — | — |
| Interest Coverage | 1.67 | 1.67 | 1.64 | 0.81 | -0.26 | 1.62 | 5.36 | 4.06 | 1.87 | 2.20 | 1.98 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.00 | 1.00 | 0.76 | 0.63 | 0.71 | 0.69 | 0.73 | 0.59 | 0.99 | 0.88 | 0.90 |
| Quick Ratio | 0.82 | 0.82 | 0.61 | 0.50 | 0.57 | 0.56 | 0.59 | 0.48 | 0.79 | 0.72 | 0.86 |
| Cash Ratio | 0.03 | 0.03 | 0.02 | 0.01 | 0.04 | 0.09 | 0.11 | 0.07 | 0.09 | 0.08 | 0.20 |
| Asset Turnover | — | 0.17 | 0.14 | 0.13 | 0.16 | 0.14 | 0.13 | 0.15 | 0.18 | 0.19 | 0.13 |
| Inventory Turnover | 2.83 | 2.83 | 2.66 | 3.34 | 3.85 | 4.02 | 2.98 | 4.87 | 5.06 | 4.55 | 13.66 |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 5.3% | 4.3% | 8.3% | 7.5% | 8.9% | 3.3% | 2.9% | 2.8% | 3.4% | 3.2% | 3.8% |
| Payout Ratio | 113.3% | 113.3% | — | 1145.2% | — | 114.9% | 34.1% | 37.9% | 85.4% | 88.5% | 90.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.6% | 3.7% | — | 0.5% | — | 2.8% | 8.3% | 7.5% | 4.0% | 3.3% | 3.9% |
| FCF Yield | 46.5% | 37.8% | — | — | — | — | — | — | — | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.3% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 5.3% | 4.3% | 8.3% | 7.9% | 8.9% | 3.3% | 2.9% | 2.8% | 3.4% | 3.2% | 3.8% |
| Shares Outstanding | — | $772M | $732M | $691M | $629M | $629M | $564M | $500M | $466M | $386M | $274M |
Includes 30+ ratios · 29 years · Updated daily
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Quick answers to the most common questions about buying AQN stock.
Algonquin Power & Utilities Corp.'s current P/E ratio is 21.8x. The historical average is 33.8x. This places it at the 21th percentile of its historical range.
Algonquin Power & Utilities Corp.'s current EV/EBITDA is 11.2x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.8x.
Algonquin Power & Utilities Corp.'s return on equity (ROE) is 3.2%. The historical average is 3.8%.
Based on historical data, Algonquin Power & Utilities Corp. is trading at a P/E of 21.8x. This is at the 21th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Algonquin Power & Utilities Corp.'s current dividend yield is 5.28% with a payout ratio of 113.3%.
Algonquin Power & Utilities Corp. has 73.7% gross margin and 21.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Algonquin Power & Utilities Corp.'s Debt/EBITDA ratio is 7.1x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
High leverage and regulatory lag
Valuation Discount Reflects Strategic Pivot
AQN trades at 25.6x trailing earnings but 16.7x forward, per current data, with a 4.5% dividend yield, suggesting the market is pricing in a recovery as the company pivots to pure-play regulated utility.
The forward P/E of 16.7x is below the peer average of roughly 19x, indicating the market is applying a discount due to execution risk around asset sales and deleveraging. The 4.5% dividend yield is attractive relative to the 10-year Treasury, but the sustainability of the payout is questionable given thin coverage. The P/B of 0.90x suggests the market values the asset base below book, reflecting skepticism about the quality of earnings and the regulatory environment.
Earned ROE Trails Authorized Levels
Reported ROE of 0.1% in Q2 2026, per the latest quarterly data, is far below typical authorized returns of 9-10%, indicating significant regulatory lag and cost pressures that are eroding shareholder returns.
The gap between earned and allowed ROE suggests that rate cases have not kept pace with rising costs and interest expenses. The 0.1% ROE in Q2 2026 is a stark contrast to the 1.7% in Q1 2026, highlighting volatility and the impact of non-recurring items. Investors should monitor whether the strategic shift to regulated utilities will improve cost recovery and narrow this gap, but the current trajectory suggests continued under-earning.
Operating Margin Compression Signals Recovery Risk
Operating margin fell to 15.4% in Q2 2026 from 22.8% in Q1 2026, per financial statements, indicating that cost recovery mechanisms are not fully offsetting rising O&M and interest costs, pressuring profitability.
The volatility in operating margin, ranging from 12.3% to 25.8% over the past year, suggests that the company's cost structure is sensitive to regulatory timing and fuel pass-through adjustments. The high gross margin of 73.7% masks the fact that non-fuel costs are compressing operating income. If the company cannot achieve timely rate relief, margins may remain under pressure, undermining the earnings recovery narrative.
Leverage Creeps Higher as Equity Shrinks
Debt-to-capital rose to 0.57 in Q2 2026, per the balance sheet data, while equity declined to $4.6B, indicating a strained capital structure that may limit financial flexibility and increase refinancing risk.
The debt-to-capital ratio has been steadily climbing from 0.52 in Q4 2024 to 0.57 in Q2 2026, while interest coverage fell to 0.92x in Q2 2026, per the ratio data, suggesting that operating income is barely sufficient to cover interest expenses. The reported debt-to-equity of 1.30% appears to be a data discrepancy, as the actual leverage is much higher. This elevated leverage, combined with a current ratio of 0.88, indicates tight liquidity and a heavy reliance on external financing to fund the capital program.
Dividend Coverage Thin and Vulnerable
Dividend payout spiked to 129.8% in Q3 2025 and 57.2% in Q1 2026, per the ratio data, indicating that earnings are not consistently covering the dividend, raising questions about its sustainability.
The dividend yield of 4.5% is attractive, but the payout ratio has been erratic, with some quarters showing negative earnings and others showing payouts above 100%. The cash flow analysis indicates that operating cash flow averaged only 2.4x dividend coverage over the last four quarters, which is thin for a utility. If the company proceeds with asset sales, it may free up cash, but the current trajectory suggests the dividend is at risk if earnings do not improve.
Misapplied P/E Obscures Regulatory Reality
Comparing AQN's P/E to industrial companies is misleading, as utilities are bond proxies; instead, investors should focus on the earned ROE relative to authorized levels and the sustainability of the dividend yield.
The P/E ratio for a utility is anchored to the allowed ROE and interest rates, not growth expectations. AQN's trailing P/E of 25.6x is elevated due to depressed earnings, but the forward P/E of 16.7x is more indicative of normalized earnings. The most commonly misapplied metric is the standard debt-to-equity ratio, which ignores the regulatory capital structure and the use of power purchase agreements. Investors should use FFO interest coverage and debt-to-capital to assess leverage, and compare earned ROE to the authorized ROE to gauge regulatory constructiveness.