Overall Fundamental outlook

Business Operations:

Sector: Utilities
Industry: Utilities - Diversified

The AES Corporation, together with its subsidiaries, operates as a power generation and utility company in the United States and internationally. The company owns and/or operates power plants to generate and sell power to customers, such as utilities, industrial users, and other intermediaries; owns and/or operates utilities to generate or purchase, distribute, transmit, and sell electricity to end-user customers in the residential, commercial, industrial, and governmental sectors; and generates and sells electricity on the wholesale market. It uses various fuels and technologies to generate electricity, such as coal, gas, hydro, wind, solar, and biomass, as well as renewables comprising energy storage and landfill gas. The company owns and/or operates a generation portfolio of approximately 32,109 megawatts and distributes power to 2.7 million customers. The company was formerly known as Applied Energy Services, Inc. and changed its name to The AES Corporation in April 2000. The AES Corporation was incorporated in 1981 and is headquartered in Arlington, Virginia.

Revenue projections:

Revenue projections for AES
Revenue projections for AES

Revenues for AES are forecasted to decline from last year's levels, prompting caution among investors. When revenues fall, it can have a significant negative impact on the company's bottom line, reducing profitability and making the stock less attractive to risk-averse investors.

Financial Ratios:

currentRatio 0.766000
forwardPE 6.061647
debtToEquity 259.393000
earningsGrowth -0.317000
revenueGrowth 0.047000
grossMargins 0.184010
operatingMargins 0.165750
trailingEps 1.310000
forwardEps 2.388790

The AES Corporation's high debt-to-equity ratio indicates that the company is using more debt than equity to fund its operations. This high leverage could expose the company to greater financial risk, especially during periods of declining profitability.
The AES Corporation's low growth in earnings and revenue indicates that profits could shrink. This signals potential financial difficulties for the company, suggesting that its profitability might be under pressure.
AES's negative gross and operating margins indicate that the company is unable to generate profit from its core business activities. This suggests financial strain and could be a sign of deeper cost management issues.
With a forward EPS greater than its trailing EPS, AES is expected to see higher profitability this year. The forecasted increase in earnings reflects optimism about the company's financial growth and potential for improved performance over the prior year.

Price projections:

Price projections for AES
Price projections for AES

AES's price projections have been steadily revised down, pointing to declining confidence in the company's outlook. This suggests that analysts are becoming more conservative in their expectations for AES's future performance.

Recommendation changes over time:

Recommendations trend for AES
Recommendations trend for AES


With analysts showing a buy bias for AES, investors may be more inclined to see the stock as an attractive investment. The favorable outlook could spur increased interest, positioning AES as a safe and profitable place for investors to allocate their funds and seek growth.