AES Stock Analysis, Valuation (NYSE:AES)

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$13.5 $0.12 (0.9%) AES stock closing price Aug 14, 2018 (Closing)

Watch the robo advisor video of AES stock analysis on Amigobulls. Our analyst opinion covering the buy and sell arguments for AES stock is shown in the video.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

AES Corp Stock Rating 2.8/5

Amigobulls AES stock analysis takes into account various financial ratios like relative valuation, AES revenue, growth and return on equity based on latest quarter 2018 Q2 financial statements. We also check AES dividend performance. We also use relative valuation metrics like PE ratio and price to sales ratio for AES valuation analysis. Our AES stock rating is based on company's fundamentals like balance sheet risk and cash flow position.

Should you buy AES stock?

  • The price to earnings multiple of 11.2 is attractive when compared with the sector average PE ratio of 19.6.
  • The lower PS ratio 0.8 for AES stock versus Utilities sector average of 2 is a positive for the company.

Should you sell AES stock?

  • AES sales shrank by -26.9% year-over-year in 2018-06.
  • The company saw an average annual sales decline of -8 in sales over the last 5 years.
  • AES registered an average TTM Net loss of -1.9%.
  • AES has a negative return on equity of -3.8. This indicates that the firm is inefficient at generating profits.

Comments on this video and AES stock

Amigobulls AES stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of AES stock. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.

Among the financials of the company, AES revenue growth along with the profit or net income give a clear picture of the financial health. Along with fundamentals, investors can utilize technical analysis to get a better idea about the price trend of AES stock.