Atlantica Yield Stock Analysis, Valuation (NASDAQ:AY)

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$20.6 $0.23 (1.13%) AY stock closing price Aug 17, 2018 (Closing)

View the Atlantica Yield stock analysis video on Amigobulls. This is our analyst opinion covering the buy and sell arguments for AY stock.

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.

Atlantica Yield PLC Stock Rating 2.8/5

Amigobulls AY stock analysis relies on business fundamentals such as Atlantica Yield revenue growth, profits and return on equity measures from the latest quarter 2018 Q2 earnings. We compare Atlantica Yield valuation with its sector peers to gauge relative attractiveness of AY stock. Atlantica Yield stock rating encapsulates our opinion about the company based on the fundamentals.

Should you buy AY stock?

  • The TTM operating margin was good at 46.8 for Atlantica Yield.
  • The company has a healthy dividend yield of 5.79.
  • The company has a healthy free cash flow margin of 57.9.

Should you sell AY stock?

  • Over the last 12 months, Atlantica Yield had an average Net loss of -10.1%.
  • With a debt/equity ratio of 3.27, Atlantica Yield is highly leveraged in comparison to Utilities peers.
  • The AY stock currently trades at a PE of 55.1, which is expensive, compared to the sector average of 20.1.
  • The company has a negative Return on Invested Capital of -13, which is a red flag.
  • A negative ROE of -5.4 indicates that the company is not able to generate profits with the money shareholders have invested.

Comments on this video and Atlantica Yield stock

Amigobulls Atlantica Yield stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.

While doing a study of the company financials, Atlantica Yield revenue growth and profit or net income are two main metrics which help in identifying whether AY stock is overvalued or undervalued. Along with fundamentals, investors can utilize technical analysis to get a better idea about the price trend of Atlantica Yield stock.