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Algonquin Power & Utilities

AQN-PA.TO
31
Diversified Utilities · Utilities
Price
C$25.90
+0.00 (+0.00%)
Market Cap
C$6.69B
Exchange
Toronto Stock Exchange
Winston Score
31
Winston is serious
Below-average fundamentals — multiple weak pillars.
Data as of Aug 23, 2026 · filings through Jun 30, 2026
How the score breaks down
Quality
Mixed
Growth
Weak
Cash Flow
Good
Stability
Mixed
Valuation
Good
Dividends
Good

Share count rising — dilution

+22.8% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 628.9M (2021) → 772.4M (2025)

Winston Score History

The full picture

Algonquin Power & Utilities Corp. is a Canadian company that provides electricity, natural gas, and water services to homes and businesses. It owns two main businesses: regulated utilities that deliver essential services to roughly 1.2 million customers across the United States and Canada, and a renewable energy division that generates power from wind, solar, and hydroelectric facilities. The company is one of North America's larger independent renewable energy producers.

Algonquin earns most of its money through regulated utility rates set by government agencies, which creates steady and predictable revenue. It also collects long-term contract payments from its renewable energy assets. The company operates primarily in the United States, with additional assets in Canada, Chile, and other countries. Its regulated utility business provides a degree of stability, but Algonquin carries a significant debt load, and rising interest rates have pressured its finances — making debt management and potential asset sales key factors to watch going forward.

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+3.1% YoY

YoY Growth Rate

Slow revenue growth

EPS Growth

-95.7% YoY

YoY Growth Rate

Earnings declining

R&D Spend

$0/ year

0.0% of revenue

Below sector average (1%)

Research and development spending

Insider Activity

0.1%ownership

Flat

Insider ownership roughly steady over the past year

Cash Position

Cash flow positive

$253M cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Growth context

Algonquin Power & Utilities is growing revenue at 3% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Profit per sale
Gross Margin
12.7%
Thin — 12.7% gross margin
Profit after running costs
Operating Margin
16.1%
Healthy — 16.1% operating margin
Return on the money invested
ROCE
4.6%
Weak — 4.6% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales growth
Sales YoY
+6.6%
Slow sales growth (+6.6% YoY)
Profit growth
EPS YoY
N/A
Data not available
How steady the profit is
EPS Consistency
3/8 quarters
Earnings rarely grow — volatile business

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Cash Flow

Profit that turns into cash
Cash Conversion
403%
Turns 403% of profit into real cash
Spare cash per sale
FCF Margin
-2.3%
Burning cash (-2.3%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

What it owes vs what it owns
Debt / Equity
1.44
Elevated debt (1.44)
Covers its interest
Interest Cover
1.68x
Dangerous — barely covers interest (1.7x)

Interest coverage between 1 and 3. Profits cover interest, but with little room to spare.

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Valuation

Price vs profit
P/E Ratio (TTM)
31.4x
Pricey — P/E 31.4

P/E above the market average. People are paying up for expected growth.

Cheaper or dearer next year
P/E vs Forward
+17.4
GROWING
Earnings expected to grow meaningfully — cheaper on forward P/E (31.4 → 13.9)

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Dividends

Dividend
Dividend Yield
6.35%
Healthy income — 6.35% yield

Yield above 6% — often a flag the market is pricing in a cut.

Dividend record
Dividend Growth
+0.0%
Dividend flat

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