Algonquin Power & Utilities (NYSE:AQN) Issues Quarterly Earnings Results

Algonquin Power & Utilities (NYSE:AQN) issued its earnings results on Friday. The utilities provider reported $0.04 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.05 by ($0.01), Zacks reports. Algonquin Power & Utilities had a return on equity of 5.21% and a net margin of 6.62%.During the same quarter in the prior year, the firm earned $0.04 EPS. Algonquin Power & Utilities updated its FY 2027 guidance to 0.380-0.420 EPS and its FY 2026 guidance to 0.350-0.370 EPS.

Here are the key takeaways from Algonquin Power & Utilities’ conference call:

• Regulatory progress continued: Missouri approved approximately $97 million in annualized revenue adjustments, while Kansas approved an $8.8 million settlement and California’s WEMA proceeding authorized $58.1 million of wildfire-cost recovery. Several additional rate cases were filed, although some key decisions remain pending.
• 2026 earnings guidance was maintained. Second-quarter adjusted EPS was CAD 0.004, flat year over year, while year-to-date adjusted EPS declined to CAD 0.17 from CAD 0.19; management said results would have been slightly higher absent non-recurring favorable items in 2025.
• U.S. re-domiciliation is targeted for completion after a shareholder vote in the first half of 2027. Management expects the move to reduce cross-border tax costs, improve capital-market access, and potentially support U.S. index inclusion, with estimated recurring tax benefits of roughly CAD 0.02–0.03 per share once fully effective. One-time tax and transaction costs remain uncertain.
• Algonquin said it does not expect to issue equity through 2027 and maintained its investment-grade ratings. However, trailing FFO-to-debt fell to 11.9% from 12.9%, leaving a narrower cushion above S&P’s 11% downgrade threshold.
• The company received approval for CWIP treatment for a planned 250-megawatt Missouri gas-generation project and is preparing a large-load tariff that could facilitate future data-center or other industrial demand. Management described Missouri as an area of interest but disclosed no specific customer pipeline or load commitments.

Algonquin Power & Utilities Stock Down 0.3%

Algonquin Power & Utilities stock traded down $0.01 during trading hours on Friday, reaching $5.74. The stock had a trading volume of 5,635,876 shares, compared to its average volume of 3,518,964. The company has a market cap of $4.41 billion, a price-to-earnings ratio of 26.07 and a beta of 0.70. The business’s 50 day moving average price is $5.85 and its 200-day moving average price is $6.18. Algonquin Power & Utilities has a 52 week low of $5.32 and a 52 week high of $7.11. The company has a debt-to-equity ratio of 1.26, a current ratio of 1.05 and a quick ratio of 0.87.

Algonquin Power & Utilities Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 15th. Shareholders of record on Tuesday, September 29th will be issued a $0.065 dividend. The ex-dividend date is Tuesday, September 29th. This represents a $0.26 dividend on an annualized basis and a yield of 4.5%. Algonquin Power & Utilities’s payout ratio is currently 118.18%.

Key Algonquin Power & Utilities News

Here are the key news stories impacting Algonquin Power & Utilities this week:

• Positive Sentiment: Algonquin reported progress in regulatory proceedings in Missouri, California and Kansas, potentially improving visibility around future utility operations and rate recovery. Algonquin Power & Utilities Corp. Reports Second Quarter 2026 Financial Results
• Positive Sentiment: The board declared a quarterly common-share dividend of US$0.065 per share, payable October 15 to shareholders of record September 29. The continued payout may support the stock’s income-oriented appeal. Algonquin Declares Third Quarter 2026 Dividend
• Neutral Sentiment: Management set fiscal 2026 EPS guidance at $0.35-$0.37 and fiscal 2027 guidance at $0.38-$0.42. The ranges bracket consensus estimates of $0.36 and $0.40, respectively, suggesting expectations were broadly maintained rather than materially raised or lowered.
• Negative Sentiment: Second-quarter adjusted earnings were $0.04 per share, below the $0.05 analyst consensus and unchanged from the prior-year quarter. Reported net earnings were $4.9 million, or $0.01 per share, while adjusted net earnings totaled $29.2 million, or $0.04 per share. The earnings and revenue shortfall weighed on sentiment. Algonquin Power & Utilities Misses Q2 Earnings and Revenue Estimates

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the company. Invesco Ltd. grew its position in shares of Algonquin Power & Utilities by 0.4% in the 4th quarter. Invesco Ltd. now owns 3,053,534 shares of the utilities provider’s stock worth $18,779,000 after buying an additional 13,603 shares during the last quarter. Vident Advisory LLC boosted its stake in Algonquin Power & Utilities by 9.6% in the fourth quarter. Vident Advisory LLC now owns 31,199 shares of the utilities provider’s stock valued at $192,000 after acquiring an additional 2,736 shares in the last quarter. Mackenzie Financial Corp boosted its stake in Algonquin Power & Utilities by 40.6% in the fourth quarter. Mackenzie Financial Corp now owns 885,632 shares of the utilities provider’s stock valued at $5,479,000 after acquiring an additional 255,549 shares in the last quarter. NewEdge Advisors LLC purchased a new position in Algonquin Power & Utilities in the fourth quarter worth $47,000. Finally, Empowered Funds LLC purchased a new position in Algonquin Power & Utilities in the fourth quarter worth $1,817,000. Hedge funds and other institutional investors own 62.28% of the company’s stock.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on AQN shares. Canadian Imperial Bank of Commerce upped their price target on shares of Algonquin Power & Utilities from $6.25 to $6.50 and gave the stock a “neutral” rating in a research report on Monday, April 20th. Wells Fargo & Company initiated coverage on shares of Algonquin Power & Utilities in a report on Tuesday, May 12th. They set an “equal weight” rating and a $7.00 price objective on the stock. National Bank Financial reduced their price objective on shares of Algonquin Power & Utilities from $7.25 to $7.00 and set an “outperform” rating for the company in a research note on Friday, July 3rd. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Algonquin Power & Utilities in a report on Friday, July 17th. Six analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to MarketBeat, Algonquin Power & Utilities has a consensus rating of “Moderate Buy” and an average target price of $6.81.

Algonquin Power & Utilities Company Profile

Algonquin Power & Utilities Corp (NYSE: AQN) is a diversified generation, transmission and distribution utility company headquartered in Oakville, Ontario. Established in 1988, the firm operates through two primary business segments: Regulated Utilities and Renewable Energy. Its Regulated Utilities segment comprises electric, natural gas and water distribution networks serving residential, commercial and industrial customers across North America, while its Renewable Energy portfolio includes hydroelectric, solar, wind and thermal generation facilities.

The company’s renewable energy assets span multiple jurisdictions in Canada and the United States, reflecting its strategy to expand clean power capacity in regions with supportive regulatory frameworks.