The AES Corp. (NYSE:AES) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Tuesday.
According to Zacks, “AES Corp.’s third-quarter 2016 earnings and revenues missed the respective Zacks Consensus Estimate. Earnings also declined year over year. Revenues, however, inched up from the year-ago figure. That said, the company continues to face unfavorable economic conditions at its Brazilian SBUs. Moreover, commodity price volatility, stringent environmental regulations, and political and operational risks continue to pose as headwinds. On a brighter note, the company’s cash balance at the end of the quarter was higher than the 2015-end level. Also, AES Corp. continues to streamline its portfolio through asset divestments and by exiting markets and businesses where it does not have or cannot develop a competitive advantage.”
Other equities research analysts also recently issued reports about the stock. TheStreet downgraded shares of The AES Corp. from a “buy” rating to a “hold” rating in a report on Friday, August 5th. Barclays PLC downgraded shares of The AES Corp. from an “overweight” rating to an “equal weight” rating and lowered their price target for the stock from $14.00 to $12.00 in a report on Tuesday, October 4th. One research analyst has rated the stock with a sell rating, three have given a hold rating and one has assigned a buy rating to the stock. The company presently has an average rating of “Hold” and an average target price of $12.00.
Shares of The AES Corp. (NYSE:AES) traded up 2.56% during midday trading on Tuesday, reaching $11.63. 2,851,423 shares of the company traded hands. The stock’s market capitalization is $7.67 billion. The company’s 50 day moving average is $11.72 and its 200-day moving average is $11.96. The AES Corp. has a 12 month low of $8.22 and a 12 month high of $13.32.
The AES Corp. (NYSE:AES) last issued its quarterly earnings results on Friday, November 4th. The company reported $0.32 EPS for the quarter, missing analysts’ consensus estimates of $0.33 by $0.01. The firm had revenue of $209.90 billion for the quarter, compared to analysts’ expectations of $3.15 billion. The AES Corp. had a positive return on equity of 14.01% and a negative net margin of 1.95%. The business’s quarterly revenue was up .6% compared to the same quarter last year. During the same quarter last year, the firm earned $0.39 earnings per share. Equities research analysts forecast that The AES Corp. will post $0.99 earnings per share for the current fiscal year.
The company also recently declared a quarterly dividend, which was paid on Tuesday, November 15th. Stockholders of record on Tuesday, November 1st were issued a dividend of $0.11 per share. The ex-dividend date of this dividend was Friday, October 28th. This represents a $0.44 dividend on an annualized basis and a dividend yield of 3.78%. The AES Corp.’s dividend payout ratio (DPR) is presently -107.31%.
Several large investors have recently modified their holdings of the company. Sterling Capital Management LLC boosted its stake in The AES Corp. by 2.3% in the second quarter. Sterling Capital Management LLC now owns 42,898 shares of the company’s stock valued at $535,000 after buying an additional 955 shares in the last quarter. Fairfield Bush & CO. boosted its stake in The AES Corp. by 3.2% in the second quarter. Fairfield Bush & CO. now owns 45,640 shares of the company’s stock valued at $570,000 after buying an additional 1,400 shares in the last quarter. Invictus RG boosted its stake in The AES Corp. by 21.9% in the first quarter. Invictus RG now owns 11,906 shares of the company’s stock valued at $140,000 after buying an additional 2,140 shares in the last quarter. Tocqueville Asset Management L.P. boosted its stake in The AES Corp. by 20.4% in the third quarter. Tocqueville Asset Management L.P. now owns 12,841 shares of the company’s stock valued at $165,000 after buying an additional 2,176 shares in the last quarter. Finally, Nuveen Asset Management LLC boosted its stake in The AES Corp. by 1.9% in the second quarter. Nuveen Asset Management LLC now owns 211,740 shares of the company’s stock valued at $2,643,000 after buying an additional 4,049 shares in the last quarter. Institutional investors and hedge funds own 95.13% of the company’s stock.
About The AES Corp.
The AES Corporation is a holding company. The Company, through its subsidiaries and affiliates, operates a diversified portfolio of electricity generation and distribution businesses. The Company is organized into six strategic business units (SBUs): the United States; Andes; Brazil; Mexico, Central America and Caribbean (MCAC); Europe, and Asia.