Stock fact sheet · data as of
Algonquin Power & Utilities Corp. (AQN): fair value, margin of safety and Wheel Score
Ticker symbol AQN · Utilities · Diversified Utilities · Canada · Blend Income
Is AQN undervalued?
At 5.64 (close of 5 Nov 2026), AQN trades 68% over the GLS average fair value of 3.35, with 1 of 7 models above the price. The stock earns none of the Wheel Score's Value points at this price. That is a statement about price against trailing fundamentals, not about the company's prospects - the Wall Street View and the Growth tab on the Quote page carry the forward numbers.
The 7 models disagree widely: GLS Growth gives 0.7736 while 10 Cap gives 5.75. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, neither cheapness nor growth clearly wins for AQN, so the nightly engine files it under Blend (value score 38, growth score 36, out of 100). It also carries the Income tag (Income = a dividend yield of 4% or more).
Nine valuation models for AQN
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | 5.11 | -9% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 4.44 | -21% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 1.45 | -74% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 0.7736 | -86% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 5.75 | +2% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | - | - | Eight years of compounded free cash flow: the price at which the business pays for itself; no value tonight |
| DDM | 3.80 | -33% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 2.14 | -62% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -10.22 | -281% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 5.88 | +4% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - AQN passes 5 of the nine Piotroski tests, which falls one point short of the "Piotroski 6 or more" Wheel Trade Filter. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 5.1 out of 10: a record that is solid on some of the four parts the score weighs (returns on capital, pricing power, lasting growth, balance sheet) and weaker on others.
Returns on capital are thin or negative - ROIC 1.6%, ROE 3.9%, ROA 1.3% - with debt at 1.41 times equity and negative free cash flow.
The dividend yield is high at 4.58% (payout ratio 142%) - a payout above 100% of earnings, which is not covered by profits. A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual. Revenue comes mainly from Regulated Electricity 52%, Regulated Gas 17%, Regulated Water 15% (quarter Q2 FY2023).
Institutional ownership scores 9/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 5 / 9 | ROIC | 1.6% |
|---|---|---|---|
| GLS Moat | 5.1 / 10 | ROE | 3.9% |
| Debt / equity | 1.41 | ROA | 1.3% |
| Free-cash-flow yield | -1.3% | Payout ratio | 142% |
| Institutions | 9 / 10 | Insiders · Congress | 5 · 5 / 10 |
Wheel Score 31: Weak
AQN scores 31 out of 100 on the Wheel Score, in the Weak band (under 50): it fails filter 1, options that actually trade - options too quiet (726 open interest, 58 a day); and filter 3, below fair value - trades 68% above our fair value; and filter 4, financially healthy - Piotroski 5/9 (under 6); and filter 5, can repay its debt - 10.2 years to repay its debt (over 6), and the parts are thin too - value weak, premium strong, moat fair, health fair, red flags fair, option trading weak, stability fair. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.
Implied volatility is 64% on the near-the-money contracts 20-60 days out - above the 60% top of the sweet spot. It still passes the 25-80% filter, but the Wheel Score rewards it less because volatility this high usually comes with a reason. Chain open interest is thin - 726 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 3.9M shares a day on a market cap of $4.3B, with a beta of 0.91; the Stability part of the Wheel Score rates that fair.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Fails | options too quiet (726 open interest, 58 a day) |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Fails | trades 68% above our fair value |
| 4 | Financially healthy | Fails | Piotroski 5/9 (under 6) |
| 5 | Can repay its debt | Fails | 10.2 years to repay its debt (over 6) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Weak | 68% above fair value | |
| Premium | Strong | implied volatility 64% | |
| Moat | Fair | moat 5.1/10 | |
| Health | Fair | Piotroski 5/9 | |
| Red Flags | Fair | Red Flags score 75/100 | |
| Option trading | Weak | 58 contracts a day, 726 open interest | |
| Stability | Fair | beta 0.91, $4.3B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
Algonquin Power & Utilities Corp. reports earnings on 6 Nov 2026 (before the open) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
No analyst upgrades or downgrades were recorded in the last 30 days.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Diversified Utilities
The 9 companies below are the closest to Algonquin Power & Utilities Corp. by market cap within the Diversified Utilities industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| BIPH Brookfield Infrastructure Finance ULC 5 % Notes 2021-24.05.81 Global | 15.25 | 18.88 | +19% | 21No options | $5.6B |
| AVA Avista Corporation | 40.17 | 39.98 | -0% | 23Weak | $3.4B |
| AES The AES Corporation | 14.90 | 42.67 | +65% | 55Fair | $10.6B |
| SREA Sempra | 18.82 | 25.40 | +26% | 34No options | $12.3B |
| BIP Brookfield Infrastructure Partners L.P. | 38.17 | 26.63 | -43% | 26Weak | $17.6B |
| UTL Unitil Corporation | 56.54 | 34.87 | -62% | 30Weak | $1.0B |
| AQNB Algonquin Power & Utilities Corp. | 25.57 | 15.25 | -68% | 21No options | $18.8B |
| SRE Sempra | 82.90 | 54.43 | -52% | 33Weak | $54.2B |
| TVC Tennessee Valley Authority | 23.88 | 18,707.36 | +100% | 31No options | $13M |
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Start free See the Sunday ScanQuestions about AQN
Is AQN undervalued right now?
No: at 5.64 the stock trades 68% above the GLS average fair value of 3.35 (data as of 5 Nov 2026), well beyond what trailing earnings, cash flow and book value support.
What is the Wheel Score of AQN and what does it mean?
AQN scores 31 out of 100 (Weak) - it fails Wheel Trade Filters 1, 3, 4, 5. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for AQN?
3.35 per share as of 5 Nov 2026 - the simple average of the 7 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Algonquin Power & Utilities Corp. report earnings next?
The next earnings report is due on 6 Nov 2026 (before the open), 1 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does AQN have listed options, and how liquid are they?
Yes. The nightly snapshot found 12 listed contracts with 726 open interest across all expiries and implied volatility of 64% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.