Algonquin Power & Utilities Corp. (AQN) Stock AnalysisAQNAlgonquin Power & Utilities Corp.

Algonquin Power & Utilities Corp. is a diversified international generation, transmission, and distribution company. It is engaged in providing sustainable energy and water solutions through its portfolio of generation, transmission and distribution utility investments to customer connections, in the United States and Canada. Its operations are organized across two business units, consisting of: the Regulated Services Group, which primarily owns and operates a portfolio of regulated electric, water distribution and wastewater collection and natural gas utility systems and transmission operations in the United States, Canada, Bermuda and Chile; and the Hydro Group, which consists of hydroelectric generation facilities located in Canada that were not sold as part of the Renewables Sale. Additionally, the Company has a corporate function, the Corporate Group, consisting of corporate debt and corporate and shared services that support the Regulated Services Group and the Hydro Group. It operates in the Utilities sector (ELECTRIC SERVICES industry).

Algonquin Power & Utilities Corp is a good buy right now due to its current price of $5.11 being significantly below the analyst price targets of $6 and $7, indicating potential upside. The forward P/E ratio of 12.87 suggests the stock is undervalued relative to its earnings potential. However, the main risk is the recent decline in earnings, with Q2 2026 earnings reported at only $4.9 million, down from $14.8 million the previous year, indicating profitability pressure.