Algonquin Power & Utilities (NYSE:AQN) Trading Down 12.1% – Time to Sell?

Algonquin Power & Utilities Corp. (NYSE:AQN) dropped 12.1% during trading on Friday . The stock traded as low as $5.95 and last traded at $6.05. Approximately 3,823,417 shares traded hands during trading, a decline of 19% from the average daily volume of 4,749,201 shares. The stock had previously closed at $6.88.

Algonquin Power & Utilities News Summary

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

• Positive Sentiment: Q4 beat — Algonquin reported $0.06 EPS (beat consensus) and revenue of $630.7M, with revenue up ~7.8% year‑over‑year; adjusted metrics showed growth and operating efficiencies. This supports near‑term earnings credibility. Q4 Results Press Release/Report
• Positive Sentiment: FY‑2026 guidance topped consensus slightly — management set FY‑2026 EPS at $0.350–$0.370 versus consensus ~$0.34, which frames modest upside for the current year. Guidance Details
• Positive Sentiment: Dividends declared — board approved a common dividend of US$0.0650 (payable April 15) plus preferred share dividends (two preferred issues announced in CAD). This supports income investors and signals cash‑return focus. Dividend Announcement
• Neutral Sentiment: Earnings materials and presentation are available — the company posted the slide deck and earnings presentation (useful for detail on segment performance and assumptions). Earnings Presentation
• Neutral Sentiment: Analyst notes and preview coverage arrived ahead of the print — expectations were modest and some shops adjusted forecasts into the quarter. Useful for tracking changes in sell‑side sentiment. Analyst Recap
• Negative Sentiment: FY‑2027 guidance missed consensus — company set FY‑2027 EPS at $0.380–$0.420 versus street ~$0.44, which likely triggered investor disappointment about longer‑term earnings momentum. FY‑2027 Guidance
• Negative Sentiment: Profitability and leverage signals — the quarter shows a negative net margin and the company carries meaningful leverage (debt/equity), which increases sensitivity to rate and regulatory risks. These fundamentals can weigh on valuation until longer‑term guidance restores confidence. Full Results/Notes
• Negative Sentiment: Market reaction — the stock is trading down on heavy volume after the print, indicating the guidance miss and forward outlook dominated the modest beat. Monitor intraday volume and analyst updates for further downside or stabilization. Market Reaction

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on AQN shares. Janney Montgomery Scott set a $7.00 target price on shares of Algonquin Power & Utilities in a research note on Monday, November 10th. Scotiabank raised shares of Algonquin Power & Utilities from a “sector perform” rating to a “sector outperform” rating and set a $6.50 price target on the stock in a report on Tuesday, December 16th. Desjardins raised their price objective on shares of Algonquin Power & Utilities from $7.00 to $7.25 and gave the company a “buy” rating in a research report on Thursday, February 5th. National Bank Financial set a $7.50 price objective on shares of Algonquin Power & Utilities in a report on Wednesday, January 7th. Finally, Weiss Ratings lowered shares of Algonquin Power & Utilities from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Friday. Two research analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $6.67.

Algonquin Power & Utilities Stock Performance

The company has a debt-to-equity ratio of 1.26, a current ratio of 1.23 and a quick ratio of 0.98. The stock has a market cap of $4.72 billion, a PE ratio of 26.70 and a beta of 0.75. The business has a 50 day moving average price of $6.54 and a two-hundred day moving average price of $6.08.

Algonquin Power & Utilities (NYSE:AQN) last issued its earnings results on Friday, March 6th. The utilities provider reported $0.06 EPS for the quarter, topping the consensus estimate of $0.04 by $0.02. Algonquin Power & Utilities had a negative net margin of 1.11% and a positive return on equity of 5.14%. The company had revenue of $630.70 million for the quarter, compared to the consensus estimate of $625.77 million. During the same period in the previous year, the firm earned $0.06 earnings per share. The firm’s revenue for the quarter was up 7.8% on a year-over-year basis. Algonquin Power & Utilities has set its FY 2027 guidance at 0.380-0.420 EPS and its FY 2026 guidance at 0.350-0.370 EPS. As a group, equities research analysts forecast that Algonquin Power & Utilities Corp. will post 0.38 EPS for the current fiscal year.

Algonquin Power & Utilities Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 15th. Shareholders of record on Tuesday, March 31st will be given a $0.065 dividend. The ex-dividend date is Tuesday, March 31st. This represents a $0.26 dividend on an annualized basis and a dividend yield of 4.2%. Algonquin Power & Utilities’s payout ratio is presently -650.00%.

Institutional Trading of Algonquin Power & Utilities

A number of institutional investors have recently modified their holdings of AQN. EdgePoint Investment Group Inc. increased its holdings in Algonquin Power & Utilities by 32.6% during the 4th quarter. EdgePoint Investment Group Inc. now owns 81,727,385 shares of the utilities provider’s stock valued at $502,563,000 after purchasing an additional 20,074,709 shares during the period. Principal Financial Group Inc. purchased a new stake in Algonquin Power & Utilities in the 4th quarter worth approximately $74,263,000. Norges Bank purchased a new stake in Algonquin Power & Utilities in the 4th quarter worth approximately $67,065,000. Ariel Investments LLC grew its position in shares of Algonquin Power & Utilities by 88.6% in the 2nd quarter. Ariel Investments LLC now owns 13,112,831 shares of the utilities provider’s stock worth $75,137,000 after buying an additional 6,160,490 shares during the last quarter. Finally, Goldman Sachs Group Inc. increased its stake in shares of Algonquin Power & Utilities by 65.0% during the first quarter. Goldman Sachs Group Inc. now owns 12,205,756 shares of the utilities provider’s stock valued at $62,738,000 after buying an additional 4,808,539 shares during the period. 62.28% of the stock is currently owned by hedge funds and other institutional investors.

About Algonquin Power & Utilities

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.