Long-Term Investors Should Consider Buying the Dips in The AES Corporation [AES] Stock

In a recent bid The AES Corporation [AES] faced a contemporary bid of $21.19 yielding a 2.86% incline where 4.63 million shares have exchanged hands over the last week. AES amount got a boost by 1.53% or $0.32 versus $20.87 at the end of the prior session. This change led market cap to move at 14.15B, putting the price 161.28% below the 52-week high and -5.06% above the 52-week low. The company’s stock has a normal trading capacity of 4.63 million shares while the relative volume is 0.85.

On 7, December 2020, AES Announces 5% Increase in Quarterly Dividend. According to news published on Yahoo Finance, The Board of Directors of The AES Corporation (NYSE: AES) approved an increase of 5% in the Company’s quarterly common stock dividend, from $0.1433 per share to $0.1505 per share, beginning in the first quarter of 2021.

Analyst Birdseye View:

The most recent analyst activity for The AES Corporation [NYSE:AES] stock was on April 02, 2020, when it was Upgrade with an Outperform rating from RBC Capital Mkts, which also lowered its 12-month price target on the stock from $22 to $18. Before that, on May 20, 2020, Seaport Global Securities Recapitulated a Buy rating and elevated its amount target to $17. On March 30, 2020, BofA/Merrill Upgrade a Buy rating and boosted its price target on this stock to $15. On March 23, 2020, Morgan Stanley Upgrade an Overweight rating and decreased its price target from $19 to $16.50. On March 16, 2020, UBS Upgrade a Buy rating and decreased its price target to $16. On June 20, 2019, BofA/Merrill Upgrade a Neutral rating. On May 22, 2019, Argus Upgrade a Buy rating. BofA/Merrill elevated its amount target by recapitulating a higher weight for this stock.

In the past 52 weeks of trading, this stock has oscillated between a low of $8.11 and a peak of $22.32. Right now, according to Wall Street analyst the average 12-month amount target is $22.69. At the most recent market close, shares of The AES Corporation [NYSE:AES] were valued at $21.19. According to the average price forecast, investors can expect a potential return of 1.35%.

FUNDAMENTAL ANALYSIS

The AES Corporation [NYSE:AES] most recently reported quarterly sales of 2.54 billion, which represented growth of -3.00%. This company’s Gross Margin is currently 24.60%, its Operating Margin is 10.60%, its Pretax Margin is +9.82, and its Net Margin is +2.96. Continuing to look at profitability, this corporation’s Return on Assets, Equity, Whole Principal & invested Principal is sitting at 0.91, 7.58, 8.28 and 1.37 respectively.

The Principal structure of this organization shows its whole liability to whole principal at 84.04 and the whole liability to whole assets at 60.78. It shows enduring liability to the whole principal at 76.30 and enduring liability to assets at 0.55 while looking for an extended time period.

Readers are usually of view to make a close observation to the indicators that support and make resistance before moving to any particular stock. As of now, the company’s stock is sitting at 20.85 points at 1st support level, the second support level is making up to 20.51. But as of 1st resistance point, this stock is sitting at 21.44 and at 21.68 for 2nd resistance point.

The AES Corporation [AES] reported its earnings at $0.42 per share in the fiscal quarter closing of 9/29/2020. The Analysts for Wall Street were expecting to report its earnings at $0.43/share signifying the difference of -0.01 and -2.30% surprise value. Comparing the previous quarter ending of 6/29/2020, the stated earnings were $0.25 calling estimates for $0.23/share with the difference of 0.02 depicting the surprise of 8.70%.

Important Ratio’s To Watch

Meanwhile, turning our focus to liquidity, the Current Ratio for The AES Corporation [NYSE:AES] is 1.00. Likewise, the Quick ratio is also the same, showing Cash ratio at 0.35. Now if looking for a valuation of this stock’s amount to sales ratio it’s 1.30 and it’s amount to book ratio is 4.41.

Insider Stories

The most recent insider trade was by UBBEN JEFFREY W, Director, and it was the purchase of 0.5 million shares on Jun 11. UBBEN JEFFREY W, the Director, completed a purchase of 0.5 million shares on May 15. On Mar 20, Khanna Tarun, Director, completed a purchase of 4300.0 shares.