
AES Stock: Analysts’ Recommendations and Target Price
By Vineet KulkarniNov. 20 2020, Updated 4:40 p.m. ET
Target price
According to Wall Street analysts’ estimates, AES (AES) stock has a mean target price of $12.84—compared to its current market price of $10.51. It implies an estimated gain of more than 22% going forward.
Among the nine Wall Street analysts tracking AES, four recommend the stock as a “buy,” while five recommend it as a “hold.” None of the Wall Street analysts rate the stock as a “sell” as of November 8, 2017.
Peers’ target prices
Outlook
AES is the most geographically diversified utility among its peers (XLU) in the US. Significant operations overseas expose AES to currency risk. Also, its large unregulated operations make its earnings relatively less stable, which can be seen in its stock price movement. AES stock has a beta of ~1.2. It’s higher than utilities’ (XLU) (IDU) average of below 0.5. The beta compares the volatility of a stock with the market. The higher-than-average beta indicates AES’s riskiness compared to peer utility stocks.
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