AES is a global power company that operates in 15 countries. Its generation portfolio as of year-end 2024 totals over 32 gigawatts, including renewable energy (50%), gas (32%), coal (16%), and oil (2%). AES has majority ownership and operates six electric utilities distributing power to more than 2.5 million customers.
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The AES Corporation (NYSE: AES), based in Arlington, Virginia, is a global power company operating in 15 countries with a 32,326 MW portfolio, including coal, gas, hydro, wind, solar, and energy storage. Founded in 1981, it serves 2.7 million customers, focusing on renewables and utilities. In 2024, AES reported $12.28 billion in revenue (down 3.08%) and $1.68 billion in earnings (up 574.30%). It employs 9,600 and is recognized for clean energy innovation.
Undervaluation: AES trades at a price-to-earnings (P/E) ratio of approximately 7.4x, significantly below the renewable energy industry average of 23.4x, suggesting it may be undervalued.Renewable Energy Growth: AES is heavily investing in renewables, with a strong pipeline of solar and wind projects, aligning with global demand for clean energy. Its focus on energy storage (via Fluence) and partnerships with corporations for clean energy supply are positive growth drivers.
Dividend Yield: AES offers a 6.98% dividend yield, appealing for income-focused investors, with a history of consistent dividend growth.