Atlantica Yield plc - Ordinary Shares (AY) Company Bio
Atlantica Yield plc owns a diversified portfolio of contracted renewable energy, power generation, electric transmission and water assets in North America, South America and certain markets in EMEA. The company was founded in 2013 and is based in Brentford, United Kingdom.
AY Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Atlantica Sustainable Infrastructure plc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Atlantica Sustainable Infrastructure plc ranked in the 81th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. As for the metrics that stood out in our discounted cash flow analysis of Atlantica Sustainable Infrastructure plc, consider:
In the past 5.02 years, Atlantica Sustainable Infrastructure plc has a compound free cash flow growth rate of 0.53%; that's higher than 79.77% of free cash flow generating stocks in the Utilities sector.
32% of the company's capital comes from equity, which is greater than just 15.41% of stocks in our cash flow based forecasting set.
The business' balance sheet suggests that 68% of the company's capital is sourced from debt; this is greater than 84.55% of the free cash flow producing stocks we're observing.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Atlantica Sustainable Infrastructure plc? See KEN, NRG, OGE, AT, and BIP.
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The oil industry is usually a pretty boring place to invest. Not lately, though. Oil prices have been swinging wildly for the past few weeks, but they haven't swung anywhere close to the $60/barrel they reached in February.
Morgan Stanley (NYSE:MS) analyst Stephen Byrd maintained a Hold rating on Atlantica Yield (NASDAQ:AY) plc on Friday, setting a price target of $28, which is approximately 18.59% above the present share price of $23.61.
U.S.-listed renewable energy yieldcos have fallen in and out fashion since they burst onto the markets early last decade. Where do they stand today as investors reassess the energy landscape in a post-coronavirus world? Leading yieldcos like NextEra Energy Partners, Terraform Power and Atlantica Yield all saw rapid rises in their share prices in late 2019 and early 2020. The surge came after years of lackluster performance that followed the initial yieldco boom and then bust of the mid-2010s. Yieldcos focus on the relatively low-risk business of operating wind farms, solar arrays and other clean-energy assets, and typically offer investors a generous dividend. The recent revived interest in yieldcos may have been driven by jitters over the outlook of other energy stocks, and particularl...
Atlantica Yield (NASDAQ: AY) is all about sustainability. The company focuses on operating a portfolio of sustainable infrastructure assets like renewable energy projects and water desalinization plants that generate durable cash flows backed by long-term contracts. While higher-yielding payouts like that often come with more risk, Atlantica aims to sustain its payout by keeping its leverage low so that it can continue expanding its portfolio.