Algonquin Power & Utilities Corp (AQN.TO)

Company is committed to the dividend, but it's an unexciting 5.6%. Valuation is 13.4x PE. He's modelling negative 8% EPS growth. Doesn't love it here, though it will be fine over time. Better places to put money. See his Top Picks.

They sold their position earlier this year. It continues to have some debt issues from an acquisition. It is spinning off its renewables which make up the high growth side and the CEO is leaving. It pays a 6% dividend but there have been too many mis-steps.

The sector is fairly interest-rate sensitive, so it's sold off. One of his preferences in the sector, and it all has to do with a good growth outlook. 

He used to own it. The stock is trying to base. If it breaks out, it might return to old support around $16.

No. It's probably bottoming here. Difficult to see much upside. Activists want divestitures, keeping it as a pure regulated utility. Very uncertain whether assets can fetch good prices. Renewable multiples have come down dramatically. Put your money elsewhere.

He added shares on their downturn some months ago. The good thing with utilities are their regulated rate of return--this is essential to remember. Renewables have suffered cost increases and performance problems, but it's mostly been a sentiment-driven thing. Once confidence returns, AQN will be a higher stock.

Legacy assets with utilities hard to replace.
New hedge fund activist pushing for disposal of renewables.
Owns shares in business.
Good for long term investors. 

It cut its dividend and the price dropped substantially, Also it had some hydro generation problems and debt issues. It is now one of the biggest renewables and is well run with good assets. It will take a while to return to the previous highs.

Trades at a reasonable 14x but has no growth now. They're looking at spinning out their renewable business then reaccelerate growth. Too uncertain. Altagas has 14% growth and trades around 11x and pays a similar dividend. Safer than AQN.

Utilities business generally safe business.
Management problems weighing on performance of company.
Too much debt for company of its size.
Good long term investment if willing to hold.
Unsure on future of dividend sustainability. 

She used to own it. They've had floating rate debt problems, shares plunged last year, and they cut their dividend by 40%. Probably good that they didn't buy a company recently, but that may deter their long-term growth. Activist shareholders are now involved. She suffered a sharp decline when she sold. She buys utilities for income, but rising dividends and AQN can't do that for the next few years.

It has a good short term trend and a good dividend. You could buy a starter position - anywhere above $9 to $10 is well supported.

Hold. They cut the dividend in January. A good name that he's owned on and off. The dividend has historically improved and still pays 5%. It is slowing regaining investor trust that was lost in January. These stocks do well during weakness in crude oil.

There's little more upside short-term. No one liked the Kentucky Power deal, so glad it died. There's not much downside here, but there's also not much to entice him to buy it. Boralex and Northland Power, in contrast, offer better growth and balance sheets.

She sold. Dividend cut by 40%. Kentucky Power deal collapse took away that growth opportunity. Reassessing renewable power strategy. Selling assets squashes growth. She'd bought it as an income stock with earnings ability to increase dividend annually, but balance sheet still quite stretched.