AES
The AES Corporation

The AES CorporationAES

Utilities · Utilities - Diversified
14.87USD
-0.13%
Nov 09, 2026
AES overview ready
Dispatchable Power and Renewable Storage for Large Commercial Loads
AES is a diversified power producer, renewable-plus-storage developer, and regulated utility operator.
Primary theme is lagging
Power / Grid is lagging (-16.9pp vs SPY over 21 sessions; 8 of 32 members ahead of SPY).
No clear price read
Longer-term context reads early trend, with a near-term setup of daily advance.
Fair valuation
The price broadly reflects how durable its demand is through a cycle, with upside and risk reasonably balanced.
Low free cash flow yield
Free cash flow yield is weak.
Primary risk
Regulatory and policy changes affecting utilities and power generation.
Market Nov 6Filing Sep 30Price action Nov 8Research Nov 1

Conviction Level

PriceAction8.9BusinessPerformance5.0BusinessQuality4.8Valuation3.5ThemeMomentum1.0Mixed — Revenue is growing at a steady pace (+16% year over year). Diluted EPS fell 15% year over year to $0.76. — From filed financial statements. Describes the recent trajectory of the business, not the stock. 20 of the 100 Conviction points.

Conviction uses Price Action, Business Performance, Business Quality, Valuation. Theme Momentum is research context, not an input.

Theme momentumPrimary theme · group context, not entry timing
Power / GridLagging
vs SPY
−16.9pp
Theme return
−21.9%
Beating SPY
8 of 32
21 sessions to Nov 6, 2026 · Theme Leadership V2
Price
Loading price history…

Price Action

No clear price read
Longer-term context reads early trend, with a near-term setup of daily advance.
EntryBreakout + retest

Price broke through the weekly SMA200, then retested it constructively and recovered — a fresh structural entry rather than a chase.

Key Financials

Market Cap
$10.6B
Avg Volume (60D)
9.2M
60 sessions
Revenue Growth YoY
-0.4%
FY2025 vs FY2024
Gross Margin
+21.3%
Trailing twelve months
Operating Margin
+19.9%
Trailing twelve months
Free Cash Flow Yield
-14.3%
Distance from 200DMA
+3.0%
P/E
5.9x
Market metrics as of Nov 6, 2026
Financial results for the period ended Sep 30, 2026
Filed balance-sheet data as of Sep 30, 2026

Business Performance

Mixed

Revenue is growing at a steady pace (+16% year over year). Diluted EPS fell 15% year over year to $0.76.

Latest reported: Q3 FY2026, ended Sep 30
Revenue growthGrowing
+16%
$3.87B in Q3 FY2026 · YoY
YoY growth, last 4 quarters
  1. +4.7%
  2. +8.7%
  3. +20%
  4. +16%
Earnings growthDeclining
-15%
Diluted EPS $0.76 vs $0.89 a year earlier · GAAP
Diluted EPS YoY (GAAP), last 4 quarters
  1. n/a
  2. +871%
  3. n/a
  4. -15%
Gross marginExpanding
25.4%
+3.4 pp YoY

Business Quality

4.8 / 10

How well the business earns on its assets, converts earnings to cash and funds itself — read from its SEC filings.

Fundamentals & Valuation

0 of the one valuation perspectives say fair; peers is the dissenting view.
The AES Corporation has a Fair valuation stance because the price broadly reflects how durable its demand is through a cycle, with upside and risk reasonably balanced.

Company Research

Thesis
AES is a diversified power producer, renewable-plus-storage developer, and regulated utility operator.
Opportunity
Moderate opportunity
Demand from large power users for firm, contracted electricity and capacity in constrained power markets.
Key risk
Regulatory and policy changes affecting utilities and power generation.

Economic classification

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Business & Markets

Utilities · Utilities - Diversified
What they do

The AES Corporation owns and operates a diversified fleet of power generation assets and utilities, providing electricity through renewable, conventional, and energy infrastructure segments. It develops and operates renewable-plus-storage projects and regulated utilities to serve various customer sectors.

How it earns

AES generates revenue primarily through long-term power sales contracts, utility tariffs, and energy infrastructure services.

Products & services
Power generation from renewables and conventional sources
Utility electricity distribution and transmission
Energy storage and infrastructure solutions
Customers & end markets
Utilities
Industrial users
Commercial and residential end-users
Governmental entities
Market position

AES is a leading independent power producer with a diversified generation portfolio and regulated utility operations.

Demand drivers
Medium cyclicality

Demand for electricity is relatively stable but influenced by economic activity and regulatory changes.

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