Fundamental analysis · SEC EDGAR · TTM through 30/06/2026

Fundamental analysis of Aes Corp

AES · NYSE · Utilities

Fundamental quality

REASONABLE

68

out of 100

Aes Corp earns a fundamental-quality score of 68 out of 100, profiling it as a company of reasonable quality. Its score rests mainly on its growth (revenue +5.6%/yr). Its weakest area is its financial strength (FCF margin -13.2%). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

AES is a global power company in accelerated transformation: selling coal and international assets to focus on renewables contracted with big tech — it is one of the largest clean-energy suppliers to data centers — plus its regulated American utilities.

What will shape its future

  • Renewable contracts with tech giants, its growth backlog.
  • Debt and the cost of capital, every renewables developer's Achilles' heel.
  • Legacy asset sales (coal, international), the cleanup underway.

Breakdown by area

I.Growth
95

EPS growth: 93.3% · Revenue growth: 5.6%

II.Profitability
67

Net margin: 14.3% · ROE: 37.9% · ROIC: 69.5%

III.Financial health
32

FCF: -13.2%

Source: SEC EDGAR · TTM through 30/06/2026

The score includes +3 for dividend strength: 14 consecutive years of increases. Keeping that streak demands growing cash generation and balance-sheet discipline.

The score combines growth, profitability and financial strength. Here its growth weighs in its favor, while its financial strength drags it down the most.

Versus its sector

Percentile against the other 24 Utilities companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 58%
ROEbeats 96%
Growthbeats 25%
Cash generationbeats 19%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Aes Corp strengths

  • Growing earnings per share (93.3% annualized).
  • Outstanding return on equity (ROE of 37.9%): it puts shareholder capital to good use.
  • Expanding margins: net margin has risen from 0% to 7% in recent years.
  • Solid net margin (14.3%): the business is clearly profitable.

Aes Corp risks and weaknesses

  • Negative free cash flow: the business burns cash.
  • Erratic free cash flow, with several years in the red.

Aes Corp historical evolution

YearRevenueNet incomeFree cash flowNet debt
20209,66046855-1,089
202111,141-409-214-943
202212,617-546-1,836-1,374
202312,668249-4,690-1,426
202412,2781,679-4,640-1,524
202512,233910-1,623-1,382

Between 2020 and 2025, revenue went from $9,660M to $12,233M (+27%) and net income went from $46M to $910M (+1878%). Meanwhile, its margins have widened (from 0% to 7%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the half-year ended June 30, 2026, versus the half-year ended June 30, 2025 (SEC filings):

  • Revenue+14.2%

What changed with the June 30, 2026 results

Compared with the previous close (March 31, 2026), this is what moved in its accounts:

  • Quality score6668
  • Net margin10.8%14.3%
  • ROE30.6%37.9%
  • FCF margin-11.8%-13.2%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

$0.7

per share, yearly

55.1% of earnings

Payout

14 straight years raising it

Growth

The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →

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Is Aes Corp cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

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Frequently asked questions

Is Aes Corp a good company to invest in?

In terms of business quality, Aes Corp scores 68 out of 100 in our analysis, placing it as a company of reasonable quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Aes Corp a profitable company?

Yes. Aes Corp shows a net margin of 14.3% and an ROE of 37.9%, a sign of a profitable business.

Is Aes Corp growing?

Its revenue has grown 5.6% annualized in recent years and its earnings per share 93.3%.

Does Aes Corp generate cash?

Over the last twelve months its free cash flow was negative.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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