Algonquin Power & Utilities (STU:751) ROE %: 7.46% (As of Mar. 2026) — 33% Above Median


STU:751 Algonquin Power & Utilities Corp STU:751
49 GF Score
Price €5.20
GF Value €4.93
Valuation Fairly Valued
! 7 Warning Signs
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What is Algonquin Power & Utilities ROE %?

Algonquin Power & Utilities STU:751 -1.03% 49 ROE % is 7.46% as of Mar. 2026, which is 33% above its 10-year median of 5.61. GuruFocus rates STU:751 with a GF Score™ of 49/100 and a GF Value™ of €4.93 (Fairly Valued). The stock has 7 warning signs investors should review. Among 505 Utilities - Regulated companies, Algonquin Power & Utilities ranks worse than 77.43% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Algonquin Power & Utilities's annualized net income for the quarter that ended in Mar. 2026 was €298 Mil. Algonquin Power & Utilities's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was €3,996 Mil. Therefore, Algonquin Power & Utilities's annualized ROE % for the quarter that ended in Mar. 2026 was 7.46%.

The historical rank and industry rank for Algonquin Power & Utilities's ROE % or its related term are showing as below:

STU:751' s ROE % Range Over the Past 10 Years
Min: -29.21   Med: 5.61   Max: 17.03
Current: 3.62

During the past 13 years, Algonquin Power & Utilities's highest ROE % was 17.03%. The lowest was -29.21%. And the median was 5.61%.

STU:751's ROE % is ranked worse than
77.43% of 505 companies
in the Utilities - Regulated industry
Industry Median: 8.62 vs STU:751: 3.62

Algonquin Power & Utilities  (STU:751) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=298.252/3995.729
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(298.252 / 2741.704)*(2741.704 / 12112.739)*(12112.739 / 3995.729)
=Net Margin %*Asset Turnover*Equity Multiplier
=10.88 %*0.2263*3.0314
=ROA %*Equity Multiplier
=2.46 %*3.0314
=7.46 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=298.252/3995.729
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (298.252 / 333.544) * (333.544 / 625.568) * (625.568 / 2741.704) * (2741.704 / 12112.739) * (12112.739 / 3995.729)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8942 * 0.5332 * 22.82 % * 0.2263 * 3.0314
=7.46 %

Note: The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Algonquin Power & Utilities ROE % Related Terms


Algonquin Power & Utilities ROE % Historical Data

* Premium members only.

The historical data trend for Algonquin Power & Utilities's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Algonquin Power & Utilities ROE % Chart

Algonquin Power & Utilities Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.95 -3.96 0.55 -28.92 3.65

Algonquin Power & Utilities Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 8.10 1.99 3.31 1.81 7.46

STU:751 vs SRE, AES: ROE % Comparison

For the Utilities - Diversified subindustry, Algonquin Power & Utilities's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Algonquin Power & Utilities ROE % vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Algonquin Power & Utilities's ROE % distribution charts can be found below:

* The bar in red indicates where Algonquin Power & Utilities's ROE % falls into.


STU:751
49GF Score
Algonquin Power & Utilities Corp STU:751
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Algonquin Power & Utilities ROE % Calculation

Algonquin Power & Utilities's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=154.403/( (4496.045+3963.499)/ 2 )
=154.403/4229.772
=3.65 %

Algonquin Power & Utilities's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Dec. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=298.252/( (3963.499+4027.959)/ 2 )
=298.252/3995.729
=7.46 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2026) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 7.46% mean?
Algonquin Power & Utilities (STU:751) has a ROE % of 7.46% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Algonquin Power & Utilities and its competitors. This is 33% above median its historical median of 5.61. According to the industry distribution chart, Algonquin Power & Utilities ranks #391 out of 505 companies in the Utilities - Regulated industry, placing it in the top 77.4%.
Is Algonquin Power & Utilities' ROE % too high?
Algonquin Power & Utilities' current ROE % of 7.46% is 33% above median its 10-year median of 5.61. The Utilities - Regulated industry median ROE % is 8.62. Algonquin Power & Utilities' value of 7.46% is 13.5% below this industry median. Based on the distribution chart, Algonquin Power & Utilities ranks #391 out of 505 companies in the Utilities - Regulated industry, which is in the bottom quartile relative to peers. Overall, Algonquin Power & Utilities has a GF Score™ of 49/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Algonquin Power & Utilities' ROE % compare to SRE and AES?
According to the Utilities - Regulated industry distribution chart, Algonquin Power & Utilities ranks #391 out of 505 companies for ROE %. This places Algonquin Power & Utilities in the lower half of its industry. The industry median ROE % is 8.62. Algonquin Power & Utilities' value of 7.46% is 13.5% below this benchmark. While the company's 10-year median is 5.61 vs. the industry median of 8.62, Algonquin Power & Utilities has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for an Utilities - Regulated company?
The median ROE % among Utilities - Regulated companies is 8.62, based on 505 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Algonquin Power & Utilities's current ROE % of 7.46% is 13.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Algonquin Power & Utilities and its competitors. For the Utilities - Regulated industry, the median ROE % is 8.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Algonquin Power & Utilities's current ROE % is 7.46%, which is 33% above median its own 10-year median of 5.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Algonquin Power & Utilities stock overvalued right now?
Based on GuruFocus' analysis, Algonquin Power & Utilities (STU:751) is currently considered Fairly Valued. The stock's GF Value™ is €4.93, compared to a current price of €5.20 — trading 5.5% above its estimated fair value. The current ROE % is 7.46%, which is 33% above median its 10-year median of 5.61 and 13.5% below the Utilities - Regulated industry median of 8.62. Algonquin Power & Utilities' overall GF Score™ is 49/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Algonquin Power & Utilities (STU:751), the current ROE % is 7.46% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Algonquin Power & Utilities (STU:751) Overvalued in 2026?

Based on GuruFocus' analysis, Algonquin Power & Utilities stock appears to be overvalued. The current stock price of €5.20 is trading 5.5% above its estimated GF Value™ of €4.93. GuruFocus considers Algonquin Power & Utilities to be Fairly Valued.

Key valuation signals for STU:751:

  • ROE %: 7.46% (33% above median its 10-year median of 5.61)
  • GF Value™: €4.93 vs. price of €5.20 (5.5% above fair value)
  • GF Score™: 49/100 with 7 warning signs
  • Industry Position: 13.5% below the Utilities - Regulated median (#391 of 505)

No single metric tells the full story. See the STU:751 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Algonquin Power & Utilities Business Description

Address 354 Davis Road, Oakville, ON, CAN, L6J 2X1
Algonquin Power & Utilities Corp is a Canada-based diversified international generation, transmission, and distribution company. The company's operations are organized across two business units: the Regulated Services Group, which owns and operates a portfolio of regulated electric, water distribution, and wastewater collection, and natural gas utility systems and transmission operations in the United States, Canada, Bermuda, and Chile; and the Hydro Group, which consists of hydroelectric-generating facilities located in Canada. It generates the majority of its revenue from the Regulated Services Group segment.
49GF Score

Get the complete analysis for STU:751

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€5.20
Price
€4.93
GF Value