Arlington, Virginia-based The AES Corporation (AES) operates as a diversified power generation and utility company. With a market cap of $10.3 billion, the company acquires, develops, owns, and operates renewable energy power plants. The clean energy giant is expected to announce its fiscal first-quarter earnings for 2026 in the near term.
Ahead of the event, analysts expect AES to report a profit of $0.50 per share on a diluted basis, up 85.2% from $0.27 per share in the year-ago quarter. The company beat the consensus estimates in two of the last four quarters while missing the forecast on two other occasions.
For the full year, analysts expect AES to report EPS of $2.29, down 2.1% from $2.34 in fiscal 2025. However, its EPS is expected to rise 3.9% year over year to $2.38 in fiscal 2027.
AES stock has outperformed the S&P 500 Index’s ($SPX) 34.6% gains over the past 52 weeks, with shares up 42.2% during this period. Similarly, it outperformed the State Street Utilities Select Sector SPDR ETF’s (XLU) 17.7% gains over the same time frame.
AES outperformed as investor confidence was supported by strong renewables momentum, highlighted by 2.9 GW of capacity completed year-to-date, 2.2 GW of new power purchase agreements signed, and a robust 11.1 GW backlog with 5 GW under construction.
On Mar. 6, AES shares closed down marginally after reporting its Q4 results. Its adjusted EPS of $0.81 exceeded Wall Street expectations of $0.62. The company’s revenue was $3.1 billion, missing Wall Street forecasts of $3.5 billion.
Analysts’ consensus opinion on AES stock is cautious, with a “Hold” rating from all the nine analysts covering it. AES’ average analyst price target is $15, indicating a potential upside of 3.6% from the current levels.
