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AES Stock Risk & Deep Value Analysis

AES Corp

Utilities โ€ข Utilities - Diversified

DVR Score

2.0

out of 10

Risk Trap

The Bottom Line on AES

We analyzed AES Corp using our deep value framework. Sign in to see our full verdict and DVR Score.

We ran AES through our deep value framework โ€” analyzing financial health, distress signals, competitive moat, and risk factors. Here's what we found.

Updated Mar 18, 2026โ€ขRun Fresh Analysis โ†’

๐Ÿ“ˆAES Performance Overview3yr weekly

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Weekly adjusted close ยท Quarterly revenue & EPS ยท DVR score history

AES Stock Risk Analysis

Overall Risk

Moderate

Financial Risk

Medium

Market Risk

Medium

About AES Corp (AES)

Sector

Utilities

Industry

Utilities - Diversified

Market Cap Category

large

Market Cap

$10.30B

AES Deep Value Analysis

AES Corp remains a robust global utility steadfastly executing its clean energy transition strategy. It operates in an essential, regulated market, benefiting from significant regulatory moats and a clear vision for renewable energy and storage expansion. While a stable long-term investment offering incremental growth and income, its fundamental business model as a capital-intensive utility inherently limits the hyper-scalability and disruptive potential necessary for a 10x return within a 3-5 year timeframe. The company lacks the early-stage dynamics or significant re-rating catalysts typically associated with multi-bagger candidates. No material changes have occurred since the last analysis on 2026-02-25 to justify a significant score adjustment, thus the score remains consistent at 20/100 for 10x potential.

AES Red Flags & Warning Signs

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    Sustained high interest rates impacting capital costs and project economics

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    Unexpected regulatory changes or policy shifts affecting tariffs or project returns

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    Project construction delays or cost overruns for large-scale developments

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    Increased competition in specific renewable development markets

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AES Financial Health Metrics

Market Cap

$10.30B

P/E Ratio

11.12

AES Competitive Moat Analysis

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Moat Rating

Narrow

Moat Trend

Stable

Moat Sources

3 Identified

Efficient ScaleIntangible Assets (regulatory licenses, long-term PPA contracts)Cost Advantages (through scale and project expertise in renewable development)

The moat is durable due to the high capital intensity and regulatory barriers to entry in the utility sector. Long-term, take-or-pay contracts for renewable energy also provide revenue stability and predictability.

AES Competitive Moat Analysis

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AES Catalysts & Growth Drivers

Near-Term (0-6 months)

  • โ€ขQ1 2026 Earnings Report (estimated early May 2026)
  • โ€ขNew renewable project commissioning announcements
  • โ€ขUpdates on key regulatory approvals for infrastructure projects

Medium-Term (6-18 months)

  • โ€ขMajor Power Purchase Agreement (PPA) signings for new capacity
  • โ€ขAdvancement of strategic partnerships in battery storage or grid modernization
  • โ€ขSuccessful execution of planned asset sales to de-risk balance sheet

Long-Term (18+ months)

  • โ€ขAccelerated global energy transition driving sustained demand for clean energy assets
  • โ€ขTechnological advancements in grid flexibility and energy storage integration
  • โ€ขSustained favorable regulatory frameworks for renewable energy development

Catalysts & Growth Drivers

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AES Bull Case: What Could Go Right

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    Interest rate trends and their impact on debt financing costs and project viability

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    Regulatory decisions on new renewable projects and allowed returns on investment

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    Pace of new renewable capacity additions and the expansion of the project backlog

Bull Case Analysis

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FAQ

What is the DVR Score for AES Corp (AES)?

As of March 18, 2026, AES Corp has a DVR Score of 2.0 out of 10, placing it in the "Risk Trap" category. This score is generated by our AI-powered deep value analysis framework that evaluates growth potential, financial health, competitive moat, and risk factors.

What is the market capitalization of AES Corp?

AES Corp's market capitalization is approximately $10.3B. The company operates in the Utilities sector within the Utilities - Diversified industry.

What ticker symbol does AES Corp use?

AES is the ticker symbol for AES Corp. The company trades on the NYQ.

What is the risk level for AES stock?

Our analysis rates AES Corp's overall risk as Moderate. This assessment considers execution risk, market risk, financial risk, competitive risk, and regulatory risk. For a full breakdown, see the risk analysis section above.

What is the P/E ratio of AES?

AES Corp currently has a price-to-earnings (P/E) ratio of 11.1. This is below the market average, which could indicate the stock is undervalued or facing headwinds.

Does AES Corp pay a dividend?

Yes, AES Corp pays a dividend with a current yield of approximately 486.00%.

How often is the AES DVR analysis updated?

Our AI-powered analysis of AES Corp is refreshed regularly to incorporate the latest financial data, market conditions, and news. The most recent update was on March 18, 2026.

Important Disclaimer โ€“ Not Financial Advice

Deep Value Reports is an independent research platform for educational and informational purposes only. We are not financial advisors, investment advisors, or licensed professionals. The analysis, scores, and information provided should not be construed as personalized investment advice, a recommendation to buy or sell any security, or an offer to provide investment advisory services.

All investments involve risk, including the potential loss of principal. Past performance does not guarantee future results. Always conduct your own research and consult with a qualified financial advisor.