Ameresco (NYSE:AMRC) Downgraded by Zacks Research to Strong Sell

Key Points

• Zacks Research downgraded Ameresco to “strong sell” from “hold,” although the broader analyst consensus remains “hold” with an average price target of $41.89.
• Ameresco shares opened at $20.90, near the lower end of their 52-week range of $18.38 to $44.59. The company met quarterly EPS expectations at $0.20 and reported revenue of $515.46 million, up 9.1% year over year.
• Company insiders purchased 75,025 shares worth nearly $1.8 million over the past 90 days, while institutional investors own 99.24% of Ameresco’s outstanding stock.

Ameresco (NYSE:AMRC - Get Free Report) was downgraded by investment analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a research note issued on Monday, Zacks reports.

AMRC has been the topic of several other reports. Weiss Ratings upgraded shares of Ameresco from a "sell (d)" rating to a "sell (d+)" rating in a research report on Wednesday, August 5th. Cantor Fitzgerald reduced their target price on Ameresco from $44.00 to $36.00 and set an "overweight" rating for the company in a report on Thursday, August 27th. BNP Paribas Exane raised Ameresco from a "neutral" rating to an "outperform" rating and raised their target price for the stock from $34.00 to $40.00 in a research report on Tuesday, August 4th. Robert W. Baird reiterated a "neutral" rating and set a $32.00 price target (down from $36.00) on shares of Ameresco in a report on Tuesday, August 18th. Finally, Oppenheimer reiterated a "market perform" rating on shares of Ameresco in a report on Tuesday, August 4th. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Hold" and an average price target of $41.89.

Ameresco Stock Performance

Shares of AMRC opened at $20.90 on Monday. Ameresco has a one year low of $18.38 and a one year high of $44.59. The company has a 50-day moving average of $23.17 and a two-hundred day moving average of $25.84. The stock has a market cap of $1.11 billion, a price-to-earnings ratio of 40.19, a PEG ratio of 1.56 and a beta of 2.62. The company has a debt-to-equity ratio of 1.33, a current ratio of 1.67 and a quick ratio of 1.66.

Ameresco (NYSE:AMRC - Get Free Report) last released its earnings results on Monday, August 3rd. The utilities provider reported $0.20 earnings per share for the quarter, hitting the consensus estimate of $0.20. Ameresco had a net margin of 1.40% and a return on equity of 2.82%. The business had revenue of $515.46 million for the quarter, compared to the consensus estimate of $465.18 million. During the same period last year, the firm posted $0.27 earnings per share. The firm's quarterly revenue was up 9.1% compared to the same quarter last year. Ameresco has set its FY 2026 guidance at 1.150-1.350 EPS. On average, equities research analysts expect that Ameresco will post 1.22 earnings per share for the current year.

Insider Activity at Ameresco

In related news, Director Joseph W. Sutton acquired 9,700 shares of the stock in a transaction that occurred on Monday, August 24th. The shares were purchased at an average cost of $20.87 per share, with a total value of $202,439.00. Following the completion of the transaction, the director owned 80,246 shares of the company's stock, valued at approximately $1,674,734.02. This trade represents a 13.75% increase in their position. The purchase was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Jennifer L. Miller acquired 2,000 shares of the company's stock in a transaction on Monday, August 24th. The stock was bought at an average price of $20.96 per share, for a total transaction of $41,920.00. Following the purchase, the director owned 34,546 shares in the company, valued at approximately $724,084.16. This trade represents a 6.15% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders acquired 75,025 shares of company stock valued at $1,778,963 over the last ninety days. 45.10% of the stock is owned by company insiders.

Institutional Investors Weigh In On Ameresco

A number of institutional investors have recently modified their holdings of AMRC. Dimensional Fund Advisors LP increased its stake in shares of Ameresco by 13.1% in the first quarter. Dimensional Fund Advisors LP now owns 1,439,669 shares of the utilities provider's stock worth $36,711,000 after acquiring an additional 167,068 shares during the last quarter. Handelsbanken Fonder AB raised its holdings in shares of Ameresco by 5.3% during the second quarter. Handelsbanken Fonder AB now owns 857,979 shares of the utilities provider's stock worth $23,680,000 after acquiring an additional 42,826 shares in the last quarter. Swedbank AB boosted its position in Ameresco by 74.3% during the first quarter. Swedbank AB now owns 645,000 shares of the utilities provider's stock valued at $16,448,000 after purchasing an additional 275,000 shares during the last quarter. Empowered Funds LLC boosted its position in Ameresco by 8.5% during the first quarter. Empowered Funds LLC now owns 225,628 shares of the utilities provider's stock valued at $5,754,000 after purchasing an additional 17,696 shares during the last quarter. Finally, Bank of America Corp DE boosted its position in Ameresco by 64.7% during the first quarter. Bank of America Corp DE now owns 125,441 shares of the utilities provider's stock valued at $3,199,000 after purchasing an additional 49,279 shares during the last quarter. Institutional investors and hedge funds own 99.24% of the company's stock.

About Ameresco

Ameresco, Inc NYSE: AMRC is an energy services and renewable energy company that helps organizations improve energy efficiency, reduce operating costs and transition to lower-carbon energy sources. The company serves public- and private-sector customers, including government agencies, utilities, educational institutions, health care organizations and commercial and industrial businesses.

Ameresco's services include energy audits, project development, engineering, construction, energy management and long-term operations and maintenance.

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