Southpoint Capital Advisors LP Takes $51.40 Million Position in Algonquin Power & Utilities Corp. $AQN

Key Points

• Southpoint Capital Advisors LP has acquired a new stake in Algonquin Power & Utilities Corp, purchasing 10 million shares valued at approximately $51.40 million, making it the firm's 29th largest position.
• Algonquin recently announced a quarterly dividend of $0.065 per share, with an annualized yield of 4.5%, indicating a payout ratio of -14.44%.
• Despite mixed analyst ratings, Algonquin has received target price upgrades, with a consensus rating of "Hold" and an average target price of $6.31.

Southpoint Capital Advisors LP purchased a new stake in shares of Algonquin Power & Utilities Corp. (NYSE:AQN - Free Report) during the first quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm purchased 10,000,000 shares of the utilities provider's stock, valued at approximately $51,400,000. Algonquin Power & Utilities makes up about 1.2% of Southpoint Capital Advisors LP's investment portfolio, making the stock its 29th largest position. Southpoint Capital Advisors LP owned 1.30% of Algonquin Power & Utilities at the end of the most recent quarter.

A number of other institutional investors have also added to or reduced their stakes in the company. Starboard Value LP increased its stake in Algonquin Power & Utilities by 5.1% in the 4th quarter. Starboard Value LP now owns 65,316,000 shares of the utilities provider's stock valued at $290,656,000 after buying an additional 3,175,000 shares during the last quarter. Vanguard Group Inc. grew its holdings in shares of Algonquin Power & Utilities by 0.6% in the first quarter. Vanguard Group Inc. now owns 31,715,401 shares of the utilities provider's stock valued at $162,859,000 after acquiring an additional 204,473 shares in the last quarter. EdgePoint Investment Group Inc. increased its position in shares of Algonquin Power & Utilities by 32.8% during the fourth quarter. EdgePoint Investment Group Inc. now owns 22,830,789 shares of the utilities provider's stock valued at $101,202,000 after acquiring an additional 5,640,705 shares during the last quarter. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp lifted its holdings in Algonquin Power & Utilities by 0.7% during the first quarter. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp now owns 13,139,562 shares of the utilities provider's stock worth $67,487,000 after acquiring an additional 88,439 shares during the period. Finally, Bank of Nova Scotia boosted its position in Algonquin Power & Utilities by 1.5% in the first quarter. Bank of Nova Scotia now owns 9,761,735 shares of the utilities provider's stock worth $50,137,000 after purchasing an additional 139,907 shares during the last quarter. 62.28% of the stock is owned by institutional investors.

Algonquin Power & Utilities Price Performance

NYSE AQN opened at $5.81 on Tuesday. The company has a quick ratio of 0.86, a current ratio of 1.09 and a debt-to-equity ratio of 1.22. The company has a market cap of $4.46 billion, a PE ratio of -3.22 and a beta of 0.69. Algonquin Power & Utilities Corp. has a 52 week low of $4.19 and a 52 week high of $6.24. The firm's 50-day simple moving average is $5.84 and its two-hundred day simple moving average is $5.48.

Algonquin Power & Utilities (NYSE:AQN - Get Free Report) last posted its earnings results on Friday, August 8th. The utilities provider reported $0.04 earnings per share for the quarter, hitting the consensus estimate of $0.04. The firm had revenue of $535.59 million during the quarter, compared to the consensus estimate of $535.64 million. Algonquin Power & Utilities had a negative net margin of 57.66% and a positive return on equity of 4.76%. During the same quarter last year, the company earned $0.09 earnings per share. Research analysts predict that Algonquin Power & Utilities Corp. will post 0.38 earnings per share for the current year.

Algonquin Power & Utilities Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 15th. Shareholders of record on Tuesday, September 30th will be issued a dividend of $0.065 per share. The ex-dividend date of this dividend is Monday, September 29th. This represents a $0.26 dividend on an annualized basis and a yield of 4.5%. Algonquin Power & Utilities's payout ratio is presently -14.44%.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on the company. Desjardins raised their target price on Algonquin Power & Utilities from $4.75 to $6.00 and gave the company a "hold" rating in a research report on Wednesday, June 4th. National Bank Financial upgraded shares of Algonquin Power & Utilities to a "hold" rating in a research report on Sunday, June 8th. Wall Street Zen lowered shares of Algonquin Power & Utilities from a "hold" rating to a "sell" rating in a research report on Saturday, August 16th. Raymond James Financial increased their target price on shares of Algonquin Power & Utilities from $5.00 to $6.00 and gave the company a "market perform" rating in a research report on Wednesday, June 4th. Finally, BMO Capital Markets restated a "market perform" rating and set a $6.00 price target (up previously from $5.00) on shares of Algonquin Power & Utilities in a research note on Monday, May 12th. Twelve investment analysts have rated the stock with a Hold rating, According to MarketBeat, Algonquin Power & Utilities has a consensus rating of "Hold" and an average target price of $6.31.

Algonquin Power & Utilities Company Profile

Algonquin Power & Utilities Corp. is an investment holding company, which engages in energy generation and water distribution facilities. It operates through the Regulated Services Group and Renewable Energy Group segments. The Regulated Services Group segment owns and operates a portfolio of electric, natural gas, water distribution, and wastewater collection utility systems and transmission.

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