The AES Corporation (AES) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-517.0%

-$62.05

vs $14.88 price

Levered DCF

-$14.98

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

0.52

Distress zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	11.38×	5.41×	52.03×	-35.07×	-39.84×	335.71×	43.26×	7.95×
P/B	1.48×	2.49×	5.18×	7.86×	5.78×	5.86×	4.43×	2.98×
P/S	0.83×	0.74×	1.02×	1.52×	1.45×	1.6×	1.3×	0.89×
EV / EBITDA	13.09×	9.95×	15.13×	21.24×	41.49×	13.51×	10.56×	6.87×
Gross margin	18.1%	18.9%	19.8%	20.2%	24.3%	27.9%	23.2%	24.0%
Operating margin	16.1%	16.5%	17.8%	18.6%	22.9%	26.2%	21.3%	22.2%
Net margin	7.8%	13.7%	1.9%	-4.3%	-3.7%	0.4%	3.0%	9.3%
Current ratio	0.77×	0.8×	0.68×	1.18×	1.13×	1.01×	1.03×	1.14×
Debt / equity	4.4×	7.96×	10.8×	9.64×	6.68×	7.55×	6.73×	6.01×
Interest coverage	1.39×	1.34×	1.74×	2.21×	3.08×	2.59×	2.12×	2.37×
Dividend yield	4.9%	5.3%	3.4%	2.2%	2.5%	2.5%	2.7%	3.6%
Payout ratio	52.8%	28.6%	183.5%	-77.3%	-97.1%	886.0%	119.9%	34.3%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	13.8%	46.3%	9.7%	-22.4%	-14.8%	1.6%	10.1%	31.3%
Return on invested capital	4.2%	4.5%	-15.1%	7.0%	7.6%	3.4%	4.1%	5.3%
Return on assets	1.8%	3.6%	0.5%	-1.4%	-1.3%	0.1%	0.9%	3.1%
Free cash flow yield	-15.9%	-51.1%	-36.4%	-9.6%	-1.3%	5.5%	0.5%	2.3%
Earnings yield	9.3%	18.6%	1.9%	-2.9%	-2.6%	0.3%	2.3%	10.5%
Enterprise value	$38.5B	$36.6B	$38.3B	$41.3B	$33.9B	$34.2B	$32.4B	$27.7B
Net debt / EBITDA	9.61×	7.48×	10.04×	11.39×	21.71×	7.42×	6.24×	4.5×
Cash conversion cycle (days)	2	-24	-47	4	23	13	15	21