WallStSmart

The AES Corporation (AES)vsAvista Corporation (AVA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The AES Corporation generates 580% more annual revenue ($13.05B vs $1.92B). AES leads profitability with a 14.3% profit margin vs 11.8%. AES appears more attractively valued with a PEG of 1.09. AES earns a higher WallStSmart Score of 73/100 (B).

AES

Strong Buy

73

out of 100

Grade: B

Growth: 6.7Profit: 7.0Value: 6.0Quality: 2.5
Piotroski: 2/9Altman Z: 0.48

AVA

Buy

62

out of 100

Grade: C+

Growth: 6.0Profit: 5.0Value: 4.7Quality: 3.0
Piotroski: 1/9Altman Z: 0.77
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AESSignificantly Overvalued (-37.3%)

Margin of Safety

-37.3%

Fair Value

$11.97

Current Price

$14.79

$2.82 premium

UndervaluedFair: $11.97Overvalued
AVASignificantly Overvalued (-31.0%)

Margin of Safety

-31.0%

Fair Value

$31.86

Current Price

$36.79

$4.93 premium

UndervaluedFair: $31.86Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AES5 strengths · Avg: 9.2/10
P/E RatioValuation
5.5x10/10

Attractively priced relative to earnings

Return on EquityProfitability
30.3%10/10

Every $100 of equity generates 30 in profit

EPS GrowthGrowth
951.0%10/10

Earnings expanding 951.0% YoY

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
19.9%8/10

19.9% revenue growth

AVA3 strengths · Avg: 9.3/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

EPS GrowthGrowth
147.9%10/10

Earnings expanding 147.9% YoY

P/E RatioValuation
13.5x8/10

Attractively priced relative to earnings

Areas to Watch

AES4 concerns · Avg: 2.0/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-597.00M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.482/10

Distress zone — elevated risk

Debt/EquityHealth
6.501/10

Elevated debt levels

AVA4 concerns · Avg: 3.5/10
PEG RatioValuation
2.274/10

Expensive relative to growth rate

Revenue GrowthGrowth
0.5%4/10

0.5% revenue growth

Return on EquityProfitability
7.4%3/10

ROE of 7.4% — below average capital efficiency

Debt/EquityHealth
1.173/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : AES

The strongest argument for AES centers on P/E Ratio, Return on Equity, EPS Growth. Revenue growth of 19.9% demonstrates continued momentum. PEG of 1.09 suggests the stock is reasonably priced for its growth.

Bull Case : AVA

The strongest argument for AVA centers on Price/Book, EPS Growth, P/E Ratio.

Bear Case : AES

The primary concerns for AES are Piotroski F-Score, Free Cash Flow, Altman Z-Score. Debt-to-equity of 6.50 is elevated, increasing financial risk.

Bear Case : AVA

The primary concerns for AVA are PEG Ratio, Revenue Growth, Return on Equity.

Key Dynamics to Monitor

AES profiles as a growth stock while AVA is a value play — different risk/reward profiles.

AES carries more volatility with a beta of 0.95 — expect wider price swings.

AES is growing revenue faster at 19.9% — sustainability is the question.

AVA generates stronger free cash flow (-54M), providing more financial flexibility.

Bottom Line

AES scores higher overall (73/100 vs 62/100) and 19.9% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

The AES Corporation

UTILITIES · UTILITIES - DIVERSIFIED · USA

The AES Corporation is a Fortune 500 company that generates and distributes electrical power. AES is headquartered in Arlington, Virginia.

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Avista Corporation

UTILITIES · UTILITIES - DIVERSIFIED · USA

Avista Corporation is a natural gas and electric utility company. The company is headquartered in Spokane, Washington.

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