Ameresco, Inc. (NYSE:AMRC) Receives Average Recommendation of Moderate Buy from Analysts

Shares of Ameresco, Inc. (NYSE: AMRC) have received an average recommendation of “Moderate Buy” from twelve analysts covering the company, according to Marketbeat. One analyst rates the stock as a sell, three assign hold ratings, and eight rate it as a buy. The average 12-month price objective among analysts is $39.00.

Recent analyst actions

Several analysts have issued updates on Ameresco’s outlook:

• Wall Street Zen downgraded Ameresco from “hold” to “sell” in a report dated Saturday, January 10.
• Canaccord Genuity Group raised its target price from $44.00 to $50.00 and reiterated a “buy” rating in a note dated Tuesday, March 3.
• UBS Group reduced its price target from $40.00 to $28.00 and set a “neutral” rating in a report dated Friday, March 13.
• Weiss Ratings downgraded the stock from “hold (c-)” to “sell (d+)” in a research note dated Thursday, March 5.
• Cantor Fitzgerald restated an “overweight” rating in a report dated Wednesday, March 4.

Trading and valuation snapshot

Ameresco shares were down 0.3% and opened at $24.52 on Friday. The company has a market capitalization of $1.30 billion. Valuation metrics reported include a P/E ratio of 29.54, a P/E/G ratio of 2.03, and a beta of 2.61.

Ameresco’s reported 52-week range is $8.49 to $44.93. The company’s balance-sheet and liquidity metrics include a debt-to-equity ratio of 1.56, a quick ratio of 1.50, and a current ratio of 1.51. Moving averages cited are $29.33 for the 50-day period and $32.38 for the 200-day period.

Latest earnings and operating performance

Ameresco last reported earnings on Monday, March 2. For the quarter, the utilities provider posted earnings per share (EPS) of $0.39, which exceeded the consensus estimate of $0.32 by $0.07.

Return on equity was reported at 4.49% and net margin at 2.29%. Revenue for the quarter was $581.03 million, compared with analysts’ expectations of $556.09 million. In the prior-year quarter, Ameresco earned $0.88 per share. Quarterly revenue increased 9.1% year over year.

Analysts expect Ameresco to post EPS of 1.15 for the current year.

Insider transactions

In insider activity, Director Nickolas Stavropoulos sold 15,700 shares on Friday, February 20 at an average price of $34.15, for total proceeds of $536,155.00. After the transaction, the director directly owned 14,111 shares, valued at $481,890.65. The transaction is described as a 52.67% decrease in ownership.

Over the last 90 days, insiders sold a total of 17,020 shares valued at $577,840. The article also states that 44.96% of the stock is owned by insiders.

Institutional ownership

Institutional investors have adjusted their positions in Ameresco. Reported activity includes:

• State of Wyoming acquired a new position in the fourth quarter valued at about $27,000.
• Caitong International Asset Management Co. Ltd purchased a new position in the fourth quarter valued at about $48,000.
• CoreCap Advisors LLC acquired a new position in the third quarter valued at about $50,000.
• Tower Research Capital LLC TRC increased its stake by 99.4% during the second quarter, owning 3,518 shares worth $53,000 after purchasing an additional 1,754 shares.
• Summit Securities Group LLC purchased a new stake in the fourth quarter valued at about $55,000.

The article states that 99.24% of the stock is owned by institutional investors and hedge funds.

Company overview

Ameresco, Inc. is described as an independent provider of comprehensive energy efficiency and renewable energy solutions for businesses and governments across North America, Europe, and other select markets. Its integrated services portfolio includes energy efficiency retrofits, infrastructure upgrades, distributed generation systems, and facility-scale renewable projects.

Founded in 2000 and headquartered in Framingham, Massachusetts, Ameresco has completed thousands of projects involving solar, wind, geothermal, biomass, landfill gas-to-energy, energy storage, and microgrid installations.