Algonquin Power & Utilities (AQN) Upgraded by Analyst

Algonquin Power & Utilities Corp. (NYSE:AQN) is included among the 10 Best Performing Utility Stocks in 2025.

Algonquin Power & Utilities (AQN) Upgraded by Analyst

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Algonquin Power & Utilities Corp. (NYSE:AQN) provides natural gas, water, and electricity generation, transmission, and distribution utility services to over 1 million customer connections, largely in North America.

On January 7, National Bank upgraded Algonquin Power & Utilities Corp. (NYSE:AQN) from ‘Sector Perform’ to ‘Outperform’, while also raising its price target on the stock from $7 to $7.50. The revised target indicates an upside potential of almost 16% from the current share price.

The upgrade comes as National Bank sees catalysts for Algonquin Power & Utilities Corp. (NYSE:AQN) as we enter 2026, stemming from the company’s multiple rate cases expected to be approved and implemented. The analyst projects EPS growth of approximately 10% YoY for the company in 2026, followed by over 20% growth in 2027. The forecasts are driven by seven active rate cases representing approximately $280 million in total revenue requests, which the analyst expects will be approved and implemented this year. As these rate cases are implemented, National Bank expects Algonquin to catch up with its peers in terms of valuation and return on equity.

While we acknowledge the potential of AQN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AQN and that has a 100x upside potential, check out our report about the cheapest AI stock.

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Disclosure: None.