AES offers valuable clean-energy and utility assets with strong data-center exposure, but the approved $15.00 cash take-private—not standalone growth—is the dominant near-term investment outcome.
Overview
AES is a globally diversified power-generation and utility holding company operating across the United States, South America, Central America, Europe, and Asia. Its Generation business sells wholesale electricity, capacity, and ancillary services, while Utilities distributes electricity through regulated territories including Indiana, Ohio, and El Salvador. The strategic opportunity is the combination of contracted renewables, regulated rate-base growth, and hyperscaler demand for reliable carbon-free power. In Q2 2026, revenue increased 19.9% year over year to **$3.42 billion**, gross profit rose 52.8% to $692 million, operating profit rose 55.9% to $630 million, and adjusted EPS reached $0.60 versus $0.45 consensus. However, the public-market model is constrained by $41.4 billion of liabilities, 4.02x debt-to-equity, 1.05x parent interest coverage, CapEx-to-sales of 51.7%, and FCF yield of -16.4%. The approved GIP/EQT-led merger offers **$15.00 per share in cash**, valuing equity at approximately $10.7 billion and enterprise value at approximately $33.4 billion. With 97.92% stockholder approval and CFIUS clearance received August 27, 2026, the key near-term catalyst is remaining FERC and state approvals, with closing expected in late 2026 or early 2027.