The AES Corporation cash flow to debt ratio of 14.20% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

The AES Corporation's free cash flow has increased -65.02% from $-4.64B last year to $-1.62B, signaling increasing performance

The AES Corporation's debt to equity ratio is 6.50, which means that the company's assets are unhealthy financed, signaling financial risk.

The AES Corporation's debt has decreased relative to shareholder equity from 7.96 last year to 6.50 today, signaling strengthened financials

The AES Corporation has a net debt to EBITDA ratio of 9.55x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

The AES Corporation's interest coverage ratio is 1.58, which means that the company struggles to meet interest obligations, signaling financial risk.

The AES Corporation's profit margin has increased (6.44%) in the last year from 13.73% to 14.62%, signaling increasing performance

The AES Corporation's short-term liabilities of $8.49B exceed its short-term assets of $6.50B, signaling financial risk

The AES Corporation's return on assets of 3.52% is lower than the 5.00% threshold, indicating inefficient asset utilization

The AES Corporation's return on equity of 37.94%, is higher than 15.00%, indicating good performance

The AES Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

The AES Corporation had positive net income in 3 out of 5 years, indicating stable and consistent earnings

The AES Corporation has negative free cash flow, indicating the company is burning cash rather than generating it

The AES Corporation has negative free cash flow, indicating cash burn

The AES Corporation's yearly earnings has decreased 43.71% since last year from $1.69B to $949.00M, signaling decreasing performance

The AES Corporation's yearly revenue has decreased 0.37% since last year from $12.28B to $12.23B, signaling decreasing performance

ROIC 4.38% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

The AES Corporation's 3-year revenue CAGR of -1.03% is negative, indicating declining revenue over the past 3 years

The AES Corporation had revenue growth in 3 out of 5 years, indicating consistent revenue performance

The AES Corporation had positive ROE in 3 out of 5 years, indicating consistent and reliable returns on equity

The AES Corporation has insufficient data to evaluate this check.

The AES Corporation has an earnings yield of 18.17%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

The AES Corporation is overvalued relative to its fair value price of 0.00 based on EBITDA multiple model

The AES Corporation has an EV/EBITDA ratio of 13.13x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

The AES Corporation is undervalued relative to its fair value price of 54.03 based on Earnings Fair Value model

The AES Corporation has a PEG-ratio under 1 which is considered undervalued

The AES Corporation has a price-to-book ratio of 0.82x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

The AES Corporation has a price-to-sales ratio of 0.80x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue