Ameresco (AMRC) AI Stock Analysis

• Market Cap: $1.91B
• Dividend Yield: N/A
• Average Volume (3M): 696.26K
• Price to Earnings (P/E): 30.6
• Beta (1Y): 1.54
• Revenue Growth: 12.22%
• EPS Growth: 17.46%
• Country: US
• Employees: 1,500
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 0.35
• Shares Outstanding: 34,703,660
• 10 Day Avg. Volume: 473,795
• 30 Day Avg. Volume: 696,264
• PEG Ratio: -2.17
• Price to Book (P/B): 1.21
• Price to Sales (P/S): 0.69
• P/FCF Ratio: -3.83
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $36.86
• Price Target Upside: 1.60% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: $38.00 ▲(4.74% Upside)

Ameresco's overall stock score reflects moderate financial health with stable revenue growth but high leverage and negative cash flows. Technical indicators show mixed momentum, and the stock's valuation appears high relative to peers. The positive sentiment from the earnings call is not factored into the score due to its exclusion from the weighted calculation.

Positive Factors

Revenue Growth

Ameresco's projected revenue growth reflects strong market demand and effective execution, supporting long-term business expansion.

Market Position

Ameresco's strong market position in energy solutions is bolstered by robust demand, enhancing its competitive advantage and growth potential.

Operating Leverage

Higher EBITDA growth relative to revenue indicates strong operating leverage, improving profitability and financial health over time.

Negative Factors

High Leverage

High leverage can limit financial flexibility and increase risk, potentially impacting Ameresco's ability to invest in growth opportunities.

Negative Cash Flows

Persistent negative cash flows may strain liquidity and hinder Ameresco's capacity to fund operations and strategic initiatives.

Declining Margins

Decreasing margins suggest challenges in maintaining cost efficiency, which could affect long-term profitability and competitiveness.

Ameresco Business Overview & Revenue Model

Company Description

Ameresco, Inc. (AMRC) is a leading energy efficiency and renewable energy solutions provider, dedicated to delivering innovative, cost-effective energy solutions to a diverse clientele, including commercial, industrial, and governmental entities. The company operates primarily in the sectors of energy efficiency, sustainable infrastructure, and renewable energy, offering a comprehensive suite of services that includes energy audits, engineering, project development, and the implementation of energy-saving technologies. Ameresco is committed to enhancing energy performance through advanced technologies and ongoing services that help clients reduce their carbon footprint and improve their energy resilience.

How the Company Makes Money

Ameresco generates revenue through multiple streams, primarily from energy efficiency projects, renewable energy installations, and operations and maintenance services. The company earns a significant portion of its income from performance-based contracts, where it partners with clients to implement energy-saving measures and shares in the cost savings achieved. Additionally, Ameresco benefits from federal and state incentives for renewable energy projects, which enhance profitability. Key partnerships with government agencies and private sector clients allow Ameresco to secure long-term contracts, providing stable revenue. The company's focus on energy-as-a-service models also contributes to its revenue, enabling clients to access renewable energy without upfront capital investments.

Ameresco Financial Statement Overview

Summary

Ameresco's financial performance shows moderate growth with stable revenue and profitability. However, high leverage and negative cash flows present potential risks. The company needs to improve operational efficiency and cash flow management.

Income Statement

Ameresco's income statement shows moderate growth and profitability. The TTM revenue growth rate of 1.88% indicates a slight increase in sales, while the gross profit margin of 14.48% and net profit margin of 3.13% suggest stable profitability. However, the declining EBIT and EBITDA margins from previous years highlight potential challenges in operational efficiency.

Balance Sheet

The balance sheet reflects a stable but leveraged position. The debt-to-equity ratio of 1.08 in the TTM period indicates a high level of debt compared to equity, which could pose financial risks. The return on equity of 4.93% shows moderate profitability for shareholders, while the equity ratio of 40.77% suggests a balanced asset structure.

Cash Flow

Cash flow analysis reveals significant challenges, with negative operating and free cash flows in the TTM period. The free cash flow to net income ratio of 17.99 indicates some ability to cover net income, but the negative growth in free cash flow highlights potential liquidity issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.88B	1.77B	1.37B	1.82B	1.22B	1.03B
Gross Profit	276.40M	256.09M	246.43M	290.83M	230.36M	187.55M
EBITDA	173.39M	194.80M	150.39M	190.78M	142.05M	116.67M
Net Income	63.00M	56.76M	62.47M	94.93M	70.46M	54.05M
Balance Sheet
Total Assets	4.43B	4.16B	3.71B	2.88B	2.22B	1.75B
Cash, Cash Equivalents and Short-Term Investments	94.55M	108.52M	79.27M	115.53M	50.45M	66.42M
Total Debt	1.95B	1.70B	1.55B	937.65M	497.53M	422.44M
Total Liabilities	3.33B	3.10B	2.74B	1.96B	1.47B	1.22B
Stockholders Equity	1.09B	1.01B	901.98M	824.03M	704.26M	492.81M
Cash Flow
Free Cash Flow	-99.21M	-320.75M	-621.76M	-666.19M	-356.07M	-285.34M
Operating Cash Flow	-19.09M	117.60M	-69.99M	-338.29M	-172.30M	-102.58M
Investing Cash Flow	-289.53M	-386.64M	-566.94M	-328.36M	-205.26M	-181.01M
Financing Cash Flow	230.82M	313.94M	640.80M	730.23M	365.46M	305.17M

Ameresco Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 36.28
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMRC, the sentiment is Neutral. The current price of 36.28 is below the 20-day moving average (MA) of 40.06, above the 50-day MA of 34.11, and above the 200-day MA of 20.36, indicating a neutral trend. The MACD of 1.23 indicates Positive momentum. The RSI at 45.06 is Neutral, neither overbought nor oversold. The STOCH value of 38.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AMRC.

Ameresco Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WLDN	76 Outperform	$1.33B	37.90	14.68%	―	13.82%	96.16%
MYRG	74 Outperform	$3.53B	36.75	16.22%	―	-0.64%	168.51%
GVA	71 Outperform	$4.48B	34.23	15.89%	0.51%	7.18%	77.84%
TPC	64 Neutral	$3.47B	―	-10.61%	―	12.03%	-93.60%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
AMRC	61 Neutral	$1.91B	30.64	6.31%	―	12.22%	17.46%

Ameresco Corporate Events

Ameresco, Inc. Reports Strong Earnings and Growth

Ameresco, Inc.’s recent earnings call conveyed a generally positive sentiment, highlighting the company’s strong financial performance and strategic growth initiatives. Despite facing some challenges, such as supplier bankruptcy and regulatory uncertainties, Ameresco’s diversified strategy and robust market position both domestically and internationally provide a solid foundation for continued growth.

Ameresco Reports Strong Q2 2025 Financial Results

Ameresco, Inc. is a leading energy solutions provider focused on helping customers transition to sustainable energy through a variety of services, including energy efficiency solutions and renewable energy projects, primarily operating in North America and Europe.