Alerion CleanPower (ARN) AI Stock Analysis

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Alerion CleanPower

(Milan:ARN)

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Rating:56Neutral

Price Target:EUR 18.00▼(-0.88% Downside)

Action:reiterated

Date:09/10/26

The score is held back primarily by financial risk factors—high leverage and recently negative free cash flow—despite strong reported profitability. Technicals also weigh on the outlook given the stock’s downtrend and weak momentum. Offsetting these risks, valuation is relatively attractive with a low-to-moderate P/E and a solid dividend yield.

Positive Factors

Renewable asset ownershipOwning and operating wind assets gives Alerion an established platform for recurring electricity generation, while development and asset-management capabilities can support portfolio expansion. This renewable focus also aligns the business with the continuing structural shift toward low-carbon power.

Negative Factors

High leverageDebt-heavy capitalization increases refinancing and interest-rate sensitivity, leaving less financial flexibility if power prices or production vary. Although equity has been building and returns are healthy, leverage can constrain investment capacity and amplify downside during weaker operating periods.

Alerion CleanPower (ARN) vs. iShares MSCI Italy ETF (EWI)

Market Cap: EUR 963.62M
Dividend Yield: 3.36%
Average Volume (3M): 13.13K
Price to Earnings (P/E): 10.4
Beta (1Y): 0.50
Revenue Growth: 12.56%
EPS Growth: 12.78%
Country: Italy
Employees: 220
Sector: General
Sector Strength: 55
Industry: Renewable Utilities

Alerion CleanPower Business Overview & Revenue Model

Company Description

Alerion Clean Power S.p.A. is an Italian enterprise primarily focused on generating electricity from wind resources. While its principal operations are situated in Italy, the company's reach extends to wind farms in Krupen, Bulgaria, and Comiolica, S...

How the Company Makes Money

Alerion CleanPower makes money primarily by generating and selling electricity produced by its renewable energy plants (mainly wind farms). Revenue is therefore largely driven by (1) the volume of electricity generated (dependent on wind resource ava...

Alerion CleanPower Financial Statement Overview

Summary

Strong reported profitability (high operating/EBITDA margins and solid net income), but the overall profile is constrained by elevated leverage (debt-to-equity consistently above ~2x) and weakened cash conversion. Recent free cash flow turned negative (2024–2025) and operating cash flow has been low versus profits, increasing funding and execution risk despite attractive margins.

Income Statement

78Positive

Balance Sheet

56Neutral

Cash Flow

42Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	223.05M	227.57M	240.21M	195.62M	271.05M	148.77M
Gross Profit	114.42M	108.66M	222.69M	181.13M	255.00M	134.11M
EBITDA	172.64M	170.74M	182.88M	143.08M	222.43M	115.58M
Net Income	94.14M	93.27M	95.79M	66.82M	71.04M	48.74M
Balance Sheet
Total Assets	1.76B	1.65B	1.69B	1.43B	1.22B	1.01B
Cash, Cash Equivalents and Short-Term Investments	311.08M	343.97M	515.87M	343.16M	226.61M	123.65M
Total Debt	1.14B	1.02B	927.58M	875.48M	685.00M	605.76M
Total Liabilities	1.36B	1.22B	1.32B	1.11B	919.28M	776.78M
Stockholders Equity	392.19M	426.02M	366.72M	320.84M	298.79M	227.10M
Cash Flow
Free Cash Flow	-181.53M	-102.63M	-46.01M	18.72M	129.19M	33.54M
Operating Cash Flow	39.60M	47.33M	38.30M	75.80M	212.83M	94.64M
Investing Cash Flow	-126.04M	-88.80M	-77.48M	-96.81M	-96.67M	-76.51M
Financing Cash Flow	143.06M	-130.67M	211.89M	137.56M	-13.20M	-42.18M

Alerion CleanPower Technical Analysis

Technical Analysis SentimentPositive

Last Price18.16

Price Trends

50DMA17.77Positive

100DMA19.18Negative

200DMA20.50Negative

Market Momentum

MACD0.19Negative

RSI56.58Neutral

STOCH64.77Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:ARN, the sentiment is Positive. The current price of 18.16 is above the 20-day moving average (MA) of 17.20, above the 50-day MA of 17.77, and below the 200-day MA of 20.50, indicating a neutral trend. The MACD of 0.19 indicates Negative momentum. The RSI at 56.58 is Neutral, neither overbought nor oversold. The STOCH value of 64.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:ARN.

Alerion CleanPower Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IT:ARN against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IT:ACE	74Outperform	EUR 4.57B	6.40	24.94%	4.42%	-20.70%	83.10%
IT:ASC	74Outperform	EUR 622.26M	17.16	4.01%	11.15%	17.24%	-56.49%
IT:A2A	71Outperform	EUR 7.45B	10.63	11.50%	4.51%	26.14%	-11.77%
IT:ARN	56Neutral	EUR 963.62M	10.38	23.01%	3.36%	12.56%	12.78%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IT:ERG	55Neutral	EUR 3.45B	65.84	2.65%	4.30%	4.89%	-62.28%

* General Sector Average

Performance Comparison

IT:ARN and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IT:ARN	Alerion CleanPower	18.16	-0.34	-1.83%
IT:A2A	A2A SpA	2.31	-0.03	-1.20%
IT:ACE	ACEA SPA	21.24	1.17	5.81%
IT:ASC	Ascopiave S.p.A.	2.87	-0.29	-9.12%
IT:ERG	Erg SPA	23.26	2.01	9.46%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Sep 10, 2026

Alerion CleanPower AI Stock Analysis