Brookfield Renewable (BEPC) AI Stock Analysis

• Market Cap: $5.99B
• Dividend Yield: 4.48%
• Average Volume (3M): 952.59K
• Price to Earnings (P/E): 32.7
• Beta (1Y): 0.90
• Revenue Growth: 1.01%
• EPS Growth: -110.78%
• Country: US
• Employees: 2,416
• Sector: Utilities
• Sector Strength: 72
• Industry: Renewable Utilities
• EPS (TTM): -0.49
• Shares Outstanding: 144,885,800
• 10 Day Avg. Volume: 801,464
• 30 Day Avg. Volume: 952,593
• PEG Ratio: 0.09
• Price to Book (P/B): 3.36
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -24.34
• Enterprise Value/Market Cap: 3.93
• Enterprise Value/Revenue: 1.44
• Enterprise Value/Gross Profit: 12.01
• Enterprise Value/Ebitda: 1.71
• 1Y Price Target: $31.50
• Price Target Upside: -5.49% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 60 Neutral
• Price Target: $33.00 ▼(-0.99%Downside)

Brookfield Renewable's overall stock score is influenced primarily by its positive earnings call and technical analysis indicators, both of which indicate potential for growth and investor interest. However, financial performance poses some risks due to profitability challenges and high leverage. The valuation is mixed, with a negative P/E ratio offset by a solid dividend yield.

Brookfield Renewable Business Overview & Revenue Model

Company Description

Brookfield Renewable (BEPC) is a global leader in renewable power and energy transition solutions. The company operates one of the world's largest publicly traded renewable power platforms, with a diverse portfolio of hydroelectric, wind, solar, and storage facilities across North America, South America, Europe, and Asia. Brookfield Renewable's core services include the development, operation, and management of renewable energy projects, focusing on sustainable and long-term value creation for its stakeholders.

How the Company Makes Money

Brookfield Renewable makes money primarily through the generation and sale of renewable energy. The company owns and operates hydroelectric, wind, and solar facilities, selling the electricity generated to utilities, corporations, and other power purchasers under long-term power purchase agreements (PPAs). These contracts provide a stable and predictable revenue stream. Additionally, Brookfield Renewable earns revenue from energy trading and grid services, taking advantage of fluctuations in energy prices. The company also engages in strategic partnerships and joint ventures to expand its asset portfolio and leverage its expertise in renewable energy development and management. Furthermore, Brookfield Renewable benefits from government incentives and regulatory support for renewable energy projects, contributing to its financial performance.

Brookfield Renewable Financial Statement Overview

Summary

Brookfield Renewable shows operational strengths with robust gross profit and EBITDA margins, but it faces profitability challenges with negative net income. High leverage and low equity ratios highlight financial risk, while negative free cash flow underscores liquidity concerns. The company must address these financial pressures to enhance overall stability and growth prospects.

Income Statement

The income statement reveals mixed results. The TTM (Trailing-Twelve-Months) gross profit margin is approximately 49.98%, indicating strong profitability from operations. However, the net profit margin is negative due to a net loss, suggesting profitability challenges. Revenue growth has been inconsistent, showing a decline in the most recent TTM period compared to the previous year. EBITDA margin remains robust, reflecting effective cost management despite revenue pressures.

Balance Sheet

The balance sheet indicates a high debt-to-equity ratio of approximately 9.83, reflecting significant leverage. The equity ratio is low at 3.19%, suggesting a heavy reliance on debt financing. Return on equity is negative due to net losses, posing concerns over shareholder value creation. However, the company maintains substantial total assets, which could support future growth if profitability improves.

Cash Flow

Cash flow analysis shows challenges with negative free cash flow in the TTM period, indicating cash outflows exceeding operational cash inflows. The operating cash flow to net income ratio is unfavorable due to net losses. Additionally, the free cash flow to net income ratio reinforces liquidity concerns. Positive operating cash flow suggests underlying operational strength, but capital expenditures remain high.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.92B	4.14B	3.97B	3.78B	3.37B	3.09B
Gross Profit	1.96B	2.38B	177.08M	2.60B	2.18B	2.03B
EBITDA	4.08B	3.53B	3.00B	5.43B	3.80B	-1.35B
Net Income	-250.00M	236.00M	-181.00M	1.50B	946.00M	-2.82B
Balance Sheet
Total Assets	44.96B	44.13B	49.42B	43.29B	41.99B	39.47B
Cash, Cash Equivalents and Short-Term Investments	614.00M	392.00M	627.00M	642.00M	410.00M	355.00M
Total Debt	14.11B	14.09B	16.57B	15.14B	13.51B	12.82B
Total Liabilities	32.52B	32.02B	32.29B	26.46B	27.76B	27.75B
Stockholders Equity	1.44B	1.34B	5.79B	5.87B	3.67B	1.18B
Cash Flow
Free Cash Flow	-413.00M	-400.00M	575.00M	437.00M	-959.00M	619.00M
Operating Cash Flow	402.00M	549.00M	1.60B	1.28B	395.00M	992.00M
Investing Cash Flow	-546.00M	-665.00M	-1.02B	-738.00M	-984.00M	-478.00M
Financing Cash Flow	116.00M	192.00M	-636.00M	-402.00M	678.00M	-475.00M

Brookfield Renewable Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 33.33
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BEPC, the sentiment is Positive. The current price of 33.33 is above the 20-day moving average (MA) of 32.91, above the 50-day MA of 30.79, and above the 200-day MA of 28.85, indicating a bullish trend. The MACD of 0.91 indicates Negative momentum. The RSI at 69.82 is Neutral, neither overbought nor oversold. The STOCH value of 56.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BEPC.

Brookfield Renewable Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CWEN	76 Outperform	$6.38B	39.82	4.70%	5.50%	-1.34%	21.62%
CWEN.A	75 Outperform	$6.38B	37.63	4.70%	5.82%	-1.34%	21.62%
Sector *	67 Neutral	$16.52B	16.90	4.47%	3.58%	4.76%	6.17%
RNW	65 Neutral	$2.74B	50.67	4.18%	―	-1.77%	-41.65%
ORA	65 Neutral	$5.33B	42.55	5.21%	0.55%	1.95%	-6.57%
BEPC	60 Neutral	$5.99B	32.67	-4.65%	4.48%	1.01%	-110.78%
SMR	42 Neutral	$10.66B	―	-32.34%	―	62.41%	-85.81%