HASI (HASI) AI Stock Analysis

• Market Cap: $3.06B
• Dividend Yield: 6.59%
• Average Volume (3M): 1.24M
• Price to Earnings (P/E): 25.1
• Beta (1Y): 1.18
• Revenue Growth: 5.09%
• EPS Growth: -49.85%
• Country: US
• Employees: 153
• Sector: Real Estate
• Sector Strength: 64
• Industry: Financial - Diversified
• EPS (TTM): 0.64
• Shares Outstanding: 120,931,786
• 10 Day Avg. Volume: 1,457,746
• 30 Day Avg. Volume: 1,244,177
• PEG Ratio: -0.17
• Price to Book (P/B): 1.46
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.19
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $39.33
• Price Target Upside: 55.64% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11

• Rating: 68 Neutral
• Price Target: $28.00 ▲( 10.80% Upside)

HASI's overall score is driven by strong financial performance, particularly in revenue growth and profitability. The positive earnings call further supports the score with record investments and reaffirmed guidance. However, technical analysis indicates a bearish trend, and cash flow challenges need addressing. The stock's valuation is fair, and recent board changes could enhance strategic governance.

Positive Factors

Dividend

Dividend yield remains attractive at 7%.

Financial Performance

The 1Q results beat expectations, showing resilience despite policy uncertainty and market challenges.

Investment Strategy

CCH1, HASI’s investment vehicle, exceeded $1B in funding and plans to increase capacity, boosting portfolio yields and ROE.

Negative Factors

Growth Challenges

HASI's pipeline has remained at the $5.5B level since Q1'24, with no new asset class or international transactions progressing far enough to be included.

Policy Uncertainty

Uncertainty regarding expected IRA reform remains top of mind as investors await text on reconciliation from Congress.

HASI Business Overview & Revenue Model

Company Description

Hannon Armstrong Sustainable Infrastructure Capital, Inc. provides capital and services to the energy efficiency, renewable energy, and other sustainable infrastructure markets in the United States. The company's projects include building or facility that reduce energy usage or cost through the use of solar generation and energy storage or energy efficiency improvements, including heating, ventilation, and air conditioning systems (HVAC), as well as lighting, energy controls, roofs, windows, building shells, and/or combined heat and power systems. It also focuses in the areas of grid connected projects that deploy cleaner energy sources, such as solar and wind to generate power; and other sustainable infrastructure projects, including upgraded transmission or distribution systems, water and storm water infrastructures, and other projects. The company qualifies as a real estate investment trust for U.S. federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was founded in 1981 and is headquartered in Annapolis, Maryland.

How the Company Makes Money

HASI generates revenue through a diverse range of financial products and services tailored to support climate-positive projects. The company earns money primarily through interest and principal repayments on debt investments, rental income from owned assets, and income from equity investments. HASI often enters into long-term contracts with its clients, which provides a stable and predictable income stream. Additionally, the company leverages its expertise in the sustainable infrastructure sector to form strategic partnerships, enhancing its investment opportunities and expanding its market reach. Through these financial activities, HASI capitalizes on the growing demand for environmentally sustainable projects and infrastructure, thereby driving its profitability.

HASI Financial Statement Overview

Summary

HASI demonstrates robust financial performance with strong revenue growth and profitability metrics. The balance sheet is solid, showing no debt and a healthy equity position. However, cash flow challenges need attention to sustain growth.

Income Statement

HASI has shown a solid improvement in revenue, with a 19.89% growth from the previous year. The gross profit margin is strong at 78.83%, and the net profit margin is robust at 52.14%. EBIT and EBITDA margins both stand at an impressive 70.21%. The company demonstrates strong profitability metrics, indicating efficient operations, although the historical negative gross profit figures call for careful future analysis.

Balance Sheet

The balance sheet reflects a strong equity position with an equity ratio of 33.96%, indicating a stable financial structure. HASI has no total debt as of the latest report, significantly improving its debt-to-equity ratio, which is now zero. The return on equity (ROE) is healthy at 8.32%, suggesting effective use of equity capital. The company’s financial stability is bolstered by the absence of debt, but historical leverage must be monitored.

Cash Flow

Cash flow analysis reveals a significant decrease in free cash flow from the previous year, impacting the growth rate negatively. However, the operating cash flow to net income ratio is positive at 0.03, and the free cash flow to net income ratio is manageable at 0.03. Overall, the cash flow position shows potential for improvement despite current constraints.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
383.60M	319.87M	155.47M	217.88M	142.69M
	Gross Profit
302.28M	255.53M	-63.29B	-52.76B	-37.62B
	EBIT
269.37M	224.24M	164.44M	143.74M	79.64M
	EBITDA
0.00	224.24M	146.36M	140.28M	0.00
	Net Income Common Stockholders
200.04M	148.84M	41.50M	126.58M	82.42M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
129.76M	74.63M	155.71M	226.20M	286.25M
	Total Assets
7.08B	6.55B	4.76B	4.15B	3.46B
	Total Debt
0.00	4.23B	2.98B	2.49B	2.19B
	Net Debt
-129.76M	4.16B	2.82B	2.27B	1.90B
	Total Liabilities
4.68B	4.41B	3.10B	2.49B	2.25B
	Stockholders Equity
2.34B	2.09B	1.63B	1.54B	1.20B
Cash Flow		Free Cash Flow
5.85M	99.69M	230.00K	13.31M	73.28M
	Operating Cash Flow
5.85M	99.69M	230.00K	13.31M	73.28M
	Investing Cash Flow
-131.19M	-1.99B	-592.11M	-703.40M	-831.65M
	Financing Cash Flow
200.41M	1.79B	516.78M	630.84M	962.12M

HASI Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 25.27
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HASI, the sentiment is Negative. The current price of 25.27 is below the 20-day moving average (MA) of 26.42, below the 50-day MA of 26.55, and below the 200-day MA of 28.96, indicating a bearish trend. The MACD of 0.21 indicates Positive momentum. The RSI at 41.67 is Neutral, neither overbought nor oversold. The STOCH value of 18.47 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HASI.

HASI Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EPR	77 Outperform	$4.01B	32.15	6.25%	6.50%	0.69%	-19.22%
NHI	76 Outperform	$3.38B	23.00	10.56%	4.97%	7.44%	4.23%
HASI	68 Neutral	$3.06B	25.15	5.73%	6.59%	5.09%	-49.85%
BNL	67 Neutral	$2.92B	26.01	3.79%	7.50%	0.73%	-37.65%
BXMT	63 Neutral	$3.21B	―	-2.06%	10.84%	-20.46%	-1436.71%
PCH	62 Neutral	$3.01B	63.24	2.31%	4.70%	10.86%	6.72%
Sector *	60 Neutral	$2.76B	10.33	0.49%	8507.90%	5.95%	-17.56%

HASI Corporate Events

HASI Expands Board with Two New Directors

On April 8, 2025, HA Sustainable Infrastructure Capital, Inc. announced the election of Barry E. Welch and Laura A. Schulte as new independent directors to its Board of Directors, effective April 15, 2025. This expansion of the board by two directors is expected to enhance the company’s strategic direction, with Mr. Welch bringing extensive experience in renewable energy and finance, and Ms. Schulte offering significant expertise in the banking industry. Both directors are considered independent under NYSE standards and will contribute to various board committees, potentially strengthening the company’s governance and operational oversight.