Polaris Infrastructure (PIF) AI Stock Analysis

• Market Cap: C$266.16M
• Dividend Yield: 6.54%
• Average Volume (3M): 32.58K
• Price to Earnings (P/E): 59.8
• Beta (1Y): 0.91
• Revenue Growth: 4.98%
• EPS Growth: -244.98%
• Country: CA
• Employees: 205
• Sector: Utilities
• Sector Strength: 76
• Industry: Renewable Utilities
• EPS (TTM): 0.14
• Shares Outstanding: 21,007,433
• 10 Day Avg. Volume: 29,923
• 30 Day Avg. Volume: 32,579
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: C$20.50
• Price Target Upside: 60.16% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 61 Neutral
• Price Target: C$13.00 ▲(1.56% Upside)

Polaris Infrastructure's overall stock score reflects a mix of strengths and challenges. The most significant factor is the positive earnings call, which highlights strong growth and strategic developments. Technical analysis supports a bullish outlook with positive momentum. However, financial performance and valuation present challenges, particularly with profitability and a negative P/E ratio. The attractive dividend yield offers some investor appeal.

Polaris Infrastructure Business Overview & Revenue Model

Company Description

Polaris Renewable Energy Inc. engages in the acquisition, development, and operation of renewable energy projects in Latin America. The company operates a 72 MW net geothermal facility in Nicaragua; and three run-of-river hydroelectric facilities in Peru with approximately 5 MW net, 8 MW net, and 20 MW net capacity. It also operates a solar project in the Dominican Republic with 32.6 MWdc. The company was formerly known as Polaris Infrastructure Inc. and changed its name to Polaris Renewable Energy Inc. in July 2022. Polaris Renewable Energy Inc. was incorporated in 1984 and is based in Toronto, Canada.

How the Company Makes Money

Polaris Infrastructure makes money by generating and selling electricity generated from its renewable energy projects. The company operates geothermal and hydroelectric plants, where it harnesses natural resources like geothermal heat and water flow to produce electricity. This electricity is then sold to national grids or directly to large consumers under long-term power purchase agreements (PPAs), ensuring a steady revenue stream. Key revenue streams include the sale of electricity under these PPAs, which often include fixed pricing terms, providing predictable income. Additionally, the company may benefit from government incentives for renewable energy production and strategic partnerships aimed at expanding its energy capacity and market reach.

Polaris Infrastructure Financial Statement Overview

Summary

Polaris Infrastructure shows a stable yet challenging financial performance. Strong operational cash flows and improved leverage are offset by profitability issues, such as negative net income and declining EBIT margins. The balance sheet indicates better debt management, but the negative return on equity highlights the need for improved profitability.

Income Statement

Polaris Infrastructure shows a mixed performance in its income statement. The TTM data indicates a gross profit margin of 43.74%, which is stable compared to previous periods. However, the net profit margin has turned negative at -13.50%, indicating profitability challenges. Revenue growth is modest at 3.90% TTM, but the EBIT margin has decreased to 17.30%, reflecting operational efficiency issues. The EBITDA margin remains strong at 55.30%, suggesting good cash flow generation from operations.

Balance Sheet

The balance sheet reveals a moderate financial position. The debt-to-equity ratio has improved to 0.90 TTM from 1.22, indicating better leverage management. However, the return on equity is negative at -4.16%, reflecting recent losses. The equity ratio is stable, suggesting a balanced asset structure. Overall, the company is managing its debt better but needs to improve profitability to enhance shareholder returns.

Cash Flow

Cash flow analysis shows resilience despite challenges. The operating cash flow to net income ratio is strong at 1.34 TTM, indicating robust cash generation relative to earnings. Free cash flow to net income is also high at 0.95, suggesting efficient cash utilization. However, free cash flow growth is negative at -8.56%, highlighting potential cash flow constraints. The company maintains a solid cash flow position, but growth is a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	78.37M	75.77M	78.52M	62.60M	59.52M	74.72M
Gross Profit	34.28M	32.81M	35.92M	25.19M	22.75M	38.77M
EBITDA	43.34M	49.84M	56.99M	40.90M	45.69M	78.59M
Net Income	-10.58M	2.99M	11.74M	2.50M	501.00K	28.84M
Balance Sheet
Total Assets	549.59M	662.11M	519.40M	535.10M	502.70M	491.12M
Cash, Cash Equivalents and Short-Term Investments	86.09M	213.31M	40.05M	35.33M	97.93M	60.06M
Total Debt	220.22M	317.70M	175.12M	187.33M	170.99M	189.99M
Total Liabilities	304.85M	402.58M	249.47M	264.89M	241.88M	264.35M
Stockholders Equity	244.86M	259.75M	269.34M	269.68M	262.76M	228.75M
Cash Flow
Free Cash Flow	32.89M	31.69M	32.57M	1.02M	32.72M	33.42M
Operating Cash Flow	34.60M	35.05M	43.96M	33.51M	41.13M	40.31M
Investing Cash Flow	-16.27M	-3.31M	-11.38M	-65.99M	-10.15M	-2.85M
Financing Cash Flow	27.19M	141.51M	-27.71M	-30.13M	6.89M	-9.99M

Polaris Infrastructure Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.80
• 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 TSE:PIF, the sentiment is Positive. The current price of 12.8 is above the 20-day moving average (MA) of 12.42, above the 50-day MA of 12.10, and above the 200-day MA of 11.91, indicating a bullish trend. The MACD of 0.18 indicates Negative momentum. The RSI at 64.37 is Neutral, neither overbought nor oversold. The STOCH value of 78.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:PIF.

Polaris Infrastructure Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INE	72 Outperform		―		―	0.97%	―
Sector *	67 Neutral	$17.66B	18.13	5.33%	3.62%	7.33%	12.21%
PIF	61 Neutral	C$266.16M	59.81	-4.34%	6.54%	4.98%	-244.98%
BLX	54 Neutral	C$3.01B	271.12	-0.61%	2.25%	-13.45%	-112.19%
GRB	35 Underperform	C$16.44M	―	-90.04%	―	―	-80.29%
AQN	―	$4.43B	―	1.50%	4.50%	―	―
NPIFF	―	$4.20B	22.35	-1.19%	5.32%	―	―

Polaris Infrastructure Corporate Events

Polaris Renewable Energy Advances Energy Storage Strategy in Puerto Rico

Polaris Renewable Energy Inc. has announced the submission of the Battery Energy Storage System Standard Offer Agreement (SO1 Agreement) to the Puerto Rico Energy Bureau, as part of the Puerto Rico Accelerated Storage Addition Program. This strategic initiative aims to enhance grid reliability through utility-scale battery energy storage systems. The agreement, involving Polaris Power US, Inc. as the Resource Provider, is expected to be finalized within 30 to 90 days, with commercial operations anticipated to begin in Q3 2026. The project will strengthen Polaris’s position in the renewable energy sector and support Puerto Rico’s energy resilience goals.

The most recent analyst rating on (TSE:PIF) stock is a Buy with a C$20.00 price target. To see the full list of analyst forecasts on Polaris Infrastructure stock, see the TSE:PIF Stock Forecast page.

Polaris Renewable Energy Declares Quarterly Dividend

Polaris Renewable Energy Inc. has announced a quarterly dividend of US$0.15 per common share, payable on August 22nd to shareholders of record as of August 11th. This move underscores the company’s commitment to providing consistent returns to its shareholders while maintaining a strong position in the renewable energy sector. The board is open to evaluating further dividend increases, reflecting confidence in the company’s financial health and operational performance.

The most recent analyst rating on (TSE:PIF) stock is a Buy with a C$20.00 price target. To see the full list of analyst forecasts on Polaris Infrastructure stock, see the TSE:PIF Stock Forecast page.

Polaris Renewable Energy Reports Strong Q2 2025 Results with Increased Production and Revenue

Polaris Renewable Energy Inc. reported a 15% increase in energy production for Q2 2025, driven by favorable hydrological conditions in Peru and the acquisition of the Punta Lima Wind Farm in Puerto Rico. The company achieved $21.6 million in revenue and $15.4 million in adjusted EBITDA for the quarter, reflecting strong operational efficiency despite inflationary pressures. The company’s financial performance was bolstered by improved productivity in its Dominican Republic facility and strong results from the newly acquired wind farm, although challenges such as system-wide curtailment and technical issues in Panama were noted.

The most recent analyst rating on (TSE:PIF) stock is a Buy with a C$21.00 price target. To see the full list of analyst forecasts on Polaris Infrastructure stock, see the TSE:PIF Stock Forecast page.

Polaris Renewable Energy to Host Q2 2025 Earnings Call

Polaris Renewable Energy Inc. announced that it will hold its Earnings Conference Call and Webcast to report its Q2 2025 Earnings Results on July 31, 2025. This announcement highlights the company’s ongoing commitment to transparency and engagement with its investors, which may positively impact its operations and industry positioning.

The most recent analyst rating on (TSE:PIF) stock is a Buy with a C$20.00 price target. To see the full list of analyst forecasts on Polaris Infrastructure stock, see the TSE:PIF Stock Forecast page.

Polaris Renewable Energy Confirms Director Elections at Annual Meeting

Polaris Renewable Energy Inc. announced the successful election of all six director nominees at its annual shareholder meeting. This election ensures continuity in leadership as the company continues its operations in the renewable energy sector, potentially strengthening its position in the market and reassuring stakeholders of its strategic direction.

The most recent analyst rating on (TSE:PIF) stock is a Buy with a C$20.00 price target. To see the full list of analyst forecasts on Polaris Infrastructure stock, see the TSE:PIF Stock Forecast page.