The Company in a Nutshell
- BEP is a company with over 100 years of experience paying a good yield.
- Management aims for a 5-9% annual distribution increase for years to come.
- The company benefits from the renewable energy tailwind.
- Download PDF format (Last reviewed: Feb 24th 2020)
|PRO Rating||3||Dividend Yield||4.32%|
|Dividend Safety||3||Dividend Growth Since||2012|
|DDM Valuation||-7.41%||Dividend Frequency||Quarterly|
Brookfield Renewable Partners LP is a renewable power generating company. It owns a portfolio of renewable power generating facilities is spread across North America, Latin America, and Europe. It operates renewable power generating assets, which include conventional hydroelectric facilities and wind facilities located in North America, Latin America, and Europe. Its operations are segmented by the type of power generation Hydroelectric, Wind, solar, storage and Other, which includes Biomass and Co-gen with Hydroelectric and Wind further segmented by geography North America, Colombia, Brazil, Europe and Other.
|General Information||GE Data|
|Expected Earnings Date||2020-07-31|
|Next ex-dvd date||N/A|
The future of energy will be found across hydroelectric, solar, and wind power. 80% of BEP’s portfolio is focused on hydroelectric power. The company has power plants across North America, South America, Europe, and Asia. BEP enjoys large scale capital and expertise to manage its projects across the world. Management aims at a 5-9% annual distribution increase for years to come. What will happen in the upcoming years is more money going toward those projects. Investors are following the green trend and BEP is well-positioned to attract them. BEP will convert into a corporation making taxes simple for investors.
|5-Yr Rev. Growth:||16.01%|
|5-Yr EPS Growth:||N/A|
|5-Yr Div Growth:||11.75%|
This kind of company grows mostly through leverage, so the debt level is always an issue. BEP shows nearly $14 billion in long-term debt. This becomes to be quite a burden even if the company management is experienced. The market’s appetite for additional debt may be limited in the future. BEP deals with large numbers as it is a capital-intensive industry. One mistake and the dividend growth policy may be in danger. Finally, the stock seems to be loved by everybody on the market right now. Always remain careful when a stock surge like this.
|Financial Debt to EBITDA (TTM)||6.08|
|Current Ratio (Quarterly)||0.98|
|Free Cash Flow (Quarterly)($B)||0.405|
Dividend Growth Perspective
BEP shows a great dividend profile. The company maintains lots of liquidity ($2.7B as of Feb 2020) for future projects. Management was smart to benefit from a strong market to raise additional funding. After some variations, management was able to bring back their FFO payout ratio in line (~85% of FFO). Shareholders can expect mid-single-digit dividend growth rates going further. Keep in mind your dividend is paid in USD.
|Payout Ratio (%)||-32492.19%|
|Cash Payout Ratio (%)||76.43%|
|Enter Expected Dividend Growth Rate Years 1-10:||6.00%|
|Enter Expected Terminal Dividend Growth Rate:||5.00%|
|Calculated Intrinsic Value OUTPUT 15-Cell Matrix||Metric2||Metric3||Metric4|
|Discount Rate (Horizontal)||Discount Rate (Horizontal)||Discount Rate (Horizontal)|
|Margin of Safety||9.00%||10.00%||11.00%|
|Market Cap ($)||12B|
|Price to Book Ratio||1.64|
- Data by Ycharts or Google Finance
- Dividend triangle chart is updated every 6 months.
- All other metrics are updated every 5 minutes (price) or weekly.
- The PDF format includes only comments (no metrics) and are reviewed every 6 months.