Innergex Renewable Energy (TSE:INE) Soars 54.8% - Should Investors Buy Now?

Innergex Renewable Energy Inc. (TSE:INE) saw its share price surge by 54.8% during trading on Wednesday. The stock reached a high of C$13.53 before closing at C$13.48. This remarkable jump followed a trading volume of roughly 10,662,261 shares, marking an increase of 1,052% compared to the average daily volume of 925,621 shares, where it previously closed at C$8.71.

Analysts' Perspectives on Innergex Renewable Energy

The recent performance of Innergex has drawn the attention of various analysts. CIBC reduced their target price for the company from C$11.50 to C$11.00 in a report released on November 7th. Scotiabank also lowered its price target from C$11.50 to C$10.50 on January 30th, while National Bankshares decreased their target from C$17.00 to C$16.00 and maintained an "outperform" rating as of February 11th. Similarly, Cormark lowered its price target from C$10.00 to C$9.50 on January 30th. Conversely, TD Securities raised their target price from C$8.00 to C$9.00, labeling the stock as a "hold" on February 21st. Overall, four analysts have given the stock a hold rating, while three have recommended a buy, leading to an average rating of "hold" from analysts, with a target price estimate of C$11.63 according to MarketBeat data.

Innergex Renewable Energy's Financial Overview

The company's financial indicators reflect a current ratio of 0.56, a quick ratio of 0.58, and a notable debt-to-equity ratio of 620.44. Over the past 50 days, the stock has had a simple moving average of C$7.90 and a 200-day moving average of C$8.82. Innergex holds a market capitalization of C$2.76 billion, with a price-to-earnings (PE) ratio of -21.62 and a PEG ratio of 20.61, alongside a beta of 0.36.

Company Background

Founded over 30 years ago, Innergex is dedicated to a future powered by abundant renewable energy. The company has been recognized as one of Canada’s top corporate citizens in 2023 by Corporate Knights. As an independent renewable power producer, Innergex develops, acquires, owns, and operates various energy facilities, including hydroelectric plants, wind farms, solar farms, and energy storage systems. Its mission is to create sustainable power through renewable sources, contributing to a healthier world.

Investment Considerations

Before investing in Innergex Renewable Energy, it's essential to consider the viewpoint of top analysts. Despite its recent price hike and hold rating, analysts have identified five stocks they deem more promising for investment over Innergex. Investors should weigh their options carefully before making any financial decisions.

Innergex, Energy, Stocks