10 Best Canadian Stocks to Buy Under $10

5. Algonquin Power & Utilities Corp. (NYSE:AQN)

Number of Hedge Funds Holders: 25

Share Price as of November 27: $4.88

Algonquin Power & Utilities Corp. (NYSE:AQN) primarily operates in the North American market with over 1.2 million customers. The company is based in Oakville, Ontario Canada with a focus on international generation, transmission, and distribution in the utilities market. The company has two segments: the Regulated Services Group and the Renewable Energy Group.

The company is heading towards becoming a pure-play regulated utility, simplifying its business structure. With the announcement of the sale of its renewables business for up to $2.5 billion, the company will have significant capital to invest in future ventures. To improve its customer service and back-office processes, Algonquin Power & Utilities Corp. (NYSE:AQN) has implemented a new SAP-based IT platform.

During the third quarter of 2024, the company showed notable improvement with year-over-year revenue growth of 1% to $573.20 million, while the adjusted EBITDA improved by 4% from a year ago. Algonquin Power & Utilities Corp.’s (NYSE:AQN) new CEO is focused on reducing costs and enhancing profitability, with emphasis on “capital-light growth” via better regulatory coverage and rate reviews. The company has filed several rate cases from which it expects the potential rate base to increase by more than $700 million.