Is Hannon Armstrong Sustainable Infrastructure Capital, Inc. overvalued or undervalued?

As of 13 February 2025, the valuation grade for Hannon Armstrong Sustainable Infrastructure Capital, Inc. has moved from attractive to very attractive. The company appears undervalued based on its current metrics. Key ratios include a P/E Ratio of 23, a Price to Book Value of 1.28, and an EV to EBITDA of 12.52. In comparison, peers such as National Health Investors, Inc. have a P/E of 24.77, while Broadstone Net Lease, Inc. shows a P/E of 24.20, indicating that Hannon Armstrong is positioned favorably within its industry.
Despite recent challenges reflected in its one-year return of -18.10% compared to the S&P 500's 17.14%, the company's strong dividend yield of 436.40% and ROCE of 10.32% suggest robust potential for future growth. Overall, these factors reinforce the conclusion that Hannon Armstrong is currently undervalued relative to its peers and market conditions.