Ameresco Shares Jump Following Upgrade from UBS

Ameresco's shares rose after UBS upgraded the cleantech integrator and renewable energy asset developer. Ameresco's portfolio includes energy efficiency, infrastructure upgrades, asset sustainability, and renewable energy supply solutions. The company offers various services such as design, engineering, installation, and operations and maintenance for small-scale plants. Ameresco's shares gained momentum after the upgrade from UBS.

UBS has upgraded Ameresco, Inc. (NYSE: AMRC) to a "Neutral" rating from "Sell," with a new price target of $7.15 [1]. The cleantech integrator and renewable energy asset developer, headquartered in Framingham, Massachusetts, specializes in energy efficiency, infrastructure upgrades, asset sustainability, and renewable energy supply solutions [2]. The upgrade comes on the heels of a series of significant project announcements and completions, which have driven the company's stock price up by 39.15% this week [3].

Ameresco's portfolio includes a wide range of services, such as design, engineering, installation, and operations and maintenance for small-scale plants. The company's North America Regions, U.S. Federal, and Europe segments focus on energy efficiency, while its Alternative Fuels segment sells electricity and processed renewable natural gas (RNG) derived from biomethane [2]. The company's All Other segment offers consulting services and the sale of solar photovoltaic energy products and systems.

In Q2 CY2025, Ameresco reported better-than-expected revenue, with sales up 7.8% year-on-year to $472.3 million, and a non-GAAP profit of $0.27 per share, significantly above analyst estimates [4]. The company's full-year revenue guidance of $1.9 billion at the midpoint came in 0.6% above analysts’ estimates.

The upgrade from UBS comes as Ameresco is poised for continued growth, driven by a robust project backlog, cross-market diversification, and ongoing investment in energy infrastructure and storage solutions. The company's European operations have been a key driver of recent growth, with the segment accounting for about 20% of the total project backlog [4].

Despite the upgrade, UBS noted that certain AI stocks offer greater upside potential and carry less downside risk. However, Ameresco's strong Q2 results and the company's strategic advantages in the energy sector make it an attractive investment for those seeking short-term opportunities [3].

References:
[1] https://www.marketscreener.com/news/ubs-upgrades-ameresco-to-neutral-from-sell-23-price-target-ce7c51dfd08bff25
[2] https://finance.yahoo.com/quote/AMRC/
[3] https://finance.yahoo.com/news/major-project-wins-drive-strong-053227553.html
[4] https://finance.yahoo.com/news/amrc-q2-deep-dive-diversified-035319464.html