Capital Power has Good Q3 and Real Good 9 months

                  Capital Power had a mediocre or even a bad year in 2016 but a better one in 2017.Western Canadian consumers were suffering from  low oil prices so needed less power but 2018 looks better.The third quarter was pretty good but the year looks like it will be just like the diagram above;it will be moving upwards and to the right.This blog predicts that reveues, operating income and adjusted EBITDA will all be well above the level in 2017.CPX says in their press release that Q3 net income was below that of Q3 2017.But Q3 was certainly good enough to put year end results ahead of 2017. 
                  Q3 was okay
  CPX  states that revenues were ahead of Q3 2017 but net income and e.p.s  were less.However adjusted funds from operations and free cash flow were greater in Q3 2018.But all performance indicators for 9 months were ahead of Q3 2017.And CPX annual results are on track to do better than 2017. Also CPX purchased and cancelled .5 million shares.In addition, Capital picked up a 580 MW natural gas facility in Arizona.And has made some renovations to their Genessee coal facility.Lastly Capital Power picked up a 5% interest in C2CNT which transforms carbon dioxide into carbon nanotubes.All this and CPX increased their dividend in 2017 and 2018 by 7%.Dividend increases of 7% are planned for 2019 ,2020 and 2021.        

                 2018 is looking like a Successful Year
   If Q4 is as strong as Q3 then adjusted EBITDA should hit $380 to $400 million.And e.p.s. should likely be at $1.35 to $1.50 per share.This is an improvement  of 12 to 15% over  EBITDA in 2017.And should be enough to send CPX to $29 per share.Investors realize that CPX is constantly adding new facilities and increasing it's power output.They added Bloom Wind,C2CNT and  the 580 MW Arlington Valley project  in 2018 and construction will soon start on the 125 MW Cardinal Point Wind project.All will be immediately accretive and so should put a lower limit of $27 per share with an upper limit of $31 per share.The fourth quarter will determine which end of this range they hit.
                                www.aimco.com;www.cppib.com