HA Sustainable Infrastructure Capital, Inc. (NYSE: HASI)

$40.91 ▲ +0.27 (+0.66%)

As of May 14, 2026 01:36 PM

Sector: Financial Services Industry: Asset Management CIK: 0001561894

Market Cap 5.00 Bn

P/E 27.49

P/S -26.23

Div. Yield 0.04

ROIC (Qtr) 0.00

Total Debt (Qtr) 1.34 Mn

Revenue Growth (1y) (Qtr) 28.15

Add ratio to table...

About

HA Sustainable Infrastructure Capital Inc is an investor in sustainable infrastructure assets that advances the energy transition. The company focuses on partnering with clients to deploy capital primarily in income generating real assets that are supported by long term recurring cash flows. This strategy has enabled it to generate attractive risk adjusted returns and provide shareholders with diversified exposure to the energy transition. It is internally managed by an executive team with extensive industry knowledge and experience and oversees...

HA Sustainable Infrastructure Capital Inc is an investor in sustainable infrastructure assets that advances the energy transition. The company focuses on partnering with clients to deploy capital primarily in income generating real assets that are supported by long term recurring cash flows. This strategy has enabled it to generate attractive risk adjusted returns and provide shareholders with diversified exposure to the energy transition. It is internally managed by an executive team with extensive industry knowledge and experience and oversees a team of over 170 full time investment operating and technical professionals.

The company generates revenue from interest income on its debt investments from income on equity method investments from gains on the sale of assets through securitizations from fee revenue on co investment vehicles and securitized assets that it manages and from residual income on the portion of securitized assets that it retains. As of December 31 2025 it managed approximately 16.1 billion dollars of assets including a portfolio of 7.6 billion dollars retained on its balance sheet fee generating assets in co investment structures and assets held in unconsolidated securitization trusts.

The company operates through the following segments: Behind the Meter Grid Connected and Fuels Transport and Nature.

• Behind the Meter includes distributed renewable energy projects that reduce energy cost and or usage and increase resiliency through residential commercial and industrial and community solar power and energy storage deployments as well as energy efficiency improvements such as heating ventilation and air conditioning systems lighting controls roofs windows building shells and combined heat and power systems.

• Grid Connected comprises utility scale renewable energy projects that deploy cleaner energy sources such as solar solar plus storage and wind to generate cleaner lower cost energy with offtakers that may be utilities electricity users or participants in wholesale electric power markets who have entered into contractual commitments such as power purchase agreements to purchase power produced by a renewable energy project at a specified price with potential price escalators for a portion of the project’s estimated life.

• Fuels Transport and Nature consists of infrastructure assets that reduce emissions and or provide environmental benefits in projects beyond the power grid such as renewable natural gas plants transportation fleet enhancements and ecological restoration projects with offtakers that may be oil and gas refiners industrial companies and vertically integrated electric utilities.

HA Sustainable Infrastructure Capital Inc is considered a leading pure play publicly traded investor in sustainable infrastructure assets. Its competitive advantages stem from its focus on long term client relationships rather than individual transactions its access to permanent capital that allows flexibility in structuring investments its ability to invest in smaller transaction sizes across the capital structure and its multi decade experience in the target end markets. These qualities differentiate it from competitors such as banks private equity hedge funds infrastructure investment funds insurance companies mutual funds institutional investors investment banking firms specialty finance companies utilities independent power producers project developers pension funds governmental bodies private credit platforms green banks and public entities that own infrastructure assets. The company believes its expertise and experience position it well to capture opportunities in the growing market for clean energy infrastructure.

The company serves a diverse range of customers including clean energy project developers owners and operators utilities and energy service companies. Through its investments it provides capital to residential commercial and industrial and community solar and storage projects to utility scale solar and wind facilities and to renewable natural gas transportation fleet and ecological restoration initiatives. While specific customer names are not disclosed the business model relies on contractual relationships with creditworthy off takers who purchase the energy or environmental benefits generated by the funded assets.

Investment thesis

Bull case

The 2025 results show a record $4.3 billion in new transactions, an 87 % jump from 2024, driven largely by a portfolio of high‑yielding renewable projects that achieved yields above 10.5 % for two consecutive years. This sustained margin in a volatile interest‑rate environment suggests that the company’s underwriting discipline is robust and that its asset quality remains high. The fact that even after stripping out the one‑time SunZia investment, the company still closed more than $3 billion in new deals indicates a deep pipeline and resilient demand for third‑party capital, which the market may be underestimating given the current climate of heightened project financing competition.
The equity efficiency metric has improved from $300 of investment per $100 of equity to $1,350, a more than 400 % increase, reflecting the successful integration of the CCH 1 co‑investment vehicle and the inaugural junior subordinated notes. This shift demonstrates that the company can now leverage each dollar of equity far more effectively, thereby amplifying returns without proportionally increasing debt. The market has yet to fully price in this enhanced capital efficiency, which will likely sustain the company’s ability to grow the portfolio and preserve attractive ROE levels in the coming years.
The launch of the junior subordinated notes, which are recognized as 50 % equity credit by rating agencies, has widened the company’s capital access while keeping leverage within investment‑grade limits. By reducing the need for equity issuance, the company mitigates dilution risk and preserves shareholder value. This strategic move, combined with the expanding CCH 1 commitments, positions the firm to fund larger, more complex projects that command higher yields, an opportunity the market has not yet fully appreciated.
The portfolio is highly diversified across behind‑the‑meter solar, grid‑connected solar, onshore wind, RNG, and storage, with a portfolio yield of 8.8 % and an annual realized loss rate below 10 basis points. This diversification mitigates sector‑specific risks, ensuring that a downturn in any single asset class does not materially erode overall performance. The low loss rate is a testament to strong credit underwriting and operational oversight, reinforcing the view that the business can maintain profitability even amid tightening credit conditions.
The Sunrun joint venture, valued at $500 million, injects residential solar and storage into the platform, capitalizing on rising utility rates and consumer demand for affordability and resilience. The structure allows for ITC transferability, expanding the potential customer base while maintaining a high risk‑adjusted return. This new revenue stream is not heavily highlighted in the guidance but represents a significant hidden catalyst for future earnings growth that the market has not fully accounted for.

The 2025 results show a record $4.3 billion in new transactions, an 87 % jump from 2024, driven largely by a portfolio of high‑yielding renewable projects that achieved yields above 10.5 % for two consecutive years. This sustained margin in a volatile interest‑rate environment suggests that the company’s underwriting discipline is robust and that its asset quality remains high. The fact that even after stripping out the one‑time SunZia investment, the company still closed more than $3 billion in new deals indicates a deep pipeline and resilient demand for third‑party capital, which the market may be underestimating given the current climate of heightened project financing competition.
The equity efficiency metric has improved from $300 of investment per $100 of equity to $1,350, a more than 400 % increase, reflecting the successful integration of the CCH 1 co‑investment vehicle and the inaugural junior subordinated notes. This shift demonstrates that the company can now leverage each dollar of equity far more effectively, thereby amplifying returns without proportionally increasing debt. The market has yet to fully price in this enhanced capital efficiency, which will likely sustain the company’s ability to grow the portfolio and preserve attractive ROE levels in the coming years.
The launch of the junior subordinated notes, which are recognized as 50 % equity credit by rating agencies, has widened the company’s capital access while keeping leverage within investment‑grade limits. By reducing the need for equity issuance, the company mitigates dilution risk and preserves shareholder value. This strategic move, combined with the expanding CCH 1 commitments, positions the firm to fund larger, more complex projects that command higher yields, an opportunity the market has not yet fully appreciated.
The portfolio is highly diversified across behind‑the‑meter solar, grid‑connected solar, onshore wind, RNG, and storage, with a portfolio yield of 8.8 % and an annual realized loss rate below 10 basis points. This diversification mitigates sector‑specific risks, ensuring that a downturn in any single asset class does not materially erode overall performance. The low loss rate is a testament to strong credit underwriting and operational oversight, reinforcing the view that the business can maintain profitability even amid tightening credit conditions.
The Sunrun joint venture, valued at $500 million, injects residential solar and storage into the platform, capitalizing on rising utility rates and consumer demand for affordability and resilience. The structure allows for ITC transferability, expanding the potential customer base while maintaining a high risk‑adjusted return. This new revenue stream is not heavily highlighted in the guidance but represents a significant hidden catalyst for future earnings growth that the market has not fully accounted for.

Bear case

Although the company achieved record transaction volume in 2025, a significant portion—$1.2 billion—was driven by the SunZia project, a one‑off large wind asset that the management acknowledges will not recur at the same scale. This concentration risk implies that the company’s future earnings may be more volatile and that it could struggle to replicate the high transaction volume without similar large deals, a scenario that the market has insufficiently factored into its valuation.
During the Q&A, management explicitly stated there is currently no SunZia‑type project in the pipeline, underscoring a potential structural gap in the company’s deal flow. If the firm cannot secure similarly large, high‑yield projects, its incremental ROE could stagnate or decline, eroding the upside that the bullish thesis assumes.
The regulatory environment for tax equity financing remains uncertain, with FEOC designations and potential policy tightening posing risks to project funding streams. Management notes that existing pipelines were safe‑harbored under prior guidance, but the new guidance could affect future projects, especially those reliant on tax credits. This regulatory risk introduces a tail‑risk that the market may underappreciate.
Interest rates have risen, pushing the company’s weighted‑average cost of debt from 5.6 % to 5.8 %. While the company’s debt remains investment‑grade, the increase erodes the spread between portfolio yields and financing costs. As yields are already compressed in the renewable space, further rate hikes could compress margins and challenge the sustainability of the company’s high yield profile.
The company’s expansion into larger, more complex renewable projects—such as the onshore wind and integrated storage deployments—introduces higher permitting, transmission, and construction risks. Delays or cost overruns in these projects could materially impact cash flows and lead to higher loss rates, a risk that the bullish narrative has not fully quantified.

Although the company achieved record transaction volume in 2025, a significant portion—$1.2 billion—was driven by the SunZia project, a one‑off large wind asset that the management acknowledges will not recur at the same scale. This concentration risk implies that the company’s future earnings may be more volatile and that it could struggle to replicate the high transaction volume without similar large deals, a scenario that the market has insufficiently factored into its valuation.
During the Q&A, management explicitly stated there is currently no SunZia‑type project in the pipeline, underscoring a potential structural gap in the company’s deal flow. If the firm cannot secure similarly large, high‑yield projects, its incremental ROE could stagnate or decline, eroding the upside that the bullish thesis assumes.
The regulatory environment for tax equity financing remains uncertain, with FEOC designations and potential policy tightening posing risks to project funding streams. Management notes that existing pipelines were safe‑harbored under prior guidance, but the new guidance could affect future projects, especially those reliant on tax credits. This regulatory risk introduces a tail‑risk that the market may underappreciate.
Interest rates have risen, pushing the company’s weighted‑average cost of debt from 5.6 % to 5.8 %. While the company’s debt remains investment‑grade, the increase erodes the spread between portfolio yields and financing costs. As yields are already compressed in the renewable space, further rate hikes could compress margins and challenge the sustainability of the company’s high yield profile.
The company’s expansion into larger, more complex renewable projects—such as the onshore wind and integrated storage deployments—introduces higher permitting, transmission, and construction risks. Delays or cost overruns in these projects could materially impact cash flows and lead to higher loss rates, a risk that the bullish narrative has not fully quantified.

Award Type Breakdown of Revenue (2025)

Peer comparison

Companies in the Asset Management

S.No.	Ticker	Company	Market Cap	P/E	P/S	Total Debt (Qtr)
1	BN	BROOKFIELD Corp /ON/	101,413,925.00 Bn	63.56	-	-0.74 Bn
2	BLK	BlackRock, Inc.	169.60 Bn	30.54	7.00	7.87 Bn
3	BX	Blackstone Inc.	93.62 Bn	30.93	6.48	13.28 Bn
4	KKR	KKR & Co. Inc.	86.75 Bn	38.67	7.04	-
5	APO	Apollo Global Management, Inc.	77.84 Bn	23.71	-27.87	-
6	BAM	Brookfield Asset Management Ltd.	77.13 Bn	29.71	17.61	2.48 Bn
7	AMP	Ameriprise Financial Inc	45.36 Bn	12.72	2.37	0.20 Bn
8	STT	State Street Corp	42.17 Bn	15.12	2.92	-

Research Tools