The Globe and Mail reports in its Thursday, Oct. 19, edition that TD analyst Sean Steuart knocked his share target for Algonquin Power & Utilities back by $2 to $6 after assessing the impact on earnings from the sale of its renewable power business (all figures U.S.). The Globe's David Leeder writes that Mr. Steuart has an unchanged "hold" recommendation for Algonquin Power. Analysts on average target the shares at $8.67. Mr. Steuart says in a note: "We expect that an exit of the non-regulated renewable power segment and divestiture of Algonquin's equity stake in AY would be EPS-dilutive. On a pro forma basis, our 2025 EPS estimate would decline 21 per cent to 45 cents. Our estimates are based on a sale of the non-core assets at a 10.0 times EV/EBITDA multiple midpoint and selling the AY stake at the current share price. We expect that the net proceeds would be earmarked for a combination of debt reduction and share buybacks. At our potential estimates, the pro forma dividend payout ratio would be 96 per cent of 2025E EPS. We believe that a payout ratio range of 60 to 80 per cent, which is in line with the average of North American regulated utilities, would be more reasonable for this company."