American Electric Power (AEP) Stock Price, News & Analysis

Company Overview

American Electric Power Company, Inc., an electric public utility holding company, engages in the generation, transmission, and distribution of electricity for sale to retail and wholesale customers in the United States. It operates through Vertically Integrated Utilities, Transmission and Distribution Utilities, AEP Transmission Holdco, and Generation & Marketing segments. The company generates electricity using coal and lignite, natural gas, renewable, nuclear, hydro, solar, wind, and other energy sources. It also supplies and markets electric power at wholesale to other electric utility companies, rural electric cooperatives, municipalities, and other market participants. American Electric Power Company, Inc. was incorporated in 1906 and is headquartered in Columbus, Ohio.

Key Stats

• Today's Range: $99.30 to $100.28
• 50-Day Range: $92.96 to $102.60
• 52-Week Range: $75.22 to $105.18
• Volume: 1.26 million shs
• Average Volume: 3.13 million shs
• Market Capitalization: $53.14 billion
• P/E Ratio: 20.01
• Dividend Yield: 3.73%
• Price Target: $97.93
• Consensus Rating: Hold

American Electric Power Stock Analysis - MarketRank™

American Electric Power scored higher than 89% of companies evaluated by MarketBeat, and ranked 19th out of 90 stocks in the utilities sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 2.1 / 5
• Analyst Rating: Hold

Consensus Rating

American Electric Power has received a consensus rating of Hold. The company's average rating score is 2.27, and is based on 6 buy ratings, 7 hold ratings, and 2 sell ratings.

Amount of Analyst Coverage

American Electric Power has been the subject of 8 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: 4.80%

Earnings Growth

Earnings for American Electric Power are expected to grow by 4.80% in the coming year, from $5.62 to $5.89 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of American Electric Power is 20.06, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 128.76.

Price to Earnings Ratio vs. Sector

The P/E ratio of American Electric Power is 20.06, which means that it is trading at a less expensive P/E ratio than the Utilities sector average P/E ratio of about 80.78.

Price to Earnings Growth Ratio

American Electric Power has a PEG Ratio of 2.88. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

American Electric Power has a P/B Ratio of 2.00. P/B Ratios below 3 indicates that a company is reasonably valued with respect to its assets and liabilities.

Short Interest

• Score: 3.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

1.43% of the outstanding shares of American Electric Power have been sold short.

Short Interest Ratio / Days to Cover

American Electric Power has a short interest ratio ("days to cover") of 2.6, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in American Electric Power has recently increased by 2.42%, indicating that investor sentiment is decreasing.

Dividend

• Score: 5.0 / 5
• Dividend Strength: Strong

Dividend Leadership

American Electric Power is a leading dividend payer. It pays a dividend yield of 3.72%, putting its dividend yield in the top 25% of dividend-paying stocks.

Dividend Growth

American Electric Power has been increasing its dividend for 15 years.

Dividend Coverage

The dividend payout ratio of American Electric Power is 74.55%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, American Electric Power will have a dividend payout ratio of 63.16% next year. This indicates that American Electric Power will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: 1.0 / 5
• Environmental Score: -5.43

Percentage of Shares Shorted

1.43% of the outstanding shares of American Electric Power have been sold short.

Short Interest Ratio / Days to Cover

American Electric Power has a short interest ratio ("days to cover") of 2.6, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in American Electric Power has recently increased by 2.42%, indicating that investor sentiment is decreasing.

News and Social Media

• Score: 3.3 / 5
• News Sentiment: 0.95

News Sentiment

American Electric Power has a news sentiment score of 0.95. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.49 average news sentiment score of Utilities companies.

News Coverage This Week

MarketBeat has tracked 25 news articles for American Electric Power this week, compared to 13 articles on an average week.

Search Interest

Only 31 people have searched for AEP on MarketBeat in the last 30 days. This is a decrease of 0% compared to the previous 30 days.

MarketBeat Follows

14 people have added American Electric Power to their MarketBeat watchlist in the last 30 days. This is an increase of 27% compared to the previous 30 days.

Company Ownership

• Score: 1.7 / 5
• Insider Trading: N/A

Insider Buying vs. Insider Selling

In the past three months, American Electric Power insiders have not sold or bought any company stock.

Percentage Held by Insiders

Only 0.12% of the stock of American Electric Power is held by insiders.

Percentage Held by Institutions

75.24% of the stock of American Electric Power is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

AEP Stock Analysis - Frequently Asked Questions

How have AEP shares performed this year?

American Electric Power's stock was trading at $81.22 at the start of the year. Since then, AEP shares have increased by 23.2% and is now trading at $100.08.
View the best growth stocks for 2024 here.

How were American Electric Power's earnings last quarter?

American Electric Power Company, Inc. (NASDAQ:AEP) posted its earnings results on Tuesday, July, 30th. The company reported $1.25 earnings per share for the quarter, topping the consensus estimate of $1.23 by $0.02. The firm's revenue was up 4.5% compared to the same quarter last year.
Read the conference call transcript.

Does American Electric Power have any subsidiaries?

The following companies are subsidiaries of American Electric Power: BlueStar Energy Solutions, Memco Barge Line, Central and South West Corp, AEP Energy Supply LLC, AEP Generating Company, AEP Generation Resources Inc., AEP Texas Central Transition Funding III LLC, and others.

Who are American Electric Power's major shareholders?

American Electric Power's top institutional shareholders include State Street Corp (5.06%), Wellington Management Group LLP (3.92%), Geode Capital Management LLC (2.35%) and FMR LLC (1.29%). Insiders that own company stock include Nicholas K Akins, Julia A Sloat, Charles E Zebula, Lisa M Barton, David Matthew Feinberg, Therace Risch, Antonio P Smyth, Greg B Hall, Paul Chodak III, Jospeh M Buonaiuto and Charles R Patton.
View institutional ownership trends.

How do I buy shares of American Electric Power?

Shares of AEP stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of American Electric Power own?

Based on aggregate information from My MarketBeat watchlists, some other companies that American Electric Power investors own include AT&T (T), Verizon Communications (VZ), NVIDIA (NVDA), Exxon Mobil (XOM), Chevron (CVX), JPMorgan Chase & Co. (JPM) and Meta Platforms (META).

Company Calendar

• Last Earnings: 7/30/2024
• Ex-Dividend for 9/10 Dividend: 8/09/2024
• Dividend Payable: 9/10/2024
• Ex-Dividend for 12/10 Dividend: 11/08/2024
• Today: 11/29/2024
• Dividend Payable: 12/10/2024
• Fiscal Year End: 12/31/2024
• Next Earnings (Estimated): 2/24/2025

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Utilities
• Industry: Electric services
• Sub-Industry: Utilities
• Current Symbol: NASDAQ:AEP
• CUSIP: N/A
• CIK: 4904
• Web: www.aep.com
• Phone: (614) 716-1000
• Fax: 614-223-1823
• Employees: 17,250
• Year Founded: 1906

Price Target and Rating

• Average Stock Price Target: $97.93
• High Stock Price Target: $112.00
• Low Stock Price Target: $83.00
• Potential Upside/Downside: -2.3%
• Consensus Rating: Hold
• Rating Score (0-4): 2.27
• Research Coverage: 15 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $4.99
• Trailing P/E Ratio: 20.08
• Forward P/E Ratio: 17.83
• P/E Growth: 2.88
• Net Income: $2.21 billion
• Net Margins: 13.48%
• Pretax Margin: 12.45%
• Return on Equity: 11.41%
• Return on Assets: 3.01%

Debt

• Debt-to-Equity Ratio: 1.47
• Current Ratio: 0.57
• Quick Ratio: 0.41

Sales & Book Value

• Annual Sales: $19 billion
• Price / Sales: 2.81
• Cash Flow: $11.27 per share
• Price / Cash Flow: 8.89
• Book Value: $50.10 per share
• Price / Book: 2.00

Miscellaneous

• Outstanding Shares: 532,120,000
• Free Float: 531,481,000
• Market Cap: $53.32 billion
• Optionable: Optionable
• Beta: 0.55