American Electric Power Company Inc.

American Electric Power Company Inc.

AEP

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Market Cap$69.56B
Close$

Compare to Similar Companies

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
American Electric Power Company Inc.American Electric Power Company Inc.222.96%12%3.31.6

Earnings Call Q2 2026

July 30, 2026 - AI Summary

Strong execution + raised guidance (good / core upside) - 2Q 2026 operating earnings: $1.36/share ($742m) vs $1.43/share in 2Q 2025 (down YoY mainly due to 2025 transmission minority interest sale effects and timing-related tax items). - 2026 full-year guidance raised: $6.25–$6.55/share (up from $6.15–$6.45). - Longer-term growth outlook reaffirmed: 7%–9% operating EPS growth rate and >9% operating EPS CAGR through 2030, supported by the $78B 2026–2030 capital plan. - Credit metric focus: target FFO to debt ratio 14%–15% to support an investment-grade profile while scaling the capital program.
Large-load demand accelerating—major driver of the capital plan (surprising / opportunity) - Contracted load additions through 2030: now 69 GW (up from 63 GW last quarter), supported by fully executed LOAs/ESAs. - Texas remains the largest engine: 45 GW of contracted load through 2030. - Cost “offset” thesis: new large load helps shift fixed costs away from existing customers; management reiterated up to $16B projected residential fixed-cost offsets in vertically integrated utilities. - Bottom line: management argues the growth is durable due to tariff structures requiring long-term commitments and creditworthy hyperscaler/industrial counterparties.
ERCOT “Batch Zero” process: increased visibility, but timing risk remains (good with an edge of uncertainty) - AEP Texas submitted 45 GW of projects into ERCOT Batch Zero (study window now to 2032); ERCOT review expected, with eligibility decision Aug 7. - AEP reported ~$2B collected as cash/collateral supporting the 45 GW commitments. - Management expects the 45 GW to be credible and says ERCOT may mainly affect timing allocation between batches (worst case: some projects could slip from Batch Zero toward later batches), but doesn’t change the underlying commitment.

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$139.36

Target Price by Analysts

9% upsideAmerican Electric Power Company Target Price DetailsTarget Price
$-121.88

Current Fair Value

195.3% downside

Overvalued by 195.3% based on the discounted cash flow analysis.

Share Statistics

Market cap$69.56 Billion
Enterprise Value$119.54 Billion
Dividend Yield$3.78 (2.96%)
Earnings per Share$6.66
Beta0.5
Outstanding Shares544,163,341

Return

Return on Equity11.63%ROE
Return on Assets3.09%
Return on Invested Capital3.09%

Valuation & Multiples

P/E Ratio21.97P/E Ratio
PEG-177.69PEG
Price to Sales3.28Price to Sales
Price to Book Ratio2.17Price to Book Ratio
Enterprise Value to Revenue5.53
Enterprise Value to EBIT37.24
Enterprise Value to Net Income33
Total Debt to Enterprise0.42
Debt to Equity1.61Debt to Equity

Revenue Sources

No data

Insider Trades

Last Earnings Call

Report Date
July 30, 2026
EPS Estimate
$1.48
Average shareholder expectation
Revenue Estimate
$5.34 B
Average shareholder expectation

Next Earnings Call

Expected Date
October 29, 2026
EPS Estimate
$1.98
Average shareholder expectation
Revenue Estimate
$6.55 B
Average shareholder expectation

Institutional Put/Call Ratio

Market sentiment based on institutional option activity.

Put/Call Ratio0.0000 44.31%
Total Calls- 100.00%
Total Puts- 100.00%

Institutional Ownership

Holdings and activity of institutional investors.

Ownership %5.26% 77.38%
Total Invested$3.82B 93.48%
Investors Holding912 1067.00%

ESG Score

No data

About American Electric Power Company Inc.

2,018 employees

American Electric Power , is a major investor-owned electric utility in the United States, delivering electricity to more than five million customers in 11 states.[citation needed] AEP ranks among the nation's largest generators of elec...

Relevant Senate Committees

Joint Committee on Taxation

This committee provides crucial analysis and revenue estimates for all tax legislation. Its technical expertise and reports directly inform tax policy, which has a fundamental impact on AEP's corporate tax burden and investment incentives.

Finance

As the primary tax-writing committee, its decisions on corporate taxation, tax credits for energy investments, and broader fiscal policy directly impact AEP's profitability, capital allocation, and overall financial health.

Appropriations

This committee directly allocates federal spending. Its decisions can fund infrastructure grants, energy research, or specific projects that AEP could benefit from or participate in, impacting its revenue and investment opportunities.

Energy and Natural Resources

This committee is central to national energy policy, public lands, and the Department of Energy. Its decisions directly impact AEP's generation mix, infrastructure development, and overall regulatory environment for utilities.

Environment and Public Works

This committee directly regulates the EPA and Nuclear Regulatory Commission (NRC), both critical for AEP's environmental compliance and nuclear generation facilities. It also influences infrastructure spending, relevant for AEP's extensive transmission system.