(AEP) American Electric Power - Ratings and Ratios
Exchange: NASDAQ •
Country: United States •
Currency: USD •
Type: Common Stock •
ISIN: US0255371017
Electricity, Transmission, Distribution, Generation
Dividends
| Dividend Yield | 3.18% |
| Yield on Cost 5y | 5.36% |
| Yield CAGR 5y | 5.89% |
| Payout Consistency | 96.5% |
| Payout Ratio | 62.2% |
| Risk via 10d forecast | |
|---|---|
| Volatility | 19.8% |
| Value at Risk 5%th | 31.6% |
| Relative Tail Risk | -2.90% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 1.09 |
| Alpha | 20.44 |
| CAGR/Max DD | 0.43 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.387 |
| Beta | 0.068 |
| Beta Downside | 0.132 |
| Drawdowns 3y | |
|---|---|
| Max DD | 25.57% |
| Mean DD | 7.63% |
| Median DD | 5.91% |
Description: AEP American Electric Power December 03, 2025
American Electric Power (AEP) is a vertically integrated electric utility that generates, transmits, and distributes electricity to roughly 5.6 million retail and wholesale customers across the United States. Its operations are split among four segments-Vertically Integrated Utilities, Transmission & Distribution Utilities, AEP Transmission Holdco, and Generation & Marketing-covering about 225 k miles of distribution lines, 40 k miles of transmission lines, and 23 GW of regulated owned generation capacity sourced from coal, natural gas, nuclear, hydro, solar, wind, and other resources.
Key recent metrics: AEP reported FY 2023 adjusted EBITDA of $9.2 billion and a regulated rate base of approximately $71 billion, supporting its ability to fund capital projects. The company’s FY 2024 Q2 adjusted EPS was $0.96, and it maintains a dividend yield near 3.3 % with a payout ratio of ~70 %. AEP’s capital-expenditure plan targets $3.5 billion in 2024, emphasizing grid modernization and a $2 billion commitment to renewable and low-carbon generation-a response to tightening FERC regulations and the broader industry shift toward decarbonization.
For a deeper, data-driven view of AEP’s valuation dynamics and scenario analysis, consider exploring the detailed model on ValueRay.
Piotroski VR‑10 (Strict, 0-10) 3.0
| Net Income (3.66b TTM) > 0 and > 6% of Revenue (6% = 1.29b TTM) |
| FCFTA 0.02 (>2.0%) and ΔFCFTA 2.50pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -14.63% (prev -23.25%; Δ 8.62pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.06 (>3.0%) and CFO 6.86b > Net Income 3.66b (YES >=105%, WARN >=100%) |
| Net Debt (46.78b) to EBITDA (9.08b) ratio: 5.15 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.69 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (538.0m) change vs 12m ago 0.82% (target <= -2.0% for YES) |
| Gross Margin 37.10% (prev 29.61%; Δ 7.49pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 20.38% (prev 19.88%; Δ 0.51pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 2.90 (EBITDA TTM 9.08b / Interest Expense TTM 1.96b) >= 6 (WARN >= 3) |
Altman Z'' 0.88
| (A) -0.03 = (Total Current Assets 6.86b - Total Current Liabilities 10.00b) / Total Assets 110.25b |
| (B) 0.14 = Retained Earnings (Balance) 15.37b / Total Assets 110.25b |
| (C) 0.05 = EBIT TTM 5.68b / Avg Total Assets 105.19b |
| (D) 0.24 = Book Value of Equity 18.83b / Total Liabilities 78.71b |
| Total Rating: 0.88 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 62.42
| 1. Piotroski 3.0pt |
| 2. FCF Yield 1.92% |
| 3. FCF Margin 10.10% |
| 4. Debt/Equity 1.58 |
| 5. Debt/Ebitda 5.15 |
| 6. ROIC - WACC (= 2.76)% |
| 7. RoE 12.79% |
| 8. Rev. Trend 62.96% |
| 9. EPS Trend 56.66% |
What is the price of AEP shares?
As of December 07, 2025, the stock is trading at USD 117.54 with a total of 3,166,398 shares traded.
Over the past week, the price has changed by -5.03%, over one month by -1.08%, over three months by +9.58% and over the past year by +24.82%.
Over the past week, the price has changed by -5.03%, over one month by -1.08%, over three months by +9.58% and over the past year by +24.82%.
Is AEP a buy, sell or hold?
American Electric Power has received a consensus analysts rating of 3.29.
Therefor, it is recommend to hold AEP.
- Strong Buy: 2
- Buy: 4
- Hold: 14
- Sell: 0
- Strong Sell: 1
What are the forecasts/targets for the AEP price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 128.6 | 9.4% |
| Analysts Target Price | 128.6 | 9.4% |
| ValueRay Target Price | 134.5 | 14.4% |
AEP Fundamental Data Overview November 29, 2025
Market Cap USD = 66.25b (66.25b USD * 1.0 USD.USD)
P/E Trailing = 18.095
P/E Forward = 19.5695
P/S = 3.1166
P/B = 2.1568
P/EG = 2.2999
Beta = 0.601
Revenue TTM = 21.44b USD
EBIT TTM = 5.68b USD
EBITDA TTM = 9.08b USD
Long Term Debt = 44.24b USD (from longTermDebt, last quarter)
Short Term Debt = 3.15b USD (from shortTermDebt, last quarter)
Debt = 47.89b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 46.78b USD (from netDebt column, last quarter)
Enterprise Value = 112.81b USD (66.25b + Debt 47.89b - CCE 1.33b)
Interest Coverage Ratio = 2.90 (Ebit TTM 5.68b / Interest Expense TTM 1.96b)
FCF Yield = 1.92% (FCF TTM 2.17b / Enterprise Value 112.81b)
FCF Margin = 10.10% (FCF TTM 2.17b / Revenue TTM 21.44b)
Net Margin = 17.08% (Net Income TTM 3.66b / Revenue TTM 21.44b)
Gross Margin = 37.10% ((Revenue TTM 21.44b - Cost of Revenue TTM 13.49b) / Revenue TTM)
Gross Margin QoQ = 47.04% (prev 34.68%)
Tobins Q-Ratio = 1.02 (Enterprise Value 112.81b / Total Assets 110.25b)
Interest Expense / Debt = 1.06% (Interest Expense 508.5m / Debt 47.89b)
Taxrate = 10.52% (117.6m / 1.12b)
NOPAT = 5.08b (EBIT 5.68b * (1 - 10.52%))
Current Ratio = 0.69 (Total Current Assets 6.86b / Total Current Liabilities 10.00b)
Debt / Equity = 1.58 (Debt 47.89b / totalStockholderEquity, last quarter 30.39b)
Debt / EBITDA = 5.15 (Net Debt 46.78b / EBITDA 9.08b)
Debt / FCF = 21.60 (Net Debt 46.78b / FCF TTM 2.17b)
Total Stockholder Equity = 28.63b (last 4 quarters mean from totalStockholderEquity)
RoA = 3.32% (Net Income 3.66b / Total Assets 110.25b)
RoE = 12.79% (Net Income TTM 3.66b / Total Stockholder Equity 28.63b)
RoCE = 7.80% (EBIT 5.68b / Capital Employed (Equity 28.63b + L.T.Debt 44.24b))
RoIC = 6.79% (NOPAT 5.08b / Invested Capital 74.84b)
WACC = 4.04% (E(66.25b)/V(114.14b) * Re(6.27%) + D(47.89b)/V(114.14b) * Rd(1.06%) * (1-Tc(0.11)))
Discount Rate = 6.27% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 8.05%
Shares Correlation 3-Years: 100.0 | Cagr: 1.34%
[DCF Debug] Terminal Value 72.00% ; FCFE base≈2.17b ; Y1≈1.52b ; Y5≈801.5m
Fair Price DCF = 28.86 (DCF Value 15.42b / Shares Outstanding 534.1m; 5y FCF grow -34.76% → 3.0% )
EPS Correlation: 56.66 | EPS CAGR: 17.60% | SUE: -1.34 | # QB: 0
Revenue Correlation: 62.96 | Revenue CAGR: 11.20% | SUE: 1.57 | # QB: 1
EPS next Quarter (2026-03-31): EPS=1.55 | Chg30d=+0.027 | Revisions Net=+2 | Analysts=9
EPS next Year (2026-12-31): EPS=6.31 | Chg30d=+0.021 | Revisions Net=+9 | Growth EPS=+6.8% | Growth Revenue=+8.3%
P/E Trailing = 18.095
P/E Forward = 19.5695
P/S = 3.1166
P/B = 2.1568
P/EG = 2.2999
Beta = 0.601
Revenue TTM = 21.44b USD
EBIT TTM = 5.68b USD
EBITDA TTM = 9.08b USD
Long Term Debt = 44.24b USD (from longTermDebt, last quarter)
Short Term Debt = 3.15b USD (from shortTermDebt, last quarter)
Debt = 47.89b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 46.78b USD (from netDebt column, last quarter)
Enterprise Value = 112.81b USD (66.25b + Debt 47.89b - CCE 1.33b)
Interest Coverage Ratio = 2.90 (Ebit TTM 5.68b / Interest Expense TTM 1.96b)
FCF Yield = 1.92% (FCF TTM 2.17b / Enterprise Value 112.81b)
FCF Margin = 10.10% (FCF TTM 2.17b / Revenue TTM 21.44b)
Net Margin = 17.08% (Net Income TTM 3.66b / Revenue TTM 21.44b)
Gross Margin = 37.10% ((Revenue TTM 21.44b - Cost of Revenue TTM 13.49b) / Revenue TTM)
Gross Margin QoQ = 47.04% (prev 34.68%)
Tobins Q-Ratio = 1.02 (Enterprise Value 112.81b / Total Assets 110.25b)
Interest Expense / Debt = 1.06% (Interest Expense 508.5m / Debt 47.89b)
Taxrate = 10.52% (117.6m / 1.12b)
NOPAT = 5.08b (EBIT 5.68b * (1 - 10.52%))
Current Ratio = 0.69 (Total Current Assets 6.86b / Total Current Liabilities 10.00b)
Debt / Equity = 1.58 (Debt 47.89b / totalStockholderEquity, last quarter 30.39b)
Debt / EBITDA = 5.15 (Net Debt 46.78b / EBITDA 9.08b)
Debt / FCF = 21.60 (Net Debt 46.78b / FCF TTM 2.17b)
Total Stockholder Equity = 28.63b (last 4 quarters mean from totalStockholderEquity)
RoA = 3.32% (Net Income 3.66b / Total Assets 110.25b)
RoE = 12.79% (Net Income TTM 3.66b / Total Stockholder Equity 28.63b)
RoCE = 7.80% (EBIT 5.68b / Capital Employed (Equity 28.63b + L.T.Debt 44.24b))
RoIC = 6.79% (NOPAT 5.08b / Invested Capital 74.84b)
WACC = 4.04% (E(66.25b)/V(114.14b) * Re(6.27%) + D(47.89b)/V(114.14b) * Rd(1.06%) * (1-Tc(0.11)))
Discount Rate = 6.27% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 8.05%
Shares Correlation 3-Years: 100.0 | Cagr: 1.34%
[DCF Debug] Terminal Value 72.00% ; FCFE base≈2.17b ; Y1≈1.52b ; Y5≈801.5m
Fair Price DCF = 28.86 (DCF Value 15.42b / Shares Outstanding 534.1m; 5y FCF grow -34.76% → 3.0% )
EPS Correlation: 56.66 | EPS CAGR: 17.60% | SUE: -1.34 | # QB: 0
Revenue Correlation: 62.96 | Revenue CAGR: 11.20% | SUE: 1.57 | # QB: 1
EPS next Quarter (2026-03-31): EPS=1.55 | Chg30d=+0.027 | Revisions Net=+2 | Analysts=9
EPS next Year (2026-12-31): EPS=6.31 | Chg30d=+0.021 | Revisions Net=+9 | Growth EPS=+6.8% | Growth Revenue=+8.3%
Additional Sources for AEP Stock
News:
Wall Street Journal |
Benzinga |
Yahoo Finance
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle