(AEP) American Electric Power - Ratings and Ratios
Exchange: NASDAQ •
Country: United States •
Currency: USD •
Type: Common Stock •
ISIN: US0255371017
Electricity, Transmission, Distribution, Generation
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 3.42% |
| Yield on Cost 5y | 5.44% |
| Yield CAGR 5y | 5.67% |
| Payout Consistency | 96.6% |
| Payout Ratio | 62.2% |
| Risk via 5d forecast | |
|---|---|
| Volatility | 18.5% |
| Value at Risk 5%th | 29.5% |
| Relative Tail Risk | -3.16% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 1.08 |
| Alpha | 21.69 |
| CAGR/Max DD | 0.56 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.489 |
| Beta | 0.069 |
| Beta Downside | 0.131 |
| Drawdowns 3y | |
|---|---|
| Max DD | 23.36% |
| Mean DD | 6.53% |
| Median DD | 5.42% |
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 |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA 2.50 > 1.0 |
| NWC/Revenue: -14.63% < 20% (prev -23.25%; Δ 8.62% < -1%) |
| CFO/TA 0.06 > 3% & CFO 6.86b > Net Income 3.66b |
| Net Debt (46.78b) to EBITDA (9.08b): 5.15 < 3 |
| Current Ratio: 0.69 > 1.5 & < 3 |
| Outstanding Shares: last quarter (538.0m) vs 12m ago 0.82% < -2% |
| Gross Margin: 37.10% > 18% (prev 0.30%; Δ 3680 % > 0.5%) |
| Asset Turnover: 20.38% > 50% (prev 19.88%; Δ 0.51% > 0%) |
| Interest Coverage Ratio: 2.90 > 6 (EBITDA TTM 9.08b / Interest Expense TTM 1.96b) |
Altman Z'' (< 1.1 .. > 2.6) 0.88
| A: -0.03 (Total Current Assets 6.86b - Total Current Liabilities 10.00b) / Total Assets 110.25b |
| B: 0.14 (Retained Earnings 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= B |
ValueRay F-Score (Strict, 0-100) 58.87
| 1. Piotroski: 3.0pt |
| 2. FCF Yield: 1.95% |
| 3. FCF Margin: 10.10% |
| 4. Debt/Equity: 1.58 |
| 5. Debt/Ebitda: 5.15 |
| 6. ROIC - WACC: 2.85% |
| 7. RoE: 12.79% |
| 8. Revenue Trend: 62.96% |
| 9. EPS Trend: -17.18% |
What is the price of AEP shares?
As of January 22, 2026, the stock is trading at USD 118.98 with a total of 3,632,603 shares traded.
Over the past week, the price has changed by +0.74%, over one month by +3.80%, over three months by +2.12% and over the past year by +25.88%.
Over the past week, the price has changed by +0.74%, over one month by +3.80%, over three months by +2.12% and over the past year by +25.88%.
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 | 128.5 | 8% |
| Analysts Target Price | 128.5 | 8% |
| ValueRay Target Price | 137.7 | 15.7% |
AEP Fundamental Data Overview January 20, 2026
P/E Trailing = 17.5637
P/E Forward = 19.084
P/S = 3.0207
P/B = 2.1083
P/EG = 2.2035
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 = 110.77b USD (64.21b + Debt 47.89b - CCE 1.33b)
Interest Coverage Ratio = 2.90 (Ebit TTM 5.68b / Interest Expense TTM 1.96b)
EV/FCF = 51.15x (Enterprise Value 110.77b / FCF TTM 2.17b)
FCF Yield = 1.95% (FCF TTM 2.17b / Enterprise Value 110.77b)
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 = 1.00 (Enterprise Value 110.77b / 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 = 3.48% (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 = 3.94% (E(64.21b)/V(112.10b) * Re(6.17%) + D(47.89b)/V(112.10b) * Rd(1.06%) * (1-Tc(0.11)))
Discount Rate = 6.17% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.95%
Shares Correlation 3-Years: 100.0 | Cagr: 1.34%
[DCF Debug] Terminal Value 81.94% ; FCFF base≈2.17b ; Y1≈1.52b ; Y5≈799.5m
Fair Price DCF = N/A (negative equity: EV 25.13b - Net Debt 46.78b = -21.66b; debt exceeds intrinsic value)
[DCF Warning] FCF declining rapidly (-34.76%), DCF may be unreliable
EPS Correlation: -17.18 | EPS CAGR: -46.98% | SUE: -4.0 | # QB: 0
Revenue Correlation: 62.96 | Revenue CAGR: 11.20% | SUE: 1.57 | # QB: 1
EPS next Quarter (2026-03-31): EPS=1.57 | Chg30d=+0.021 | Revisions Net=+2 | Analysts=9
EPS next Year (2026-12-31): EPS=6.32 | Chg30d=+0.002 | Revisions Net=+4 | Growth EPS=+6.9% | Growth Revenue=+8.6%
P/E Forward = 19.084
P/S = 3.0207
P/B = 2.1083
P/EG = 2.2035
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 = 110.77b USD (64.21b + Debt 47.89b - CCE 1.33b)
Interest Coverage Ratio = 2.90 (Ebit TTM 5.68b / Interest Expense TTM 1.96b)
EV/FCF = 51.15x (Enterprise Value 110.77b / FCF TTM 2.17b)
FCF Yield = 1.95% (FCF TTM 2.17b / Enterprise Value 110.77b)
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 = 1.00 (Enterprise Value 110.77b / 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 = 3.48% (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 = 3.94% (E(64.21b)/V(112.10b) * Re(6.17%) + D(47.89b)/V(112.10b) * Rd(1.06%) * (1-Tc(0.11)))
Discount Rate = 6.17% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.95%
Shares Correlation 3-Years: 100.0 | Cagr: 1.34%
[DCF Debug] Terminal Value 81.94% ; FCFF base≈2.17b ; Y1≈1.52b ; Y5≈799.5m
Fair Price DCF = N/A (negative equity: EV 25.13b - Net Debt 46.78b = -21.66b; debt exceeds intrinsic value)
[DCF Warning] FCF declining rapidly (-34.76%), DCF may be unreliable
EPS Correlation: -17.18 | EPS CAGR: -46.98% | SUE: -4.0 | # QB: 0
Revenue Correlation: 62.96 | Revenue CAGR: 11.20% | SUE: 1.57 | # QB: 1
EPS next Quarter (2026-03-31): EPS=1.57 | Chg30d=+0.021 | Revisions Net=+2 | Analysts=9
EPS next Year (2026-12-31): EPS=6.32 | Chg30d=+0.002 | Revisions Net=+4 | Growth EPS=+6.9% | Growth Revenue=+8.6%
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