Stock Analiz

American Electric Power Co. Inc. AEP

Electric Utilities: Central · data as of November 13, 2026

$129.18Market cap $70.3B
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American Electric Power Co. Inc. (AEP) is a utility company listed in the US with a market value of about $70.3B. In the twelve months to September 30, 2026 it had revenue of $23.6B and net income of $3.4B, a net margin of 14.2%.

Its overall Stock Analiz score is 1.6 out of 5 (weak). The strongest part is shareholder returns (3/5); the weakest is financial health (0/5).

Key numbers: a P/E of 21.1, 5-year revenue growth of 8% a year, a 5-year average ROIC of 6%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 22% below the current price.

Score: 1.6 / 5

Value2/5
Future growth2/5
Track record1/5
Financial health0/5
Shareholder returns3/5

Checks passed

  • P/E below 25
  • P/E below the industry median
  • Revenue growth above 10% last year
  • Profit margin improving
  • Profitable 5 years in a row
  • Pays a dividend
  • Dividend 3 years in a row
  • Stock-based pay below 5% of revenue

Checks not passed

  • P/FCF below 20
  • Price below intrinsic value (DCF, moderate assumptions)
  • PEG below 1.5
  • 3-year revenue growth above 10% a year
  • 3-year free cash flow growth above 10% a year
  • Strong R&D investment or growth above 20%
  • 5-year EPS growth above 10% a year
  • 5-year revenue growth above 8% a year

Valuation

P/E (TTM)21.1
Forward P/E19.9
P/FCF—
P/S3.0
P/B2.2
EV/EBITDA12.7
PEG2.46
Dividend yield3.00%
FCF yield-11.8%
Shareholder yield3.0%
Intrinsic value vs. price−22%

Growth and quality

Revenue growth (1 yr)10.9%
Revenue growth (5 yrs, per year)8.0%
EPS growth (5 yrs, per year)8.6%
FCF growth (3 yrs, per year)—
Net margin (5-yr avg.)13.9%
ROIC (5-yr avg.)5.6%
Profitable years (of last 10)10
Years paying a dividend9

Financials, last 10 years

Fiscal yearTTM2025202420232022202120202019201820172016
Revenue$23.6B$21.9B$19.7B$19.5B$19.6B$16.8B$14.9B$15.6B$16.2B$15.4B$16.4B
Net income$3.4B$3.6B$3.0B$2.2B$2.3B$2.5B$2.2B$1.9B$1.9B$1.9B$611M
Free cash flow-$8.3B$3.5B$6.4B$4.9B——$3.8B$3.4B$5.2B$4.3B$4.4B
EPS (diluted)$6.13$6.66$5.58$4.24$4.49$4.96$4.42$3.88$3.90$3.88$1.24
Net margin14.2%16.4%15.0%11.3%11.8%14.8%14.8%12.3%11.9%12.4%3.7%
ROIC—6.5%4.8%5.3%5.7%5.8%5.6%4.3%6.0%5.9%2.4%

From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.

What analysts expect

The average 12-month price target from 22 analysts is $141.57, 10% above the current price; targets range from $126.00 to $153.00; the consensus rating is “Buy”; expected EPS is $6.46 for the fiscal year ending December 31, 2026.

Frequently asked questions

What is American Electric Power Co.’s P/E ratio?

About 21.1, based on the last twelve months of diluted earnings per share (forward P/E about 19.9).

Is American Electric Power Co. stock undervalued?

Our DCF model with moderate assumptions puts its intrinsic value about 22% below the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.

Does American Electric Power Co. pay a dividend?

Yes. The dividend yield is about 3.00%, and it has paid dividends for 9 years in our data.

Is American Electric Power Co. a good stock to buy?

We do not give buy or sell advice. American Electric Power Co. scores 1.6 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.

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Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.