American Electric Power Co Inc AEP
Stock research in plain language · As of Oct 04, 2026 · updated once a week, after the trading week closes
What the company does
American Electric Power Co Inc is a large-cap company in the Utilities sector (Utilities - Regulated Electric), with a market value of $65.1B, based in the USA.
It employs about 17,581 people and has been listed since Jan 02, 1970.
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, nuclear, natural gas, renewable, hydro, solar, wind, and other energy sources; owns, operates, maintains, and invests in transmission infrastructure; and engages in the retail supply, and wholesale energy trading and marketing businesses.
Cheap or expensive? priced in line with its group
Its price-to-earnings (P/E) is 20.7 versus 19.6 for the median of the Utilities sector in our universe (7 companies) — priced in line with its group.
Revenue is growing 7% versus the same quarter last year.
On analysts' next-year forecasts the multiple drops to 17.2 — they expect higher earnings.
The average analyst price target is 142.53, 19% above the current price (their view, not ours).
The stock sits at 32% of its one-year range (0% = the low, 100% = the high).
The risks
- • Net debt is 1.6× shareholders' equity — high leverage.
Strengths
- ✅ Profitable — 13 of every 100 dollars of revenue stays as profit.
- ✅ Generates free cash flow — profit becomes cash in the bank.
- ✅ Most analysts rate it buy (13 vs 0).
- ✅ Pays a dividend (3.2% a year).
What changed this week
Over the past week the stock rose 1.0% (for comparison: S&P 500 -0.2%, sector ETF XLU +0.8%).
This week's news
- Jefferies Lifts Bloom Energy Target but Flags Project Risks finance.yahoo.com · 2026-09-29
A description of facts from the filings and the market — not investment advice or a recommendation. "Cheap" and "expensive" are always relative to the comparison group.