Nasdaq · Electric Services
Quote as of Oct 9, 2:30 PM ET · delayed
Fairly Valued. Our fair value estimate is USD 121.60 against a price of USD 122.83, -1% implied downside. Reasoning and scenarios are in American Electric Power stock: load growth meets a $78 billion bill.
American Electric Power CO declared USD 3.74 per share in dividends in FY2025, up 4.8% from USD 3.57 in FY2024. At USD 122.83 that is a 3.04% trailing yield. The dividend took 56% of FY2025 diluted EPS of USD 6.66.
American Electric Power stock has a stronger 2026 earnings guide and 69 GW of contracted load growth, but the demand story carries a large financing and execution burden. Today’s rise has no verified company-specific cause.
StockLarge CapUtilitiesNo earnings notes for this company yet.
Revenue (USD, billions)
Margins (%)
Free cash flow (USD, billions)
Estimated ROIC (%)
Net debt (USD, billions)
Monetary values are in USD; revenue, FCF and net debt are in billions; EPS is per share. Missing values appear as gaps and “Not available.” Source: SEC EDGAR XBRL filings, latest restated values; quarterly cash flow derived from year-to-date figures; Q4 = fiscal year minus nine months. ROIC is NOPAT (21% tax) over debt plus equity.
| Period | Revenue | Gross % | Op % | FCF | EPS | ROIC % | Net debt |
|---|---|---|---|---|---|---|---|
| FY2016 | 16.4 | Not available | 7.11 | 4.41 | 1.24 | 2.44 | 20.1 |
| FY2017 | 15.4 | Not available | 22.9 | 4.27 | 3.88 | 7.06 | 21.0 |
| FY2018 | 16.2 | Not available | 16.6 | 5.22 | 3.90 | 5.00 | 23.1 |
| FY2019 | 15.6 | Not available | 16.7 | 3.35 | 3.88 | 4.42 | 26.5 |
| FY2020 | 14.9 | Not available | 20.0 | 3.83 | 4.42 | 4.57 | 30.7 |
| FY2021 | 16.8 | Not available | 20.3 | Not available | 4.96 | 4.73 | 34.1 |
| FY2022 | 19.6 | Not available | 17.7 | Not available | 4.49 | 4.53 | 36.3 |
| FY2023 | 19.0 | Not available | 18.7 | Not available | 4.24 | 4.30 | 39.8 |
| FY2024 | 19.7 | Not available | 21.8 | Not available | 5.58 | 4.89 | 42.4 |
| FY2025 | 21.9 | Not available | 24.3 | Not available | 6.66 | 5.36 | 47.1 |
Current price
USD 122.83
Fair value estimate
USD 121.60
Implied upside
-1.0%
Bear
25%USD 102
Illustrative direct equity valuation using 2026 operating-EPS guidance midpoint × assumed P/E; no enterprise-value adjustment.
This case assumes a lower earnings multiple as execution, financing and regulatory recovery risks outweigh the contracted-load growth opportunity.
Base
50%USD 122
Illustrative direct equity valuation using 2026 operating-EPS guidance midpoint × assumed P/E; no enterprise-value adjustment.
The midpoint case gives credit for raised guidance and contracted demand while recognizing the substantial capital programme and execution burden.
Bull
25%USD 141
Illustrative direct equity valuation using 2026 operating-EPS guidance midpoint × assumed P/E; no enterprise-value adjustment.
This case assumes sustained confidence in load growth and successful investment execution earns AEP a higher multiple.
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