American Electric Power Company, Inc. (AEP) Stock

American Electric Power Company, Inc. (AEP) is a Utilities stock trading at $120.90 (as of 2026-08-21), with a market capitalization of $65.78B and a trailing P/E of 16.5. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

American Electric Power Company, Inc. is an electric utility holding company that generates, transmits, and distributes electricity for sale to retail and wholesale customers in the United States. It operates through utility and related segments and produces power using multiple sources while also supplying and marketing electricity at wholesale to other utilities, cooperatives, municipalities, and market participants.

Understand American Electric Power Company, Inc.: how it makes money

American Electric Power Company (AEP) generates, transmits, and distributes electricity for sale to retail and wholesale customers in the United States, and it also supplies and markets electric power at wholesale to other electric utility companies.

AEP’s profit engine is delivering electricity across the grid (generation plus transmission and distribution) and earning from supplying power to both retail and wholesale customers using a multi-source generation mix.

Business quality (Solid): We can describe AEP’s business model and operating segments from the provided description, but the input does not include a clean, reportable segment revenue breakdown, so segment-level sizing is not possible here.

Valuation: At 19× earnings, AEP trades 13% below the Utilities average (22×). Note: one-time items can distort reported P/E.

Bull case

  • Multi-source power generation: AEP generates electricity using coal and lignite, natural gas, nuclear, hydro, solar, wind, and other energy sources.
  • Both retail and wholesale customer exposure: AEP sells electricity to retail and wholesale customers and also supplies and markets electric power at wholesale to other electric utility companies.

Bear case

  • Energy mix includes coal and lignite: AEP’s generation includes coal and lignite, which could create exposure to changing economics versus other sources.
  • Wholesale sales add an additional dependence: AEP supplies and markets electric power at wholesale to other electric utility companies, which adds reliance on wholesale power supply and demand conditions.
Valuation — source: SEC EDGAR (first-party)
Price$120.90
Market Cap$65.78B
P/E Ratio16.5
EV / EBITDA20.5
Price / Book1.99
Price / Sales2.91
FCF Yield10.3%
DCF Value (model)$50.60
DCF Upside vs Price-58.1%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$21.88B
Net Margin16.9%
Revenue Growth (YoY)7.3%
EPS Growth (YoY)-12.8%
FCF Growth (YoY)-598.9%
Financial Health — source: SEC EDGAR
Altman Z-Score0.93 (distress)
Valuation vs Sector & Industry
Stock P/E16.5
Sector P/E (Utilities)20.8
Industry P/E (Utilities)20.1
vs Sector-21.0%
vs Industry-18.0%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderBlackRock, Inc. ($6.27B)
Institutional Holders Tracked10
Congressional Trades (recent)10
Company
SectorUtilities
IndustryUtilities
CEOWilliam J. Fehrman
Employees16,330
CountryUS
IPO Date1962-01-02

Related Companies (Business model: Regulated Utility (Electric / Gas); 8 closest by market cap; US-domiciled)

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  • Constellation Energy Corporation (CEG)
  • Dominion Energy, Inc. (D)
  • Entergy Corporation (ETR)
  • Vistra Corp. (VST)
  • DTE Energy Company (DTE)
  • Edison International (EIX)
  • FirstEnergy Corp. (FE)
AEP earnings history · AEP institutional & insider holders · AEP KPIs & operating metrics · AEP financials · AEP investor presentations & press releases · AEP SEC filings · AEP peers · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-08-21.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.