AEP

Utilities

American Electric Power Company, Inc. · Regulated Electric · $72B

UQS Score — Balanced Preset
50.1
Below Average

American Electric Power Company, Inc. scores 50.1/100 using the Balanced preset.

UQS vs Utilities Sector
AEP
50.1
Sector avg
43.5
Quality
Good
Moat
Neutral
Growth
Neutral
Risk
Weak
Valuation
Neutral

What is American Electric Power Company, Inc.?

American Electric Power is one of the largest electric utilities in the United States, serving millions of customers across multiple states through its generation, transmission, and distribution networks.

AEP generates electricity from a diverse mix of sources — including coal, natural gas, nuclear, wind, and solar — and delivers it to retail and wholesale customers. The company operates through regulated utility segments as well as a transmission holding company, earning revenue primarily through regulated rate structures approved by state and federal authorities.

Incorporated in 1906, AEP is headquartered in Columbus, Ohio.

  • Regulated electric generation and distribution
  • High-voltage transmission infrastructure
  • Wholesale power marketing
  • Renewable energy development

Is AEP a Good Stock to Buy?

UQS Score rates AEP as Below Average overall.

AEP's Quality pillar stands out as its strongest dimension, reflecting the stability typical of large regulated utilities. The company's established infrastructure and regulated revenue base provide a degree of earnings predictability that supports its quality profile.

The Risk pillar is rated Weak, which is the most notable drag on AEP's composite score — investors should weigh the company's leverage profile and regulatory exposure carefully.

Sign up to see the full pillar breakdown and the financial metrics behind each rating. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does AEP pay dividends?

Yes — American Electric Power Company, Inc. pays a dividend.

AEP pays a regular dividend, consistent with the income-oriented tradition of large regulated utilities. The dividend is supported by relatively predictable regulated cash flows, making it a common consideration for income-focused investors evaluating the utilities sector.

When does AEP report earnings?

American Electric Power reports earnings on a quarterly cadence, typical for US-listed equities.

As a regulated utility, AEP's quarterly results tend to reflect rate case outcomes, capital investment levels, and weather-driven demand. Revenue and earnings variability is generally lower than in unregulated sectors, though rising interest costs and infrastructure spending remain ongoing factors.

For the most recent quarter's results, visit American Electric Power's investor relations page directly.

AEP Price History

+82.4% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in American Electric Power Company, Inc.?

$
Today it would be worth
$17,553
That's a +75.5% total return, or +11.9% annualized.

Based on American Electric Power Company, Inc.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

Frequently Asked Questions

What does American Electric Power do?

AEP generates, transmits, and distributes electricity to retail and wholesale customers across multiple US states. It operates regulated utility subsidiaries and a transmission holding company, drawing on an energy mix that includes natural gas, coal, nuclear, wind, and solar.

Does AEP pay dividends?

Yes, AEP pays a regular dividend. Regulated utilities like AEP have historically prioritized dividend income as part of their investor value proposition, supported by relatively stable, rate-regulated cash flows.

When does AEP report earnings?

AEP reports on a standard quarterly schedule. For confirmed dates and the latest results, check the investor relations section of the American Electric Power website.

Is AEP a good stock to buy?

UQS Score rates AEP as Below Average overall. While its Quality pillar is rated Good, the Weak Risk rating is a meaningful concern. Whether AEP fits your portfolio depends on your income needs, risk tolerance, and view of the regulated utility sector.

Is AEP overvalued?

AEP's Valuation pillar is rated Neutral, suggesting its current pricing is neither clearly cheap nor expensive relative to the framework used in the UQS model. Pro members can view the detailed valuation metrics behind this rating.

What is AEP's market cap bracket?

AEP is classified as a large-cap utility, placing it among the bigger publicly traded electric utilities in the United States.

Is AEP a long-term quality investment?

As a long-term quality indicator, AEP's UQS profile is mixed. Its regulated business model supports consistency, but the Weak Risk pillar suggests structural pressures — such as debt levels and regulatory risk — that long-term investors should evaluate carefully.

What sector does AEP belong to?

AEP operates in the Utilities sector, specifically as a regulated electric utility. This sector is generally characterized by stable demand, regulated pricing, and capital-intensive infrastructure requirements.

Unlock Full AEP Analysis

Sign in to unlock the detailed analysis behind the UQS Score.

  • View the exact UQS pillar scores across Quality, Moat, Growth, Risk, and Valuation
  • Access the underlying financial metrics driving each pillar rating
  • Compare AEP side-by-side with peers like Dominion Energy and National Grid
  • Screen utilities by pillar strength using Pro filters
Analyze AEP in Detail →

Pro Analysis

AEP — Score History

4045505560Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 29 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 23, 202649.966.159.050.07.350.5-0.1
May 22, 202650.066.159.050.07.350.80.0
May 20, 202650.066.159.050.07.350.9-0.1
May 19, 202650.166.159.050.07.351.40.0
May 16, 202650.166.159.050.07.351.8+0.1
May 15, 202650.066.159.049.87.351.10.0
May 14, 202650.066.159.049.87.351.2+0.1
May 13, 202649.966.159.049.97.350.20.0
May 12, 202649.966.159.049.97.350.40.0
May 11, 202649.966.159.049.77.350.5-0.1

AEP — Pillar Breakdown

Quality

66.1/100 (25%)

American Electric Power Company, Inc. shows solid profitability with healthy returns on capital and reasonable margins.

Capital Efficiency (ROIC)Weak

How effectively capital is deployed to generate returns.

Return on EquityModerate

Profitability relative to shareholders' equity.

Operating ProfitabilityStrong

Ability to convert revenue into operating profit.

Net ProfitabilityStrong

Bottom-line profit as a share of revenue.

Gross Profit / AssetsWeak

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationStrong

Free cash flow relative to market value.

Growth

50.0/100 (20%)

American Electric Power Company, Inc. shows steady but unspectacular growth, typical for mature companies.

Recent Revenue TrendModerate

Revenue trajectory over the last twelve months.

3Y Revenue CAGRWeak

Compound annual revenue growth rate over 3 years.

EPS GrowthStrong

Year-over-year earnings per share growth.

Forward Revenue OutlookModerate

Analyst consensus for future revenue growth.

Forward EPS GrowthWeak

Analyst consensus for future earnings growth.

Risk

7.3/100 (15%)

American Electric Power Company, Inc. presents elevated risk with concerns around leverage or financial stability.

Financial LeverageWeak

Debt levels relative to earnings capacity.

Debt/EquityWeak

Total debt relative to shareholder equity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

51.8/100 (15%)

American Electric Power Company, Inc. has a mixed valuation — some metrics suggest fair value while others appear stretched.

Earnings YieldModerate

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowStrong

How many years of FCF the market cap represents.

PEG RatioWeak

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorModerate

Enterprise value multiple relative to sector median.

Moat

59/100 (25%)

American Electric Power Company, Inc. has meaningful competitive advantages that should protect its market position. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for AEP.

Score Composition

Quality
66.1×25%16.5
Growth
50.0×20%10.0
Risk
7.3×15%1.1
Valuation
51.8×15%7.8
Moat
59.0×25%14.8
Total
50.1Below Average

Financial Data

More Stock Analysis

How is the AEP UQS Score Calculated?

The UQS (Unified Quality Score) for American Electric Power Company, Inc. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses American Electric Power Company, Inc.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether American Electric Power Company, Inc. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.