Bull Rankings model

American Electric Power Company, Inc. (AEP) stock analysis

Utilities - Regulated Electric. Scored on the same transparent model behind the daily rankings.

★
AEP
American Electric Power Company, Inc. · Utilities - Regulated Electric
56.1Score
$122.81Oct 9 close$66.9B
1Y Target$142.53Analyst consensus · 20 analysts
5Y Target$249.28Compound horizon
10Y Target$445.51Long-dated conviction
FCF-$2.4bTTM · 06/26
F
FCF is negative (-$2.4b) — cash-burning phase; acceptable only for pre-profit spec names · Trailing twelve months to 06/26 (operating cash flow − capex).
Rev+10.9%FY YoY
B
Revenue +10.9% — at or above S&P median · Computed from the last two annual revenue figures (FY YoY).
D/E1.61
B
D/E 1.61 — near the Utilities debt median (≈60th pctile)
P/S*2.9x
B
P/S 2.9x — near the Utilities median (≈60th pctile)
PEG2.23
C
PEG 2.23 — expensive relative to growth rate

* P/S replaces P/E — no positive earnings to divide by

Targets: 1-year is analyst consensus where covered, 5- and 10-year are model estimates; the DCF is a cross-check, not a target. Methodology

Quality-growth score · 56.1
Quality46.8
Growth68.8
Value54.9
Entry · Margin of safety
52-week rangeMid-range
13% off the 12-month high

Model-generatedFrom reported fundamentals, checked against the figures above · Editorial standards

Why now
Utilities - Regulated Electric · market cap $66.9b. 13% off the 52-week high of $140.58. Revenue growing +11%, comfortably above the S&P median. 20 sell-side analysts rate this a Buy with a mean 1-yr target of $142.53 (implying +16% upside).
Moat
Net margin 14% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 10% meets the long-run market sustainable threshold — solid but not differentiated; the durability comes from elsewhere. $66.9b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk
Free cash flow is negative (-$2.4b) — capital raises or debt issuance likely required; dilution / leverage risk.
Horizon
1-3 yr $142.53 (20-analyst consensus) — catalyst-driven; binary events dominate. 5 yr $249.28 — requires the platform / technology to reach commercial scale. 10 yr $445.51 — return distribution heavily skewed.

AEP vs the Top Picks average

PillarAEPBook avgDiff
Quality4783-36
Growth6989-20
Value5576-21

Average of today's Top 30 (mean score 82.6); size and sector limits also decide the book.

Trend
-3.2 over 82 daily scores
From 59.3 (Jun 22) → 56.1 (now)

One point per daily run; read From → To for the actual range.

AEP at a glance

THE BULL RANKINGS SCORECARD56.1/ 100 · BULL SCOREPEER MEDIANQUALITY46.8GROWTH68.8VALUE54.9
PRICE IN ITS 52-WEEK RANGE$123LOW $113HIGH $141Trading at the 37th percentile of its 52-week range ($113–$141).
WHERE THIS SCORE SITS0255075100AEP 56.1Top 35% of 1,709 companies on the quality-growth score.
ONE-YEAR MOVE VS ITS BETAFLATThis stock+5%Trailing one-year price change. Price history is not an inputto the Bull Rankings score.

Same audited fundamentals as the score, unless a card says otherwise.

Analyst estimate revisions

30-day change+0.0%
90-day change-0.0%
Forward EPS estimate$6.86

Over the last 90 days, what analysts expect AEP to earn is essentially unchanged. The estimate is derived from price and forward P/E captured at the same instant, so a moving share price does not move this number — only a changed forecast does.

Estimates move both ways and are not part of the Bull Rankings score. Biggest movers →

Shares to buy
16
Position size
$1,965
3.9% of portfolio
Stop price
$92.11
25% below $122.81
$ at risk if stopped
$491.24
budget $500.00 · 1% of portfolio

Math only: excludes commissions, slippage and gap risk. Inputs stay in your browser.

American Electric Power Company, Inc. (AEP): score, valuation & FAQ

American Electric Power Company, Inc. (AEP) is a Utilities - Regulated Electric company that scores 56.1 out of 100 on the Bull Rankings quality-growth model — a middling reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.

The model flags FCF (F) as weaker areas.

Is AEP a good stock to buy?

Bull Rankings scores AEP 56.1 out of 100 on its quality-growth model, which is a middling reading. A score is a quantitative screen of American Electric Power Company, Inc.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

Why does AEP score 56.1 on Bull Rankings?

The score leans on growth at 68.8 out of 100, with quality the weakest pillar at 46.8 — the three combine geometrically, so a weak one cannot be papered over by a strong one. AEP grades middle-of-pack across the graded signals, and is held back by FCF (F). Each signal is graded against sector-aware thresholds rather than one absolute bar, so AEP is measured against Utilities - Regulated Electric peers, not against the market as a whole.

Is AEP overvalued or undervalued?

We don't compute a reliable discounted-cash-flow value for AEP — typically because it is not yet consistently profitable or free-cash-flow positive — so its valuation rests on growth and price-to-sales rather than on earnings-based intrinsic value. Judge it on the trajectory of the business, not a single multiple.

What are the main risks of investing in AEP?

Free cash flow is negative (-$2.4b) — capital raises or debt issuance likely required; dilution / leverage risk.

New to these metrics? See the guides and the methodology.

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