AEPAEP
US • —
$136.76
P/E
20.21
PEG
0.66
FCF Yield
—
Rev Growth YoY
+11.4% YoY
Gross Margin
41.9%
Health Score
6/10
D/E Ratio
1.57
Confidence
LOW
Business Snapshot
American Electric Power (AEP) is a major regulated electric utility holding company serving over 5 million customers across 11 states. It operates primarily through vertically integrated utilities that generate, transmit, and distribute electricity, generating the bulk of its revenues from rate-regulated operations. The company competes in the large-cap utility sector, benefiting from a regulated business model that provides earnings stability and a defensive profile. Its defining characteristic is a large, regulated utility footprint with significant transmission and distribution infrastructure, creating a natural monopoly with predictable cash flows underpinned by regulatory frameworks.
Financial Health
The company holds a gross margin of 41.9% and a net margin of 16.7%, though prior-year margin data is unavailable for comparison, making the trend direction unclear. The balance sheet is moderately leveraged with a debt-to-equity ratio of 1.57x, while a current ratio of 0.45x indicates tight short-term liquidity and potential reliance on capital markets for near-term obligations...
Risk Assessment
- DEBT / LIQUIDITY — Debt/equity of 1.57x and a current ratio of 0.45x indicate a stretched balance sheet with limited short-term liquidity coverage.
- TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed....
The company holds a gross margin of 41.9% and a net margin of 16.7%, though prior-year margin data is unavailable for comparison, making the trend direction unclear. The balance sheet is moderately leveraged with a debt-to-equity ratio of 1.57x, while a current ratio of 0.45x indicates tight short-term liquidity and potential reliance on capital markets for near-term obligations. Return on equity stands at 11.8%, reflecting reasonable profitability on shareholder equity. Free cash flow data is not available, preventing a direct assessment of cash generation, dividend coverage, or reinvestment capacity. Overall financial health is adequate but shows signs of leverage strain that could limit financial flexibility for large investments or unexpected downturns.
- DEBT / LIQUIDITY — Debt/equity of 1.57x and a current ratio of 0.45x indicate a stretched balance sheet with limited short-term liquidity coverage. - TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed.
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