AEPAmerican Electric Power

$122.84+18% 1Y

Is the price fair?

Fair

Neither cheap nor expensive: nothing decisive, though priced for +10% a year vs +4% a year delivered.

1 to watch, 2 neutral
What the price assumes~+10% a year

Priced for ~10% a year FCF growth. The price demands more than its three-year revenue growth of 4% a year, priced for acceleration.

Vs its own P/E rangemid-range for this companyderived

In its normal range: P/E 18.1 vs a 16.4 median over 40 quarters (+11% vs median).

Vs sector (EV/EBIT)22.3×

Sector median 22.4× across 56 covered peers. EV/EBIT counts debt as part of the price, so a cash-rich and a borrowed company can be compared on the same footing.

Unless marked, from derived, as of Mar 31, 2026.

Against the whole market›

Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.

P/E (valuation)middle of the market
FCF yieldmiddle of the market

Where this answer is blind. The growth-implied estimate assumes a fixed discount rate; capital-heavy sectors look structurally rich on it.

What AEP's price assumes

American Electric Power trades at 18.1× earnings against 19.7× for the median Utilities - Regulated Electric name, cheaper than its own group.

18.1

Trailing P/E · Utilities - Regulated Electric median 19.7 · cheaper than the typical name in its group

Price / sales
3.10

Price / sales · today's price, trailing year to Mar 31, 2026

Free cash flow yield
3.7%

Free cash flow yield · Utilities median 2.7%

Growth the price implies
+9.5%

Growth the price implies · The price pays for +9.5% free cash flow growth a year for a decade; revenue has grown +4.4% a year over the last three.

Details›
Price / booktoday's price, trailing year to Mar 31, 2026
2.18
EV / EBITtoday's price, trailing year to Mar 31, 2026
22.3
EV / salestoday's price, trailing year to Mar 31, 2026
5.35
Utilities median P/E86 names
19.8
Utilities - Regulated Electric median P/E42 names
19.7
Free cash flow, trailing twelve months
$2.60B
Market capitalisation
$69.5B
3-year revenue growth
+4.4%
What the market has paid for these earnings: 40 quarters of its own multiple × $6.77 of trailing earnings per share
MethodPer share
Its own P/E history, lower quartile$101.93
Its own P/E history, median$110.78
Its own P/E history, upper quartile$126.68
52-week range$104.62 – $136.16
Today$122.84

Multiples from SEC filings and end-of-day closes; implied growth from a reverse discounted cash flow. Group medians across the names Ryufin tracks.