American Electric Power (AEP) is a electric utilities company in the Utilities sector. Listed on the NASDAQ, American Electric Power is a component of the S&P 500 index. As of 2026-06-10, the stock is trading at $128.53.
Key Metrics & Risk
Based on 5-year historical data from Yahoo Finance (daily returns, annualized using 252 trading days).
| Metric | Value |
|---|---|
| Latest Price | $128.53 |
| Latest Date | 2026-06-10 |
| Expected Return (Annualized) | 14.00% |
| Risk / Std Dev (Annualized) | 20.01% |
| Sharpe Ratio (rf=4.5%) | 0.47 |
S&P 500 Context
- Sector: Utilities
- Sub-Industry: Electric Utilities
- Exchange: NASDAQ
- Index: S&P 500 Component
Risk/Return Profile
The stock shows an annualized expected return of 14.00% with an annualized volatility of 20.01%. The Sharpe ratio of 0.47 (assuming 4.5% risk-free rate) indicates below-average risk-adjusted returns relative to the risk-free rate.
Modern Portfolio Theory Positioning
This stock is plotted on the S&P 500 Modern Portfolio Theory chart which visualizes the risk/return trade-off across all S&P 500 components. The chart uses Sharpe ratio as the color dimension, allowing quick identification of stocks with superior risk-adjusted performance.
Fundamentals
| Metric | Value |
|---|---|
| Market Cap | 69.93B |
| Enterprise Value | 122.4B |
| Trailing P/E | 19.01 |
| Forward P/E | 18.75 |
| Price to Book | 2.2 |
| Price to Sales | 3.12 |
| EV/Revenue | 5.46 |
| EV/EBITDA | 13.39 |
| Profitability | | | Profit Margin | 16.29% | | Operating Margin | 23.74% | | ROE | 12.58% | | ROA | 3.17% |
| Growth | | | Revenue Growth | 10.2% | | Earnings Growth | 6.7% |
| Dividend | | | Dividend Yield | 296.0% | | Payout Ratio | 55.62% | | 5Y Avg Yield | 351.0% |
| Financial Health | | | Total Revenue | 22.43B | | Total Debt | 51.81B | | Total Cash | 0.52B | | Free Cash Flow | -6.95B | | Operating Cash Flow | 7.01B |
| Price & Technical | | | 52W High | $139.44$ | | 52W Low | $100.72$ | | 50-Day Avg | $131.58$ | | 200-Day Avg | $122.31$ | | Beta | 0.52 | | Shares Outstanding | 0.54B | | Float Shares | 0.54B | | Insider Holdings | 0.02% | | Institutional Holdings | 82.25% | | Short Ratio | 6.61 | | Short % of Float | 5.92% |
| Analyst Targets | | | Target High | $173.0$ | | Target Low | $129.0$ | | Target Mean | $144.33$ | | Target Median | $145.0$ | | # of Analysts | 21 | | Recommendation | buy |
Disclaimer
This analysis is for educational purposes only and does not constitute financial advice. Past performance is not indicative of future results. Always conduct your own research or consult a qualified financial advisor before making investment decisions.