American Electric Power (NASDAQ:AEP) Hits New 12-Month High Following Analyst Upgrade

Key Points

• American Electric Power's stock reached a new **12-month high** after an upgrade from Goldman Sachs, who raised their price target from **$125.00 to $128.00** and currently maintains a **buy rating** on the stock.
• The stock has seen mixed ratings from various analysts, with **eight buy ratings**, **eight hold ratings**, and one sell rating, and a consensus target price set at **$116.91**.
• American Electric Power has announced a **quarterly dividend** of $0.93 per share, which reflects an annualized yield of **3.1%** and a dividend payout ratio of **54.39%**.

American Electric Power Company, Inc. (NASDAQ:AEP - Get Free Report) shares hit a new 52-week high during mid-day trading on Wednesday after The Goldman Sachs Group raised their price target on the stock from $125.00 to $128.00. The Goldman Sachs Group currently has a buy rating on the stock. American Electric Power traded as high as $119.40 and last traded at $118.86, with a volume of 179272 shares traded. The stock had previously closed at $118.38.

Several other equities analysts have also issued reports on the company. Evercore ISI initiated coverage on American Electric Power in a research note on Monday, October 6th. They issued an "outperform" rating and a $133.00 target price on the stock. LADENBURG THALM/SH SH decreased their price target on American Electric Power from $112.00 to $108.50 and set a "neutral" rating for the company in a report on Wednesday, September 10th. JPMorgan Chase & Co. boosted their price target on American Electric Power from $115.00 to $121.00 and gave the stock a "neutral" rating in a research report on Wednesday. Jefferies Financial Group dropped their target price on American Electric Power from $120.00 to $116.00 and set a "hold" rating for the company in a report on Thursday, September 11th. Finally, Barclays increased their target price on American Electric Power from $111.00 to $117.00 and gave the stock an "equal weight" rating in a research note on Tuesday. Eight research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus target price of $116.91.

Insider Activity

In other news, EVP Kelly J. Ferneau sold 1,006 shares of American Electric Power stock in a transaction on Thursday, October 2nd. The stock was sold at an average price of $112.00, for a total transaction of $112,672.00. Following the transaction, the executive vice president directly owned 5,676 shares in the company, valued at approximately $635,712. This trade represents a 15.06% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Benjamin G. S. Fowke III sold 5,000 shares of the firm's stock in a transaction on Friday, October 10th. The stock was sold at an average price of $117.52, for a total value of $587,600.00. Following the completion of the sale, the director directly owned 35,898 shares of the company's stock, valued at approximately $4,218,732.96. This trade represents a 12.23% decrease in their position. The disclosure for this sale can be found here. Insiders sold 11,006 shares of company stock valued at $1,243,522 in the last ninety days. Company insiders own 0.07% of the company's stock.

Institutional Investors Weigh In On American Electric Power

A number of institutional investors have recently added to or reduced their stakes in AEP. Kingswood Wealth Advisors LLC lifted its holdings in American Electric Power by 14.8% during the 1st quarter. Kingswood Wealth Advisors LLC now owns 3,331 shares of the company's stock worth $364,000 after buying an additional 430 shares in the last quarter. Ritholtz Wealth Management acquired a new position in shares of American Electric Power during the 1st quarter worth about $262,000. Venture Visionary Partners LLC lifted its stake in American Electric Power by 7.3% in the 2nd quarter. Venture Visionary Partners LLC now owns 68,233 shares of the company's stock valued at $7,080,000 after purchasing an additional 4,616 shares during the last quarter. SteelPeak Wealth LLC bought a new position in American Electric Power in the 2nd quarter valued at about $7,722,000. Finally, Robertson Stephens Wealth Management LLC bought a new position in shares of American Electric Power during the first quarter worth approximately $205,000. 75.24% of the stock is owned by institutional investors and hedge funds.

American Electric Power Price Performance

The company's fifty day moving average price is $111.58 and its 200 day moving average price is $107.31. The company has a market capitalization of $63.42 billion, a P/E ratio of 17.37, a PEG ratio of 3.09 and a beta of 0.48. The company has a quick ratio of 0.41, a current ratio of 0.55 and a debt-to-equity ratio of 1.33.

American Electric Power (NASDAQ:AEP - Get Free Report) last announced its quarterly earnings data on Wednesday, July 30th. The company reported $1.43 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.27 by $0.16. American Electric Power had a net margin of 17.68% and a return on equity of 11.55%. The business had revenue of $5.09 billion for the quarter, compared to analysts' expectations of $4.85 billion. During the same period last year, the firm posted $1.25 earnings per share. The firm's quarterly revenue was up 11.1% compared to the same quarter last year. American Electric Power has set its FY 2025 guidance at 6.570-6.770 EPS. As a group, sell-side analysts forecast that American Electric Power Company, Inc. will post 5.87 EPS for the current year.

American Electric Power Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, September 10th. Investors of record on Friday, August 8th were paid a dividend of $0.93 per share. This represents a $3.72 dividend on an annualized basis and a yield of 3.1%. The ex-dividend date of this dividend was Friday, August 8th. American Electric Power's dividend payout ratio (DPR) is currently 54.39%.

About American Electric Power

American Electric Power Company, Inc, an electric public utility holding company, engages in the generation, transmission, and distribution of electricity for sale to retail and wholesale customers in the United States. It operates through Vertically Integrated Utilities, Transmission and Distribution Utilities, AEP Transmission Holdco, and Generation & Marketing segments.

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