American Electric Power (NASDAQ:AEP) Price Target Lowered to $128.00 at Morgan Stanley

Key Points

• Morgan Stanley lowered American Electric Power’s price target to $128 from $135 while maintaining an “overweight” rating, implying 5.86% potential upside.
• AEP reported quarterly EPS of $1.36, missing the $1.48 consensus estimate, although revenue rose 7% year over year to $5.45 billion. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $139.86.
• Shares opened at $120.91, down 0.6%, while institutional investors own 75.24% of the stock; the company’s chief accounting officer also sold 2,000 shares under a pre-arranged trading plan.

American Electric Power (NASDAQ:AEP - Get Free Report) had its price target reduced by research analysts at Morgan Stanley from $135.00 to $128.00 in a report issued on Friday, Benzinga reports. The brokerage currently has an "overweight" rating on the stock. Morgan Stanley's price target points to a potential upside of 5.86% from the company's previous close.

A number of other equities research analysts have also commented on AEP. Barclays decreased their price target on American Electric Power from $138.00 to $129.00 and set an "equal weight" rating on the stock in a research report on Monday, August 3rd. Jefferies Financial Group raised their price objective on shares of American Electric Power from $147.00 to $154.00 and gave the company a "buy" rating in a research report on Wednesday, July 1st. Weiss Ratings reiterated a "buy (b)" rating on shares of American Electric Power in a research report on Thursday, August 27th. Citigroup lowered their price target on shares of American Electric Power from $148.00 to $142.00 and set a "neutral" rating for the company in a report on Wednesday, August 5th. Finally, LADENBURG THALM/SH SH dropped their price objective on shares of American Electric Power from $148.00 to $143.00 and set a "buy" rating for the company in a research report on Thursday, June 18th. Thirteen investment analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $139.86.

American Electric Power Trading Down 0.6%

Shares of AEP opened at $120.91 on Friday. American Electric Power has a 12-month low of $105.70 and a 12-month high of $140.58. The company has a quick ratio of 0.38, a current ratio of 0.50 and a debt-to-equity ratio of 1.44. The stock's 50-day moving average price is $126.81 and its 200 day moving average price is $130.05. The firm has a market capitalization of $65.82 billion, a price-to-earnings ratio of 20.68, a P/E/G ratio of 2.55 and a beta of 0.51.

American Electric Power (NASDAQ:AEP - Get Free Report) last released its quarterly earnings data on Thursday, July 30th. The company reported $1.36 earnings per share for the quarter, missing the consensus estimate of $1.48 by ($0.12). American Electric Power had a net margin of 13.78% and a return on equity of 9.95%. The company had revenue of $5.45 billion during the quarter, compared to the consensus estimate of $5.34 billion. During the same quarter in the prior year, the company posted $1.43 earnings per share. The company's revenue for the quarter was up 7.0% on a year-over-year basis. American Electric Power has set its FY 2026 guidance at 6.250-6.550 EPS. As a group, research analysts predict that American Electric Power will post 6.38 earnings per share for the current year.

Insider Activity

In related news, CAO Kate Dixon sold 2,000 shares of American Electric Power stock in a transaction on Tuesday, September 8th. The stock was sold at an average price of $125.00, for a total transaction of $250,000.00. Following the completion of the sale, the chief accounting officer directly owned 15,856 shares of the company's stock, valued at $1,982,000. The trade was a 11.20% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.05% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On American Electric Power

Hedge funds and other institutional investors have recently made changes to their positions in the company. Elevation Wealth Partners LLC raised its holdings in American Electric Power by 118.0% during the 2nd quarter. Elevation Wealth Partners LLC now owns 194 shares of the company's stock worth $27,000 after buying an additional 105 shares during the period. Costello Asset Management INC increased its holdings in American Electric Power by 100.0% during the 1st quarter. Costello Asset Management INC now owns 200 shares of the company's stock worth $26,000 after purchasing an additional 100 shares in the last quarter. Parvin Asset Management LLC bought a new position in shares of American Electric Power during the second quarter worth about $27,000. Caitlin John LLC acquired a new stake in American Electric Power in the 2nd quarter valued at approximately $27,000. Finally, Union Savings Bank bought a new stake in American Electric Power in the 4th quarter valued at approximately $27,000. 75.24% of the stock is owned by institutional investors.

About American Electric Power

American Electric Power Company, Inc NASDAQ: AEP is an electric utility holding company that generates, transmits and distributes electricity to residential, commercial, industrial and other customers. Its operations include regulated electric utilities, power generation facilities and one of the largest electricity transmission networks in the United States.

AEP provides energy delivery and related utility services through operating companies serving customers across Arkansas, Indiana, Kentucky, Louisiana, Michigan, Ohio, Oklahoma, Tennessee, Texas, Virginia and West Virginia.

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