Capital Research Global Investors Acquires 10,092 Shares of American Electric Power Company, Inc. $AEP

Key Points

• Capital Research Global Investors increased its American Electric Power stake by 10,092 shares in the fourth quarter, bringing its total holdings to 1,482,302 shares worth about $170.9 million.
• AEP reported strong quarterly results, posting EPS of $1.64 versus the $1.57 estimate and revenue of $6.02 billion, with revenue up 10.2% year over year.
• The utility also declared a quarterly dividend of $0.95 per share, equal to an annualized payout of $3.80 and a 3.0% yield, while analysts maintain a consensus rating of Moderate Buy.

Capital Research Global Investors grew its position in shares of American Electric Power Company, Inc. (NASDAQ:AEP - Free Report) by 0.7% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 1,482,302 shares of the company's stock after purchasing an additional 10,092 shares during the period. Capital Research Global Investors owned approximately 0.28% of American Electric Power worth $170,924,000 at the end of the most recent reporting period.

A number of other institutional investors have also recently made changes to their positions in the company. Activest Wealth Management grew its position in American Electric Power by 72.2% in the fourth quarter. Activest Wealth Management now owns 217 shares of the company's stock worth $25,000 after acquiring an additional 91 shares in the last quarter. Dogwood Wealth Management LLC grew its position in American Electric Power by 330.2% in the third quarter. Dogwood Wealth Management LLC now owns 228 shares of the company's stock worth $26,000 after acquiring an additional 175 shares in the last quarter. Optima Capital LLC purchased a new position in American Electric Power in the fourth quarter worth about $26,000. Rakuten Securities Inc. grew its position in American Electric Power by 7,300.0% in the fourth quarter. Rakuten Securities Inc. now owns 222 shares of the company's stock worth $26,000 after acquiring an additional 219 shares in the last quarter. Finally, Legacy Wealth Managment LLC ID grew its position in American Electric Power by 200.0% in the fourth quarter. Legacy Wealth Managment LLC ID now owns 231 shares of the company's stock worth $27,000 after acquiring an additional 154 shares in the last quarter. Hedge funds and other institutional investors own 75.24% of the company's stock.

American Electric Power Stock Down 1.8%

Shares of NASDAQ AEP opened at $126.77 on Tuesday. The company has a debt-to-equity ratio of 1.42, a quick ratio of 0.39 and a current ratio of 0.53. The firm has a market capitalization of $68.98 billion, a price-to-earnings ratio of 18.62, a PEG ratio of 2.57 and a beta of 0.53. The stock has a 50 day moving average price of $131.48 and a 200 day moving average price of $125.50. American Electric Power Company, Inc. has a 52-week low of $100.72 and a 52-week high of $139.44.

American Electric Power (NASDAQ:AEP - Get Free Report) last announced its quarterly earnings results on Tuesday, May 5th. The company reported $1.64 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.57 by $0.07. The firm had revenue of $6.02 billion during the quarter, compared to analyst estimates of $5.72 billion. American Electric Power had a return on equity of 10.21% and a net margin of 16.29%.American Electric Power's quarterly revenue was up 10.2% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.54 earnings per share. American Electric Power has set its FY 2026 guidance at 6.120-6.420 EPS. Sell-side analysts expect that American Electric Power Company, Inc. will post 6.35 earnings per share for the current year.

American Electric Power Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, June 10th. Investors of record on Friday, May 8th will be issued a $0.95 dividend. The ex-dividend date is Friday, May 8th. This represents a $3.80 dividend on an annualized basis and a dividend yield of 3.0%. American Electric Power's payout ratio is presently 55.80%.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on the company. The Goldman Sachs Group lifted their price target on American Electric Power from $141.00 to $142.00 and gave the stock a "buy" rating in a research report on Wednesday, April 15th. Truist Financial dropped their price target on American Electric Power from $148.00 to $145.00 and set a "buy" rating for the company in a research report on Friday, May 29th. Seaport Research Partners upgraded American Electric Power from a "neutral" rating to a "buy" rating and set a $145.00 price target for the company in a research report on Monday, April 20th. Mizuho raised their price objective on shares of American Electric Power from $130.00 to $141.00 and gave the stock a "neutral" rating in a research note on Wednesday, May 6th. Finally, Morgan Stanley decreased their price objective on shares of American Electric Power from $136.00 to $129.00 and set an "overweight" rating for the company in a research note on Thursday, May 21st. Thirteen analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $141.10.

American Electric Power Profile

American Electric Power NASDAQ: AEP is a major investor-owned electric utility headquartered in Columbus, Ohio. The company is primarily engaged in the generation, transmission and distribution of electricity, operating a diverse portfolio of power plants and an extensive high-voltage transmission network. AEP serves retail customers through its regulated utility subsidiaries and provides wholesale power and grid services across multiple regional markets in the United States.

Operations span the full utility value chain: AEP owns and operates generation assets that include fossil-fuel, natural gas, nuclear and hydropower facilities, and it has been adding renewable resources to its mix.

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