American Electric Power Company, Inc. (AEP) 10-Year Financial Performance & Capital Metrics

AEP • • Utilities

UtilitiesElectric UtilitiesIntegrated Electric UtilitiesMajor Multi-State Integrated Utilities

AboutAmerican 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. The company generates electricity using coal and lignite, natural gas, nuclear, hydro, solar, wind, and other energy sources. It also supplies and markets electric power at wholesale to other electric utility companies, rural electric cooperatives, municipalities, and other market participants. American Electric Power Company, Inc. was incorporated in 1906 and is headquartered in Columbus, Ohio.Show more

Revenue $19.92B +2.8%
EBITDA $8.15B +11.4%
Net Income $2.97B +34.4%
Free Cash Flow -$792M +68.2%
EBITDA Margin 40.94% +8.4%
Net Margin 14.9% +30.8%
ROE 11.35% +27.0%
Interest Coverage 2.56 +12.2%
Debt/Equity 1.70 -1.7%
Net Debt/EBITDA 5.59 -5.5%
CapEx / Revenue 38.14% -1.5%
CapEx Coverage 0.90 +34.1%

Technical Analysis

Key Insights

Based on financial data analysis

✓Strengths

✓20 years of consecutive dividend growth
✓20 consecutive years of dividend growth
✓Healthy dividend yield of 3.0%

✗Weaknesses

✗High leverage: 5.6x Debt/EBITDA

Price & Volume

Loading chart...

Growth Metrics

Revenue CAGR

10Y1.64%

5Y5.09%

3Y6.21%

TTM7.74%

Profit (Net Income) CAGR

10Y6.15%

5Y9.08%

3Y6.04%

TTM38.76%

EPS CAGR

10Y5.27%

5Y7.54%

3Y4%

TTM37.55%

ROCE

10Y Avg5.12%

5Y Avg4.73%

3Y Avg4.94%

Latest5.44%

Peer Comparison

Major Multi-State Integrated Utilities

Name	Market Cap	Current Price	P/E Ratio	Revenue Growth 1Y	Net Margin	ROE	FCF Yield	Debt/Equity
ETREntergy Corporation	42.5B	95.17	38.84	-2.2%	14.28%	10.71%		1.90
FEFirstEnergy Corp.	26.66B	46.15	27.15	4.68%	9.19%	9.38%		1.77
SOThe Southern Company	97.36B	88.42	22.16	5.83%	15.42%	11.65%	0.86%	1.81
AEPAmerican Electric Power Company, Inc.	63.08B	118.11	21.17	2.76%	17.08%	11.63%		1.70
DUKDuke Energy Corporation	92.29B	118.68	20.78	4.46%	15.71%	9.49%	0.05%	1.66
EXCExelon Corporation	43.96B	43.60	17.80	5.99%	11.6%	10.03%		1.73
SOJCThe Southern Company JR 2017B NT 77	22.17B	22.18	5.56	5.83%	15.42%	11.65%	0.91%	1.81
SOJDSouthern Company (The) Series 2	2.07K	20.74	5.20	5.83%	15.42%	11.65%	100%	1.81

Profit & Loss

	Dec 2015	Dec 2016	Dec 2017	Dec 2018	Dec 2019	Dec 2020	Dec 2021	Dec 2022	Dec 2023	Dec 2024
Revenue+	16.4B	16.32B	15.38B	16.17B	15.54B	14.91B	16.62B	19.31B	19.38B	19.92B
Revenue Growth %	-0.03%	-0%	-0.06%	0.05%	-0.04%	-0.04%	0.12%	0.16%	0%	0.03%
Cost of Revenue	12.11B	11.89B	10.99B	12.31B	11.58B	10.63B	11.95B	14.44B	13.76B	13.56B
Gross Profit+	4.28B	4.43B	4.39B	3.86B	3.96B	4.28B	4.67B	4.87B	5.62B	6.36B
Gross Margin %	-	-	-	-	-	-	-	-	-	-
Gross Profit Growth %	0.06%	0.03%	-0.01%	-0.12%	0.03%	0.08%	0.09%	0.04%	0.15%	0.13%
Operating Expenses+	972.6M	1.02B	1.06B	1.14B	1.23B	1.3B	1.41B	1.47B	1.49B	1.6B
Other Operating Expenses	-	-	-	-	-	-	-	-	-	-
EBITDA+	5.47B	5.5B	5.46B	5.11B	5.46B	5.89B	6.31B	6.69B	7.32B	8.15B
EBITDA Margin %	-	-	-	-	-	-	-	-	-	-
EBITDA Growth %	0.05%	0.01%	-0.01%	-0.06%	0.07%	0.08%	0.07%	0.06%	0.09%	0.11%
Depreciation & Amortization+	2.15B	2.09B	2.13B	2.4B	2.74B	2.91B	3.05B	3.29B	3.19B	3.39B
D&A / Revenue %	-	-	-	-	-	-	-	-	-	-
Operating Income (EBIT)+	3.31B	3.41B	3.33B	2.71B	2.72B	2.98B	3.26B	3.4B	4.13B	4.76B
Operating Margin %	-	-	-	-	-	-	-	-	-	-
Operating Income Growth %	0.06%	0.03%	-0.02%	-0.19%	0%	0.09%	0.09%	0.04%	0.22%	0.15%
Interest Expense+	870.9M	874.8M	893.5M	983.3M	1.07B	1.16B	1.19B	1.39B	1.81B	1.86B
Interest Coverage	3.80x	3.90x	3.73x	2.76x	2.54x	2.57x	2.74x	2.44x	2.28x	2.56x
Interest / Revenue %	-	-	-	-	-	-	-	-	-	-
Non-Operating Income	-1000K	-1000K	-1000K	-1000K	-1000K	-1000K	-1000K	-1000K	-1000K	-1000K
Pretax Income+	2.69B	546.8M	2.9B	2.05B	1.91B	2.24B	2.6B	2.31B	2.27B	2.94B
Pretax Margin %	-	-	-	-	-	-	-	-	-	-
Income Tax+	919.6M	-73.7M	969.7M	115.3M	-12.9M	40.5M	115.5M	5.4M	54.6M	-39.2M
Effective Tax Rate %	-	-	-	-	-	-	-	-	-	-
Net Income+	2.05B	610.9M	1.91B	1.92B	1.92B	2.2B	2.49B	2.31B	2.21B	2.97B
Net Margin %	-	-	-	-	-	-	-	-	-	-
Net Income Growth %	0.25%	-0.7%	2.13%	0.01%	-0%	0.15%	0.13%	-0.07%	-0.04%	0.34%
EPS (Diluted)+	4.17	1.24	3.88	3.90	3.88	4.42	4.96	4.49	4.24	5.58
EPS Growth %	0.25%	-0.7%	2.13%	0.01%	-0.01%	0.14%	0.12%	-0.09%	-0.06%	0.32%
EPS (Basic)	4.17	1.24	3.89	3.90	3.89	4.44	4.97	4.51	4.26	5.60
Diluted Shares Outstanding	490.57M	491.66M	492.61M	493.76M	495.31M	497.23M	501.78M	513.48M	520.21M	531.34M

Balance Sheet

	Dec 2015	Dec 2016	Dec 2017	Dec 2018	Dec 2019	Dec 2020	Dec 2021	Dec 2022	Dec 2023	Dec 2024
Total Assets+	61.68B	63.47B	64.73B	68.8B	75.89B	80.76B	87.67B	93.4B	96.68B	103.08B
Asset Growth %	0.03%	0.03%	0.02%	0.06%	0.1%	0.06%	0.09%	0.07%	0.04%	0.07%
PP&E (Net)+	46.13B	45.64B	50.26B	55.1B	61.1B	64.77B	66.58B	73.98B	77.31B	83B
PP&E / Total Assets %	-	-	-	-	-	-	-	-	-	-
Total Current Assets+	4.07B	6.03B	4.25B	4.11B	4.08B	4.35B	7.81B	6.78B	6.08B	5.79B
Cash & Equivalents	176.4M	210.5M	214.6M	234.1M	246.8M	392.7M	403.4M	509.4M	330.1M	202.9M
Receivables	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K
Inventory	1.34B	967.3M	953.2M	921.1M	1.17B	1.31B	989.2M	1.35B	1.88B	1.72B
Other Current Assets	356.9M	2.48B	722.2M	664.3M	597.7M	478.3M	4.12B	1.81B	936.6M	1.02B
Long-Term Investments	3.86B	3.74B	3.74B	3.4B	3.83B	3.96B	4.42B	3.79B	4.2B	4.95B
Goodwill	52.5M	52.5M	52.5M	52.5M	52.5M	52.5M	52.5M	52.5M	52.5M	52.5M
Intangible Assets	1.8M	0	0	0	0	0	0	0	0	0
Other Assets	7.57B	8B	6.42B	6.14B	6.83B	7.62B	8.81B	8.8B	9.04B	9.29B
Total Liabilities	43.78B	46.05B	46.42B	49.74B	55.98B	59.98B	64.99B	69.35B	71.4B	76.09B
Total Debt+	20.37B	21.97B	22.81B	25.26B	30.53B	34.43B	36.66B	41.58B	43.61B	45.76B
Net Debt	20.2B	21.76B	22.6B	25.02B	30.29B	34.04B	36.26B	41.07B	43.28B	45.56B
Long-Term Debt	17.74B	17.38B	19.42B	21.65B	25.13B	28.99B	31.3B	34.31B	37.65B	39.31B
Short-Term Borrowings	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K
Capital Lease Obligations	247.3M	242.1M	238.8M	233.5M	968.7M	879.7M	590.4M	665.5M	635.1M	596.2M
Total Current Liabilities+	7.11B	9.5B	8.27B	8.65B	10.3B	9.93B	12.43B	13.27B	11.58B	13.01B
Accounts Payable	1.42B	1.69B	2.07B	1.87B	2.09B	1.71B	2.05B	2.67B	2.03B	2.64B
Accrued Expenses	226.9M	227.2M	234.5M	231.7M	243.6M	267.6M	273.2M	336.5M	410.2M	453.3M
Deferred Revenue	346.6M	343.2M	357M	412.2M	366.1M	335.6M	321.6M	408.8M	423.7M	454.7M
Other Current Liabilities	1.51B	1.6B	1.11B	1.3B	1.57B	1.33B	3.33B	1.42B	1.48B	1.59B
Deferred Taxes	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K
Other Liabilities	7.2B	7.29B	11.91B	12.36B	12.23B	12.19B	12.57B	12.25B	12.23B	13.3B
Total Equity+	17.9B	17.42B	18.31B	19.06B	19.91B	20.77B	22.68B	24.12B	25.29B	26.99B
Equity Growth %	0.06%	-0.03%	0.05%	0.04%	0.04%	0.04%	0.09%	0.06%	0.05%	0.07%
Shareholders Equity	17.89B	17.4B	18.29B	19.03B	19.63B	20.55B	22.43B	23.89B	25.25B	26.94B
Minority Interest	13.2M	23.1M	26.6M	31M	281M	223.6M	247M	229M	39.2M	42.3M
Common Stock	3.32B	3.33B	3.33B	3.34B	3.34B	3.36B	3.41B	3.41B	3.43B	3.47B
Additional Paid-in Capital	6.3B	6.33B	6.4B	6.49B	6.54B	6.59B	7.17B	8.05B	9.07B	9.61B
Retained Earnings	8.4B	7.89B	8.63B	9.33B	9.9B	10.69B	11.67B	12.35B	12.8B	13.87B
Accumulated OCI	-127.1M	-156.3M	-67.8M	-120.4M	-147.7M	-85.1M	184.8M	83.7M	-55.5M	-3.1M
Return on Assets (ROA)	0.03%	0.01%	0.03%	0.03%	0.03%	0.03%	0.03%	0.03%	0.02%	0.03%
Return on Equity (ROE)	0.12%	0.03%	0.11%	0.1%	0.1%	0.11%	0.11%	0.1%	0.09%	0.11%
Debt / Equity	1.14x	1.26x	1.25x	1.33x	1.53x	1.66x	1.62x	1.72x	1.72x	1.70x
Debt / Assets	0.33%	0.35%	0.35%	0.37%	0.4%	0.43%	0.42%	0.45%	0.45%	0.44%
Net Debt / EBITDA	3.70x	3.96x	4.14x	4.89x	5.54x	5.78x	5.75x	6.14x	5.91x	5.59x
Book Value per Share	36.5	35.43	37.18	38.6	40.2	41.78	45.2	46.98	48.61	50.79

Cash Flow

	Dec 2015	Dec 2016	Dec 2017	Dec 2018	Dec 2019	Dec 2020	Dec 2021	Dec 2022	Dec 2023	Dec 2024
Cash from Operations+	4.82B	4.52B	4.27B	5.22B	4.27B	3.83B	3.84B	5.29B	5.01B	6.8B
Operating CF Growth %	0.04%	-0.06%	-0.06%	0.22%	-0.18%	-0.1%	0%	0.38%	-0.05%	0.36%
Operating CF / Revenue %	-	-	-	-	-	-	-	-	-	-
Net Income	1.77B	610.9M	1.91B	1.93B	1.92B	2.2B	2.49B	2.31B	2.21B	2.98B
Depreciation & Amortization	2.15B	2.09B	2.13B	2.4B	2.74B	2.91B	3.05B	3.29B	3.19B	3.39B
Deferred Taxes	808.2M	-50M	872M	104.3M	-91.6M	152.8M	39.6M	-178.4M	144M	58.3M
Other Non-Cash Items	1.2M	2.2B	-236.1M	21.7M	37M	-232.2M	-1.66B	49.5M	176.6M	-132.9M
Working Capital Changes	85.8M	-396M	-404.4M	765.5M	-335.2M	-1.19B	-76.6M	-237.7M	-703.5M	510.3M
Capital Expenditures+	-4.6B	-4.91B	-5.8B	-6.36B	-6.14B	-6.32B	-5.76B	-6.77B	-7.51B	-7.6B
CapEx / Revenue %	-	-	-	-	-	-	-	-	-	-
CapEx / D&A	-	-	-	-	-	-	-	-	-	-
CapEx Coverage (OCF/CapEx)	-	-	-	-	-	-	-	-	-	-
Cash from Investing+	-4.02B	-4.99B	-3.66B	-6.35B	-7.14B	-6.23B	-6.43B	-7.75B	-6.27B	-7.6B
Acquisitions	-5.3M	-107.9M	-6.8M	-14.6M	-918.4M	-6.25B	-767.2M	-1.21B	0	0
Purchase of Investments	-2.28B	-3B	-2.31B	-2.07B	-1.58B	-1.68B	-1.96B	-2.78B	-2.86B	-2.92B
Sale of Investments	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K
Other Investing	644.8M	15.6M	2.21B	75.8M	-600K	6.36B	151.1M	268.3M	1.31B	-7.53B
Cash from Financing+	-789.4M	503.9M	-604.9M	1.16B	2.86B	2.41B	2.61B	2.57B	1.08B	659.2M
Dividends Paid	-1.06B	-1.12B	-1.19B	-1.25B	-1.35B	-1.42B	-1.52B	-1.65B	-1.76B	-1.9B
Dividend Payout Ratio %	0.52%	1.83%	0.62%	0.65%	0.7%	0.65%	0.61%	0.71%	0.8%	0.64%
Debt Issuance (Net)	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K
Stock Issued	81.6M	34.2M	12.2M	73.6M	65.3M	155M	600.5M	826.5M	999.6M	552.1M
Share Repurchases	0	0	0	0	0	0	0	0	0	0
Other Financing	-127.7M	14.3M	-49.7M	43M	-25.8M	-189M	-41.6M	-105.4M	-78.6M	-49.8M
Net Change in Cash+	13.9M	34.1M	9.1M	31.5M	-11.5M	5.7M	13.1M	105.1M	-177.5M	-133M
Exchange Rate Effect	0	0	0	0	0	0	0	0	0	0
Cash at Beginning	162.5M	176.4M	403.5M	412.6M	444.1M	432.6M	438.3M	451.4M	556.5M	379M
Cash at End	176.4M	210.5M	412.6M	444.1M	432.6M	438.3M	451.4M	556.5M	379M	246M
Free Cash Flow+	218.5M	-390.3M	-1.53B	-1.13B	-1.87B	-2.48B	-1.92B	-1.48B	-2.49B	-792.2M
FCF Growth %	-0.4%	-2.79%	-2.92%	0.26%	-0.65%	-0.33%	0.23%	0.23%	-0.68%	0.68%
FCF Margin %	-	-	-	-	-	-	-	-	-	-
FCF / Net Income %	-	-	-	-	-	-	-	-	-	-

Key Ratios

Metric	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024
Return on Equity (ROE)	11.79%	3.46%	10.7%	10.3%	9.86%	10.81%	11.45%	9.86%	8.94%	11.35%
EBITDA Margin	33.34%	33.7%	35.48%	31.63%	35.16%	39.49%	37.95%	34.62%	37.76%	40.94%
Net Debt / EBITDA	3.70x	3.96x	4.14x	4.89x	5.54x	5.78x	5.75x	6.14x	5.91x	5.59x
Interest Coverage	3.80x	3.90x	3.73x	2.76x	2.54x	2.57x	2.74x	2.44x	2.28x	2.56x
CapEx / Revenue	28.06%	30.09%	37.72%	39.32%	39.55%	42.37%	34.67%	35.06%	38.73%	38.14%
Dividend Payout Ratio	51.73%	182.81%	61.61%	65.03%	70.27%	64.77%	61.07%	71.31%	79.72%	64.17%
Debt / Equity	1.14x	1.26x	1.25x	1.33x	1.53x	1.66x	1.62x	1.72x	1.72x	1.70x
EPS Growth	24.85%	-70.26%	212.9%	0.52%	-0.51%	13.92%	12.22%	-9.48%	-5.57%	31.6%

Revenue by Segment

	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024
Transmission And Distribution Companies	-	8.84B	4.42B	4.55B	-	4.35B	4.49B	5.52B	5.71B	5.88B
Transmission And Distribution Companies Growth	-	-	-50.04%	3.01%	-	-	3.38%	22.86%	3.50%	2.91%
Generation And Marketing	-	5.97B	1.88B	1.82B	-	1.73B	2.16B	2.47B	2.04B	1.94B
Generation And Marketing Growth	-	-	-68.60%	-3.04%	-	-	25.39%	14.01%	-17.44%	-4.52%
Product and Service, Other	-	-	-	-	-	-	-	-	-	483M
Product and Service, Other Growth	-	-	-	-	-	-	-	-	-	-
Vertically Integrated Utilities	-	18.18B	9.19B	-	-	8.88B	10B	11.48B	11.46B	-
Vertically Integrated Utilities Growth	-	-	-49.45%	-	-	-	12.56%	14.79%	-0.15%	-
AEP Transmission Holdco	-	-	-	-	-	1.28B	1.53B	1.71B	1.77B	-
AEP Transmission Holdco Growth	-	-	-	-	-	-	19.29%	11.96%	3.33%	-
Transmission and Distribution Utilities Revenues	-	-	-	-	2.76B	-	-	-	-	-
Transmission and Distribution Utilities Revenues Growth	-	-	-	-	-	-	-	-	-	-
Electricity	-	-	-	-	1.74B	-	-	-	-	-
Electricity Growth	-	-	-	-	-	-	-	-	-	-
Retail	-	-	-	-	1.47B	-	-	-	-	-
Retail Growth	-	-	-	-	-	-	-	-	-	-
Wholesale Transmission	-	-	-	-	782M	-	-	-	-	-
Wholesale Transmission Growth	-	-	-	-	-	-	-	-	-	-
Residential	-	-	-	-	638.6M	-	-	-	-	-
Residential Growth	-	-	-	-	-	-	-	-	-	-
Commercial	-	-	-	-	485.4M	-	-	-	-	-
Commercial Growth	-	-	-	-	-	-	-	-	-	-
Industrial	-	-	-	-	338.7M	-	-	-	-	-
Industrial Growth	-	-	-	-	-	-	-	-	-	-
Wholesale and Competitive	-	-	-	-	301.4M	-	-	-	-	-
Wholesale and Competitive Growth	-	-	-	-	-	-	-	-	-	-
Wholesale Generation	-	-	-	-	129M	-	-	-	-	-
Wholesale Generation Growth	-	-	-	-	-	-	-	-	-	-
Alternative and Other	-	-	-	-	48.8M	-	-	-	-	-
Alternative and Other Growth	-	-	-	-	-	-	-	-	-	-
Alternative	-	-	-	-	31.7M	-	-	-	-	-
Alternative Growth	-	-	-	-	-	-	-	-	-	-
Other Revenues - Affiliated and Nonaffiliated	-	-	-	-	26.1M	-	-	-	-	-
Other Revenues - Affiliated and Nonaffiliated Growth	-	-	-	-	-	-	-	-	-	-
Other Revenues	-	-	-	-	17.1M	-	-	-	-	-
Other Revenues Growth	-	-	-	-	-	-	-	-	-	-
Other Retail	-	-	-	-	9M	-	-	-	-	-
Other Retail Growth	-	-	-	-	-	-	-	-	-	-
Transmission Operations	-	1.03B	-	-	-	-	-	-	-	-
Transmission Operations Growth	-	-	-	-	-	-	-	-	-	-
Others	-	210.2M	-	-	-	-	-	-	-	-
Others Growth	-	-	-	-	-	-	-	-	-	-
Corporate and Other	447.1M	-	-	-	-	-	-	-	-	-
Corporate and Other Growth	-	-	-	-	-	-	-	-	-	-

Frequently Asked Questions

Valuation & Price

American Electric Power Company, Inc. (AEP) has a price-to-earnings (P/E) ratio of 21.2x. This is roughly in line with market averages.

Growth & Financials

American Electric Power Company, Inc. (AEP) reported $21.44B in revenue for fiscal year 2024. This represents a 42% increase from $15.05B in 2011.

American Electric Power Company, Inc. (AEP) grew revenue by 2.8% over the past year. Growth has been modest.

Yes, American Electric Power Company, Inc. (AEP) is profitable, generating $3.66B in net income for fiscal year 2024 (14.9% net margin).

Dividend & Returns

Yes, American Electric Power Company, Inc. (AEP) pays a dividend with a yield of 3.03%. This makes it attractive for income-focused investors.

American Electric Power Company, Inc. (AEP) has a return on equity (ROE) of 11.4%. This is reasonable for most industries.

American Electric Power Company, Inc. (AEP) had negative free cash flow of $3.17B in fiscal year 2024, likely due to heavy capital investments.

Industry Metrics

American Electric Power Company, Inc. (AEP) has a dividend payout ratio of 64%. This suggests the dividend is well-covered and sustainable.

US Stock Screener

...