American Electric Power Company, Inc. (AEP) Price Target Analysis
Wall Street analyst price targets, ratings consensus & upside potential · Updated May 1, 2026
Current Price
$131.76
Price Target
$136.20
Target Range
$107.00 — $150.00
Analyst Rating
Buy
Forward P/E20.8x
Trailing P/E19.8x
Forward PEG2.43
Implied Growth-5.0%
Median Target$136.50
Analyst Spread31.6%
Price Forecast (1 Year)
Last 12 months price action with 12-month analyst target path
Bear Case
$107
-18.8%
Consensus
$136
+3.4%
Bull Case
$150
+13.8%
Valuation Model TargetsConfidence: 62/100
Bear$75
Base$150
Bull$176
AEP Price Target Analysis
Updated May 8, 2026As of May 8, 2026, American Electric Power Company, Inc. (AEP) has a Wall Street consensus price target of $136.20, based on estimates from 35 covering analysts. With the stock currently trading at $131.76, this represents a potential upside of +3.4%. The company has a market capitalization of $71.69B.
Analyst price targets range from a low of $107.00 to a high of $150.00, representing a 32% spread in expectations. The median target of $136.50 aligns closely with the consensus average.
The current analyst consensus rating is Buy, with 22 analysts rating the stock as a Buy or Strong Buy,13 rating it Hold, and 0 rating it Sell or Strong Sell. The positive sentiment balance indicates moderate optimism about the stock prospects.
From a valuation perspective, AEP trades at a trailing P/E of 19.8x and forward P/E of 20.8x. The forward PEG ratio of 2.43 reflects a premium valuation. Analysts expect EPS to grow -5.0% over the next year.
Our proprietary valuation model, which blends historical multiples with forward estimates, suggests a base-case price target of $150.31, with bear and bull scenarios of $75.47 and $175.79 respectively. Model confidence stands at 62/100, reflecting moderate uncertainty in projections.
Investment Context: Price targets represent analyst expectations for the next 12 months and should be considered alongside your own research. Targets are based on analysts' assumptions about earnings growth, margins, and market conditions which may change. For sector-specific context, view other Utilities stocks.
Analyst Sentiment Comparison
Industry Peer AnalysisAvg Peer Upside+11.8%
Avg Forward P/E17.4x
Peers with Coverage10 / 10
| Company | Market Cap | Price | Target | Upside | Rating | Fwd P/E | Analysts |
|---|---|---|---|---|---|---|---|
 EXCExelon Corporation | $45.4B | $44.41 | $49.18 | +10.7% | Hold | 15.6x | 35 |
 DUKDuke Energy Corporation | $97.3B | $124.85 | $135.44 | +8.5% | Hold | 18.6x | 31 |
 SOThe Southern Company | $104.2B | $92.43 | $99.62 | +7.8% | Hold | 20.2x | 33 |
 DDominion Energy, Inc. | $54.2B | $61.61 | $66.25 | +7.5% | Hold | 17.2x | 31 |
 PCGPG&E Corporation | $35.7B | $16.19 | $23.00 | +42.1% | Buy | 9.8x | 29 |
 EDConsolidated Edison, Inc. | $39.2B | $106.39 | $108.78 | +2.2% | Hold | 17.4x | 27 |
 XELXcel Energy Inc. | $50.2B | $80.43 | $91.00 | +13.1% | Buy | 19.5x | 26 |
 ETREntergy Corporation | $51.3B | $112.03 | $116.92 | +4.4% | Buy | 25.5x | 31 |
 PPLPPL Corporation | $27.4B | $36.77 | $41.57 | +13.1% | Buy | 18.9x | 29 |
 EIXEdison International | $26.4B | $68.64 | $74.67 | +8.8% | Buy | 11.2x | 36 |
Upside Potential Comparison
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Start ComparisonAEP — Frequently Asked Questions
Quick answers to the most common questions about buying AEP stock.
What is the AEP stock price target for 2026?
The consensus price target for AEP is $136.2, close to the current price of $131.76 (3.4% implied move). Based on 35 analyst estimates, the stock appears fairly valued near current levels.
Is AEP a buy, sell, or hold?
AEP has a consensus rating of "Buy" based on 35 Wall Street analysts. The rating breakdown is predominantly bullish, with 22 Buy/Strong Buy ratings. The consensus 12-month price target of $136.2 implies 3.4% upside from current levels.
Is AEP stock overvalued or undervalued?
AEP trades at a forward P/E of 20.7709x, representing a moderate valuation. With analysts targeting $136.2 (3.4% implied move), the stock appears close to fair value.
How high can AEP stock go?
The most bullish Wall Street analyst has a price target of $150 for AEP, while the most conservative target is $107. The consensus of $136.2 represents the median expectation. Our quantitative valuation model projects a bull case target of $176 based on optimistic growth and margin assumptions. These targets typically reflect 12-month expectations.
How many analysts cover AEP stock?
AEP is heavily covered by Wall Street, with 35 analysts providing price targets and ratings. Of these, 0 have Strong Buy ratings, 22 have Buy ratings, 13 recommend Hold, and 0 have Sell or Strong Sell ratings. Higher analyst coverage generally indicates greater institutional interest and more reliable consensus estimates.
What is the AEP stock forecast?
The 12-month AEP stock forecast based on 35 Wall Street analysts shows a consensus price target of $136.2, with estimates ranging from $107 (bear case) to $150 (bull case). The median consensus rating is "Buy". Our proprietary valuation model produces a base case fair value of $150, with bear/bull scenarios of $75/$176.
What is AEP's fair value based on fundamentals?
Our quantitative valuation model calculates AEP's fair value at $150 (base case), with a bear case of $75 and bull case of $176. The model uses discounted cash flow analysis, historical growth rates, and margin mean-reversion to project FY+2 earnings, then applies an appropriate P/E multiple. The model confidence score is 62/100.
What is AEP's forward P/E ratio?
AEP trades at a forward P/E ratio of 20.8x based on next-twelve-months earnings estimates compared to a trailing P/E of 19.8x. The higher forward P/E suggests near-term earnings pressure. A forward P/E is useful for comparing valuations when earnings are expected to change significantly.
Should I buy AEP stock?
AEP appears fairly valued according to analysts, with a "Buy" rating and minimal upside to the $136.2 target. Consider your investment thesis and risk tolerance. This information is for educational purposes only. Always conduct your own research, consider your financial situation, and consult a financial advisor before making investment decisions.
Why do AEP price targets vary so much?
AEP analyst price targets range from $107 to $150, a 32% moderate spread showing some variance in outlooks. Differences stem from varying assumptions about revenue growth, profit margins, competitive dynamics, and valuation multiples. The $136.2 consensus represents the middle ground. Our model's $75-$176 range provides an independent fundamental perspective.