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Baird Financial Group Inc. trimmed its stake in shares of American Electric Power Company, Inc. (NASDAQ:AEP – Free Report) by 2.5% in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 625,314 shares of the company’s stock after selling 15,798 shares during the quarter. Baird Financial Group Inc. owned approximately 0.11% of American Electric Power worth $85,549,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

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

Wall Street Analyst Weigh In AEP has been the subject of a number of analyst reports. Citigroup lowered their target price on shares of American Electric Power from $148.00 to $142.00 and set a “neutral” rating for the company in a research note on Wednesday, August 5th. Mizuho decreased their price target on American Electric Power from $141.00 to $135.00 and set a “neutral” rating for the company in a report on Friday, July 31st. Jefferies Financial Group lifted their price objective on American Electric Power from $147.00 to $154.00 and gave the stock a “buy” rating in a research report on Wednesday, July 1st. Truist Financial dropped their price objective on American Electric Power from $146.00 to $139.00 and set a “buy” rating on the stock in a research note on Monday, August 17th. Finally, Barclays cut their target price 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. 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 data from MarketBeat, American Electric Power currently has an average rating of “Moderate Buy” and an average target price of $140.19.

View Our Latest Analysis on American Electric Power American Electric Power Trading Up 0.7% NASDAQ:AEP opened at $125.42 on Wednesday. American Electric Power Company, Inc. has a 12 month low of $105.70 and a 12 month high of $140.58. The company has a current ratio of 0.50, a quick ratio of 0.38 and a debt-to-equity ratio of 1.44. The stock has a market capitalization of $68.28 billion, a price-to-earnings ratio of 21.51, a PEG ratio of 2.63 and a beta of 0.51. The firm has a fifty day simple moving average of $128.78 and a two-hundred day simple moving average of $130.50.

American Electric Power (NASDAQ:AEP – Get Free Report) last announced 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). The company had revenue of $5.45 billion for the quarter, compared to analyst estimates of $5.34 billion. American Electric Power had a net margin of 13.78% and a return on equity of 9.95%. American Electric Power’s revenue for the quarter was up 7.0% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.43 EPS. American Electric Power has set its FY 2026 guidance at 6.250-6.550 EPS. Analysts expect that American Electric Power Company, Inc. will post 6.39 EPS for the current fiscal year.

American Electric Power Announces Dividend The company also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Monday, August 10th will be paid a dividend of $0.95 per share. This represents a $3.80 dividend on an annualized basis and a yield of 3.0%. The ex-dividend date of this dividend is Monday, August 10th. American Electric Power’s dividend payout ratio is 65.18%.

(Free Report)

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.

Read More Five stocks we like better than American Electric Power Tesla’s Robotaxi Launch Wasn’t the Moment Investors Expected Despite Post-Earnings Drop, Wall Street Analysts Eye New Highs for Broadcom Stock Morgan Stanley Eyes Good Things Ahead for Meta After $18 Billion Legal Settlement Q3 Earnings Could Be the Catalyst the Market Has Been Waiting For Want to see what other hedge funds are holding AEP? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for American Electric Power Company, Inc. (NASDAQ:AEP – Free Report).

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American Electric Power is well-positioned to benefit from surging data center-driven electricity demand and robust contracted load growth. AEP's $78 billion capital plan, backed by 69 GW of contracted incremental load, supports management's 7–9% long-term EPS growth outlook. With a 19.5x forward P/E and a 3.05% yield, AEP offers low-volatility, income, and growth.

Allen Mooney & Barnes Investment Advisors LLC cut its holdings in shares of American Electric Power Company, Inc. (NASDAQ:AEP – Free Report) by 6.8% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 142,926 shares of the company’s stock after selling 10,358 shares during the quarter. American Electric Power comprises 3.0% of Allen Mooney & Barnes Investment Advisors LLC’s investment portfolio, making the stock its 6th biggest position. Allen Mooney & Barnes Investment Advisors LLC’s holdings in American Electric Power were worth $19,554,000 as of its most recent SEC filing.

Several other large investors also recently bought and sold shares of AEP. Brighton Jones LLC increased its holdings in shares of American Electric Power by 11.5% during the 4th quarter. Brighton Jones LLC now owns 10,601 shares of the company’s stock worth $978,000 after buying an additional 1,095 shares during the last quarter. Acadian Asset Management LLC acquired a new position in American Electric Power in the first quarter valued at about $320,000. Sivia Capital Partners LLC boosted its stake in American Electric Power by 149.5% during the second quarter. Sivia Capital Partners LLC now owns 4,891 shares of the company’s stock worth $507,000 after buying an additional 2,931 shares during the period. Gamco Investors INC. ET AL increased its position in shares of American Electric Power by 4.4% during the second quarter. Gamco Investors INC. ET AL now owns 2,505 shares of the company’s stock valued at $260,000 after acquiring an additional 105 shares during the last quarter. Finally, AXA S.A. increased its position in shares of American Electric Power by 95.7% during the second quarter. AXA S.A. now owns 79,111 shares of the company’s stock valued at $8,209,000 after acquiring an additional 38,684 shares during the last quarter. Hedge funds and other institutional investors own 75.24% of the company’s stock.

American Electric Power Price Performance American Electric Power stock opened at $124.71 on Friday. The firm has a market cap of $67.89 billion, a PE ratio of 21.39, a price-to-earnings-growth ratio of 2.62 and a beta of 0.51. The company’s 50 day moving average is $129.57 and its two-hundred day moving average is $130.59. American Electric Power Company, Inc. has a 52-week low of $105.70 and a 52-week 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.

American Electric Power (NASDAQ:AEP – Get Free Report) last issued its quarterly earnings results 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 return on equity of 9.95% and a net margin of 13.78%.The company had revenue of $5.45 billion for the quarter, compared to analysts’ expectations of $5.34 billion. During the same quarter last year, the company earned $1.43 EPS. American Electric Power’s revenue for the quarter was up 7.0% compared to the same quarter last year. American Electric Power has set its FY 2026 guidance at 6.250-6.550 EPS. On average, research analysts expect that American Electric Power Company, Inc. will post 6.38 EPS for the current fiscal year. American Electric Power Dividend Announcement The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Monday, August 10th will be issued a $0.95 dividend. This represents a $3.80 dividend on an annualized basis and a dividend yield of 3.0%. The ex-dividend date is Monday, August 10th. American Electric Power’s dividend payout ratio (DPR) is presently 65.18%.

Wall Street Analysts Forecast Growth AEP has been the topic of several recent analyst reports. Jefferies Financial Group upped their price objective on shares of American Electric Power from $147.00 to $154.00 and gave the stock a “buy” rating in a report on Wednesday, July 1st. LADENBURG THALM/SH SH dropped their target price on shares of American Electric Power from $148.00 to $143.00 and set a “buy” rating for the company in a report on Thursday, June 18th. Raymond James Financial restated an “outperform” rating and set a $144.00 price target on shares of American Electric Power in a research note on Friday, May 8th. Truist Financial lowered their price target on American Electric Power from $146.00 to $139.00 and set a “buy” rating for the company in a research report on Monday, August 17th. Finally, Weiss Ratings reaffirmed a “buy (b)” rating on shares of American Electric Power in a research note on Thursday, August 27th. Thirteen equities research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $140.19.

View Our Latest Stock Analysis on American Electric Power

(Free Report)

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.

See Also Five stocks we like better than American Electric Power The Path to $230 Billion: Broadcom Outlines the Next Phase of Its AI Growth Story NVIDIA’s Hugging Face Deal Raises a Bigger Question About Its AI Moat Now Dropping the Dough: Yum! Brands Strategically Trims the Fat These 3 Stock Charts Just Flashed the Dreaded Death Cross Pattern Want to see what other hedge funds are holding AEP? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for American Electric Power Company, Inc. (NASDAQ:AEP – Free Report).

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, /PRNewswire/ -- The state of Indiana has called on utilities to take action to make energy more affordable, and Indiana Michigan Power (I&M) is meeting that call with a plan to deliver savings and stability for customers.

I&M has unveiled one of the nation's largest base rate reduction plans, which includes approximately $59 million in 2027 bill reductions expected to help a residential customer in Indiana using 1,000 kWh a month save an estimated $100 per year. The plan also provides stability for Indiana residential customers by proposing to freeze all rates on their monthly bill for three consecutive years.

The planned reduction comes as rates for I&M's Indiana customers have been reduced twice in the first six months of this year, demonstrating I&M's continued focus on managing costs and delivering value to customers as Indiana's economy and electricity demand grow. The plan is made possible thanks to load growth and increased revenue from large customers including data centers.

I&M anticipates a decision from the Indiana Utility Regulatory Commission (IURC) on the proposed plan in June 2027. Under this timeline, customers are expected to see savings reflected on their monthly bill starting in summer 2027.

"As Indiana continues to experience unprecedented growth, we are taking action to help our customers benefit from that growth through lower costs, enhanced value and continued investments to strengthen our system," said Maryam S. Brown, I&M president and chief operating officer. "We are proud to join forces with state leaders to advance economic development and make energy more affordable – while continuing to provide system reliability upgrades."

Indiana Governor Mike Braun said, "From day one, my administration has focused on making energy more affordable for Hoosiers. Economic growth should not come at the expense of existing customers. Indiana Michigan Power's proposal shows what's possible when we create the right environment for investment while keeping Hoosier families front and center. Lower utility bills, long-term rate certainty and continued investment in our electric system are exactly the kinds of results we want to deliver for Indiana."

Indiana Michigan Power (I&M) is headquartered in Fort Wayne, and its approximately 2,000 employees serve more than 600,000 customers. More than 85% of its energy delivered in 2024 was emission-free. I&M has at its availability various sources of generation including 2,278 MW of nuclear generation in Michigan, 450 MW of purchased wind generation from Indiana, more than 22 MW of hydro generation in both states and approximately 35 MW of large-scale solar generation in both states. The company's generation portfolio also includes 1,497 MW of coal-fueled generation.

American Electric Power (Nasdaq: AEP) is committed to improving our customers' lives with reliable, affordable power. We plan to invest $78 billion from 2026 through 2030 to enhance service for customers and support the growing energy needs of our communities. Our nearly 18,000 employees operate and maintain the nation's largest electric transmission system with 40,000 line miles, along with more than 252,000 miles of distribution lines to deliver energy to 5.6 million customers in 11 states. AEP also is one of the nation's largest electricity producers with approximately 33,000 megawatts of diverse owned and contracted generating capacity. We are focused on safety and operational excellence, creating value for our stakeholders and bringing opportunity to our service territory through economic development and community engagement. Our family of companies includes AEP Ohio, AEP Texas, Appalachian Power (in Virginia, West Virginia and Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana, east Texas and the Texas Panhandle). AEP also owns AEP Energy, which provides innovative competitive energy solutions nationwide. AEP is headquartered in Columbus, Ohio. For more information, visit aep.com.

SOURCE Indiana Michigan Power

Ancora Advisors LLC bought a new stake in American Electric Power Company, Inc. (NASDAQ:AEP – Free Report) in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund bought 10,862 shares of the company’s stock, valued at approximately $1,486,000.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Activest Wealth Management boosted 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 valued at $25,000 after buying an additional 91 shares in the last quarter. Costello Asset Management INC increased its holdings in shares of American Electric Power by 100.0% during the first quarter. Costello Asset Management INC now owns 200 shares of the company’s stock worth $26,000 after buying an additional 100 shares in the last quarter. Legacy Wealth Managment LLC ID lifted its stake in shares of American Electric Power by 200.0% in the 4th quarter. Legacy Wealth Managment LLC ID now owns 231 shares of the company’s stock valued at $27,000 after acquiring an additional 154 shares during the last quarter. Basepoint Wealth LLC bought a new position in shares of American Electric Power in the 4th quarter valued at $27,000. Finally, Acumen Wealth Advisors LLC acquired a new stake in shares of American Electric Power during the 4th quarter valued at $27,000. Institutional investors own 75.24% of the company’s stock.

Wall Street Analysts Forecast Growth A number of brokerages recently weighed in on AEP. Wall Street Zen lowered American Electric Power from a “hold” rating to a “sell” rating in a research report on Saturday, May 9th. Morgan Stanley dropped their target price on American Electric Power from $139.00 to $135.00 and set an “overweight” rating for the company in a research report on Friday, August 21st. JPMorgan Chase & Co. cut their price target on American Electric Power from $141.00 to $140.00 and set a “neutral” rating on the stock in a research note on Friday, May 15th. Jefferies Financial Group boosted their price target on American Electric Power from $147.00 to $154.00 and gave the stock a “buy” rating in a report on Wednesday, July 1st. Finally, Truist Financial lowered their price objective on American Electric Power from $146.00 to $139.00 and set a “buy” rating for the company in a research note on Monday, August 17th. Thirteen analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $140.19.

Check Out Our Latest Research Report on American Electric Power American Electric Power Price Performance AEP stock opened at $122.71 on Friday. 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 firm has a market cap of $66.80 billion, a price-to-earnings ratio of 21.05, a PEG ratio of 2.25 and a beta of 0.52. The company’s fifty day simple moving average is $130.53 and its 200 day simple moving average is $130.63. American Electric Power Company, Inc. has a 12-month low of $105.70 and a 12-month high of $140.58.

American Electric Power (NASDAQ:AEP – Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The company reported $1.36 EPS for the quarter, missing the consensus estimate of $1.48 by ($0.12). The company had revenue of $5.45 billion for the quarter, compared to analyst estimates of $5.34 billion. American Electric Power had a return on equity of 9.95% and a net margin of 13.78%.The business’s quarterly revenue was up 7.0% compared to the same quarter last year. During the same period last year, the business earned $1.43 EPS. American Electric Power has set its FY 2026 guidance at 6.250-6.550 EPS. On average, analysts expect that American Electric Power Company, Inc. will post 6.37 earnings per share for the current year.

American Electric Power Dividend Announcement The company also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Monday, August 10th will be given a dividend of $0.95 per share. This represents a $3.80 dividend on an annualized basis and a dividend yield of 3.1%. The ex-dividend date of this dividend is Monday, August 10th. American Electric Power’s dividend payout ratio (DPR) is presently 65.18%.

(Free Report)

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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Key Takeaways NextEra Energy leads AEP in earnings estimate growth, net margin and return on equity.NEE plans nearly $94.7B in investments through 2030, exceeding AEP's $78B plan for 2026-2030.AEP trades at a lower 18.33X forward P/E versus NEE's 19.67X, while both exceed the industry. The Zacks Utility - Electric Power industry offers stable, long-term income, supported by regulated operations that allow companies to recover costs and earn consistent returns. Steady electricity demand from residential, commercial & industrial customers and a sudden rise in demand from AI-based data centers are creating fresh opportunities for the industry. The attractive dividends further strengthen the sector’s defensive appeal. Lower interest rates are also beneficial, as they reduce financing costs for capital-intensive infrastructure investments.

At the same time, utilities are evolving through large-scale investments in renewable energy, grid modernization and electrification. The development of large-scale battery storage projects and the use of advanced technologies to map and reinforce infrastructure in areas vulnerable to severe weather are improving operational reliability. Against this backdrop, NextEra Energy (NEE - Free Report) and American Electric Power (AEP - Free Report) stand out as leading utilities positioned to benefit from rising power demand and the clean energy transition.

NextEra Energy benefits from its strong renewable energy platform and regulated Florida utility operations. Investments in wind, solar, battery storage and grid infrastructure support long-term growth while providing investors with a combination of stability and clean energy exposure. As the parent of Florida Power & Light and NextEra Energy Resources, NEE manages one of the world’s largest wind and solar portfolios.

American Electric Power relies on a large regulated utility and transmission network. Its investments in grid modernization, transmission infrastructure and cleaner generation, supported by steady cash flows and dividends, strengthen its long-term growth prospects. AEP is well-positioned to benefit from rising power demand and decarbonization efforts, reinforcing its role as a stable, income-focused utility.

Both NEE and AEP offer attractive utility exposure, but a comparison of their fundamentals can help determine which stock currently presents the stronger investment opportunity.

NEE & AEP’s Earnings Growth ProjectionsThe Zacks Consensus Estimate for NextEra Energy’s earnings per share in 2026 and 2027 has increased year over year by 8.09% and 8.73%, respectively.

Image Source: Zacks Investment Research

The same for American Electric Power’s earnings per share in 2026 and 2027 has increased year over year by 6.7% and 7.66%, respectively.

Image Source: Zacks Investment Research

NEE’s Net Margin Higher Than AEPNet margin measures the percentage of revenue retained as profit after deducting all expenses, taxes and interest.

NEE’s net margin is currently pegged at 28.44% compared with AEP’s 14.19%.

Image Source: Zacks Investment Research

Return on EquityReturn on Equity (“ROE”) is an important measure of financial performance that indicates how efficiently a company converts shareholder equity into profits. It highlights management’s effectiveness in utilizing invested capital to grow earnings and enhance shareholder value.

NextEra Energy’s current ROE is 12.28% compared with AEP’s 9.95%. NEE also outperformed the industry’s ROE of 11.4%.

Image Source: Zacks Investment Research

Long-term Capital Expenditure PlansCapital expenditure is critical in the sector, as it drives infrastructure development, system reliability and long-term growth. Utilities must consistently invest in power generation, transmission and distribution networks to meet rising demand, integrate renewable energy sources and comply with evolving regulatory standards.

 NextEra Energy plans to invest nearly $94.7 billion through 2030 to strengthen its infrastructure and add more clean electricity generation assets. American Electric Power plans to invest $78 billion in the 2026-2030 period to strengthen its electric transmission, distribution and generation infrastructure.

Debt to CapitalThe capital-intensive Zacks Utilities sector requires substantial investment to modernize infrastructure, expand operations and adopt new technologies. Utilities generally supplement internally generated cash with external borrowings to fund these projects. The current 3.5-3.75% interest-rate environment should lower financing costs, improve financial flexibility and support long-term capital investment and earnings growth.

NextEra Energy’s long-term debt-to-capital currently stands at 59.21% compared with American Electric Power’s 59.04%. Both companies are using debt to fund their business.

Image Source: Zacks Investment Research

ValuationNextEra Energy currently appears to trade at a premium compared with American Electric Power on a Price/Earnings Forward 12-month basis. (P/E- F12M).

NEE and AEP are currently trading at 19.67X and 18.33X, respectively, compared with the industry’s 15.29X.

Image Source: Zacks Investment Research

Summing UpNextEra Energy and American Electric Power are investing heavily in their infrastructure to serve millions of customers across the United States.

AEP is currently trading at a lower valuation than NEE. However, NEE’s stronger earnings estimate revisions, superior net margins, higher return on equity and larger capital investment program make it the more compelling investment choice in the utility sector.

Based on the above discussion, NextEra Energy currently has an edge over American Electric Power, though both presently carry a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

EP Wealth Advisors LLC purchased a new position in American Electric Power Company, Inc. (NASDAQ:AEP – Free Report) during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor purchased 34,286 shares of the company’s stock, valued at approximately $4,691,000.

Other institutional investors and hedge funds have also recently made changes to their positions in the company. Essex Financial Services Inc. grew its position in American Electric Power by 0.9% in the first quarter. Essex Financial Services Inc. now owns 8,215 shares of the company’s stock worth $1,077,000 after acquiring an additional 75 shares in the last quarter. Cornerstone Advisory LLC lifted its stake in American Electric Power by 1.3% during the first quarter. Cornerstone Advisory LLC now owns 5,831 shares of the company’s stock worth $764,000 after purchasing an additional 75 shares during the last quarter. Financial Enhancement Group LLC boosted its holdings in shares of American Electric Power by 3.3% in the 1st quarter. Financial Enhancement Group LLC now owns 2,383 shares of the company’s stock worth $319,000 after purchasing an additional 76 shares in the last quarter. Community Trust & Investment Co. boosted its holdings in shares of American Electric Power by 1.7% in the 2nd quarter. Community Trust & Investment Co. now owns 4,730 shares of the company’s stock worth $647,000 after purchasing an additional 77 shares in the last quarter. Finally, J2 Capital Management Inc increased its position in shares of American Electric Power by 2.0% during the 1st quarter. J2 Capital Management Inc now owns 4,099 shares of the company’s stock valued at $537,000 after purchasing an additional 79 shares during the last quarter. Hedge funds and other institutional investors own 75.24% of the company’s stock.

American Electric Power Stock Down 3.8% Shares of NASDAQ:AEP opened at $120.94 on Friday. The stock’s 50-day moving average price is $131.01 and its 200-day moving average price is $130.48. American Electric Power Company, Inc. has a 12-month low of $105.70 and a 12-month high of $140.58. The stock has a market capitalization of $65.84 billion, a P/E ratio of 20.74, a price-to-earnings-growth ratio of 2.17 and a beta of 0.52. The company has a current ratio of 0.50, a quick ratio of 0.38 and a debt-to-equity ratio of 1.44.

American Electric Power (NASDAQ:AEP – Get Free Report) last released its earnings results on Thursday, July 30th. The company reported $1.36 earnings per share for the quarter, missing analysts’ consensus estimates of $1.48 by ($0.12). The company had revenue of $5.45 billion during the quarter, compared to the consensus estimate of $5.34 billion. American Electric Power had a net margin of 13.78% and a return on equity of 9.95%. The company’s revenue was up 7.0% on a year-over-year basis. During the same period last year, the firm posted $1.43 EPS. American Electric Power has set its FY 2026 guidance at 6.250-6.550 EPS. On average, equities analysts anticipate that American Electric Power Company, Inc. will post 6.37 earnings per share for the current year. American Electric Power Announces Dividend The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Monday, August 10th will be paid a dividend of $0.95 per share. This represents a $3.80 dividend on an annualized basis and a dividend yield of 3.1%. The ex-dividend date of this dividend is Monday, August 10th. American Electric Power’s dividend payout ratio is 65.18%.

Wall Street Analysts Forecast Growth A number of brokerages recently weighed in on AEP. LADENBURG THALM/SH SH decreased their price objective on American Electric Power from $148.00 to $143.00 and set a “buy” rating on the stock in a report on Thursday, June 18th. Wall Street Zen lowered American Electric Power from a “hold” rating to a “sell” rating in a research note on Saturday, May 9th. Barclays reduced their price target on shares of 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 lifted their price target on shares of American Electric Power from $147.00 to $154.00 and gave the stock a “buy” rating in a research note on Wednesday, July 1st. Finally, JPMorgan Chase & Co. lowered their price objective on shares of American Electric Power from $141.00 to $140.00 and set a “neutral” rating for the company in a report on Friday, May 15th. Thirteen research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. According to MarketBeat.com, American Electric Power has an average rating of “Moderate Buy” and a consensus price target of $140.19.

Get Our Latest Report on AEP

(Free Report)

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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Bank of New York Mellon Corp bought a new position in American Electric Power Company, Inc. (NASDAQ:AEP – Free Report) in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm bought 3,621,775 shares of the company’s stock, valued at approximately $495,495,000. Bank of New York Mellon Corp owned 0.67% of American Electric Power as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors also recently added to or reduced their stakes in the business. Essex Financial Services Inc. increased its position in shares of American Electric Power by 0.9% in the first quarter. Essex Financial Services Inc. now owns 8,215 shares of the company’s stock valued at $1,077,000 after buying an additional 75 shares in the last quarter. Cornerstone Advisory LLC increased its position in American Electric Power by 1.3% during the 1st quarter. Cornerstone Advisory LLC now owns 5,831 shares of the company’s stock worth $764,000 after purchasing an additional 75 shares in the last quarter. Financial Enhancement Group LLC raised its position in shares of American Electric Power by 3.3% in the first quarter. Financial Enhancement Group LLC now owns 2,383 shares of the company’s stock valued at $319,000 after buying an additional 76 shares during the last quarter. Community Trust & Investment Co. lifted its stake in shares of American Electric Power by 1.7% during the 2nd quarter. Community Trust & Investment Co. now owns 4,730 shares of the company’s stock worth $647,000 after purchasing an additional 77 shares during the period. Finally, J2 Capital Management Inc boosted its holdings in American Electric Power by 2.0% in the first quarter. J2 Capital Management Inc now owns 4,099 shares of the company’s stock valued at $537,000 after acquiring an additional 79 shares during the last quarter. Hedge funds and other institutional investors own 75.24% of the company’s stock.

American Electric Power Stock Down 3.8% AEP opened at $120.94 on Friday. The company has a debt-to-equity ratio of 1.44, a current ratio of 0.50 and a quick ratio of 0.38. The company has a market capitalization of $65.84 billion, a PE ratio of 20.74, a price-to-earnings-growth ratio of 2.25 and a beta of 0.52. American Electric Power Company, Inc. has a fifty-two week low of $105.70 and a fifty-two week high of $140.58. The business has a 50-day moving average of $131.01 and a 200-day moving average of $130.48.

American Electric Power (NASDAQ:AEP – Get Free Report) last released its quarterly earnings results on Thursday, July 30th. The company reported $1.36 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates 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 firm had revenue of $5.45 billion for the quarter, compared to the consensus estimate of $5.34 billion. During the same quarter last year, the company earned $1.43 earnings per share. The firm’s revenue 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. Equities research analysts forecast that American Electric Power Company, Inc. will post 6.37 EPS for the current fiscal year. American Electric Power Announces Dividend The business also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Monday, August 10th will be paid a $0.95 dividend. The ex-dividend date of this dividend is Monday, August 10th. This represents a $3.80 annualized dividend and a yield of 3.1%. American Electric Power’s payout ratio is currently 65.18%.

Wall Street Analyst Weigh In Several research analysts have recently weighed in on AEP shares. Scotiabank upped their target price on shares of American Electric Power from $131.00 to $140.00 and gave the company a “sector perform” rating in a research note on Wednesday, May 6th. TD Cowen upped their price target on shares of American Electric Power from $141.00 to $148.00 and gave the company a “buy” rating in a report on Friday, May 15th. Citigroup decreased their price objective 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. Wall Street Zen lowered American Electric Power from a “hold” rating to a “sell” rating in a report on Saturday, May 9th. Finally, Morgan Stanley decreased their target price on American Electric Power from $139.00 to $135.00 and set an “overweight” rating for the company in a research report on Friday. Thirteen equities research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $140.19.

View Our Latest Research Report on AEP

(Free Report)

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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21.8.2026 22:09

Zámořské akciové trhy během dnešního obchodování vzrostly a zakončily volatilní týden v kladných číslech. Podporu trhům poskytla příznivá makroekonomická data ukazující nejrychlejší tempo růstu podnikatelské aktivity v USA za poslední čtyři roky. Index Dow Jones si připsal 0,98 % na 53277,01 bodu, širší S&P 500 vzrostl o 0,43 % na 7674,36 bodu a technologický Nasdaq Composite zpevnil o 0,43 % na 26180,46 bodu. Z jednotlivých odvětví indexu S&P 500 dosáhly nejvyšších zisků základní materiály s růstem o 2,2 %, následované zdravotní péčí o 1,3 % a zbytnou spotřebou o 1 %. Naopak nejvýraznější pokles zaznamenaly utility, které ztratily 2,3 %, zatímco energie a reality odepsaly 0,2 % a 0 %. Mezi jednotlivými tituly výrazně posílila společnost Robinhood Markets (HOOD) o 14 %, dále pak Moderna (MRNA) o 8,9 %, Freeport-McMoRan (FCX) o 7,7 %, Coinbase Global (COIN) o 8,2 % a Albemarle Corp (ALB) o 6,8 %. Největší propad naopak postihl společnost Marvell Technology (MRVL), jež oslabila o 5,6 %, a nedařilo se ani firmám Sempra (SRE) se ztrátou 5,1 %, Edison International (EIX) o 4,1 %, American Electric Power (AEP) o 3,8 % a CenterPoint Energy (CNP) s poklesem o 3,6 %. Na komoditních trzích mírně vzrostla cena severoamerické lehké ropy WTI o 0,2 % na 87 dolarů za barel, zatímco spotové zlato posílilo o 2,4 % na 4624,69 dolaru za unci. Americký dolar celkově mírně oslabil. Výnos desetiletých amerických vládních dluhopisů vzrostl o tři bazické body na 4,73 %. Výrazný růst zaznamenal bitcoin, jehož cena stoupla o 6,1 % na 77086,77 dolaru.

Index Dow Jones +0,98 % na 53277,01 b.
S&P 500 +0,43 % na 7674,36 b.
Nasdaq Composite +0,43 % na 26180,46 b.

Index S&P 500 +0,43 % na 7674,36 b. Nejsilnější sektory S&P Změna Nejslabší sektory S&P Změna Základní materiály +2,2 % Utility -2,3 % Zdravotní péče +1,3 % Energie -0,2 % Finanční sektor +1 % Reality 0 % Nejsilnější akcie S&P Změna Nejslabší akcie S&P Změna Robinhood Markets (HOOD) +14 % Marvell Technology (MRVL) -5,6 % Moderna (MRNA) +8,9 % Sempra (SRE) -5,1 % Coinbase Global (COIN) +8,2 % Edison International (EIX) -4,1 % Freeport-McMoRan (FCX) +7,7 % American Electric Power (AEP) -3,8 % Albemarle Corp (ALB) +6,8 % CenterPoint Energy (CNP) -3,6 %
Daniel Marván
Fio banka, a.s.
Prohlášení

American Electric Power
AEP +0.64% 77

, a regulated utility and electricity-transmission operator, traded almost flat at $125.46 Monday morning as the AI infrastructure race pushed deeper into the power sector. NVIDIA
NVDA +0.44% 95

agreed to backstop up to $105 billion of financing obligations tied to OpenAI's massive Ohio data center project while investing $1.5 billion in SB Energy, the SoftBank-backed developer behind the campus.

The big winner from the AI boom may not just be chipmakers. Utilities are becoming the backbone of the next growth cycle. AEP Ohio is positioned to supply electricity for the Pike County project, which could eventually require 4.25 gigawatts of initial capacity with expansion options beyond that. The company is also supporting a $4.2 billion transmission upgrade program, while SB Energy has committed to covering those infrastructure costs instead of shifting the burden onto existing customers.

The valuation story remains more balanced. AEP traded at $125.41 versus its GF Value™ of $114.89, placing the stock approximately 9.16% above its estimated intrinsic value. Investors are clearly giving AEP credit for its role in powering the AI expansion, but the earnings impact is still a future event. Electricity is not expected to begin flowing to the site until 2029, meaning regulatory approvals, construction execution and demand growth will determine whether this becomes a major earnings catalyst or simply a long-term infrastructure bet.

The AI race needs more than GPUs. It needs power, transmission lines and companies capable of delivering electricity at massive scale. AEP is now sitting directly in the middle of that opportunity.

Check the Warning Signs for

AEP

now!

Posted by Defense World Staff on Aug 16th, 2026

Bellars Harris Wealth Management LLC acquired a new stake in shares of American Electric Power Company, Inc. (NASDAQ:AEP – Free Report) during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund acquired 75,847 shares of the company’s stock, valued at approximately $10,377,000. American Electric Power comprises 2.1% of Bellars Harris Wealth Management LLC’s portfolio, making the stock its 8th largest holding.

Several other hedge funds and other institutional investors have also made changes to their positions in AEP. Brighton Jones LLC lifted its stake in shares of American Electric Power by 11.5% during the 4th quarter. Brighton Jones LLC now owns 10,601 shares of the company’s stock worth $978,000 after acquiring an additional 1,095 shares during the last quarter. Acadian Asset Management LLC bought a new position in American Electric Power in the 1st quarter valued at $320,000. Sivia Capital Partners LLC grew its position in American Electric Power by 149.5% in the 2nd quarter. Sivia Capital Partners LLC now owns 4,891 shares of the company’s stock valued at $507,000 after acquiring an additional 2,931 shares during the last quarter. Gamco Investors INC. ET AL increased its stake in American Electric Power by 4.4% in the second quarter. Gamco Investors INC. ET AL now owns 2,505 shares of the company’s stock worth $260,000 after purchasing an additional 105 shares during the period. Finally, AXA S.A. increased its stake in American Electric Power by 95.7% in the second quarter. AXA S.A. now owns 79,111 shares of the company’s stock worth $8,209,000 after purchasing an additional 38,684 shares during the period. Hedge funds and other institutional investors own 75.24% of the company’s stock.

American Electric Power Trading Up 0.2% NASDAQ:AEP opened at $125.60 on Friday. The stock has a market capitalization of $68.38 billion, a price-to-earnings ratio of 21.54, a PEG ratio of 2.25 and a beta of 0.52. American Electric Power Company, Inc. has a 52 week low of $105.70 and a 52 week 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 firm has a 50 day moving average of $131.31 and a 200 day moving average of $130.27.

American Electric Power (NASDAQ:AEP – Get Free Report) last released its quarterly earnings results on Thursday, July 30th. The company reported $1.36 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.48 by ($0.12). The firm had revenue of $5.45 billion during the quarter, compared to analysts’ expectations of $5.34 billion. American Electric Power had a return on equity of 9.95% and a net margin of 13.78%.American Electric Power’s revenue for the quarter was up 7.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.43 earnings per share. American Electric Power has set its FY 2026 guidance at 6.250-6.550 EPS. As a group, sell-side analysts anticipate that American Electric Power Company, Inc. will post 6.37 earnings per share for the current fiscal year.

American Electric Power Dividend Announcement The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Monday, August 10th will be paid a dividend of $0.95 per share. This represents a $3.80 annualized dividend and a yield of 3.0%. The ex-dividend date is Monday, August 10th. American Electric Power’s payout ratio is 65.18%.

Analysts Set New Price Targets A number of analysts have recently issued reports on the stock. JPMorgan Chase & Co. lowered their target price on shares of American Electric Power from $141.00 to $140.00 and set a “neutral” rating for the company in a research note on Friday, May 15th. Truist Financial lifted their price objective on shares of American Electric Power from $145.00 to $146.00 and gave the company a “buy” rating in a report on Friday, July 17th. Jefferies Financial Group upped their target price on shares of American Electric Power from $147.00 to $154.00 and gave the stock a “buy” rating in a research note on Wednesday, July 1st. Mizuho reduced their target price on shares of American Electric Power from $141.00 to $135.00 and set a “neutral” rating on the stock in a research report on Friday, July 31st. Finally, Wall Street Zen lowered shares of American Electric Power from a “hold” rating to a “sell” rating in a research report on Saturday, May 9th. Thirteen investment analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $140.71.

View Our Latest Research Report on American Electric Power

American Electric Power Profile (Free Report)

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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American Electric Power remains a buy, driven by 69 GW of contracted load and a $78B capital plan supporting robust rate-base growth. Management raised FY2026 operating EPS guidance to $6.25–$6.55, reaffirming 7%-9% annual growth and targeting >9% CAGR through 2030. Contracted demand, especially from data centers, is increasingly formalized with strong regulatory and collateral protections, minimizing counterparty risk.

Key Takeaways AEP added 6 gigawatts of contracted load in Q2, lifting additions through 2030 to 69 gigawatts.AEP reaffirmed its $78 billion capital plan for 2026-2030, targeting nearly 11% rate base growth.AEP secured 3 gigawatts of gas-fired turbine capacity, bringing total secured capacity to 13 gigawatts. American Electric Power Company, Inc. (AEP - Free Report) used its second-quarter 2026 earnings call to emphasize accelerating customer demand, a larger investment pipeline and steps to support long-term infrastructure growth. Management raised its full-year outlook while highlighting expanded contracted load opportunities and generation planning.

The call focused less on quarterly earnings pressure and more on how AEP is positioning its transmission, generation and regulatory platforms for sustained expansion. Executives also addressed investor questions around capital deployment, financing and emerging customer demand.

AEP Expands Demand OutlookAEP reported earnings of $1.36 per share for the second quarter of 2026, below the Zacks Consensus Estimate of $1.49. Revenues reached $5.45 billion, ahead of the Zacks Consensus Estimate of $5.26 billion.

Chief executive officer William Fehrman said the company added 6 gigawatts of contracted load during the quarter, bringing total contracted load additions through 2030 to 69 gigawatts. The company attributed much of the increase to fully executed agreements in Texas.

Fehrman emphasized that large-load customers, including hyperscalers and industrial users, are central to AEP’s growth strategy. Management said these agreements are structured to provide customer commitments while helping spread fixed costs across a broader base.

American Electric Power Advances Capital PlanAmerican Electric Power reaffirmed its $78 billion capital plan for 2026 through 2030, which management expects to support nearly 11% rate base compound annual growth. The company also identified more than $10 billion of potential incremental investments beyond the base plan.

Chief financial officer Trevor Mihalik said AEP expects operating earnings growth of 7% to 9% annually through 2030 and operating EPS CAGR of more than 9%, supported by infrastructure investments and regulatory improvements.

Management highlighted potential additions from the Wyoming fuel cell project, the Piketon transmission opportunity and incremental generation investments. Executives said these projects could expand the company’s long-term investment runway.

AEP Secures Generation CapacityAEP said it secured an additional 3 gigawatts of gas-fired turbine capacity during the quarter, increasing total secured turbine capacity to approximately 13 gigawatts for deployment through 2031. The company is also evaluating up to 10 gigawatts of additional turbine capacity through 2035.

Fehrman said securing equipment early provides flexibility as demand increases and generation resources become more constrained. Management noted that the turbine strategy is intended to support customer growth and replace aging generation assets over time.

The company also discussed early-stage nuclear opportunities. Fehrman said AEP remains disciplined on capital allocation and would require strong protections, financial safeguards and regulatory support before advancing such projects.

American Electric Power Faces Investor QuestionsAmerican Electric Power faced analyst questions about whether growth opportunities could require new financing structures. A Wells Fargo analyst asked about alternative approaches for serving hyperscale customers, including potential generation company structures.

Fehrman said AEP is evaluating the GenCo structure because it could provide advantages in serving large customers. He also highlighted opportunities in West Virginia, where the company is pursuing projects aligned with regional economic development goals.

A Jefferies analyst questioned how AEP views new nuclear development and customer-specific generation structures. Management reiterated that any approach would prioritize balance sheet protection and disciplined investment decisions.

AEP Maintains Financial DisciplineAEP raised its 2026 operating earnings guidance to $6.25 to $6.55 per share from the prior range of $6.15 to $6.45 per share. Management cited strong first-half performance and expected regulatory benefits in the second half of the year.

The company also completed a $3 billion marketed equity transaction intended to support the current capital plan. Management said the transaction addressed anticipated equity needs associated with the $78 billion investment program.

Executives highlighted customer affordability efforts, including up to $16 billion in expected cost offsets from new large-load agreements and nearly $1.4 billion in estimated customer benefits from DOE loans and grants.

AEP Focuses on Long-Term ExecutionAEP ended the call by emphasizing execution across financial performance, affordability, growth and regulatory outcomes. Management pointed to customer demand, infrastructure investment and regulatory progress as key priorities.

The company said it continues to pursue growth while maintaining investment-grade credit metrics, including a targeted FFO-to-debt ratio of 14% to 15%.

Management’s outlook centered on expanding infrastructure capacity, supporting new customer demand and advancing projects that could extend growth beyond the current five-year plan.

Zacks Signals for AEPAEP carries a Zacks Rank #3 (Hold). The Zacks Rank focuses on earnings estimate revisions and is designed to help identify stocks with potential relative performance over the next one to three months. The Rank can change as analysts update earnings expectations following quarterly results. 

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The stock has a Value Score of C, Growth Score of D, Momentum Score of A and VGM Score of C. Zacks Style Scores rate stocks from A to F, with stronger scores indicating more favorable characteristics within each investment style category.

Key Takeaways American Electric's Q2 operating earnings fell 4.9% to $1.36 per share, missing estimates by 8.7%.Revenues rose 7% to $5.45 billion, supported by utility rate changes and higher transmission revenues.American Electric raised 2026 operating EPS guidance to $6.25-$6.55 from $6.15-$6.45. American Electric Power Company, Inc. (AEP - Free Report) reported second-quarter 2026 operating earnings of $1.36 per share, missing the Zacks Consensus Estimate of $1.49 by 8.7%. The bottom line declined 4.9% from $1.43 in the year-ago quarter, primarily due to the timing of income taxes and the prior-year transmission minority-interest transaction.

On a GAAP basis, AEP posted earnings of $1.31 per share, down from $2.29 a year ago.

American Electric Total RevenuesAEP generated total revenues of $5.45 billion, up 7% from $5.09 billion in the prior-year quarter. The top line also came ahead of the Zacks Consensus Estimate of $5.26 billion by 3.5%.

AEP’s Segmental PerformanceVertically Integrated Utilities segment generated operating earnings of $302 million, up from $297 million. Rate changes contributed 21 cents per share, while normalized sales added 10 cents.

Transmission & Distribution Utilities reported operating earnings of $239 million, up from $224 million in the year-ago period. Rate changes and higher transmission revenues supported the improvement.

AEP Transmission Holdco’s operating earnings were $225 million, nearly unchanged from $224 million a year earlier. However, the segment’s earnings contribution was affected by the timing of the minority-interest transaction completed in 2025.

Generation & Marketing operating earnings declined slightly to $91 million from $92 million in the year-ago quarter. Retail-related weakness was offset by gains from wholesale and other activities, while operations and maintenance costs created a modest drag.

Corporate and Other posted an operating loss of $115 million, wider than the $71 million loss recorded a year earlier. Higher operating costs, interest expense, income-tax timing and other corporate items reduced quarterly operating earnings and offset gains across several utility businesses.

AEP’s 2026 GuidanceAEP raised its 2026 operating earnings guidance range to $6.25-$6.55 per share from $6.15-$6.45. The Zacks Consensus Estimate for earnings is pegged at $6.35, which lies below the midpoint of the company’s projected range.

AEP’s Zacks RankAmerican Electric currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Utility ReleasesEntergy Corporation (ETR - Free Report) reported second-quarter 2026 earnings of $1.03 per share, which beat the Zacks Consensus Estimate of 94 cents by 9.6%. However, the bottom line decreased 1.9% from the year-ago quarter’s figure of $1.05.

Revenues rose 5.9% year over year to $3.52 billion but missed the consensus mark of $3.53 billion by 0.08%.

PG&E Corporation (PCG - Free Report) reported second-quarter 2026 adjusted earnings per share (EPS) of 40 cents, which beat the Zacks Consensus Estimate of 37 cents by 8.1%. The bottom line also increased 29% from the year-ago quarter’s figure of 31 cents.

PCG reported second-quarter total revenues of $5.902 billion, up 0.1% from $5.898 billion registered in the year-ago period. However, the top line missed the Zacks Consensus Estimate of $6.31 billion by 6.4%.

CMS Energy Corporation (CMS - Free Report) reported second-quarter 2026 adjusted EPS of 37 cents, which came in line with the Zacks Consensus Estimate. However, the bottom line declined 47.9% from 71 cents in the year-ago quarter.

Operating revenues totaled $1.83 billion, which missed the Zacks Consensus Estimate of $1.91 billion by 4.2%. The top line also fell 0.5% from $1.84 billion in the prior-year quarter.

American Electric Power (AEP - Free Report) came out with quarterly earnings of $1.36 per share, missing the Zacks Consensus Estimate of $1.49 per share. This compares to earnings of $1.43 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of -8.73%. A quarter ago, it was expected that this utility would post earnings of $1.55 per share when it actually produced earnings of $1.64, delivering a surprise of +5.81%.

Over the last four quarters, the company has surpassed consensus EPS estimates two times.

AEP, which belongs to the Zacks Utility - Electric Power industry, posted revenues of $5.45 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 3.48%. This compares to year-ago revenues of $5.09 billion. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

AEP shares have added about 12.2% since the beginning of the year versus the S&P 500's gain of 6.9%.

What's Next for AEP?While AEP has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for AEP was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.98 on $6.33 billion in revenues for the coming quarter and $6.35 on $23.35 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Utility - Electric Power is currently in the bottom 34% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

One other stock from the same industry, Fortis (FTS - Free Report) , is yet to report results for the quarter ended June 2026. The results are expected to be released on July 31.

This electric and gas utility is expected to post quarterly earnings of $0.55 per share in its upcoming report, which represents no change from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 0.5% lower over the last 30 days to the current level.

Fortis' revenues are expected to be $2.02 billion, down 0.5% from the year-ago quarter.

Beyond the AI Trade: 3 Defensive Stocks Built for StabilityAmerican Electric Power NASDAQ: AEP raised its 2026 operating earnings guidance after reporting second-quarter operating earnings of $1.36 per share, or $742 million, as the utility highlighted rising contracted large-load demand, regulatory progress and an expanding pipeline of generation and transmission investments.

The company increased its full-year operating earnings outlook to $6.25 to $6.55 per share, from a prior range of $6.15 to $6.45 per share. Second-quarter operating earnings were down from $1.43 per share a year earlier, while year-to-date operating earnings rose to $3.01 per share from $2.98 per share in the prior-year period.

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2 Dividend Stocks Insulated From Middle East ConflictChairman, President and CEO Bill Fehrman said the year-over-year comparison was affected by the 2025 transmission minority-interest sale and timing-related tax items. CFO Trevor Mihalik said the company expects transmission earnings to make a favorable year-over-year contribution by the end of 2026 as infrastructure investment continues, while certain tax timing effects are expected to reverse by year-end.

Load Commitments Continue to Rise AEP said contracted load additions through 2030 reached 69 gigawatts, up 6 gigawatts from the prior quarter. The additions are supported by executed electric service agreements and letters of agreement, according to Mihalik.

AI Power Crunch: Why Bloom Energy Is the Hidden WinnerTexas represents the largest portion of the opportunity, with 45 gigawatts of contracted load additions through 2030. Ohio accounts for 12 gigawatts, while Oklahoma, Indiana, Kentucky, Louisiana and Virginia comprise the remaining 12 gigawatts.

AEP Texas submitted 45 gigawatts of projects into ERCOT’s Batch Zero process, with expected timing between now and 2032. ERCOT was expected to determine eligibility for the Batch Zero study on Aug. 7. Mihalik said AEP had collected nearly $2 billion in cash or collateral supporting those commitments, representing the required credit support for the full 45 gigawatts in the filing.

The company said its current $78 billion capital plan does not assume load growth of that magnitude. Mihalik said project timing could be affected by ERCOT’s review process, generation availability and transmission development, but that delayed connections would extend the investment runway rather than eliminate it.

During the question-and-answer session, management said the existing capital plan had been based on approximately 13 gigawatts of Texas interconnections, rather than the 45 gigawatts submitted in Batch Zero. The company cautioned that higher load commitments should not be translated directly into a proportional increase in capital spending because project costs vary.

Capital Plan, Generation Pipeline and Financing AEP’s 2026-2030 capital plan totals $78 billion and is expected to support nearly 11% rate base compound annual growth. The company reaffirmed annual operating earnings growth of 7% to 9% and an operating EPS compound annual growth rate above 9% through 2030, based on the midpoint of its 2025 guidance.

Fehrman said AEP has identified more than $10 billion of investment opportunities outside the base plan, including a Wyoming fuel-cell initiative, the Piketon transmission opportunity in Ohio and incremental generation.

The company said it amended terms with the offtaker for the Wyoming fuel-cell project to address requested timing accommodations. Under the remaining December 2026 milestone, the hyperscaler can elect to place the fuel cells at an alternative site if the Cheyenne, Wyoming, location does not proceed. Fehrman said AEP retains shareholder protections if the milestone is not achieved or if additional changes are sought.

AEP is also pursuing definitive agreements for the Piketon transmission project with prospective offtaker SP Energy. Mihalik said the company expects executed agreements could allow the project to be incorporated into the five-year plan it intends to release with third-quarter results.

The company secured an additional 3 gigawatts of gas turbine capacity during the quarter, bringing total secured turbine capacity to about 13 gigawatts for deployment through 2031. AEP also has access to options for up to 10 gigawatts of additional turbine capacity through 2035. Management said the additional capacity could help replace aging coal and gas plants in vertically integrated utilities.

AEP completed a $3 billion marketed equity transaction during the quarter, expected to settle under forward contracts by May 2028. Mihalik said the transaction addressed the company’s anticipated marketed equity needs for the $78 billion capital plan. AEP continues to target a funds-from-operations-to-debt ratio of 14% to 15%.

Affordability and Regulatory Progress AEP said new large-load customers could create up to $16 billion of fixed-cost offsets for residential customers in its vertically integrated utilities over the life of take-or-pay service agreements. Management said rate reductions are already emerging in regulatory proceedings, including an Ohio order and a planned Indiana Michigan Power base-rate reduction filing later this summer.

The company also cited Department of Energy financing as a source of customer savings. AEP Texas secured a DOE loan guarantee of up to $3.3 billion for roughly 2,800 miles of transmission projects. AEP said the financing is expected to produce about $685 million in customer savings over the life of the loan. Across its portfolio, the company has secured about $5 billion in DOE loans and nearly $400 million in grants, representing expected customer benefits of nearly $1.4 billion.

Regulatory outcomes during the quarter included an Ohio distribution base-case settlement featuring a base-rate decrease and a 9.84% authorized return on equity, up from 9.7%. In Oklahoma, Public Service Company of Oklahoma filed a settlement that would reduce its authorized ROE to 9.375% from 9.5% but add an enhanced transmission cost rider that AEP expects to improve earned ROE.

AEP said its regulated earned ROE was 9.2% during the quarter and reiterated its expectation of reaching 9.5% by 2030 through regulatory execution and rate-making changes. The company also said it is evaluating a generation-company structure and other arrangements to serve large customers, while maintaining that any nuclear development would require customer commitments, financial protections and regulatory support.

About American Electric Power (NASDAQ:AEP)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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Raises full-year 2026 operating earnings guidance to $6.25 to $6.55 per share Supports affordability with up to $16 billion in expected cost offsets from load growth and $1.4 billion in expected customer savings from federal loan guarantees and grants Expands new load additions to 69 gigawatts (GW) through 2030 Secures approximately 13 GW of gas-fired turbine capacity; additional 10 GW under evaluation to meet growing demand , /PRNewswire/ -- American Electric Power (Nasdaq: AEP) today reported second-quarter 2026 GAAP earnings of $713 million or $1.31 per share, compared with GAAP earnings of $1,226 million or $2.29 per share in second-quarter 2025. Operating earnings for second-quarter 2026 were $742 million or $1.36 per share, compared with operating earnings of $766 million or $1.43 per share in second-quarter 2025. See the detailed GAAP to operating earnings reconciliation at the end of this press release.

AEP is raising its full-year 2026 operating earnings guidance to $6.25 to $6.55 per share from its previous guidance range of $6.15 to $6.45 per share to reflect strong performance through the first half of the year and expected results for the remainder of the year. The company also reaffirmed its annual operating earnings growth rate of 7% to 9% through 2030, with an expected operating earnings compound annual growth rate (CAGR) of greater than 9%, based on the 2025 guidance midpoint and supported by AEP's five-year, $78 billion capital plan. Additionally, AEP has line of sight to incremental capital investments of more than $10 billion, including the fuel cell project in Wyoming, the Piketon transmission opportunity in Ohio, and incremental generation in AEP's footprint.

"While I recognize our operating earnings are below last year at this stage due to the 2025 transmission minority interest sale and the timing of tax-related items, I am highly confident in our robust business performance – so much so that we are raising 2026 full-year guidance to $6.25 to $6.55 per share," said Bill Fehrman, AEP chairman, president and chief executive officer.

Affordability and Regulatory Progress

Affordability remains central to AEP's customer-focused growth strategy. As new large load customers come online, they can help spread the fixed costs across a broader customer base. AEP has identified up to $16 billion in expected cost offsets for residential customers in its vertically integrated utilities that are supported by fully executed take-or-pay electric service agreements.

As an additional affordability measure, AEP continues to utilize grants and low-cost loans from the U.S. Department of Energy (DOE) to drive customer savings. Most recently, AEP Texas secured a DOE loan for up to $3.3 billion to support nearly 100 transmission projects, which is expected to save customers $685 million in interest costs over the life of the loan.

With this financing, AEP has now secured approximately $5 billion in DOE loans across its portfolio, supporting nearly $1 billion in projected customer savings through lower interest costs. Combined with almost $400 million in awarded DOE grants, this DOE funding is expected to deliver nearly $1.4 billion in estimated customer benefits over the life of the loans and grants.

AEP's operating companies continued to deliver productive regulatory outcomes during the second quarter. These included approval of a distribution base rate decrease for customers in Ohio, approval to add 1.3 GW of generation resources for Oklahoma customers, and completion of a $1.4 billion securitization that allowed Appalachian Power to file its lowest increase in a base rate request in Virginia in nearly 30 years. Virginia also approved a large load tariff in the second quarter, bringing the total number of AEP's states with approved large load tariffs to five, with three additional state filings pending approval.

"As electricity demand accelerates, we have seen firsthand how growth can lower costs and improve affordability for existing customers. That is why we have led efforts to implement large load tariffs and structure contracts to ensure growth helps pay for growth," said Fehrman. "By leveraging our industry-leading transmission network, securing the resources needed to support reliability and future demand, and working with our regulators and policymakers to drive down costs for customers, we expect to strengthen our communities and create long-term value for all of our stakeholders."

Accelerating Demand Drives Infrastructure Investment

AEP continues to see robust customer demand across its system and is making investments that support reliability, affordability and long-term value for customers, communities and shareholders. The company added an incremental six GW of signed load agreements during the second quarter, primarily in Texas, bringing total contracted load growth through 2030 to 69 GW. The agreements include a diverse set of customers, including hyperscalers, data centers and industrials.

Generation Strategy Advances to Support Growing Customer Base

Significant new generation is required to meet customer energy needs, and AEP has been an early mover to secure the resources needed to serve growing demand reliably.

During the second quarter, AEP secured three additional GW of gas-fired turbine capacity, bringing its total secured capacity to approximately 13 GW for potential deployment through 2031. AEP is also evaluating opportunities to obtain up to 10 GW of additional turbine capacity through 2035. This proactive approach provides greater visibility and flexibility in AEP's generation planning and reinforces its ability to serve accelerating load growth across the footprint.

"AEP is demonstrating the value of our scale, industry expertise and disciplined focus on execution to benefit our customers," said Fehrman. "We are building partnerships and making strategic investments in generation and transmission that support reliability and affordability while helping customers and communities capture the benefits of generational energy demand growth."

AMERICAN ELECTRIC POWER

Preliminary, unaudited results

Second Quarter Ended June 30

Year-to-Date Ended June 30

2025

2026

Variance

2025

2026

Variance

Revenue ($ in millions):

5,087

5,445

358

10,550

11,465

915

Earnings ($ in millions):

GAAP

1,226

713

(513)

2,026

1,587

(439)

Operating (non-GAAP)

766

742

(24)

1,589

1,633

44

EPS ($): (a)

GAAP

2.29

1.31

(0.98)

3.80

2.92

(0.88)

Operating (non-GAAP)

1.43

1.36

(0.07)

2.98

3.01

0.03

(a)     

EPS is calculated using the weighted average basic common shares outstanding of 534 million and
544 million for the quarters ended June 30, 2025 and 2026, respectively

SUMMARY OF RESULTS BY SEGMENT

$ in millions, unaudited

GAAP Earnings

2Q 25

2Q 26

Variance

YTD 25

YTD 26

Variance

Vertically Integrated Utilities (a)

433

284

(149)

757

746

(11)

Transmission & Distribution Utilities (b)

224

222

(2)

389

459

70

AEP Transmission Holdco (c)

578

225

(353)

813

434

(379)

Generation & Marketing (d)

62

97

35

164

172

8

All Other

(71)

(115)

(44)

(97)

(224)

(127)

Total GAAP Earnings

1,226

713

(513)

2,026

1,587

(439)

Operating Earnings (non-GAAP)

2Q 25

2Q 26

Variance

YTD 25

YTD 26

Variance

Vertically Integrated Utilities (a)

297

302

5

647

766

119

Transmission & Distribution Utilities (b)

224

239

15

416

476

60

AEP Transmission Holdco (c)

224

225

1

459

434

(25)

Generation & Marketing (d)

92

91

(1)

168

181

13

All Other

(71)

(115)

(44)

(101)

(224)

(123)

Total Operating Earnings (non-GAAP)          

766

742

(24)

1,589

1,633

44

A full reconciliation of GAAP earnings to operating earnings is included in tables at the end of this news release.

(a)

Includes AEP Generating Co., Appalachian Power, Indiana Michigan Power, Kentucky Power, Kingsport Power, Public Service Company of Oklahoma, Southwestern Electric Power Company and Wheeling Power

(b)

Includes AEP Ohio and AEP Texas

(c)

Includes transmission-only subsidiaries and transmission-only joint ventures

(d)

Includes marketing, risk management and retail activities in ERCOT, MISO, PJM and SPP, and competitive generation in PJM

EARNINGS GUIDANCE

AEP management raised its 2026 operating earnings guidance range to $6.25 to $6.55 per share. Operating earnings, which could differ from earnings reported in accordance with GAAP, exclude certain gains and losses and other specified items that management believes are not indicative of AEP's ongoing performance. AEP management is not able to forecast if any of these items will occur or any amounts that may be reported for future periods. Therefore, AEP is not able to provide a corresponding GAAP equivalent for earnings guidance at this time.

Reflecting certain items recorded through the second quarter, the estimated earnings per share on a GAAP basis would be $6.16 to $6.46 per share. See the table below for a full reconciliation of 2026 earnings guidance.

2026 EPS Guidance Reconciliation

Estimated GAAP EPS Guidance

$6.16

          to          

$6.46

Mark-to-Market Impact of Commodity
Hedging Activities

0.03

Impact of WVPSC Order

(0.07)

Pirkey Plant Partial Disallowance

0.06

Unified Tracker Mechanism Partial
Disallowance

0.04

Wholesale Customer Contract Agreements          

0.04

Income Tax Effect of Adjustments

(0.01)

Operating EPS Guidance

$6.25

to

$6.55

WEBCAST

AEP's quarterly discussion with financial analysts and investors will be broadcast live over the internet at 9 a.m. Eastern today at http://www.aep.com/webcasts. The webcast will include audio of the discussion and visuals of charts and graphics referred to by AEP management. The charts and graphics will be available for download at http://www.aep.com/webcasts.

AEP reports its financial results in accordance with GAAP. AEP supplements its reporting of financial information with certain non-GAAP financial measures, such as operating earnings and operating earnings per share. The most comparable GAAP measure to operating earnings and operating earnings per share is GAAP earnings and GAAP earnings per share, respectively.

This information is intended to enhance an investor's overall understanding of period over period financial results and provide an indication of AEP's baseline operating performance by excluding items that are considered by management to be not directly related to the ongoing operations of the business. In addition, this information is among the primary indicators management uses as a basis for evaluating performance, allocating resources, setting incentive compensation targets and planning and forecasting of future periods. These non-GAAP financial measures are not a presentation defined under GAAP and may not be comparable to other companies' presentations. These non-GAAP measures should not be deemed more useful than, a substitute for, or an alternative to the most comparable GAAP measures.

ABOUT AEP

American Electric Power (Nasdaq: AEP) is committed to improving our customers' lives with reliable, affordable power. We plan to invest $78 billion from 2026 through 2030 to enhance service for customers and support the growing energy needs of our communities. Our nearly 18,000 employees operate and maintain the nation's largest electric transmission system with 40,000 line miles, along with more than 252,000 miles of distribution lines to deliver energy to 5.6 million customers in 11 states. AEP also is one of the nation's largest electricity producers with approximately 33,000 megawatts of diverse owned and contracted generating capacity. We are focused on safety and operational excellence, creating value for our stakeholders and bringing opportunity to our service territory through economic development and community engagement. Our family of companies includes AEP Ohio, AEP Texas, Appalachian Power (in Virginia, West Virginia and Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana, east Texas and the Texas Panhandle). AEP also owns AEP Energy, which provides innovative competitive energy solutions nationwide. AEP is headquartered in Columbus, Ohio. For more information, visit aep.com.

WEBSITE DISCLOSURE

AEP may use its website as a distribution channel for material company information. Financial and other important information regarding AEP is routinely posted on and accessible through AEP's website at https://www.aep.com/investors/. In addition, you may automatically receive email alerts and other information about AEP when you enroll your email address by visiting the "Email Alerts" section at https://www.aep.com/investors/.

FORWARD-LOOKING INFORMATION

This report made by the Registrants contains forward-looking statements, and for the Registrants other than Parent, this report contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934. These matters are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Forward-looking statements in this document are presented as of the date of this document. Except to the extent required by applicable law, management undertakes no obligation to update or revise any forward-looking statement. Among the factors that could cause actual results to differ materially from those in the forward-looking statements are: changes in economic conditions, electric market demand and demographic patterns in AEP's service territory; the economic impact of increased global conflicts and trade tensions, and the adoption or expansion of economic sanctions, tariffs, trade restrictions or changes in trade policy; inflationary or deflationary interest rate trends; new legislation or regulations adopted in the states in which we operate or federal legislation or regulations adopted that alters the regulatory framework or that prevents the timely recovery of costs and investments; volatility and instability in financial markets precipitated by disruptive events, including fiscal and monetary policy or uncertainty in the banking industry; particularly developments affecting the availability or cost of capital to finance new capital projects and refinance existing debt; the availability and cost of funds to finance working capital and capital needs, particularly (a) if expected sources of capital such as proceeds from the sale of tax credits and anticipated securitizations do not materialize or do not materialize at the level anticipated, and (b) during periods when the time lag between incurring costs and recovery is long and the costs are material; changing demand for electricity, including large load contractual commitments; the risks and uncertainties associated with wildfires, including damages caused by wildfires, the extent of each Registrant's liability in connection with wildfires, investigations and outcomes associated with legal proceedings, demands or similar actions, inability to recover wildfire costs through insurance or through rates and the impact on financial condition and the reputation of each Registrant; the impact of extreme weather conditions, natural disasters and catastrophic events such as storms, hurricanes, wildfires and drought conditions that pose significant risks including potential litigation and the inability to recover significant damages and restoration costs incurred; limitations or restrictions on the amounts and types of insurance available to cover losses that might arise in connection with natural disasters, wildfires or operations; the cost of fuel and its transportation, the creditworthiness and performance of parties who supply and transport fuel and the cost of storing and disposing of used fuel, including coal ash and SNF; the availability of fuel and necessary generation capacity and the performance of generation plants; the ability to recover fuel and other energy costs through regulated or competitive electric rates; the ability to plan for, develop, construct, acquire, or integrate a broad range of generation and energy storage resources, as well as related transmission and distribution infrastructure, including obtaining necessary regulatory approvals, permits, and incentives for which the timing is dependent upon the priorities, requirements, processes and determinations of the local policy and regulatory authorities; complying with cost caps and other regulatory or contractual requirements; and recovering associated costs and earning an appropriate return while meeting reliability, affordability, environmental, and customer‑service obligations; the disruption of AEP's business operations due to impacts of economic or market conditions, costs of compliance with potential government regulations, electricity usage, supply chain issues, customers, service providers, vendors and suppliers caused by natural disasters or other events; construction and development risks associated with the completion of the 2026-2030 capital investment plan, including shortages or delays in labor, materials, equipment or parts; the impact of prolonged or recurring U.S. federal government shutdowns on AEP's operations, regulatory approvals and financial performance including potential volatility in the capital markets which may interrupt our access to capital; new legislation, litigation or government regulation, including changes to tax laws and regulations, oversight of nuclear generation, evolving environmental standards, energy commodity trading and new or modified requirements related to emissions of sulfur, nitrogen, mercury, carbon, soot or PM and other substances that could impact the continued operation, cost recovery and/or profitability of generation plants and related assets; the impact of tax legislation or associated Department of Treasury guidance, including potential changes to existing tax incentives, on capital plans, results of operations, financial condition, cash flows or credit ratings; the risks before, during and after generation of electricity associated with the fuels used or the by-products and wastes of such fuels, including coal ash and SNF; timing and resolution of pending and future rate cases, negotiations and other regulatory decisions, including rate or other recovery of new investments in generation, distribution and transmission service and environmental compliance; resolution of litigation or regulatory proceedings or investigations; the ability to efficiently manage and recover operation, maintenance and development project costs; prices and demand for power generated and sold in wholesale markets; changes in technology, including new, developing, alternative or distributed sources of generation and energy storage; the ability to recover through rates any remaining unrecovered investment in generation units that may be retired before the end of their previously projected useful lives; volatility and changes in markets for coal and other energy-related commodities, particularly changes in the price of natural gas; the impact of changing expectations and demands of customers, regulators, investors and stakeholders, including development, adoption, and use of AI by us, our customers and our third party vendors and evolving expectations related to sustainability; customer affordability considerations may impact regulatory recovery outcomes and future rate design; changes in utility regulation, policies, methodologies for evaluating and approving load interconnection, and the allocation of costs within RTOs including ERCOT, PJM and SPP and the impacts of potential market changes or our participation within those RTOs; changes in the creditworthiness of the counterparties with contractual arrangements, including participants in the energy trading market; actions of rating agencies, including changes in ratings impacting the cost of debt; the impact of geopolitical developments on global energy markets, including volatility in fuel supply and pricing, power-generation economics and customer demand patterns; the impact of volatility in the capital markets on the value of the investments held by the pension, OPEB and nuclear decommissioning trust funds and a captive insurance entity and the impact of such volatility on future funding requirements; accounting standards periodically issued by accounting standard-setting bodies; the ability to successfully defend against cybersecurity threats; other risks and unforeseen events, including wars and military conflicts, the effects of terrorism (including increased security costs), embargoes, labor strikes impacting material supply chains, global information technology disruptions and other catastrophic events; the ability to attract and retain the requisite work force and key personnel, including senior management.

American Electric Power

Financial Results for the Second Quarter of 2026

Reconciliation of GAAP to Operating Earnings (non-GAAP)

2026

Vertically
Integrated
Utilities

Transmission
& Distribution
Utilities

AEP
Transmission
Holdco

Generation
&
Marketing

Corporate
and Other

Total

EPS (a)

($ in millions, unaudited)

GAAP Earnings (Loss)

(b)

284

222

225

97

(115)

713

$     1.31

Adjustments to GAAP Earnings

Mark-to-Market Impact of
Commodity Hedging Activities

(c)

—

—

—

(8)

—

(8)

(0.02)

Unified Tracker Mechanism Partial
Disallowance

(d)

—

22

—

—

—

22

0.04

Wholesale Customer Contract
Agreements

(e)

23

—

—

—

—

23

0.04

Income Tax Effect of Adjustments

(f)

(5)

(5)

—

2

—

(8)

(0.01)

Total Adjustments

18

17

—

(6)

—

29

$     0.05

Operating Earnings (Loss) (non-GAAP)

302

239

225

91

(115)

742

$     1.36

(a)

EPS is calculated using the weighted average basic common shares outstanding

(b)

Represents the earnings (loss) attributable to common shareholders

(c)

Represents the mark‑to‑market impact of economic hedging activities which are excluded to align with the recognition of the underlying hedged exposures

(d)

Represents the estimated impact of the probable, partial disallowance of costs included in AEP Texas' Unified Tracker Mechanism filing

(e)

Represents probable liability related to SWEPCo's agreements with certain existing wholesale customers and current discussions with one remaining existing wholesale customer under generation supply contracts, which is expected to result in credits to these wholesale customers

(f)

Tax effect is calculated using the statutory tax rate unless otherwise noted

Financial Results for the Second Quarter of 2025

Reconciliation of GAAP to Operating Earnings (non-GAAP)

2025

Vertically
Integrated
Utilities

Transmission
& Distribution
Utilities

AEP
Transmission
Holdco

Generation
&
Marketing

Corporate
and Other

Total

EPS (a)

($ in millions, unaudited)

GAAP Earnings (Loss)

(b)

433

224

578

62

(71)

1,226

$     2.29

Adjustments to GAAP Earnings

(c)

Mark-to-Market Impact of
Commodity Hedging Activities

(d)

(10)

—

—

30

—

20

0.04

FERC NOLC Order

(e)

(126)

—

(354)

—

—

(480)

(0.90)

Total Adjustments

(136)

—

(354)

30

—

(460)

(0.86)

Operating Earnings (Loss) (non-GAAP)

297

224

224

92

(71)

766

$     1.43

(a)

EPS is calculated using the weighted average basic common shares outstanding

(b)

Represents the earnings (loss) attributable to common shareholders

(c)

Excluding tax related adjustments, all items presented in the table are tax adjusted at the statutory rate unless otherwise noted

(d)

Represents the mark‑to‑market impact of economic hedging activities which are excluded to align with the recognition of the underlying hedged exposures

(e)

Represents the impact of the FERC NOLC Order for years 2021-2024

American Electric Power

Summary of Selected Sales Data

Regulated Connected Load

(Data based on preliminary, unaudited results)

Three Months Ended June 30

ENERGY & DELIVERY SUMMARY

2025

2026

Variance

 (in millions of KWh)

Vertically Integrated Utilities

Retail:

Residential

6,372

6,443

1.1 %

Commercial

6,297

7,238

14.9 %

Industrial

8,595

8,584

(0.1) %

Miscellaneous

569

567

(0.4) %

Total Retail

21,833

22,832

4.6 %

Wholesale (a)

3,443

3,550

3.1 %

Total KWhs

25,276

26,382

4.4 %

Transmission & Distribution Utilities

Retail:

Residential

6,299

6,119

(2.9) %

Commercial

11,042

12,961

17.4 %

Industrial

7,048

8,104

15.0 %

Miscellaneous

172

171

(0.6) %

Total Retail (b)

24,561

27,355

11.4 %

Wholesale (c)

464

256

(44.8) %

Total KWhs

25,025

27,611

10.3 %

(a)

Includes off-system sales, municipalities and cooperatives, unit power and other wholesale customers

(b)

Represents energy delivered to distribution customers

(c)

Primarily Ohio's contractually obligated purchases of OVEC power sold to PJM

American Electric Power

Financial Results for Year-to-Date 2026

Reconciliation of GAAP to Operating Earnings (non-GAAP)

2026

Vertically
Integrated
Utilities

Transmission
& Distribution
Utilities

AEP
Transmission
Holdco

Generation
&
Marketing

Corporate
and Other

Total

EPS (a)

($ in millions, unaudited)

GAAP Earnings (Loss)

(b)

746

459

434

172

(224)

1,587

$     2.92

Adjustments to GAAP Earnings

Mark-to-Market Impact of
Commodity Hedging Activities

(c)

7

—

—

11

—

18

0.03

Impact of WVPSC Order

(d)

(35)

—

—

—

—

(35)

(0.07)

Pirkey Plant Partial Disallowance

(e)

31

—

—

—

—

31

0.06

Unified Tracker Mechanism Partial
Disallowance

(f)

—

22

—

—

—

22

0.04

Wholesale Customer Contract
Agreements

(g)

23

—

—

—

—

23

0.04

Income Tax Effect of Adjustments

(h)

(6)

(5)

—

(2)

—

(13)

(0.01)

Total Adjustments

20

17

—

9

—

46

$     0.09

Operating Earnings (Loss) (non-GAAP)

766

476

434

181

(224)

1,633

$     3.01

(a)

EPS is calculated using the weighted average basic common shares outstanding

(b)

Represents the earnings (loss) attributable to common shareholders

(c)

Represents the mark‑to‑market impact of economic hedging activities which are excluded to align with the recognition of the underlying hedged exposures

(d)

Represents the impact of the WVPSC order related to the 2024 Modified Rate Base Cost surcharge update filing

(e)

Represents the estimated impact of the probable, partial disallowance of the Pirkey Plant net book value in the 2025 Texas Base Rate Case

(f)

Represents the estimated impact of the probable, partial disallowance of costs included in AEP Texas' Unified Tracker Mechanism filing

(g)

Represents probable liability related to SWEPCo's agreements with certain existing wholesale customers and current discussions with one remaining existing wholesale customer under generation supply contracts, which is expected to result in credits to these wholesale customers

(h)

Tax effect is calculated using the statutory tax rate unless otherwise noted

Financial Results for Year-to-Date 2025

Reconciliation of GAAP to Operating Earnings (non-GAAP)

2025

Vertically
Integrated
Utilities

Transmission
& Distribution
Utilities

AEP
Transmission
Holdco

Generation
&
Marketing

Corporate
and Other

Total

EPS (a)

($ in millions, unaudited)

GAAP Earnings (Loss)

(b)

757

389

813

164

(97)

2,026

$     3.80

Adjustments to GAAP Earnings

(c)

Mark-to-Market Impact of Commodity
Hedging Activities

(d)

16

—

—

(10)

—

6

0.01

Sale of AEP Onsite Partners

(e)

—

—

—

14

(4)

10

0.02

Impact of Ohio Legislation

(f)

—

27

—

—

—

27

0.05

FERC NOLC Order

(g)

(126)

—

(354)

—

—

(480)

(0.90)

Total Adjustments

(110)

27

(354)

4

(4)

(437)

$    (0.82)

Operating Earnings (Loss) (non-GAAP)

647

416

459

168

(101)

1,589

$     2.98

(a)

EPS is calculated using the weighted average basic common shares outstanding

(b)

Represents the earnings (loss) attributed to common shareholders

(c)

Excluding tax related adjustments, all items presented in the table are tax adjusted at the statutory rate unless otherwise noted

(d)

Represents the mark‑to‑market impact of economic hedging activities which are excluded to align with the recognition of the underlying hedged exposures

(e)

Represents an adjustment to the estimated loss on the sale of AEP OnSite Partners as a result of the contractual working capital true-up

(f)

Represents the reduction in regulatory assets for OVEC-related purchased power costs as a result of approved legislation in Ohio

(g)

Represents the impact of the FERC NOLC Order for years 2021-2024

American Electric Power

Summary of Selected Sales Data

Regulated Connected Load

(Data based on preliminary, unaudited results)

Six Months Ended June 30

ENERGY & DELIVERY SUMMARY

2025

2026

Variance

(in millions of KWh)

Vertically Integrated Utilities

Retail:

Residential

15,776

15,316

(2.9) %

Commercial

12,193

14,065

15.4 %

Industrial

16,696

16,582

(0.7) %

Miscellaneous

1,102

1,101

(0.1) %

Total Retail

45,767

47,064

2.8 %

Wholesale (a)

8,234

7,095

(13.8) %

Total KWhs

54,001

54,159

0.3 %

Transmission & Distribution Utilities

Retail:

Residential

13,310

12,651

(5.0) %

Commercial

20,630

25,738

24.8 %

Industrial

13,804

14,976

8.5 %

Miscellaneous

344

337

(2.0) %

Total Retail (b)

48,088

53,702

11.7 %

Wholesale (c)

1,131

899

(20.5) %

Total KWhs

49,219

54,601

10.9 %

(a)

Includes off-system sales, municipalities and cooperatives, unit power and other wholesale customers

(b)

Represents energy delivered to distribution customers

(c)

Primarily Ohio's contractually obligated purchase of OVEC power sold to PJM

SOURCE American Electric Power

In its upcoming report, American Electric Power (AEP - Free Report) is predicted by Wall Street analysts to post quarterly earnings of $1.49 per share, reflecting an increase of 4.2% compared to the same period last year. Revenues are forecasted to be $5.26 billion, representing a year-over-year increase of 3.4%.

The consensus EPS estimate for the quarter has undergone an upward revision of 2.4% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.

Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.

While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.

In light of this perspective, let's dive into the average estimates of certain AEP metrics that are commonly tracked and forecasted by Wall Street analysts.

Analysts expect 'Total Revenues- Generation & Marketing' to come in at $488.10 million. The estimate indicates a change of -13.8% from the prior-year quarter.

Based on the collective assessment of analysts, 'Total Revenues- Transmission and Distribution Utilities' should arrive at $1.57 billion. The estimate suggests a change of +8.7% year over year.

The average prediction of analysts places 'Total Revenues- Vertically Integrated Utilities' at $3.25 billion. The estimate points to a change of +7.6% from the year-ago quarter.

Analysts predict that the 'Total Revenues- AEP Transmission Holdco' will reach $601.07 million. The estimate suggests a change of -20.6% year over year.

It is projected by analysts that the 'Operating Earnings (non-GAAP)- Vertically Integrated Utilities' will reach $362.95 million. Compared to the present estimate, the company reported $296.70 million in the same quarter last year.

The consensus among analysts is that 'Operating Earnings (non-GAAP)- Transmission & Distribution Utilities' will reach $246.57 million. The estimate compares to the year-ago value of $224.10 million.

Analysts' assessment points toward 'Operating Earnings (non-GAAP)- Generation & Marketing' reaching $70.27 million. The estimate is in contrast to the year-ago figure of $91.70 million.

The combined assessment of analysts suggests that 'Operating Earnings (non-GAAP)- AEP Transmission Holdco' will likely reach $220.73 million. The estimate compares to the year-ago value of $224.50 million.

View all Key Company Metrics for AEP here>>>

Over the past month, shares of AEP have returned -2.3% versus the Zacks S&P 500 composite's +0.8% change. Currently, AEP carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Posted by Defense World Staff on Jul 22nd, 2026

Andra AP fonden decreased its position in American Electric Power Company, Inc. (NASDAQ:AEP – Free Report) by 8.1% in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 71,100 shares of the company’s stock after selling 6,300 shares during the period. Andra AP fonden’s holdings in American Electric Power were worth $9,320,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Vanguard Group Inc. increased its holdings in American Electric Power by 1.6% in the 4th quarter. Vanguard Group Inc. now owns 52,496,895 shares of the company’s stock worth $6,053,417,000 after acquiring an additional 828,588 shares during the last quarter. State Street Corp increased its stake in American Electric Power by 5.2% in the 4th quarter. State Street Corp now owns 30,437,776 shares of the company’s stock worth $3,509,780,000 after acquiring an additional 1,514,865 shares during the last quarter. Morgan Stanley raised its stake in American Electric Power by 1.9% in the fourth quarter. Morgan Stanley now owns 14,661,858 shares of the company’s stock valued at $1,690,659,000 after purchasing an additional 271,879 shares in the last quarter. Geode Capital Management LLC grew its position in American Electric Power by 0.6% in the fourth quarter. Geode Capital Management LLC now owns 13,823,744 shares of the company’s stock worth $1,587,841,000 after acquiring an additional 83,285 shares in the last quarter. Finally, Barclays PLC raised its holdings in shares of American Electric Power by 0.5% during the 4th quarter. Barclays PLC now owns 10,626,841 shares of the company’s stock valued at $1,225,381,000 after buying an additional 57,807 shares in the last quarter. 75.24% of the stock is owned by hedge funds and other institutional investors.

American Electric Power Stock Down 0.4% AEP opened at $130.48 on Wednesday. The company has a quick ratio of 0.39, a current ratio of 0.53 and a debt-to-equity ratio of 1.42. American Electric Power Company, Inc. has a 52 week low of $105.70 and a 52 week high of $140.58. The firm has a 50-day simple moving average of $131.26 and a two-hundred day simple moving average of $128.92. The company has a market capitalization of $70.99 billion, a PE ratio of 19.16, a price-to-earnings-growth ratio of 2.40 and a beta of 0.52.

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

American Electric Power Announces Dividend The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Monday, August 10th will be given a dividend of $0.95 per share. The ex-dividend date is Monday, August 10th. This represents a $3.80 dividend on an annualized basis and a yield of 2.9%. American Electric Power’s payout ratio is 55.80%.

Wall Street Analyst Weigh In Several analysts have issued reports on the stock. Wells Fargo & Company upped their price target on shares of American Electric Power from $144.00 to $148.00 and gave the company an “overweight” rating in a research report on Wednesday, May 6th. Truist Financial increased their price target on shares of American Electric Power from $145.00 to $146.00 and gave the stock a “buy” rating in a research note on Friday, July 17th. Barclays upped their target price on shares of American Electric Power from $136.00 to $138.00 and gave the stock an “equal weight” rating in a research report on Monday, July 13th. The Goldman Sachs Group lifted their target price on shares of American Electric Power from $141.00 to $142.00 and gave the stock a “buy” rating in a report on Wednesday, April 15th. Finally, TD Cowen raised their price target on American Electric Power from $141.00 to $148.00 and gave the stock a “buy” rating in a research note on Friday, May 15th. Thirteen equities research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat, American Electric Power has an average rating of “Moderate Buy” and an average price target of $141.52.

Get Our Latest Research Report on AEP

American Electric Power Profile (Free Report)

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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, /PRNewswire/ -- The Board of Directors of American Electric Power (Nasdaq: AEP) has declared a regular quarterly cash dividend of 95 cents per share on the company's common stock. The dividend is payable Sept. 10, 2026, to shareholders of record as of Aug. 10, 2026. 

About AEP
American Electric Power (Nasdaq: AEP) is committed to improving our customers' lives with reliable, affordable power. We plan to invest $78 billion from 2026 through 2030 to enhance service for customers and support the growing energy needs of our communities. Our nearly 18,000 employees operate and maintain the nation's largest electric transmission system with 40,000 line miles, along with more than 252,000 miles of distribution lines to deliver energy to 5.6 million customers in 11 states. AEP also is one of the nation's largest electricity producers with approximately 32,000 megawatts of diverse owned and contracted generating capacity. We are focused on safety and operational excellence, creating value for our stakeholders and bringing opportunity to our service territory through economic development and community engagement. Our family of companies includes AEP Ohio, AEP Texas, Appalachian Power (in Virginia, West Virginia and Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana, east Texas and the Texas Panhandle). AEP also owns AEP Energy, which provides innovative competitive energy solutions nationwide. AEP is headquartered in Columbus, Ohio. For more information, visit aep.com.

Website Disclosure
AEP may use its website as a distribution channel for material company information. Financial and other important information regarding AEP is routinely posted on and accessible through AEP's website at https://www.aep.com/investors/. In addition, you may automatically receive email alerts and other information about AEP when you enroll your email address by visiting the "Email Alerts" section at https://www.aep.com/investors/.

SOURCE American Electric Power

Key Takeaways U.S. wind capacity topped 165 GW in Q2 2026 and is projected to reach 178.4 GW by the end of 2027.Rising power demand, offshore wind projects and grid expansion continue to support long-term industry growth.NextEra Energy, Duke Energy, American Electric and Vestas Wind offer exposure to the expanding wind market. An updated edition of the May 28, 2026 article.

As countries intensify efforts to cut carbon emissions and strengthen energy security, renewable energy has become central to the global power mix. Governments, utilities and corporations are increasing investments in cleaner technologies to support decarbonization goals, while rising demand for electricity is driving the need for reliable and low-emission energy sources.

Among various renewable energy sources, wind power remains a cornerstone of the energy transition. Continued advances in turbine technology, expanding onshore and offshore installations, and supportive policy initiatives have strengthened its role in electricity generation. With utilities and businesses increasingly adopting wind energy to meet sustainability targets, the sector is well-positioned to support the growing demand for clean and renewable power.

According to the latest Short-Term Energy Outlook from the U.S. Energy Information Administration (EIA), U.S. installed wind generation capacity surpassed 165 gigawatts (GW) at the end of the second quarter of 2026. The agency expects capacity to climb to 169.7 GW by the end of 2026 and further expand to 178.4 GW by the close of 2027. The outlook also projects wind energy to contribute 11% of total U.S. electricity generation in 2026, with its share increasing to 12% in 2027.

The wind energy market is capitalizing on several favorable trends, including growing electricity demand driven by Artificial Intelligence (AI)-powered data centers, widespread adoption of electric vehicles (EVs) and rapid industrialization. Per the EIA report, the U.S. grid is projected to add 11.7 GW of wind generation capacity in 2026.

The projected growth in wind capacity is likely to be supported by the commissioning and continued development of major offshore wind projects across the United States. Several projects like Vineyard Wind 1, Revolution Wind, Coastal Virginia Offshore Wind, and Empire Wind 1 are anticipated to play a significant role in increasing renewable generation capacity and strengthening U.S. clean energy infrastructure.

If you intend to capitalize on this buzzing trend, our Wind Energy Thematic Screen could make it easy to identify high-potential stocks such as NextEra Energy, Inc. (NEE - Free Report) , Duke Energy Corporation (DUK - Free Report) , American Electric Power Company, Inc. (AEP - Free Report) and Vestas Wind Systems (VWDRY - Free Report) . By leveraging advanced tools, our thematic screens identify companies shaping the future, making it easier to benefit from emerging trends.

Ready to uncover more transformative thematic investment ideas? Explore 39 cutting-edge investment themes with Zacks Thematic Investing Screens and discover your next big opportunity.

4 Wind Energy Stocks to Bet on NowHeadquartered in Juno Beach, FL, NextEra Energy is a public utility holding company engaged in the generation, transmission, distribution and sale of electric energy. The Zacks Rank #2 (Buy) company’s competitive energy business, NextEra Energy Resources LLC (“NEER”), is a leading generator of wind energy globally, based on MWh produced on a net generation basis.

In 2025, NEER successfully expanded its new wind-generating capacity by 1,604 MW and also added 1,799 MW of battery storage capacity, thereby increasing its backlog of contracted renewable development projects. As of 2025-end, the business operated wind facilities in 23 U.S. states and four provinces in Canada, carrying a total generating capacity of approximately 27,855 MW.

NEER continues to work on its strategy of making a long-term investment in clean energy assets. The company expects to add 8.5-14.5 GW of wind capacity in 2026-2032 to the generation portfolio via investments. The company’s major capital projects continued to proceed per plan and the addition of new renewable projects continues to boost the portfolio.

Based in Charlotte, NC, Duke Energy is a premier utility service provider offering efficient power and energy services. The Zacks Rank #2 company is currently focused on expanding its scale of operations, implementing modern technologies at its facilities as well as enhancing its renewable generation portfolio by investing heavily in infrastructure and expansion projects.

As part of its clean energy portfolio expansion strategy, the company is investing heavily in constructing generation facilities that produce reduced CO2 emissions per unit of electricity generated compared with coal. The company continues to position its 2026-2030 investment plan of about $103 billion as the core driver of regulated rate base growth.

As part of this resource build, Duke Energy targets 1,200 MW of onshore wind in service by 2033, as well as 800-1,100 MW of offshore wind by 2034 and 2,200-2,400 MW by 2035. Such solid renewable capacity maximization plans should enable the company to further bolster its footprint in the expanding renewable energy market.

Headquartered in Columbus, OH, American Electric Power is a public utility holding company, which, through directly and indirectly owned subsidiaries, generates and transmits electricity. Wind forms a part of the company's broader strategy to diversify its generation portfolio and lower carbon emissions. The company is expanding investments in transmission lines and grid modernization projects for the integration of wind power and other renewable energy sources into the electric grid.

The Zacks Rank #2 company is expanding its regulated renewable asset base to meet increasing electricity demand while supporting a more diversified energy mix. The acquisitions of the Top Hat Wind Facility by APCo (subsidiary) and the Wagon Wheel Wind Facility by SWEPCo (subsidiary) in the fourth quarter of 2025 highlight the company's continued investment in wind generation to serve future customer requirements.

The company is also rapidly reducing its CO2 emission rate to promote green energy. It made significant progress in reducing GHG emissions from its power generation fleet and aspires to achieve net-zero Scope 1 and 2 emissions by 2045.

Based in Denmark, Vestas Wind Systems is a renowned designer, manufacturer, installer and service provider for wind turbines across the globe. To capitalize on rising demand for renewable power, the company emphasizes wind capacity expansion, technological advancement and sustainable energy development.

Vestas Wind has reached more than 203 GW of installed wind power capacity, which includes about 11 GW of offshore capacity. The company’s turbines are designed to operate in diverse weather conditions and it has a strong customer base across 88 countries.

In June 2026, the Zacks Rank #2 company secured five new orders to deliver wind turbines in Germany for a total of 142 MW. Also, in the same month, the company clinched turbine orders for 869 MW in the United States. Apart from this, Vestas Wind received an order to deliver 50 MW of wind turbines to Germany and 45 MW of wind turbines to the United Kingdom. These orders are indicative of the strong demand that VWDRY’s wind turbines enjoy worldwide.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Utility American Electric ​Power said on Wednesday ‌its Texas unit has secured a loan of up to $3.26 billion ​from the U.S. Department ​of Energy to help fund infrastructure investments.

American Electric Power is positioned to benefit from surging data center-driven electricity demand, underpinned by robust contracted load growth. AEP guides for 7–9% earnings growth, supported by a $78 billion five-year capital plan targeting transmission and generation expansion. Shares trade at a forward P/E of 21.8, above the historical average, yet this premium is justified by strong visibility into future growth and contracted demand.

Passive income arrives whether you work, sleep, or travel. Dividend income depends on a company writing a check four times a year. For investors covering utility bills, property taxes, or groceries, the math must be concrete and the underlying businesses must be boring in the best possible way.

Utilities sell essential services under regulated rate structures, recover capital investment through approved riders, and return predictable cash flow to shareholders quarterly.

With U.S. electricity demand growing 2.1% per year on average over the last five years and residential electricity prices averaging 18.2 cents per kilowatthour in 2026, the cash flows backing these dividends are arguably more durable than at any point in the last two decades. Data center load is the new growth engine, and regulated utilities sitting on top are passing rate-base expansion straight through to dividend growth.

Screening our 24/7 Wall St. dividend equity research database for massive dividend payers, we found companies that combined can generate over $2,500 annually in passive income on a $30,000 investment in each stock at current prices.

NextEra Energy Yield: 2.70% Shares for $30,000: 348 Annual Passive Income: $810 NextEra Energy (NYSE:NEE | NEE Price Prediction) combines two engines under one ticker. Florida Power & Light is one of the largest regulated electric utilities in the country, generating strong Q1 revenue and adding new customers in the quarter. NextEra Energy Resources is the world’s largest wind and solar generator, with a a substantial renewable project backlog after record Q1 origination.

The dividend is funded by regulated FPL cash flows plus contracted, long-dated power purchase agreements at NEER. Management guides to continued double-digit dividend growth through 2026, unusual for a name this size.

Institutional ownership sits at 86.98%, led by Vanguard, BlackRock, and State Street. The recent recommissioning of the Duane Arnold nuclear plant under a Google PPA illustrates the deal pipeline behind the payout.

American Electric Power Yield: 2.91% Shares for $30,000: 231 Annual Passive Income: $873 American Electric Power (NASDAQ:AEP) is a fully regulated electric utility serving more than five million customers in 11 states through subsidiaries like AEP Ohio, AEP Texas, and Appalachian Power. The dividend is backed by rate-base recovery in every jurisdiction, plus FERC-regulated returns on a massive transmission portfolio.

The capital plan drives the story. AEP raised its five-year capex program to a sizable multi-year capex program, with a large share earmarked for transmission, and signed agreements for substantial incremental load by 2030, much from data centers. The quarterly payout stepped up to $0.95, and institutional ownership runs at 82.26%, with Vanguard and BlackRock among the largest holders.

Duke Energy Yield: 3.39% Shares for $30,000: 238 Annual Passive Income: $1,017 Duke Energy (NYSE:DUK) is the largest regulated electric utility holding company in the United States, with operating subsidiaries across the Carolinas, Florida, Ohio, and Indiana, plus Piedmont Natural Gas. Electric Utilities and Infrastructure generated the bulk of Q1 revenue, with Gas Utilities adding meaningful additional revenue.

The high payout sits on a large five-year capital plan and high-single-digit earnings base growth through 2030, with multi-jurisdiction rate cases contributing a meaningful per-share contribution in Q1. The quarterly dividend stair-stepped from $1.005 in 2023 to $1.065 today, and institutions own 70.82% of the float, anchored by Vanguard, BlackRock, and State Street.

The bottom line  Combined, these three positions generate $2,700 in annual passive income on a $90,000 investment, a blended yield of 3%. Duke Energy contributes $1,017, American Electric Power adds $873, and NextEra Energy rounds out the portfolio with $810.

Unlike rental property, this income stream needs no tenant, no roof repair, and no closing costs to enter or exit. A click rebalances the portfolio. Because all three raise payouts annually, every dividend reinvested today buys a slightly larger claim on tomorrow’s check, eventually covering more than just the electric bill.

American Electric Power (AEP +1.49%) and GE Vernova (GEV +1.47%) are two massive companies at the center of the global shift toward a more electrified, sustainable economy.

American Electric Power functions as a traditional regulated utility focused on steady infrastructure, while GE Vernova operates as an industrial technology powerhouse providing essential equipment for power generation. This comparison explores which company better serves your investment goals.

American Electric Power operates the largest electric transmission system in the U.S, maintaining a vast distribution network that serves roughly 5.6 million customers across 11 states. It’s a prominent electric utility stock, focused on regulated operations and supporting the expansion of data centers and large load customers. For its AEP Texas subsidiary, two retail electric providers accounted for nearly 38% of operating revenue.

In fiscal year 2025, revenue grew 9.4% to $21.8 billion, supporting a net income of about $3.6 billion, up substantially from the $3 billion earned in FY 2024. Its net margin of 16.4% shows a healthy, rising trend.

As of its December 2025 balance sheet, the debt-to-equity ratio was roughly 1.6x, representing total debt relative to shareholder equity. The current ratio, which compares current assets to current liabilities, was approximately 0.5x. During FY 2025, the company generated nearly $6.8 billion in free cash flow (FCF), which is calculated as cash flow from operations minus capital expenditures.

The case for GE VernovaGE Vernova is a global energy leader with three primary segments: power, electrification, and wind. The company’s biggest strength is a massive installed base of gas and wind turbines that helps generate close to 25% of the world’s electricity, serving customers in approximately 100 countries. It focuses on providing the essential hardware and software required for grid modernization and the global push toward decarbonization.

In FY 2025, revenue reached nearly $38.1 billion, an 8.9% increase from approximately $34.9 billion in FY 2024. The company delivered a net income of about $4.9 billion, a substantial improvement from the $1.6 billion earned the previous year. This performance resulted in a net margin of roughly 12.8%, indicating a strong upward trend.

As of its December 2025 balance sheet, GE Vernova maintained a robust financial position with negligible total debt relative to equity. The current ratio was about 1.0x, showing a balanced relationship between current assets and liabilities. The company generated roughly $3.7 billion in FCF during the year, representing the cash remaining after accounting for capital expenditures.

Risk profile comparisonAmerican Electric Power faces significant regulatory risks, as its revenues depend on rate approvals from the FERC and various state commissions. The company also manages the complexities of nuclear generation at its Cook Plant, which entails ongoing fuel storage and eventual decommissioning costs. Additionally, its vast physical infrastructure is vulnerable to cybersecurity threats and physical attacks that could lead to significant repair costs or regulatory penalties.

GE Vernova faces risks related to product quality and the execution of large-scale projects, particularly in gas and wind turbines, where technical failures can lead to costly warranty claims. The company relies on complex global supply chains for critical components, such as semiconductor chips, making it sensitive to trade restrictions and logistics disruptions. Furthermore, GE Vernova frequently operates through joint ventures and consortiums, which introduces governance risks and potential financial liabilities if partners fail to meet their obligations.

Valuation comparisonAmerican Electric Power appears more conservatively priced than GE Vernova, as indicated by the Forward P/E, which tracks future earnings estimates, and the P/S ratio.

MetricAmerican Electric PowerGE VernovaSector BenchmarkForward P/E20.3x32.1x20.3xP/S ratio3.2x6.6xSector benchmark uses the SPDR XLU sector ETF.
Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.

Which stock would I buy in 2026?There’s one common link between American Electric Power and GE Vernova. Both are experiencing an unprecedented surge in demand, driven primarily by the artificial intelligence data center boom.

American Electric, for instance, is seeing massive growth in data center hub, Texas, which accounts for 41 gigawatts (GW) of its 63 GW load growth (or contracted load addition) by 2030. To keep up with the massive demand, the utility is aggressively ramping up its infrastructure spending, recently lifting its five-year capital deployment plan to a whopping $78 billion. Backed by the spending, it projects its rate base to grow at an annualized rate of 11% through 2030, which is significant for any utility. That should support earnings and dividend growth.

GE Vernova is also capturing growth from the data center supercycle. It is the world’s largest manufacturer of gas turbines. Demand is so huge that its backlog hit $163 billion in the first quarter of FY 2026. It now expects to reach $200 billion by 2027, rather than 2028 as previously anticipated.

If I were to buy one stock today, I would buy GE Vernova. Even though American Electric is a steadily growing utility with a solid growth path ahead and steady passive income, it’s still a regulated utility that cannot match the massive structural tailwinds fueling GE Vernova. Its free cash flow is growing at a torrid pace, hitting a record $4.8 billion in Q1. That’s more than the FCF it generated in full 2025. GE Vernova also pays a dividend, and although the stock has more than doubled in one year, this could just be the beginning of a multi-year bull run.