CleaRank Financial AI • AI-powered analysis using real-time market data from TwelveData
Analysis reviewed by Shaun David, Co-Founder. Data refreshed daily. Not financial advice.
American Electric Power (AEP) is currently trading at $126.13, just above its 50-day simple moving average (SMA) of $122.67, indicating a stable short-term trend. The stock's 14-day Relative Strength Index (RSI) is at 68.29, signaling bullish momentum. Wall Street analysts maintain a consensus 'Buy' rating with a median price target of $141.00, suggesting an 11.8% upside potential from the current price. The company's recent earnings report for May 5, 2026, showed an EPS of $1.64, beating estimates by 4.46%, though the stock saw a minor price decline of 3.27% following the announcement. Fundamentally, AEP operates in the regulated electric utilities sector, which is generally characterized by stable demand and predictable cash flows. Its reported revenue growth of 7% outpaces the sector median of 4.1%. While its P/E ratio of 21.78 is slightly below the sector median of 22.8, its Return on Equity (ROE) of 10.13% is above the sector median of 9.6%. The company's debt-to-equity ratio of 1.61 is in line with the sector average. The primary risk remains potential regulatory changes or rising interest rates impacting utility financing costs.
AEP at a glance
American Electric Power Company, Inc. (AEP): Buy, 67/100 on CleaRank's AI score.
TrendMixed: the price is above its 50-day but below its 200-day moving average ($122.67 and $127.37).
InsidersInsiders sold $7.3M and made no open-market purchases over the last 18 months.
ValuationP/E of 21.8 against 22.8 for the Utilities sector: broadly in line with peers (-4%).
As of October 15, 2026, American Electric Power Company, Inc. (AEP) trades at $126.13. Wall Street's consensus target is $141.00 across 23 analysts. The 14-day RSI (daily closes) is 68, showing bullish momentum without being overbought, and the price is above its 50-day simple moving average of $122.67.
Figures as of October 15, 2026.
Only on CleaRank
Figures we compute ourselves from AEP's own price, earnings and insider-filing history. Tap one to see it in context.
Valuation is broadly in line with sector peers (-4% difference), suggesting fair market pricing relative to industry standards.
AEP Financial Performance
Revenue vs. Earnings
Annual
Quarterly
Earnings Reality Check
In the last quarter, AEP beat the analyst estimate 1 time; the stock fell in the first session after 1 of those beats.
AEP earnings surprises and the stock's reaction
Report
EPS estimate
EPS actual
Surprise
First session
5 sessions
May 5, 2026
$1.57
$1.64
+4.46%
-3.27%
-3.72%
Reports after May 5, 2026 are not yet in our data.
The first session is the first full trading day on the news: the report day itself for a report before the open, the next day for one after the close. Surprise is actual EPS against the consensus estimate.
As of October 15, 2026, AEP has beaten the analyst EPS estimate in 1 of its last 1 reported quarters and fell in the first trading session after it; its most recent report in our data, on May 5, 2026, came in 4.46% above the estimate and the stock moved -3.27% in the first session.
AEP Analysis
Company's Health4/5
12-Month Analyst Target+11.79% above price
Median of 23 analysts (12-month)
$141.00
AI Analyst Consensus ScoreBuy
American Electric Power (AEP) is trading above its 50-day SMA of $122.67, but below its 200-day SMA of $127.37, indicating a mixed short-to-medium term trend. The 14-day RSI is at 68.29, reflecting bullish momentum without being overbought. The MACD is slightly positive at 0.51, suggesting upward pressure. Volume on the latest trading day was 3.74 million shares, which is 14% above the average volume, indicating increased investor interest. Key support is seen around the 50-day SMA at $122.67, with further support at the 20-day EMA of $122.17. Resistance is present at the 200-day SMA of $127.37. The current price action suggests a potential move towards the 200-day SMA if bullish momentum continues, but a break below the 50-day SMA could signal a short-term pullback.
ProTips
The stock is trading above its 50-day SMA but below its 200-day SMA, suggesting a period of consolidation or transition; watch for a decisive move through the 200-day SMA for stronger bullish confirmation.
Key Catalysts
BullishPositive Earnings Surprise
AEP reported an EPS beat of 4.46% on May 5, 2026, indicating operational efficiency, though market reaction was negative.
Source: Company PR
BullishAnalyst Upgrades and Positive Ratings
Multiple analysts have maintained or initiated 'Buy' ratings, contributing to a positive Wall Street consensus and a median price target of $141.00.
Source: Wall Street Research
BearishInsider Selling Activity
Insiders have sold approximately $7.3 million worth of stock with no reported purchases, signaling a moderate sell signal.
Source: Insider Trading Filings
NeutralTrading Below 200-Day SMA
The stock is currently trading below its 200-day SMA of $127.37, indicating potential resistance and a need for stronger upward momentum to overcome this level.
Source: Technical Analysis
Market Outlook
American Electric Power (AEP) is expected to maintain a stable outlook, driven by its regulated utility operations and consistent earnings growth. The median Wall Street price target of $141.00 suggests an 11.8% upside from the current price, aligning with the 'Buy' consensus rating. The company's projected earnings per share growth for the next year is 7.4%, and its 5-year average annual growth estimate is 7.1%, indicating steady expansion. Potential catalysts for upside include favorable regulatory decisions or successful execution of infrastructure projects that enhance efficiency and earnings. Conversely, significant increases in interest rates could pressure margins and financing costs, while unexpected regulatory setbacks could hinder growth. The stock's current position below its 200-day SMA at $127.37 also presents a near-term resistance level to watch.
Key Statistics
Market Cap
68.66B
P/E Ratio
21.78
EPS (TTM)
5.77
Dividend Yield
3.01%
52 Week High
140.58
52 Week Low
112.54
As of October 15, 2026, AEP trades at $126.13, with a market value of $68.66B, a P/E ratio of 21.78 and a dividend yield of 3.01%.
American Electric Power (AEP) presents a P/E ratio of 21.78, which is slightly below the Utilities sector median of 22.8, suggesting a potentially fair valuation relative to peers. The company's Return on Equity (ROE) stands at 10.13%, exceeding the sector median of 9.6%, indicating efficient profit generation from shareholder equity. AEP's profit margin is reported at 13.78%, and its operating margin is 23.25%, both of which are strong within the utilities sector. The company's Price-to-Sales (P/S) ratio is 3.00, which is below the sector median of 3.3. Its debt-to-equity ratio of 1.61 is in line with the sector average, indicating a manageable leverage profile. The reported revenue growth of 7% is notably higher than the sector's median revenue growth of 4.1%, signaling expansion. Overall, AEP's fundamentals appear solid, with strong profitability and growth metrics supporting its current valuation.
Earnings & Growth Analysis
American Electric Power (AEP) recently reported earnings for the period ending May 5, 2026, with an Earnings Per Share (EPS) of $1.64, surpassing the analyst estimate of $1.57 by 4.46%. Despite this beat, the stock experienced a price decline of 3.27% following the announcement. This suggests that market sentiment or other factors may be weighing on the stock despite the positive earnings surprise. The company's forward-looking EPS estimates for the current year and next year are $6.38 and $6.86, respectively, indicating expected continued earnings growth.
Key Risks
A primary risk for American Electric Power (AEP) is the potential impact of rising interest rates on its financing costs, given its debt-to-equity ratio of 1.61. Regulatory changes within the utilities sector could also affect its revenue streams and operational flexibility. Also, insider transactions show a net selling trend, with $7.3 million in sales versus no reported purchases, indicating a moderate sell signal from management.
Technical Indicators i
RSI (14-day)
68.29
MACD (12, 26)
0.512
SMA (50-day)
122.67
SMA (200-day)
127.37
Technical RatingBullish
RSI
Bullish
SMA Cross
Bearish
Price vs SMA
Bullish
MACD
Bullish
Moving averages show a lagging Death Cross (50-day: $122.67, 200-day: $127.37), price sits above the 50-day SMA but below the 200-day SMA - a mixed posture.
As of October 15, 2026, with AEP at $126.13, its 14-day RSI is 68.3 (showing bullish momentum without being overbought), its 50-day simple moving average is $122.67 and its 200-day is $127.37.
Calculated by CleaRank on daily closes as of October 15, 2026: Wilder's 14-day RSI, 50- and 200-day simple moving averages, MACD line (12, 26).
Market Correlations
How this stock moves relative to other assets
Based on 1 year of daily price data. Correlations may vary over different time periods.
S&P 500 (SPY)+0.00
Weak correlation
Nasdaq 100 (QQQ)-0.11
Weak correlation
Bitcoin (BTC)-0.06
Weak correlation
Gold (XAU)+0.10
Weak correlation
As of October 15, 2026, AEP's 1-year correlation of daily returns is +0.00 with S&P 500 (SPY), -0.11 with Nasdaq 100 (QQQ), -0.06 with Bitcoin (BTC) and +0.10 with gold (XAU).
Check Custom Correlation
How does any other asset move with AEP? One year of daily closes, Pearson correlation.
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AEP Wall Street View
12-month price targets
Low $128.00Median $141.00 (+11.8%)High $173.00
The price, $126.13, sits below every analyst's target.
Ratings
Buy 13Hold 10Sell 03 months ago: 13 of 24 buy
Recent rating actions
Recent analyst rating actions on AEP
Date
Firm
Action
Rating
Sep 18, 2026
Morgan Stanley
Maintains
Overweight
Aug 21, 2026
Morgan Stanley
Maintains
Overweight
Aug 17, 2026
Truist Securities
Maintains
Buy
Aug 5, 2026
Citigroup
Maintains
Neutral
Aug 3, 2026
Barclays
Maintains
Equal-Weight
Jul 31, 2026
Mizuho
Maintains
Neutral
As of October 15, 2026, 23 Wall Street analysts cover AEP: 13 rate it a buy or strong buy, 10 a hold and 0 a sell or strong sell. Their 12-month price targets range from $128.00 to $173.00, with a median of $141.00, 11.8% above the price of $126.13.
Source: TwelveData analyst consensus. Targets and ratings belong to the analysts, not to CleaRank.
AEP Trade Plans
Specific entry, exit, and risk management levels
Select Your Trade Bias
Risk Tolerance
Conservative2%Aggressive
Portfolio Value
$
Position Size: Enter portfolio size →
Long entry pick an entry style
Conservative
$123.61
2% below current price (Pullback entry)
Lower risk, wait for pullback
Aggressive
$126.13
Buy at current price
Higher risk, immediate entry
Risk Management
STOP LOSS
$119.90
MAX LOSS
-3.0%
Volatility-Adjusted Stop Loss
Calculated based on RSI (68.3) and current market volatility
These levels come from AEP's moving averages and recent volatility, not from a forecast. Educational levels, not financial advice; the full disclaimer is at the foot of the page.
Growth of $10,000
A $10,000 investment in AEP in October 2016 would be worth about $20,030 today, compared with about $36,237 for the same investment in the S&P 500 benchmark. This is price change only; dividends paid along the way would add to it.
Compare with Another Ticker
AEP Drawdowns & Recovery
Worst fall, last 10 years
-31.7%
September 2022 to October 2023
Recovery
17 months
back at the old peak by February 2025
From the 10-year high
-9.1%
highest close, June 2026
1-year holds that gained
67%
of every 1-year window
As of October 15, 2026, AEP's worst peak-to-trough fall over the last 10 years was -31.7% (September 2022 to October 2023); it regained that peak by February 2025, 17 months after the low, and 67% of 1-year holding periods ended with a gain.
From weekly closing values. A drawdown is the fall from the highest value reached so far to a later low.
Monte Carlo Projection (10yr)
CleaRank's 10-year Monte Carlo simulation projects that a $10,000 investment in AEP today could grow to about $19,084 by 2036 in the base case, with a 90th-percentile outcome near $44,855 and a 10th-percentile outcome around $8,120. The simulation models price only; at today's 3.01% yield, dividends would add to these figures. Projections are statistical simulations, not guarantees.
AEP Stock Price Prediction: 2030
CleaRank's simulation projects a price near $163 for AEP by 2030 in the base case, from $126 today (1.3x over 4 years). The 10th-percentile path ends near $95.14. These are outcomes of a Monte Carlo simulation run on AEP's historical return distribution, not price targets, and they assume no dividends are reinvested.
AEP simulated price paths by year
Year
10th percentile
Base case
90th percentile
2027
$103
$135
$176
2028
$97.94
$144
$210
2029
$95.88
$153
$245
2030
$95.14
$163
$280
2031
$95.22
$174
$319
Method: a lognormal simulation of AEP's own volatility and capped historical trend, re-run daily; base case is the median path, the outer columns the 10th and 90th percentiles.
As of October 15, 2026, AEP insiders reported 13 open-market sales worth $7.3M and no open-market purchases over the last 18 months; grants and option exercises are not counted.
Recent insider transactions in AEP
Date
Insider
Type
Shares
Value
Sep 8, 2026
DIXON KATE
Officer
Sell
2.0K
$250.0K
Mar 31, 2026
STODDARD DANIEL G.
Director
Grant
1.6K
$212.2K
Mar 10, 2026
BERNTSEN ROBERT
Officer
Grant
9
$1.2K
Mar 10, 2026
CANNON DOUGLAS A
Officer
Grant
11
$1.5K
Mar 10, 2026
DIXON KATE
Officer
Grant
52
$6.9K
Mar 10, 2026
ECKERT JOHANNES G
Officer
Grant
4
$529
Mar 10, 2026
FEHRMAN WILLIAM
Chief Executive Officer
Grant
96
$12.7K
Mar 10, 2026
FERNEAU KELLY J.
Officer
Grant
14
$1.9K
Mar 10, 2026
KNAPP ALICIA R
Officer
Grant
9
$1.2K
Mar 10, 2026
MIHALIK TREVOR I
Chief Financial Officer
Grant
61
$8.1K
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Frequently Asked Questions
What is the long-term outlook for American Electric Power (AEP)?
The long-term outlook for American Electric Power (AEP) appears stable, supported by its position in the regulated utilities sector and projected earnings growth. Wall Street analysts forecast earnings per share to grow from $6.38 in the current year to $6.86 next year, with an average 5-year annual growth rate estimate of 7.1%.
How does American Electric Power (AEP) compare to its sector peers?
American Electric Power (AEP) shows a P/E ratio of 21.78, slightly below the sector median of 22.8, and a higher ROE of 10.13% compared to the sector median of 9.6%. Its revenue growth of 7% also surpasses the sector median of 4.1%, indicating competitive performance.
What are the key risks facing American Electric Power (AEP)?
Key risks include potential impacts from rising interest rates on financing costs, regulatory changes affecting revenue, and a moderate sell signal from insider transactions totaling $7.3 million in sales.
What was the recent earnings performance of American Electric Power (AEP)?
In its May 5, 2026, report, American Electric Power (AEP) posted an EPS of $1.64, exceeding estimates by 4.46%, although the stock price declined by 3.27% post-announcement.
What is the analyst consensus for American Electric Power (AEP)?
The Wall Street consensus for American Electric Power (AEP) is 'Buy', with 13 Buy ratings, 10 Hold ratings, and no Sell ratings from 23 analysts.
Does AEP pay a dividend?
Yes. As of October 15, 2026, AEP's dividend yield is 3.01%, or about $3.80 per share a year at the current price of $126.13. Yields move with the share price and with changes to the payout.
Is AEP in an uptrend?
Not clearly. American Electric Power Company, Inc. (AEP) trades at $126.13, above its 50-day but below its 200-day moving average ($122.67 and $127.37). Its 14-day RSI on daily closes is 68.3, showing bullish momentum without being overbought.
Are insiders buying or selling AEP?
Selling, on balance. In the last 18 months, AEP's officers, directors and large holders reported 13 sales worth $7.3M and no open-market purchases. Grants and option exercises are not counted as buying.
What is the analyst price target for AEP?
As of October 15, 2026, the 23 Wall Street analysts covering AEP have 12-month targets from $128.00 to $173.00, with a median of $141.00, 11.8% above the current price of $126.13. 13 rate it a buy or strong buy, 10 a hold and 0 a sell or strong sell. Three months ago 13 of 24 rated it a buy.
What is AEP's biggest drop in the last 10 years?
American Electric Power Company, Inc. (AEP)'s worst peak-to-trough fall over the last 10 years was -31.7%, from September 2022 to October 2023. It regained that peak by February 2025, 17 months after the low. Over the same period, 67% of 1-year holding periods ended with a gain.
