
AEP Stock Forecast & Price Target
AEP Analyst Ratings
Bulls say
American Electric Power has demonstrated a robust growth trajectory, securing customer agreements for 24GW of new load by 2030, which underscores strong commercial and industrial (C&I) customer demand. The company is poised to increase its capital expenditure (capex) plan by approximately $16 billion, raising the total capex outlook to $70 billion, which reflects strong long-term demand trends, especially from data center customers. Additionally, American Electric Power has revised its earnings per share (EPS) growth forecast upward to approximately 7.25%, indicating solid financial performance and a positive outlook relative to market consensus.
Bears say
American Electric Power faces significant financial risks stemming from potential environmental regulations that could hasten coal retirements, leading to unanticipated capital expenditures and stranded assets. Additionally, the company may encounter further challenges with load fulfillment, which could result in overbuilt infrastructure and insufficient recovery of investments, compounded by rising interest rates and tighter credit markets that increase financing risks. Furthermore, the trailing twelve months (TTM) funds from operations (FFO) to debt ratio of 13.2% is below the targeted range of 14%-15%, indicating a weakened financial position relative to its debt levels.
This aggregate rating is based on analysts' research of American Electric Power Company and is not a guaranteed prediction by Public.com or investment advice.
AEP Analyst Forecast & Price Prediction
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