American Electric Power (NASDAQ:AEP) Sees Strong Trading Volume – Should You Buy?

Shares of American Electric Power Company, Inc. (NASDAQ:AEPGet Free Report) saw an uptick in trading volume on Wednesday . 2,855,904 shares were traded during trading, a decline of 13% from the previous session’s volume of 3,293,726 shares.The stock last traded at $126.9640 and had previously closed at $131.94.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on AEP. UBS Group raised their price objective on American Electric Power from $132.00 to $135.00 in a research report on Monday, March 9th. Raymond James Financial restated an “outperform” rating and set a $144.00 price objective on shares of American Electric Power in a research report on Friday, May 8th. Barclays raised their price objective on American Electric Power from $135.00 to $136.00 and gave the stock an “equal weight” rating in a research report on Wednesday, May 6th. BMO Capital Markets lowered their price objective on American Electric Power from $141.00 to $138.00 and set a “market perform” rating for the company in a research report on Wednesday, April 22nd. Finally, Wolfe Research upgraded American Electric Power from a “peer perform” rating to an “outperform” rating and set a $142.00 price objective for the company in a research report on Friday, February 13th. One research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and nine have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $141.29.

View Our Latest Stock Analysis on American Electric Power

American Electric Power Stock Performance

The firm has a market capitalization of $69.97 billion, a P/E ratio of 18.88, a P/E/G ratio of 3.00 and a beta of 0.56. The stock has a fifty day simple moving average of $132.41 and a two-hundred day simple moving average of $124.62. The company has a debt-to-equity ratio of 1.42, a current ratio of 0.53 and a quick ratio of 0.39.

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

American Electric Power Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, June 10th. Shareholders of record on Friday, May 8th will be issued a $0.95 dividend. This represents a $3.80 dividend on an annualized basis and a yield of 3.0%. The ex-dividend date is Friday, May 8th. American Electric Power’s payout ratio is presently 55.80%.

Insider Buying and Selling

In other news, EVP Phillip R. Ulrich sold 4,106 shares of the business’s stock in a transaction that occurred on Friday, February 27th. The stock was sold at an average price of $132.08, for a total transaction of $542,320.48. Following the completion of the sale, the executive vice president owned 42,263 shares in the company, valued at $5,582,097.04. The trade was a 8.86% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, EVP Kelly J. Ferneau sold 1,351 shares of the business’s stock in a transaction that occurred on Tuesday, February 24th. The shares were sold at an average price of $131.46, for a total value of $177,602.46. Following the sale, the executive vice president owned 15,410 shares of the company’s stock, valued at approximately $2,025,798.60. This represents a 8.06% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 0.05% of the company’s stock.

Institutional Investors Weigh In On American Electric Power

Several hedge funds and other institutional investors have recently modified their holdings of AEP. Activest Wealth Management increased its holdings in shares of American Electric Power by 72.2% during the fourth quarter. Activest Wealth Management now owns 217 shares of the company’s stock valued at $25,000 after acquiring an additional 91 shares in the last quarter. Dogwood Wealth Management LLC boosted its position in shares of American Electric Power by 330.2% during the third quarter. Dogwood Wealth Management LLC now owns 228 shares of the company’s stock valued at $26,000 after buying an additional 175 shares during the last quarter. Optima Capital LLC bought a new stake in American Electric Power during the fourth quarter worth $26,000. Rakuten Securities Inc. grew its holdings in American Electric Power by 7,300.0% during the fourth quarter. Rakuten Securities Inc. now owns 222 shares of the company’s stock worth $26,000 after buying an additional 219 shares in the last quarter. Finally, Costello Asset Management INC grew its holdings in 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. Institutional investors own 75.24% of the company’s stock.

About American Electric Power

(Get 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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