American Electric Power beats Q4 revenue estimates; backs FY foreacst

American Electric Power

12/02/2026 12:04

Overview

Utility provider's Q4 revenue beat analyst expectations

Q4 GAAP earnings per share fell to $1.09 from $1.25 last year

Company reaffirmed 2026 operating earnings guidance of $6.15 to $6.45 per share

Outlook

AEP reaffirms 2026 operating earnings guidance of $6.15 to $6.45 per share

Company maintains long-term operating earnings growth rate of 7% to 9%

AEP identifies $5 bln to $8 bln in additional investment opportunities

Result Drivers

LOAD GROWTH - AEP reported an increase in signed agreements for an additional 28 GW of load since October, bringing total incremental demand to 56 GW by 2030

INVESTMENT OPPORTUNITIES - AEP identified $5 bln to $8 bln in additional transmission and generation projects beyond its $72 bln five-year capital plan

CUSTOMER AFFORDABILITY - AEP implemented new rate structures requiring large load customers to pay for new infrastructure, protecting residential customers from increased costs

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Beat
$5.31 bln
$4.89 bln (10 Analysts)
Q4 EPS
$1.09
Q4 Net Income
$582 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 13 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the electric utilities peer group is "buy"

Wall Street's median 12-month price target for American Electric Power Company Inc is $130.17, about 6.5% above its February 11 closing price of $122.25

The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nPn1LYkZFa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)