American Electric Power Net Income
| AEP Stock | USD 129.94 3.51 2.78% |
As of the 14th of February 2026, American Electric shows the mean deviation of 0.787, and Risk Adjusted Performance of 0.0825. American Electric Power technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.
American Electric Total Revenue |
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Gross Profit | Profit Margin | Market Capitalization | Enterprise Value Revenue 5.3308 | Revenue |
| Last Reported | Projected for Next Year | ||
| Net Income | 3.6 B | 3.8 B | |
| Net Income Applicable To Common Shares | 2.7 B | 1.5 B | |
| Net Income From Continuing Ops | 3.7 B | 2.1 B | |
| Net Income Per Share | 6.93 | 7.27 | |
| Net Income Per E B T | 0.97 | 0.55 |
American | Net Income | Build AI portfolio with American Stock |
Evaluating American Electric's Net Income across multiple reporting periods reveals the company's ability to sustain growth and manage resources effectively. This longitudinal analysis highlights inflection points, cyclical patterns, and structural changes that short-term snapshots might miss, offering deeper insight into American Electric Power's fundamental strength.
Latest American Electric's Net Income Growth Pattern
Below is the plot of the Net Income of American Electric Power over the last few years. Net income is one of the most important fundamental items in finance. It plays a large role in American Electric Power financial statement analysis. It represents the amount of money remaining after all of American Electric Power operating expenses, interest, taxes and preferred stock dividends have been deducted from a company total revenue. It is American Electric's Net Income historical data analysis aims to capture in quantitative terms the overall pattern of either growth or decline in American Electric's overall financial position and show how it may be relating to other accounts over time.
| View | Last Reported 3.6 B | 10 Years Trend |
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Net Income |
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American Net Income Regression Statistics
| Arithmetic Mean | 2,044,714,706 | |
| Geometric Mean | 1,828,420,735 | |
| Coefficient Of Variation | 42.73 | |
| Mean Deviation | 615,262,630 | |
| Median | 1,946,000,000 | |
| Standard Deviation | 873,702,841 | |
| Sample Variance | 763356.7T | |
| Range | 3.3B | |
| R-Value | 0.84 | |
| Mean Square Error | 246398.7T | |
| R-Squared | 0.70 | |
| Significance | 0.00003 | |
| Slope | 144,487,990 | |
| Total Sum of Squares | 12213706.5T |
American Net Income History
Other Fundumenentals of American Electric Power
| Net Income Applicable To Common Shares | ||
| Net Income From Continuing Ops | ||
| Net Income Per Share | ||
| Net Income Per E B T |
American Electric Net Income component correlations
American Net Income Driver Correlations
Understanding the fundamental principles of building solid financial models for American Electric is extremely important. It helps to project a fair market value of American Stock properly, considering its historical fundamentals such as Net Income. Since American Electric's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of American Electric's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of American Electric's interrelated accounts and indicators.
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Can Electric Utilities industry sustain growth momentum? Does American have expansion opportunities? Factors like these will boost the valuation of American Electric. If investors know American will grow in the future, the company's valuation will be higher. Determining accurate worth demands scrutiny of both present operating results and projected expansion capacity. Evaluating American Electric demands reviewing these metrics collectively while recognizing certain factors exert disproportionate influence.
Quarterly Earnings Growth (0.13) | Earnings Share 6.85 | Revenue Per Share | Quarterly Revenue Growth 0.132 | Return On Assets |
Investors evaluate American Electric Power using market value (trading price) and book value (balance sheet equity), each telling a different story. Calculating American Electric's intrinsic value - the estimated true worth - helps identify when the stock trades at a discount or premium to fair value. Market participants employ diverse analytical approaches to determine fair value and identify buying opportunities when prices dip below calculated worth. External factors like market trends, sector rotation, and investor psychology can cause American Electric's market price to deviate significantly from intrinsic value.
Understanding that American Electric's value differs from its trading price is crucial, as each reflects different aspects of the company. Evaluating whether American Electric represents a sound investment requires analyzing earnings trends, revenue growth, technical signals, industry dynamics, and expert forecasts. Conversely, American Electric's market price signifies the transaction level at which participants voluntarily complete trades.
American Electric 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to American Electric's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of American Electric.
| 11/16/2025 |
| 02/14/2026 |
If you would invest 0.00 in American Electric on November 16, 2025 and sell it all today you would earn a total of 0.00 from holding American Electric Power or generate 0.0% return on investment in American Electric over 90 days. American Electric is related to or competes with National Grid, Exelon, Dominion Energy, Xcel Energy, Entergy, Sempra Energy, and Vistra Energy. American Electric Power Company, Inc., an electric public utility holding company, engages in the generation, transmissi... More
American Electric Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure American Electric's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess American Electric Power upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.01 | |||
| Information Ratio | 0.0338 | |||
| Maximum Drawdown | 4.63 | |||
| Value At Risk | (1.52) | |||
| Potential Upside | 1.98 |
American Electric Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for American Electric's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as American Electric's standard deviation. In reality, there are many statistical measures that can use American Electric historical prices to predict the future American Electric's volatility.| Risk Adjusted Performance | 0.0825 | |||
| Jensen Alpha | 0.101 | |||
| Total Risk Alpha | 0.0166 | |||
| Sortino Ratio | 0.0357 | |||
| Treynor Ratio | (1.19) |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of American Electric's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
American Electric February 14, 2026 Technical Indicators
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| Risk Adjusted Performance | 0.0825 | |||
| Market Risk Adjusted Performance | (1.18) | |||
| Mean Deviation | 0.787 | |||
| Semi Deviation | 0.8745 | |||
| Downside Deviation | 1.01 | |||
| Coefficient Of Variation | 1008.51 | |||
| Standard Deviation | 1.07 | |||
| Variance | 1.15 | |||
| Information Ratio | 0.0338 | |||
| Jensen Alpha | 0.101 | |||
| Total Risk Alpha | 0.0166 | |||
| Sortino Ratio | 0.0357 | |||
| Treynor Ratio | (1.19) | |||
| Maximum Drawdown | 4.63 | |||
| Value At Risk | (1.52) | |||
| Potential Upside | 1.98 | |||
| Downside Variance | 1.03 | |||
| Semi Variance | 0.7648 | |||
| Expected Short fall | (0.82) | |||
| Skewness | 0.3928 | |||
| Kurtosis | 1.06 |
American Electric Power Backtested Returns
Currently, American Electric Power is very steady. American Electric Power secures Sharpe Ratio (or Efficiency) of 0.0919, which signifies that the company had a 0.0919 % return per unit of standard deviation over the last 3 months. We have found twenty-eight technical indicators for American Electric Power, which you can use to evaluate the volatility of the firm. Please confirm American Electric's mean deviation of 0.787, and Risk Adjusted Performance of 0.0825 to double-check if the risk estimate we provide is consistent with the expected return of 0.099%. American Electric has a performance score of 7 on a scale of 0 to 100. The firm shows a Beta (market volatility) of -0.0807, which signifies not very significant fluctuations relative to the market. As returns on the market increase, returns on owning American Electric are expected to decrease at a much lower rate. During the bear market, American Electric is likely to outperform the market. American Electric Power right now shows a risk of 1.08%. Please confirm American Electric Power potential upside, rate of daily change, and the relationship between the sortino ratio and skewness , to decide if American Electric Power will be following its price patterns.
Auto-correlation | -0.59 |
Good reverse predictability
American Electric Power has good reverse predictability. Overlapping area represents the amount of predictability between American Electric time series from 16th of November 2025 to 31st of December 2025 and 31st of December 2025 to 14th of February 2026. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of American Electric Power price movement. The serial correlation of -0.59 indicates that roughly 59.0% of current American Electric price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.59 | |
| Spearman Rank Test | -0.66 | |
| Residual Average | 0.0 | |
| Price Variance | 12.27 |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
| Competition |
American Accumulated Other Comprehensive Income
Accumulated Other Comprehensive Income |
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Based on the recorded statements, American Electric Power reported net income of 3.6 B. This is much higher than that of the Electric Utilities sector and significantly higher than that of the Utilities industry. The net income for all United States stocks is significantly lower than that of the firm.
American Net Income Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses American Electric's direct or indirect competition against its Net Income to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of American Electric could also be used in its relative valuation, which is a method of valuing American Electric by comparing valuation metrics of similar companies.American Electric is currently under evaluation in net income category among its peers.
American Electric Current Valuation Drivers
We derive many important indicators used in calculating different scores of American Electric from analyzing American Electric's financial statements. These drivers represent accounts that assess American Electric's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of American Electric's important valuation drivers and their relationship over time.
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 (projected) | ||
| Market Cap | 41.3B | 44.5B | 48.6B | 42.1B | 37.9B | 39.8B | |
| Enterprise Value | 75.3B | 80.8B | 89.7B | 85.4B | 76.9B | 80.7B |
American Electric ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, American Electric's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to American Electric's managers, analysts, and investors.Environmental | Governance | Social |
American Electric Institutional Holders
Institutional Holdings refers to the ownership stake in American Electric that is held by large financial organizations, pension funds or endowments. Institutions may hold large blocks of American Electric's outstanding shares and can exert considerable influence upon its management. Institutional holders may also work to push the share price higher once they own the stock. Extensive social media coverage, TV shows, articles in high-profile magazines, and presentations at investor conferences help move the stock higher, increasing American Electric's value.| Shares | Nuveen, Llc | 2025-06-30 | 5.5 M | Bank Of America Corp | 2025-06-30 | 5.4 M | Legal & General Group Plc | 2025-06-30 | 4.9 M | Alliancebernstein L.p. | 2025-06-30 | 4.8 M | Ameriprise Financial Inc | 2025-06-30 | 4.8 M | Massachusetts Financial Services Company | 2025-06-30 | 4.8 M | Allspring Global Investments Holdings, Llc | 2025-06-30 | 4.8 M | Northern Trust Corp | 2025-06-30 | 4.8 M | Wells Fargo & Co | 2025-06-30 | 4.5 M | Vanguard Group Inc | 2025-06-30 | 52.5 M | Blackrock Inc | 2025-06-30 | 44.9 M |
American Fundamentals
| Return On Equity | 0.12 | ||||
| Return On Asset | 0.0317 | ||||
| Profit Margin | 0.16 % | ||||
| Operating Margin | 0.23 % | ||||
| Current Valuation | 116.62 B | ||||
| Shares Outstanding | 540.86 M | ||||
| Shares Owned By Insiders | 0.25 % | ||||
| Shares Owned By Institutions | 86.90 % | ||||
| Number Of Shares Shorted | 18.37 M | ||||
| Price To Earning | 20.02 X | ||||
| Price To Book | 2.17 X | ||||
| Price To Sales | 3.21 X | ||||
| Revenue | 21.88 B | ||||
| Gross Profit | 10.4 B | ||||
| EBITDA | 5.08 B | ||||
| Net Income | 3.6 B | ||||
| Cash And Equivalents | 724.4 M | ||||
| Cash Per Share | 1.41 X | ||||
| Total Debt | 4.48 B | ||||
| Debt To Equity | 1.56 % | ||||
| Current Ratio | 0.79 X | ||||
| Book Value Per Share | 57.57 X | ||||
| Cash Flow From Operations | 6.94 B | ||||
| Short Ratio | 5.50 X | ||||
| Earnings Per Share | 6.85 X | ||||
| Price To Earnings To Growth | 2.32 X | ||||
| Target Price | 130.03 | ||||
| Number Of Employees | 16.33 K | ||||
| Beta | 0.62 | ||||
| Market Capitalization | 70.28 B | ||||
| Total Asset | 114.46 B | ||||
| Retained Earnings | 15.44 B | ||||
| Working Capital | (7.26 B) | ||||
| Current Asset | 5.32 B | ||||
| Current Liabilities | 8.66 B | ||||
| Annual Yield | 0.03 % | ||||
| Five Year Return | 3.29 % | ||||
| Net Asset | 114.46 B |
About American Electric Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze American Electric Power's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of American Electric using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of American Electric Power based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with American Electric
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if American Electric position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in American Electric will appreciate offsetting losses from the drop in the long position's value.Moving together with American Stock
Moving against American Stock
The ability to find closely correlated positions to American Electric could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace American Electric when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back American Electric - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling American Electric Power to buy it.
The correlation of American Electric is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as American Electric moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if American Electric Power moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for American Electric can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Additional Tools for American Stock Analysis
When running American Electric's price analysis, check to measure American Electric's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy American Electric is operating at the current time. Most of American Electric's value examination focuses on studying past and present price action to predict the probability of American Electric's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move American Electric's price. Additionally, you may evaluate how the addition of American Electric to your portfolios can decrease your overall portfolio volatility.