American Electric Power Co Inc (AEP · NASDAQ)

American Electric Power (AEP) serves more than five million customers across 11 states, with a $66.86B market cap and shares at $122.81, down 7.0% over three months and 10.8% below the 52-week high. The most recent quarter (June 30, 2026) showed revenue of $5.45B and net income of $713.0M, but earnings fell 43.2% year over year and the company missed estimates by 8.7%, its second miss in the last four quarters. Leverage is elevated at 5.9x debt/EBITDA on $53.50B of total debt, and free cash flow was negative $969.0M in the quarter as capex ($2.79B) outpaced operating cash flow ($1.82B). On the positive side, revenue grew 7.0% year over year, and AEP recently finalized a 900-MW cogeneration plant agreement with Dow in Louisiana plus a Kentucky Power deal providing $100 million in customer benefits, with 13 of 22 analysts rating the stock a Buy and a consensus target of $142.53.