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American Electric Power (AEP) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, American Electric Power (AEP - Free Report) closed at $91.63, marking a -0.89% move from the previous day. This change lagged the S&P 500's 0.76% loss on the day. Meanwhile, the Dow lost 0.76%, and the Nasdaq, a tech-heavy index, lost 10.92%.
Coming into today, shares of the utility had lost 3.03% in the past month. In that same time, the Utilities sector gained 1.22%, while the S&P 500 gained 2.18%.
American Electric Power will be looking to display strength as it nears its next earnings release, which is expected to be February 23, 2023. On that day, American Electric Power is projected to report earnings of $1.02 per share, which would represent year-over-year growth of 4.08%. Meanwhile, our latest consensus estimate is calling for revenue of $4.48 billion, up 9.31% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for American Electric Power. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.07% higher. American Electric Power is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that American Electric Power has a Forward P/E ratio of 17.23 right now. This valuation marks a discount compared to its industry's average Forward P/E of 17.25.
We can also see that AEP currently has a PEG ratio of 2.81. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AEP's industry had an average PEG ratio of 3.16 as of yesterday's close.
The Utility - Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 136, which puts it in the bottom 47% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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American Electric Power (AEP) Dips More Than Broader Markets: What You Should Know
In the latest trading session, American Electric Power (AEP - Free Report) closed at $91.63, marking a -0.89% move from the previous day. This change lagged the S&P 500's 0.76% loss on the day. Meanwhile, the Dow lost 0.76%, and the Nasdaq, a tech-heavy index, lost 10.92%.
Coming into today, shares of the utility had lost 3.03% in the past month. In that same time, the Utilities sector gained 1.22%, while the S&P 500 gained 2.18%.
American Electric Power will be looking to display strength as it nears its next earnings release, which is expected to be February 23, 2023. On that day, American Electric Power is projected to report earnings of $1.02 per share, which would represent year-over-year growth of 4.08%. Meanwhile, our latest consensus estimate is calling for revenue of $4.48 billion, up 9.31% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for American Electric Power. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.07% higher. American Electric Power is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that American Electric Power has a Forward P/E ratio of 17.23 right now. This valuation marks a discount compared to its industry's average Forward P/E of 17.25.
We can also see that AEP currently has a PEG ratio of 2.81. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AEP's industry had an average PEG ratio of 3.16 as of yesterday's close.
The Utility - Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 136, which puts it in the bottom 47% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.