Mizuho Has Lowered Expectations for American Electric Power (NASDAQ:AEP) Stock Price

American Electric Power (NASDAQ:AEP) had its target price dropped by Mizuho from $141.00 to $135.00 in a report issued on Friday,Benzinga reports. The brokerage currently has a “neutral” rating on the stock. Mizuho’s price objective indicates a potential upside of 4.84% from the stock’s current price.

AEP has been the topic of several other research reports. Wall Street Zen downgraded shares of American Electric Power from a “hold” rating to a “sell” rating in a report on Saturday, May 9th. The Goldman Sachs Group increased their price target on shares of American Electric Power from $141.00 to $142.00 and gave the stock a “buy” rating in a report on Wednesday, April 15th. Wells Fargo & Company raised their price objective on shares of American Electric Power from $144.00 to $148.00 and gave the company an “overweight” rating in a research report on Wednesday, May 6th. Morgan Stanley lifted their price objective on American Electric Power from $136.00 to $139.00 and gave the company an “overweight” rating in a report on Wednesday, July 22nd. Finally, BMO Capital Markets dropped their target price on American Electric Power from $141.00 to $139.00 and set a “market perform” rating on the stock in a research report on Wednesday, July 22nd. Thirteen analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $141.43.

American Electric Power Stock Performance

Shares of NASDAQ AEP traded up $0.99 during mid-day trading on Friday, hitting $128.77. 2,390,829 shares of the company were exchanged, compared to its average volume of 4,054,882. The stock has a 50 day simple moving average of $131.87 and a 200-day simple moving average of $129.77. American Electric Power has a 1-year low of $105.70 and a 1-year high of $140.58. The company has a quick ratio of 0.39, a current ratio of 0.53 and a debt-to-equity ratio of 1.42. The firm has a market cap of $70.06 billion, a price-to-earnings ratio of 18.91, a price-to-earnings-growth ratio of 2.32 and a beta of 0.52.

American Electric Power (NASDAQ:AEP) last announced its quarterly earnings data on Thursday, July 30th. The company reported $1.36 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.48 by ($0.12). The firm had revenue of $5.45 billion during the quarter, compared to analyst estimates of $5.34 billion. American Electric Power had a net margin of 16.29% and a return on equity of 10.21%. The business’s quarterly revenue was up 7.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.43 earnings per share. American Electric Power has set its FY 2026 guidance at 6.250-6.550 EPS. On average, sell-side analysts forecast that American Electric Power will post 6.35 EPS for the current fiscal year.

Institutional Trading of American Electric Power

Several hedge funds and other institutional investors have recently made changes to their positions in AEP. Soroban Capital Partners LP boosted its holdings in American Electric Power by 176.3% during the second quarter. Soroban Capital Partners LP now owns 4,004,686 shares of the company’s stock worth $415,526,000 after buying an additional 2,555,415 shares in the last quarter. Janus Henderson Group PLC lifted its position in shares of American Electric Power by 8,776.8% during the 1st quarter. Janus Henderson Group PLC now owns 2,219,198 shares of the company’s stock valued at $290,894,000 after acquiring an additional 2,194,198 shares during the period. State Street Corp lifted its position in shares of American Electric Power by 5.2% during the 4th quarter. State Street Corp now owns 30,437,776 shares of the company’s stock valued at $3,509,780,000 after acquiring an additional 1,514,865 shares during the period. AQR Capital Management LLC boosted its stake in shares of American Electric Power by 118.2% during the 3rd quarter. AQR Capital Management LLC now owns 2,585,605 shares of the company’s stock worth $286,692,000 after acquiring an additional 1,400,547 shares in the last quarter. Finally, Victory Capital Management Inc. boosted its stake in shares of American Electric Power by 17.4% during the 4th quarter. Victory Capital Management Inc. now owns 6,316,688 shares of the company’s stock worth $728,378,000 after acquiring an additional 937,346 shares in the last quarter. Institutional investors and hedge funds own 75.24% of the company’s stock.

Key American Electric Power News

Here are the key news stories impacting American Electric Power this week:

• Positive Sentiment: Raised 2026 guidance: AEP lifted its full-year operating earnings outlook to $6.25–$6.55 per share, broadly in line with the $6.35 analyst consensus. The higher forecast reflects stronger electricity demand from data centers, artificial-intelligence infrastructure and other large customers. Reuters article
• Positive Sentiment: Large load-growth opportunity: The company expanded contracted and expected new load additions to approximately 69 gigawatts through 2030. AEP also highlighted a $78 billion capital plan, approximately 13 GW of secured gas-fired turbine capacity and as much as 10 GW under evaluation to support rising demand. Zacks article
• Positive Sentiment: Revenue growth and potential cost benefits: Second-quarter revenue rose 7% year over year to $5.45 billion, exceeding estimates. Management expects load growth to generate up to $16 billion in cost offsets and federal financing support to provide approximately $1.4 billion in customer savings, which could improve affordability and strengthen demand. AEP earnings release
• Neutral Sentiment: Analysts and commentary remain constructive on AEP’s exposure to AI-related power demand and its infrastructure investments, although the stock’s roughly 20-times forward price-to-earnings valuation leaves less room for execution disappointments. Seeking Alpha article
• Negative Sentiment: Quarterly earnings missed expectations: Second-quarter operating EPS was $1.36, below the $1.48–$1.49 consensus and down from $1.43 a year earlier. Tax timing and the impact of a prior transaction weighed on results; GAAP EPS fell to $1.31 from $2.29 in the prior-year quarter. Zacks earnings article

American Electric Power Company Profile

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.