Vanguard Group Adds $114M in American Electric Power Company, Inc. ($AEP)
Vanguard Group added 828,588 shares of American Electric Power, boosting its position by 1.6%.
Key Points
- Vanguard Group increased its stake in American Electric Power by 1.6%, adding 828,588 shares to reach a total of 52.5 million shares.
- Shares of AEP traded at $128.48 with a market cap of approximately $70.3 billion and a P/E ratio of 19.12.
- Analysts from firms like Truist Securities and TD Cowen maintained 'buy' ratings with price targets between $136 and $148.
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On January 29, 2026, Vanguard Group boosted its holding in American Electric Power Company, Inc. (NasdaqGS: AEP) by 1.6%. The investment firm added 828,588 shares, bringing its total to 52,496,895 shares. The position is valued at approximately $6.74 billion, according to its latest Form 13F filing with the SEC.
What Changed in Vanguard Group's American Electric Power Position
Vanguard Group increased its stake in American Electric Power by 828,588 shares, a 1.6% rise from its previous holding of 51,668,307 shares. This move reflects a significant commitment to the utility company, with the total position now valued at around $6.74 billion.
Other Institutional Activity in American Electric Power
Several other institutional investors also adjusted their positions in American Electric Power. BlackRock, Inc. grew its holdings by 1,536,746 shares, ending with 47,797,729 shares worth about $6.27 billion. Vanguard Capital Management LLC established a new position with 35,138,422 shares valued at approximately $4.61 billion. State Street Corp reduced its holdings slightly by 149,640 shares, bringing its total to 30,288,136 shares valued at $3.97 billion. GQG Partners LLC decreased its position by 1,876,988 shares, ending with 15,025,884 shares worth around $1.97 billion.
American Electric Power Company, Inc. Stock Up 12.7%
Shares of American Electric Power (NasdaqGS: AEP) traded near $128.48. The company has a market cap of about $70.3 billion and a P/E ratio of 19.12. Its beta is relatively low at 0.518, indicating less volatility compared to the market. The stock's 52-week range is between $100.72 and $139.44, with a 50-day moving average of $131.43 and a 200-day moving average of $122.55. The company's current ratio is 0.526, and it has a debt-to-equity ratio of 157.1.
$AEP stock price
Daily closing prices, year to date. Not investment advice.
Recent Earnings
American Electric Power reported revenues of $22.43 billion, showing a growth rate of 10.2%. The net margin stands at 16.3%, with a return on equity of 12.6%. The company posted an EPS of $6.76. The next earnings release is expected on May 5, 2026.
Earnings drift grade
Outlook vs expectations on the last report — not price action.
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Forward outlook
6 target raises vs 1 cuts.
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EPS & revenue
EPS beat estimates by 3.5%. Revenue beat estimates by 4.9%.
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Profit surprise
EBITDA missed by 11 percent. Operating income missed by 20 percent.
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Pre-earnings setup
Expectations were about average.
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Analyst signal
6 target raises, 1 target cut.
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Earnings quality
Gross margin up 31.5 points. Operating margin down 3.2 points. Positive free cash flow.
Earnings Call Summary
AEP delivered strong first quarter earnings of $1.64 per share, beating consensus of $1.55, driven by positive regulatory outcomes and higher load growth. The company secured 7 additional gigawatts of contracted load in the quarter, bringing total contracted load to 63 gigawatts by 2030, mostly from data centers and industrial customers in Texas, Ohio, Indiana and Oklahoma. Management highlighted concerns about PJM's interconnection speed and is evaluating alternatives to ensure faster load connection, while also noting that customers value AEP's transmission expertise and ability to deliver on aggressive timelines.
Guidance AEP reaffirmed full year 2026 earnings guidance of $6.15 to $6.45 per share. The company raised its 5-year capital plan to $78 billion from $72 billion, expecting 11 percent rate base growth annually. Long-term earnings growth is now expected to exceed 9 percent per year through 2030, up from 7 to 9 percent.
Slightly positive report. The quarter was acceptable, but the forward setup is not strong.
Dividend
American Electric Power offers an annual dividend rate of $3.80, yielding 2.94%. The dividend payout ratio is 55.6%, indicating a stable return to shareholders.
Insider Buying and Selling at American Electric Power Company, Inc.
Several insiders at American Electric Power made transactions recently. On May 1, 2026, Executive Vice President Greg Hall sold 4,306 shares at an average price of $136.91. Similarly, Controller and CAO Kate Dixon and President of AEP Transmission Douglas Cannon sold 636 and 1,770 shares, respectively, on the same date. CEO and President William Fehrman made two transactions on March 10, 2026, selling 45 shares and buying 96 shares at $132.31.
Analysts Set New Price Targets
On May 29, 2026, Truist Securities maintained its 'buy' rating for American Electric Power with a price target of $145. TD Cowen also maintained a 'buy' rating with a $148 target on May 15, 2026. Other firms like Barclays and Citigroup have 'hold' ratings with targets of $136 and $148, respectively. The consensus among 21 analysts is a 'buy' recommendation with a mean target price of $144.33.
About American Electric Power Company, Inc.
American Electric Power Company, Inc., headquartered in Columbus, Ohio, is a utility holding company that generates, transmits, and distributes electricity to retail and wholesale customers in the United States. The company operates through several segments, including Vertically Integrated Utilities and AEP Transmission Holdco. It uses various energy sources such as coal, nuclear, natural gas, and renewables, managing a vast infrastructure network. Led by CEO William J. Fehrman, AEP employs around 17,581 people.
Bottom Line
Vanguard Group's decision to boost its stake in American Electric Power signals ongoing confidence in the utility sector. The recent 13F filing provides a backward-looking view of its holdings as of the reporting period. Investors often track such filings to gauge institutional sentiment, although they may not reflect current positions.
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