American Electric Power (NYSE:AEP) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report issued on Tuesday.

According to Zacks, “American Electric Power’s shares have lost wider than the industry it belongs to in last three months. American Electric operates in the spot market that faces the risk of volatile market prices, which in turn is likely to affect the company’s margins and revenues. Moreover, American Electric is exposed to environmental risks since its power plants produce large quantities of nitrogen, sulfur, mercury and carbon dioxide. However, American Electric’s continuous focus on augmenting earnings base has directed its capital expenditure toward regulated businesses. The company’s strong liquidity position enables it to reward shareholders via solid dividend payouts. Further, American Electric’s geographically-diversified operations have enabled it to outperform its broader industry over a year.”

A number of other research analysts have also recently issued reports on the company. Morgan Stanley upgraded American Electric Power from an “equal weight” rating to an “overweight” rating and set a $83.00 price objective for the company in a research note on Wednesday, December 13th. ValuEngine cut American Electric Power from a “buy” rating to a “hold” rating in a research note on Tuesday, December 26th. Guggenheim cut American Electric Power from a “neutral” rating to a “sell” rating in a research note on Tuesday, January 2nd. SunTrust Banks reiterated a “buy” rating and set a $78.00 price objective on shares of American Electric Power in a research note on Tuesday, January 9th. Finally, Royal Bank of Canada reiterated a “hold” rating and set a $74.00 price objective on shares of American Electric Power in a research note on Monday, October 30th. Two research analysts have rated the stock with a sell rating, five have issued a hold rating and eleven have given a buy rating to the company. American Electric Power presently has an average rating of “Buy” and an average target price of $74.36.

American Electric Power (AEP) opened at $65.30 on Tuesday. The stock has a market capitalization of $32,120.00, a price-to-earnings ratio of 17.05, a price-to-earnings-growth ratio of 3.09 and a beta of 0.18. American Electric Power has a one year low of $62.69 and a one year high of $78.07. The company has a debt-to-equity ratio of 1.04, a quick ratio of 0.43 and a current ratio of 0.49.

American Electric Power (NYSE:AEP) last announced its quarterly earnings data on Thursday, January 25th. The utilities provider reported $0.85 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.81 by $0.04. The business had revenue of $3.80 billion during the quarter, compared to analysts’ expectations of $3.92 billion. American Electric Power had a return on equity of 10.05% and a net margin of 12.39%. The firm’s quarterly revenue was up .0% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.67 earnings per share. equities research analysts forecast that American Electric Power will post 3.89 EPS for the current fiscal year.

Several institutional investors have recently bought and sold shares of the business. Advisory Services Network LLC grew its holdings in shares of American Electric Power by 6.5% in the second quarter. Advisory Services Network LLC now owns 2,672 shares of the utilities provider’s stock worth $186,000 after acquiring an additional 164 shares during the period. WFG Advisors LP grew its holdings in shares of American Electric Power by 36.3% in the second quarter. WFG Advisors LP now owns 2,039 shares of the utilities provider’s stock worth $142,000 after acquiring an additional 543 shares during the period. Alps Advisors Inc. grew its holdings in shares of American Electric Power by 22.8% in the third quarter. Alps Advisors Inc. now owns 3,684 shares of the utilities provider’s stock worth $259,000 after acquiring an additional 683 shares during the period. Moors & Cabot Inc. grew its holdings in shares of American Electric Power by 7.6% in the third quarter. Moors & Cabot Inc. now owns 10,070 shares of the utilities provider’s stock worth $709,000 after acquiring an additional 715 shares during the period. Finally, Eqis Capital Management Inc. grew its holdings in shares of American Electric Power by 9.2% in the third quarter. Eqis Capital Management Inc. now owns 8,920 shares of the utilities provider’s stock worth $627,000 after acquiring an additional 748 shares during the period. 70.74% of the stock is owned by institutional investors and hedge funds.

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American Electric Power Company Profile

American Electric Power Company, Inc (AEP) is a public utility holding company that owns, directly or indirectly, all of the outstanding common stock of its public utility subsidiaries and varying percentages of other subsidiaries. The service areas of the Company’s public utility subsidiaries cover the states of Arkansas, Indiana, Kentucky, Louisiana, Michigan, Ohio, Oklahoma, Tennessee, Texas, Virginia and West Virginia.

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