American Electric Power Co (MIL:1AEP) Debt-to-EBITDA : (As of Jun. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

MIL:1AEP American Electric Power Co Inc MIL:1AEP
49 GF Score
Price €105.00
GF Value €100.42
Valuation Fairly Valued
! 7 Warning Signs
View Full Analysis

What is American Electric Power Co Debt-to-EBITDA?

Debt-to-EBITDA measures a company's ability to pay off its debt.

American Electric Power Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was €4,323 Mil. American Electric Power Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was €42,469 Mil. American Electric Power Co's annualized EBITDA for the quarter that ended in Jun. 2026 was €7,792 Mil. American Electric Power Co's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2026 was 6.01.

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.

The historical rank and industry rank for American Electric Power Co's Debt-to-EBITDA or its related term are showing as below:

MIL:1AEP' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 3.91   Med: 5.48   Max: 6.38
Current: 5.75

During the past 13 years, the highest Debt-to-EBITDA Ratio of American Electric Power Co was 6.38. The lowest was 3.91. And the median was 5.48.

MIL:1AEP's Debt-to-EBITDA is ranked worse than
70.13% of 452 companies
in the Utilities - Regulated industry
Industry Median: 4.065 vs MIL:1AEP: 5.75

American Electric Power Co  (MIL:1AEP) Debt-to-EBITDA Explanation

In the calculation of Debt-to-EBITDA, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by EBITDA. In some calculations, Total Liabilities is used to for calculation.

Be Aware

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.

According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.

American Electric Power Co Debt-to-EBITDA Related Terms

American Electric Power Co Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for American Electric Power Co's Debt-to-EBITDA can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

American Electric Power Co Debt-to-EBITDA Chart

American Electric Power Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - - -

American Electric Power Co Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Debt-to-EBITDA Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - - -

MIL:1AEP vs D, PCG, ETR: Debt-to-EBITDA Comparison

For the Utilities - Regulated Electric subindustry, American Electric Power Co's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

American Electric Power Co Debt-to-EBITDA vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, American Electric Power Co's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where American Electric Power Co's Debt-to-EBITDA falls into.


MIL:1AEP
49GF Score
American Electric Power Co Inc MIL:1AEP
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

American Electric Power Co Debt-to-EBITDA Calculation

Debt-to-EBITDA measures a company's ability to pay off its debt.

American Electric Power Co's Debt-to-EBITDA for the fiscal year that ended in Dec. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(4125.3352633147 + 38160.841244838) / 8189.9526702258
=5.16

American Electric Power Co's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(4323.4496632555 + 42469.168197324) / 7792.1429699328
=6.01

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data, the EBITDA data used here is four times the quarterly (Jun. 2026) EBITDA data.

Is American Electric Power Co (MIL:1AEP) Overvalued in 2026?

Based on GuruFocus' analysis, American Electric Power Co stock appears to be overvalued. The current stock price of €105.00 is trading 4.6% above its estimated GF Value™ of €100.42. GuruFocus considers American Electric Power Co to be Fairly Valued.

Key valuation signals for MIL:1AEP:

  • Debt-to-EBITDA:
  • GF Value™: €100.42 vs. price of €105.00 (4.6% above fair value)
  • GF Score™: 49/100 with 7 warning signs

No single metric tells the full story. See the MIL:1AEP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

American Electric Power Co Business Description

Address 1 Riverside Plaza, Columbus, OH, USA, 43215-2373
American Electric Power is one of the largest regulated utilities in the United States, providing electricity generation, transmission, and distribution to more than 5 million customers in 11 states. About 39% of AEP's capacity is coal, with the remainder from a mix of natural gas (28%), renewable energy and hydro (23%), nuclear (7%), and demand response (3%). Vertically integrated utilities, transmission and distribution, and generation and marketing support earnings.
49GF Score

Get the complete analysis for MIL:1AEP

Debt-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€105.00
Price
€100.42
GF Value