AEP (American Electric Power Co) Profitability Rank: 7 (As of Mar. 2026) — Near Median


AEP American Electric Power Co Inc AEP
78 GF Score
Price $133.58
GF Value $110.98
Valuation Modestly Overvalued
! 10 Warning Signs
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What is American Electric Power Co Profitability Rank?

American Electric Power Co AEP -0.12% 78 Profitability Rank is 7 as of Mar. 2026, which is at its 10-year median of 7.00. GuruFocus rates AEP with a GF Score™ of 78/100 and a GF Value™ of $110.98 (Modestly Overvalued). The stock has 10 warning signs investors should review.

American Electric Power Co has the Profitability Rank of 7.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is rated on a scale of 1 to 10 and is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

American Electric Power Co's Operating Margin % for the quarter that ended in Mar. 2026 was 23.11%. As of today, American Electric Power Co's Piotroski F-Score is 6.


American Electric Power Co Profitability Rank Related Terms


AEP vs D, ETR, XEL: Profitability Rank Comparison

For the Utilities - Regulated Electric subindustry, American Electric Power Co's Profitability Rank, along with its competitors' market caps and Profitability Rank 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 Profitability Rank vs Utilities - Regulated Industry

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

* The bar in red indicates where American Electric Power Co's Profitability Rank falls into.


AEP
78GF Score
American Electric Power Co Inc AEP
Profitability Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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American Electric Power Co Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The rank is rated on a scale of 1 to 10. A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

American Electric Power Co has the Profitability Rank of 7.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

American Electric Power Co's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=1391 / 6020
=23.11 %

* 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.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

American Electric Power Co has an F-score of 6 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

Good Sign:

American Electric Power Co Inc operating margin is expanding. Margin expansion is usually a good sign.

4. Consistency of the profitability

5. Predictability Rank

Frequently Asked Questions Learn more about Profitability Rank →
What does a Profitability Rank of 7 mean?
American Electric Power Co (AEP) has a Profitability Rank of 7 as of Mar. 2026. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on American Electric Power Co and its competitors. This is near median its historical median of 7.00. Over the past decade, American Electric Power Co's Profitability Rank has ranged from 7.00 to 7.00.
Is American Electric Power Co's Profitability Rank too high?
American Electric Power Co's current Profitability Rank of 7 is near median its 10-year median of 7.00. Over the past 10 years, this metric has ranged from a low of 7.00 to a high of 7.00. Overall, American Electric Power Co has a GF Score™ of 78/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does American Electric Power Co's Profitability Rank compare to D and ETR?
American Electric Power Co's Profitability Rank of 7 can be compared against companies in the Utilities - Regulated industry. Historically, American Electric Power Co's own Profitability Rank has ranged from 7.00 to 7.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Profitability Rank for an Utilities - Regulated company?
A good Profitability Rank depends on the Utilities - Regulated industry context. However, Profitability Rank should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Profitability Rank mean?
A high Profitability Rank can signal that a stock is expensive relative to its fundamentals. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on American Electric Power Co and its competitors. American Electric Power Co's current Profitability Rank is 7, which is near median its own 10-year median of 7.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Electric Power Co stock overvalued right now?
Based on GuruFocus' analysis, American Electric Power Co (AEP) is currently considered Modestly Overvalued. The stock's GF Value™ is $110.98, compared to a current price of $133.58 — trading 20.4% above its estimated fair value. The current Profitability Rank is 7, which is near median its 10-year median of 7.00. American Electric Power Co's overall GF Score™ is 78/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Profitability Rank calculated?
Profitability Rank is calculated from a company's financial statements. For American Electric Power Co (AEP), the current Profitability Rank is 7 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

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

Based on GuruFocus' analysis, American Electric Power Co stock appears to be overvalued. The current stock price of $133.58 is trading 20.4% above its estimated GF Value™ of $110.98. GuruFocus considers American Electric Power Co to be Modestly Overvalued.

Key valuation signals for AEP:

  • Profitability Rank: 7 (near median its 10-year median of 7.00)
  • GF Value™: $110.98 vs. price of $133.58 (20.4% above fair value)
  • GF Score™: 78/100 with 10 warning signs

No single metric tells the full story. See the AEP 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.
78GF Score

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

$133.58
Price
$110.98
GF Value