Wells Fargo took its American Electric Power [AEP] rating to the equivalent of Equal-Weight from Overweight, and the price target to $88 from $101, in a research note dated 2021-01-06. That figure represents around a 8.07% premium from where the company’s shares closed on Tuesday. Other analysts also revised their coverage, with Guggenheim’s analysts upgrading the shares from “a Sell” rating to “a Neutral” rating in a research note to investors issued in late November. Meanwhile, Wolfe Research had lowered its rating on AEP to “Peer perform” from the earlier “an Outperform”, in a research note produced for clients November 16, 2020. In addition, Seaport Global Securities launched coverage on May 20, 2020. The research firm rated AEP “a Buy”.
Is American Electric Power Company Inc. [NASDAQ:AEP] a Good Buy Right Now?
It should be noted that AEP technical indicators for short, intermediate as well as long term progress have placed an overall average of 40% as Sell. The average signal changed from 40% Sell in the last week and compares with 24% Buy in the past month. Data from American Electric Power Company Inc.’s Trend Spotter indicated that the signals were Weakening. The stock current average is 2.87 million shares in the past 20 days and the short term average signal indicates a 100% Sell. In the last 50 days, the average trading volume was 2.91 million shares while the medium term average advocated for 50% Buy. The average long-term signal stands at 50% Sell and the 100-day average volume stands at 2.75 million shares.
AEP Price Performance
On Wall Street, American Electric Power Company Inc. [NASDAQ:AEP] finished Tuesday’s session down -0.13% at $81.43. The stock went up to $82.045 at the same session while its lowest single day price was $80.975. In the last five days, it saw a rise of about 0.18%, American Electric Power Company Inc. shares dropped by almost -2.21% since the beginning of the year. However, the share price has dropped to as low as -22.43% below its one year high. On 01/04/21, the company shares recorded $83.44, the highest single-day price it has got to in the last 52-weeks and a 52-week low was seen on 01/05/21, the same year at $80.97. The company’s shares have declined by -13.07% in the past year. The 50-day SMA achieved is $85.81 while the 200-day SMA is $83.38. Volume dropped to 2.21 million from 3.23 million in the previous session.
American Electric Power Company Inc. [AEP] Valuation Measures
Notably, American Electric Power Company Inc. [AEP] stock cannot be classified as a good candidate in the listing of underestimated low-priced Utilities – Regulated Electric companies to purchase soonest possible with the prevailing 12-month PE ratio of 21.07. The measure means the stock is exchanging at a premium as compared to the 16.91x trailing earnings of the industry. It can be helpful for investors to consider historical price-sales ratio, more specifically, a 2.65 PS value ratio is reported for the last one year of reported earnings. That is higher than the industry average of 1.50 which means AEP serve an unattractive investment opportunity compared to its competitors.
AEP Stock Support And Resistance Levels
On the 24-hour scale, the immediate backing is perceived around 80.92 level, and in case of violation of this particular level, it will cause more drop to 80.41 level. On the upper level, 82.55 is still the key resistance. The stock may increase to the subsequent resistance at 81.99. The Relative Strength Index (RSI) pinned on the 14-day chart is 41.94, implying a neutral technical stance while the MACD stands at -0.07, meaning price will decrease in the next trading period. Percent R indicator moved to 76.92%, implying bearish price movement. Stochastic %K at 37.78% suggest selling the stock.
What is the short interest in American Electric Power Company Inc.?
Short interest in the American Electric Power Company Inc. stock has surged, increasing by 1.14 million shares to total 6.1 million shares on Dec 14, 2020. The interest had seen shares on Nov 12, 2020 stand at 7.24 million, data from Yahoo Finance shows. The decrease of -18.69% suggests the stock saw some decreased bullish sentiment. The stock’s days to cover (short ratio) moved to while the shorted shares account for just 1.23% of the overall float for the stock.
American Electric Power Company Inc.’s Biggest Shareholders: Who Owns American Electric Power Company Inc. [AEP]?
Filings by The Vanguard Group, Inc. showed that the firm now holds a total of 42,074,375 shares or roughly 8.48% of the outstanding AEP shares. This means their shares have reduced by -291,439 from the 42,074,375 the investor reportedly held in its prior 13-F filing. With the conclusion of the sale, T. Rowe Price Associates, Inc. updated stake is worth $2,587,161,036. Details in the latest 13F filings reveal that BlackRock Fund Advisors disposed off their -1.20% stake valued at $2,222,681,746 while SSgA Funds Management, Inc. cut theirs at $2,140,351,095. During the last quarter, BlackRock Fund Advisors liquidated -317,277 of its shares in American Electric Power Company Inc. while SSgA Funds Management, Inc. sold -674,128 shares. The Capital Research & Management Co’s holdings currently number 14,131,743 shares at $1150747832.49. According to the firm’s last 13F report, Massachusetts Financial Services shares in the company at filing stood at 11,210,885 shares, roughly $951,692,028.
AEP Earnings Forecast For The Current Quarter
American Electric Power Company Inc. [AEP] is expected to report strong earnings results for the quarter ending on Dec 2020. Consensus estimates give the company expected revenues of $3.91B and an earnings per share of $0.76 for Dec 2020. Looking further ahead, the company is expected to report revenue of $4.14B at an EPS of $1.15 for Mar 2021. The estimates represent upside of 5.30% and 7.27% in the company’s revenue and earnings per share, respectively, on a year-on-year basis.
AEP Earnings Estimates For The Current Year
For the financial year, American Electric Power Company Inc. [NASDAQ:AEP] is expected to bring in revenue of $15.74B. The returns are nearly $140.0 million higher than the company’s actual revenue recorded in the fiscal year 2019. In terms of EPS for the 2020, estimate put it at 4.33, higher than that of FY19 by $0.09. Estimates put this year’s earnings growth at 2.10%, 7.40% for the next, and at an annual 5.65% over the next 5-year period. As for sales, forecasts are for an increase of 0.90% in the current fiscal year and a further 5.30% over the following year.