American Electric Power Stock Current Valuation

AEP Stock  EUR 96.50  2.50  2.66%   
Valuation analysis of American Electric Power helps investors to measure American Electric's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns.
Fairly Valued
Today
96.50
Please note that American Electric's price fluctuation is very steady at this time. Calculation of the real value of American Electric Power is based on 3 months time horizon. Increasing American Electric's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the American stock is determined by what a typical buyer is willing to pay for full or partial control of American Electric Power. Since American Electric is currently traded on the exchange, buyers and sellers on that exchange determine the market value of American Stock. However, American Electric's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  96.5 Real  95.18 Hype  96.5
The real value of American Stock, also known as its intrinsic value, is the underlying worth of American Electric Power Company, which is reflected in its stock price. It is based on American Electric's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of American Electric's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
95.17
Real Value
96.79
Upside
Estimating the potential upside or downside of American Electric Power helps investors to forecast how American stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of American Electric more accurately as focusing exclusively on American Electric's fundamentals will not take into account other important factors:
Hype
Prediction
LowEstimatedHigh
94.8996.5098.11
Details

American Electric Power Company Current Valuation Analysis

American Electric's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.

Enterprise Value

 = 

Market Cap + Debt

-

Cash

More About Current Valuation | All Equity Analysis

Current American Electric Current Valuation

    
  83.75 B  
Most of American Electric's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, American Electric Power is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Competition

In accordance with the recently published financial statements, American Electric Power has a Current Valuation of 83.75 B. This is much higher than that of the Other sector and significantly higher than that of the Other industry. The current valuation for all Germany stocks is notably lower than that of the firm.

American Current Valuation Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses American Electric's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of American Electric could also be used in its relative valuation, which is a method of valuing American Electric by comparing valuation metrics of similar companies.
American Electric is currently under evaluation in current valuation category among its peers.

American Fundamentals

About American Electric Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze American Electric Power's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of American Electric using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of American Electric Power based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.

Also Currently Popular

Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.

Additional Information and Resources on Investing in American Stock

When determining whether American Electric Power is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if American Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about American Electric Power Stock. Highlighted below are key reports to facilitate an investment decision about American Electric Power Stock:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in American Electric Power. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
You can also try the Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
Please note, there is a significant difference between American Electric's value and its price as these two are different measures arrived at by different means. Investors typically determine if American Electric is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, American Electric's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.