American Electric Power Company Inc
XETRA:AEP
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
Johnson & Johnson
NYSE:JNJ
|
US |
|
Berkshire Hathaway Inc
NYSE:BRK.A
|
US |
|
Bank of America Corp
NYSE:BAC
|
US |
|
Mastercard Inc
NYSE:MA
|
US |
|
UnitedHealth Group Inc
NYSE:UNH
|
US |
|
Exxon Mobil Corp
NYSE:XOM
|
US |
|
Pfizer Inc
NYSE:PFE
|
US |
|
Nike Inc
NYSE:NKE
|
US |
|
Visa Inc
NYSE:V
|
US |
|
Alibaba Group Holding Ltd
NYSE:BABA
|
CN |
|
JPMorgan Chase & Co
NYSE:JPM
|
US |
|
Coca-Cola Co
NYSE:KO
|
US |
|
Verizon Communications Inc
NYSE:VZ
|
US |
|
Chevron Corp
NYSE:CVX
|
US |
|
Walt Disney Co
NYSE:DIS
|
US |
|
PayPal Holdings Inc
NASDAQ:PYPL
|
US |
EV/EBIT
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Valuation Scenarios
If EV/EBIT returns to its 3-Year Average (21.4), the stock would be worth €25.12 (3% downside from current price).
| Scenario | EV/EBIT Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 22 | €25.86 |
0%
|
| 3-Year Average | 21.4 | €25.12 |
-3%
|
| 5-Year Average | 21.4 | €25.16 |
-3%
|
| Industry Average | 21 | €24.65 |
-5%
|
| Country Average | 19.6 | €23.03 |
-11%
|
Forward EV/EBIT
Today’s price vs future ebit
| Today's Enterprise Value | EBIT | Forward EV/EBIT | ||
|---|---|---|---|---|
|
€117.5B
|
/ |
Jan 2026
$5.4B
|
= |
|
|
€117.5B
|
/ |
Dec 2026
$6.1B
|
= |
|
|
€117.5B
|
/ |
Dec 2027
$6.8B
|
= |
|
|
€117.5B
|
/ |
Dec 2028
$7.6B
|
= |
|
Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.
Peer Comparison
| Market Cap | EV/EBIT | P/E | ||||
|---|---|---|---|---|---|---|
| US |
|
American Electric Power Company Inc
XETRA:AEP
|
73.1B EUR | 22 | 20.4 | |
| US |
|
Nextera Energy Inc
NYSE:NEE
|
200.5B USD | 36.2 | 29.3 | |
| ES |
|
Iberdrola SA
MAD:IBE
|
128.8B EUR | 16.3 | 20.5 | |
| IT |
|
Enel SpA
MIL:ENEL
|
99.2B EUR | 13.9 | 23.3 | |
| US |
|
Constellation Energy Corp
NASDAQ:CEG
|
106.1B USD | 36.1 | 39.4 | |
| US |
|
Southern Co
NYSE:SO
|
103.2B USD | 23.3 | 23.8 | |
| US |
|
Duke Energy Corp
NYSE:DUK
|
99.6B USD | 21.2 | 20.3 | |
| FR |
|
Electricite de France SA
PAR:EDF
|
46.6B EUR | -3.2 | -2.5 | |
| US |
|
Entergy Corp
NYSE:ETR
|
51.5B USD | 24.7 | 29.3 | |
| US |
|
Xcel Energy Inc
NASDAQ:XEL
|
49.6B USD | 29.2 | 24.6 | |
| US |
|
Exelon Corp
NASDAQ:EXC
|
47.8B USD | 18.7 | 17.3 |
Market Distribution
| Min | 0 |
| 30th Percentile | 13.6 |
| Median | 19.6 |
| 70th Percentile | 27.8 |
| Max | 1 826 183.2 |
Other Multiples
American Electric Power Company Inc
Glance View
American Electric Power Company Inc., often referred to simply as AEP, weaves its legacy into the very fabric of American industry as one of the largest electricity generators in the United States. With roots tracing back over a century, AEP has evolved, growing a vast network of infrastructure across 11 states. This company primarily hinges on the business of generating, transmitting, and distributing electricity. AEP operates an extensive system of power plants that utilize various sources – coal, natural gas, renewable energy, and nuclear – effectively harnessing diversified energy for stability and resilience. The company's transmission network, one of the largest in the country, facilitates the movement of electricity from its generation hubs to vast populations across its service regions. With regulatory bodies overseeing its operations, AEP remains steadfast in navigating the delicate balance between reliable service delivery and operational efficiency. At its core, AEP's revenue streams flow from selling electricity to end-users—ranging from residential homes to large-scale industrial outfits—distributed through its well-defined service network. Additionally, AEP generates income by selling electricity on wholesale markets, capitalizing on excess generation capacity when demand spikes. The company places a strong emphasis on bolstering its energy grid infrastructure, investing significantly in modernization projects aimed at enhancing grid reliability and integrating cleaner energy sources. This positions AEP to adapt to the evolving energy landscape, where sustainable and renewable energy discussions are increasingly pivotal. As AEP marches forward, its story is not merely about power lines and plants but about connecting communities, fueling industries, and paving its path in the transformative world of energy.