Jefferies Maintains a Hold Rating on American Electric Power

By Carrie Williams

In a report issued on October 21, Anthony Crowdell from Jefferies maintained a Hold rating on American Electric Power (NYSE: AEP), with a price target of $67. The company’s shares closed yesterday at $63.03.

According to TipRanks.com, Crowdell is a 2-star analyst with an average return of 0.7% and a 39.0% success rate. Crowdell covers the Utilities sector, focusing on stocks such as Public Service Enterprise, El Paso Electric Company, and Pnm Resources Inc.

Currently, the analyst consensus on American Electric Power is Moderate Buy and the average price target is $73.67, representing a 16.9% upside.

In a report issued on October 13, RBC Capital also reiterated a Hold rating on the stock with a $67 price target.

Based on American Electric Power’s latest earnings report from June 30, the company posted quarterly revenue of $3.89B and quarterly net profit of $502.1M. In comparison, last year the company earned revenue of $4.43B and had a net profit of $519M.

Based on the recent corporate insider activity of 23 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of AEP in relation to earlier this year. Most recently, in May 2016, Mark C. McCullough, a the EVP of AEP bought 4,425 shares for a total of $284,660.

American Electric Power Co., Inc. is a public utility holding company that engages in the business of generation, transmission and distribution of electricity. It operates through following segments: Vertically Integrated Utilities, Transmission & Distribution Utilities, AEP Transmission Holdco, Generation & Marketing. The Vertically Integrated Utilities segment engages in the generation, transmission and distribution of electricity for sale to retail and wholesale customers through assets owned and operated by its subsidiaries. The Transmission & Distribution Utilities segment engages in the business of transmission and distribution of electricity for sale to retail and wholesale customers through assets owned and operated by its subsidiaries. The AEP Transmission Holdco segment engages in the development, construction and operation of transmission facilities through investments in its wholly-owned transmission subsidiaries and joint ventures. The Generation & Marketing segment engages in non-regulated generation; and marketing, risk management and retail activities. The company was founded on December 20, 1906 and is headquartered in Columbus, OH.