Explain this page
Arphra AIPlain-English read on American Electric Power Company, Inc.’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Quality composite
BMixed
A snapshot of the latest fiscal year’s margins, returns on capital, balance-sheet strength and efficiency, computed from the income statement, balance sheet and cash-flow rows. Source income / balance / cash_flow.
Profitability
Gross margin31.8%
Operating margin24.3%
Net margin16.4%
ROE11.1%
ROA3.1%
ROIC6.2%
Liquidity & leverage
Current ratio0.45×
Quick ratio0.33×
Debt / equity1.56×
Net debt / EBITDA5.69×
Interest coverage3×
Efficiency & per-share
Asset turnover0.19×
Inventory days40
Days sales out.48
FCF / share$13.10
Book value / share$61.93
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Headline | |||||||||
| Market cap | — | — | — | $48.89B | $59.83B | — | — | — | — |
| Enterprise value | — | — | — | $94.45B | $109.81B | — | — | — | — |
| Multiples | |||||||||
| P / E | — | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | 4.74 | 5.04 | — | — | — | — |
| EV / FCF | — | — | — | 14.17 | 16.12 | — | — | — | — |
| Yields | |||||||||
| Earnings yield | — | — | — | +6.07% | +5.98% | — | — | — | — |
| Free cash flow yield | — | — | — | +13.63% | +11.39% | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Margins | |||||||||
| Gross margin | +28.09% | +25.21% | +29.02% | +31.92% | +31.81% | +31.58% | +31.23% | +31.72% | +31.04% |
| Operating margin | +19.63% | +17.60% | +21.32% | +23.90% | +24.33% | +23.30% | +23.10% | +22.55% | +22.90% |
| EBITDA margin | +40.61% | +36.75% | +37.17% | +40.64% | +40.34% | +39.48% | +40.31% | +40.32% | +39.40% |
| EBIT margin | +22.28% | +19.74% | +20.73% | +23.60% | +24.33% | +22.92% | +22.98% | +22.74% | +22.52% |
| Pre-tax margin | +15.66% | +11.97% | +11.70% | +14.74% | +17.56% | +14.38% | +14.55% | +14.43% | +14.55% |
| Net margin | +14.97% | +11.95% | +11.39% | +14.90% | +16.43% | +14.57% | +13.99% | +14.06% | +14.28% |
| Cost structure | |||||||||
| Cost of revenue / sales | +71.91% | +74.79% | +70.98% | +68.08% | +68.19% | +67.72% | +68.82% | +71.01% | +68.10% |
| R&D intensity | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| SG&A intensity | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| Effective tax rate | +4.44% | +0.23% | +2.41% | -1.33% | +3.37% | +1.55% | +1.45% | +1.52% | +1.48% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| Return on equity (ROE) | +10.97% | +9.56% | +8.73% | +10.99% | +11.11% | +10.42% | +10.05% | +9.94% | +10.50% |
| Return on assets (ROA) | +2.84% | +2.47% | +2.28% | +2.88% | +3.05% | +2.86% | +2.77% | +2.74% | +2.81% |
| Return on capital (ROC) | +5.50% | +5.18% | +6.00% | +6.54% | +6.43% | +6.44% | +6.30% | +6.04% | +6.25% |
| Return on invested capital (ROIC) | +4.19% | +3.51% | +3.21% | +4.08% | +4.34% | +4.02% | +3.82% | +3.77% | +3.90% |
| Asset turnover | +18.96% | +20.68% | +20.05% | +19.32% | +18.58% | +19.65% | +19.77% | +19.45% | +19.68% |
| DuPont · ROE decomposition | |||||||||
| Net margin | +14.97% | +11.95% | +11.39% | +14.90% | +16.43% | +14.57% | +13.99% | +14.06% | +14.28% |
| Asset turnover (× revenue / assets) | +18.96% | +20.68% | +20.05% | +19.32% | +18.58% | +19.65% | +19.77% | +19.45% | +19.68% |
| Equity multiplier (× assets / equity) | +386.54% | +387.21% | +382.36% | +381.97% | +363.91% | +364.02% | +363.44% | +363.15% | +373.44% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Turnover | |||||||||
| Asset turnover | 0.19 | 0.21 | 0.20 | 0.19 | 0.19 | 0.20 | 0.20 | 0.19 | 0.20 |
| Fixed-asset turnover | 0.25 | 0.26 | 0.25 | 0.24 | 0.23 | — | — | — | — |
| Inventory turnover | 12.08 | 10.70 | 7.32 | 7.91 | 9.16 | — | — | — | — |
| Receivables turnover | 8.56 | 7.24 | 7.92 | 7.57 | 7.60 | — | — | — | — |
| Payables turnover | 5.82 | 5.41 | 6.77 | 5.14 | 4.33 | — | — | — | — |
| Days outstanding | |||||||||
| Days sales outstanding (DSO) | 42.63 | 50.42 | 46.09 | 48.23 | 48.04 | — | — | — | — |
| Days inventory outstanding (DIO) | 30.21 | 34.12 | 49.87 | 46.17 | 39.86 | — | — | — | — |
| Days payables outstanding (DPO) | 62.74 | 67.49 | 53.93 | 71.00 | 84.26 | — | — | — | — |
| Cash conversion cycle | 10.10 | 17.05 | 42.03 | 23.40 | 3.63 | — | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | 1.54 | 2.29 | 2.27 | 2.29 | 1.94 | 2.11 | 2.16 | 2.14 | 2.15 |
| FCF / Net income | -0.77 | -0.64 | -1.13 | 2.25 | 1.90 | 1.17 | 1.27 | 1.23 | 1.22 |
| FCF margin | -11.58% | -7.69% | -12.87% | +33.46% | +31.28% | +16.98% | +17.72% | +17.28% | +17.45% |
| OCF margin | +23.10% | +27.38% | +25.86% | +34.16% | +31.88% | +30.70% | +30.21% | +30.03% | +30.65% |
| CapEx / Revenue | +34.67% | +35.06% | +38.73% | +0.70% | +0.60% | +13.28% | +13.47% | +13.55% | +13.71% |
| CapEx / D&A | 1.89 | 2.06 | 2.36 | 0.04 | 0.04 | — | — | — | — |
| Stock-based comp / Revenue | 0.00% | +0.33% | 0.00% | 0.00% | 0.00% | — | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| EPS · diluted | 4.96 | 4.49 | 4.24 | 5.58 | 6.66 | 6.35 | 6.85 | 7.57 | 8.32 |
| EPS · basic | 4.97 | 4.51 | 4.26 | 5.60 | 6.66 | 6.30 | 6.82 | 7.57 | 8.44 |
| Book value / share | 45.20 | 46.98 | 48.61 | 50.79 | 61.93 | 62.89 | 65.83 | 72.56 | 74.70 |
| Tangible BV / share | 45.09 | 46.88 | 48.51 | 50.69 | 61.83 | 62.89 | 65.83 | 72.56 | 74.70 |
| Sales / share | 33.13 | 37.61 | 37.26 | 37.48 | 41.87 | 44.98 | 47.29 | 51.26 | 54.90 |
| Operating CF / share | 7.65 | 10.30 | 9.64 | 12.81 | 13.35 | 13.81 | 14.29 | 15.39 | 16.83 |
| Free cash flow / share | -3.83 | -2.89 | -4.79 | 12.54 | 13.10 | 7.64 | 8.38 | 8.86 | 9.58 |
| Dividends / share | 3.03 | 3.20 | 3.38 | 3.58 | 3.86 | 4.14 | 4.27 | 4.74 | 5.08 |
| Payout ratio | +61.07% | +71.31% | +79.72% | +64.17% | +56.09% | +63.19% | +64.61% | +65.79% | +64.73% |
| Retention ratio | +38.93% | +28.69% | +20.28% | +35.83% | +43.91% | +36.81% | +35.39% | +34.21% | +35.27% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E | 8y CAGR |
|---|---|---|---|---|---|---|---|---|---|---|
| Top-line | ||||||||||
| Revenue · YoY | — | +16.19% | +0.35% | +2.76% | +9.37% | +7.11% | +5.86% | +7.56% | +7.96% | +7.05% |
| Gross profit · YoY | — | +4.28% | +15.50% | +13.02% | +9.01% | +6.31% | +4.69% | +9.24% | +5.67% | +8.40% |
| Profit | ||||||||||
| Operating income · YoY | — | +4.21% | +21.53% | +15.21% | +11.31% | +2.58% | +4.96% | +4.98% | +9.65% | +9.14% |
| EBITDA · YoY | — | +5.14% | +1.50% | +12.33% | +8.58% | +4.82% | +8.07% | +7.61% | +5.49% | +6.65% |
| Net income · YoY | — | -7.27% | -4.30% | +34.37% | +20.66% | -5.07% | +1.65% | +8.15% | +9.63% | +6.43% |
| Operating | ||||||||||
| EBIT · YoY | — | +2.92% | +5.39% | +16.98% | +12.74% | +0.92% | +6.12% | +6.44% | +6.91% | +7.19% |
| R&D · YoY | — | — | — | — | — | — | — | — | — | — |
| Per-share | ||||||||||
| EPS · diluted · YoY | — | -9.48% | -5.57% | +31.60% | +19.35% | -4.66% | +7.82% | +10.58% | +9.83% | +6.67% |
| EPS · basic · YoY | — | -9.26% | -5.54% | +31.46% | +18.93% | -5.41% | +8.19% | +11.03% | +11.59% | +6.85% |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Leverage | |||||||||
| Total debt | $36.66B | $41.58B | $43.61B | $45.76B | $50.24B | $51.83B | $56.16B | $61.58B | $66.09B |
| Net debt | $36.26B | $41.07B | $43.28B | $45.56B | $49.97B | $51.52B | $55.83B | $61.23B | $65.71B |
| Net debt / EBITDA | 5.37 | 5.79 | 6.01 | 5.63 | 5.69 | 5.59 | 5.61 | 5.72 | 5.81 |
| Debt / equity | 1.62 | 1.72 | 1.72 | 1.70 | 1.56 | 1.59 | 1.63 | 1.64 | 1.69 |
| Debt / assets | +41.82% | +44.52% | +45.10% | +44.40% | +42.85% | +43.64% | +44.95% | +45.09% | +45.36% |
| Equity / assets | +25.87% | +25.83% | +26.15% | +26.18% | +27.48% | +27.47% | +27.51% | +27.54% | +26.78% |
| Coverage | |||||||||
| EBITDA / interest expense | 5.66 | 5.10 | 3.98 | 4.36 | 4.33 | 4.22 | 4.36 | 4.34 | 4.22 |
| Operating income / interest | 2.74 | 2.44 | 2.28 | 2.56 | 2.61 | 2.49 | 2.50 | 2.42 | 2.45 |
| Interest expense | $1.19B | $1.39B | $1.81B | $1.86B | $2.03B | $2.18B | $2.28B | $2.47B | $2.68B |
| Liquidity | |||||||||
| Current ratio | 0.63 | 0.51 | 0.53 | 0.44 | 0.45 | — | — | — | — |
| Quick ratio | 0.21 | 0.25 | 0.26 | 0.23 | 0.25 | — | — | — | — |
| Cash ratio | 0.03 | 0.04 | 0.03 | 0.02 | 0.02 | — | — | — | — |
| Working capital | -$4.62B | -$6.49B | -$5.5B | -$7.22B | -$7.26B | — | — | — | — |
| Working capital / revenue | -27.78% | -33.61% | -28.39% | -36.25% | -33.34% | — | — | — | — |
Sourced from key_metrics + financial_ratios (loaded by load_fundamentals_extended.py).
Valuation
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| P / E | — | — |
| P / B | — | — |
| EV / EBITDA | — | — |
| EV / Sales | 5.04x | 4.74x |
| Earnings yield | 6.0% | 6.1% |
| FCF yield | 11.4% | 13.6% |
Returns
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| Gross margin | — | — |
| Operating margin | — | — |
| Net margin | — | — |
| ROE | 11.5% | 11.0% |
| ROA | 3.1% | 2.9% |
| ROIC | 4.7% | 5.0% |
Leverage & liquidity
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| Debt / equity | — | — |
| Net debt / EBITDA | 5.69 | 5.63 |
| Interest coverage | — | — |
| Current ratio | 0.45x | 0.44x |
| Quick ratio | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).