WallStSmart

American Electric Power Co Inc (AEP)vsConsolidated Edison Inc (ED)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

American Electric Power Co Inc generates 29% more annual revenue ($22.79B vs $17.69B). AEP leads profitability with a 13.8% profit margin vs 12.5%. AEP appears more attractively valued with a PEG of 1.97. ED earns a higher WallStSmart Score of 65/100 (C+).

AEP

Buy

58

out of 100

Grade: C

Growth: 4.0Profit: 6.0Value: 4.0Quality: 3.5
Piotroski: 4/9Altman Z: 0.69

ED

Buy

65

out of 100

Grade: C+

Growth: 6.0Profit: 6.5Value: 4.7Quality: 3.5
Piotroski: 3/9Altman Z: 0.97
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AEPSignificantly Overvalued (-86.9%)

Margin of Safety

-86.9%

Fair Value

$65.98

Current Price

$123.33

$57.35 premium

UndervaluedFair: $65.98Overvalued
EDSignificantly Overvalued (-73.9%)

Margin of Safety

-73.9%

Fair Value

$63.18

Current Price

$106.46

$43.28 premium

UndervaluedFair: $63.18Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AEP3 strengths · Avg: 8.3/10
Market CapQuality
$67.14B9/10

Large-cap with strong market position

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Operating MarginProfitability
23.3%8/10

Strong operational efficiency at 23.3%

ED3 strengths · Avg: 8.0/10
P/E RatioValuation
17.6x8/10

Attractively priced relative to earnings

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

EPS GrowthGrowth
22.1%8/10

Earnings expanding 22.1% YoY

Areas to Watch

AEP4 concerns · Avg: 2.8/10
PEG RatioValuation
1.974/10

Expensive relative to growth rate

Debt/EquityHealth
1.663/10

Elevated debt levels

EPS GrowthGrowth
-43.2%2/10

Earnings declined 43.2%

Free Cash FlowQuality
$-969.00M2/10

Negative free cash flow — burning cash

ED4 concerns · Avg: 3.0/10
PEG RatioValuation
2.164/10

Expensive relative to growth rate

Debt/EquityHealth
1.103/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Altman Z-ScoreHealth
0.972/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : AEP

The strongest argument for AEP centers on Market Cap, Price/Book, Operating Margin.

Bull Case : ED

The strongest argument for ED centers on P/E Ratio, Price/Book, EPS Growth. Revenue growth of 13.2% demonstrates continued momentum.

Bear Case : AEP

The primary concerns for AEP are PEG Ratio, Debt/Equity, EPS Growth. Debt-to-equity of 1.66 is elevated, increasing financial risk.

Bear Case : ED

The primary concerns for ED are PEG Ratio, Debt/Equity, Piotroski F-Score.

Key Dynamics to Monitor

AEP carries more volatility with a beta of 0.50 — expect wider price swings.

ED is growing revenue faster at 13.2% — sustainability is the question.

ED generates stronger free cash flow (624M), providing more financial flexibility.

Monitor UTILITIES - REGULATED ELECTRIC industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ED scores higher overall (65/100 vs 58/100) and 13.2% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

American Electric Power Co Inc

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

American Electric Power (AEP) is a major investor-owned electric utility in the United States, delivering electricity to more than five million customers in 11 states.

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Consolidated Edison Inc

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

Consolidated Edison, Inc., commonly known as Con Edison (stylized as conEdison) or ConEd, is one of the largest investor-owned energy companies in the United States, with approximately $12 billion in annual revenues as of 2017, and over $48 billion in assets. The company provides a wide range of energy-related products and services to its customers through its subsidiaries.

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