American Electric Power Co Inc (AEP)vsEdison International (EIX)
AEP
American Electric Power Co Inc
$128.30
-0.39%
UTILITIES · Cap: $69.74B
EIX
Edison International
$71.19
-0.13%
UTILITIES · Cap: $27.40B
Smart Verdict
WallStSmart Research — data-driven comparison
American Electric Power Co Inc generates 13% more annual revenue ($21.88B vs $19.32B). EIX leads profitability with a 23.1% profit margin vs 16.4%. AEP appears more attractively valued with a PEG of 2.77. EIX earns a higher WallStSmart Score of 85/100 (A).
AEP
Buy60
out of 100
Grade: C+
EIX
Exceptional Buy85
out of 100
Grade: A
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-169.9%
Fair Value
$45.29
Current Price
$128.30
$83.01 premium
Margin of Safety
+87.6%
Fair Value
$540.54
Current Price
$71.19
$469.35 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 22.8%
Attractively priced relative to earnings
Strong operational efficiency at 35.9%
Revenue surging 30.8% year-over-year
Every $100 of equity generates 24 in profit
Keeps 23 of every $100 in revenue as profit
Reasonable price relative to book value
Areas to Watch
Elevated debt levels
Expensive relative to growth rate
Earnings declined 12.6%
Negative free cash flow — burning cash
4.5% earnings growth
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : AEP
The strongest argument for AEP centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 16.4% and operating margin at 22.8%. Revenue growth of 13.2% demonstrates continued momentum.
Bull Case : EIX
The strongest argument for EIX centers on P/E Ratio, Operating Margin, Revenue Growth. Profitability is solid with margins at 23.1% and operating margin at 35.9%. Revenue growth of 30.8% demonstrates continued momentum.
Bear Case : AEP
The primary concerns for AEP are Debt/Equity, PEG Ratio, EPS Growth. Debt-to-equity of 1.61 is elevated, increasing financial risk.
Bear Case : EIX
The primary concerns for EIX are EPS Growth, PEG Ratio, Free Cash Flow. Debt-to-equity of 2.42 is elevated, increasing financial risk.
Key Dynamics to Monitor
AEP profiles as a mature stock while EIX is a growth play — different risk/reward profiles.
EIX carries more volatility with a beta of 0.78 — expect wider price swings.
EIX is growing revenue faster at 30.8% — sustainability is the question.
AEP generates stronger free cash flow (-246M), providing more financial flexibility.
Bottom Line
EIX scores higher overall (85/100 vs 60/100), backed by strong 23.1% margins and 30.8% revenue growth. Both earn "Exceptional 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.
Visit Website →Edison International
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
Edison International is a public utility holding company based in Rosemead, California. Its subsidiaries include Southern California Edison, and unregulated non-utility business assets Edison Energy.
Visit Website →Compare with Other UTILITIES - REGULATED ELECTRIC Stocks
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