American Electric Power Co Inc (AEP)vsEntergy Corporation (ETR)
AEP
American Electric Power Co Inc
$128.30
-0.39%
UTILITIES · Cap: $69.74B
ETR
Entergy Corporation
$102.76
+0.23%
UTILITIES · Cap: $46.44B
Smart Verdict
WallStSmart Research — data-driven comparison
American Electric Power Co Inc generates 69% more annual revenue ($21.88B vs $12.95B). AEP leads profitability with a 16.4% profit margin vs 13.6%. ETR appears more attractively valued with a PEG of 2.09. AEP earns a higher WallStSmart Score of 60/100 (C+).
AEP
Buy60
out of 100
Grade: C+
ETR
Buy54
out of 100
Grade: C-
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
-276.8%
Fair Value
$26.59
Current Price
$102.76
$76.17 premium
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%
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
Expensive relative to growth rate
Moderate valuation
Earnings declined 20.8%
Negative free cash flow — burning cash
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 : ETR
The strongest argument for ETR centers on Price/Book.
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 : ETR
The primary concerns for ETR are PEG Ratio, P/E Ratio, EPS Growth.
Key Dynamics to Monitor
AEP profiles as a mature stock while ETR is a value play — different risk/reward profiles.
ETR carries more volatility with a beta of 0.60 — expect wider price swings.
AEP is growing revenue faster at 13.2% — sustainability is the question.
AEP generates stronger free cash flow (-246M), providing more financial flexibility.
Bottom Line
AEP scores higher overall (60/100 vs 54/100), backed by strong 16.4% margins 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.
Visit Website →Entergy Corporation
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
Entergy Corporation is a Fortune 500 integrated energy company engaged primarily in electric power production and retail distribution operations in the Deep South of the United States.
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