American Electric Power Co Inc (AEP)vsFortis Inc (FTS)
AEP
American Electric Power Co Inc
$127.79
+0.58%
UTILITIES · Cap: $69.16B
FTS
Fortis Inc
$55.90
+1.21%
UTILITIES · Cap: $28.97B
Smart Verdict
WallStSmart Research — data-driven comparison
American Electric Power Co Inc generates 83% more annual revenue ($22.43B vs $12.23B). AEP leads profitability with a 16.3% profit margin vs 14.7%. AEP appears more attractively valued with a PEG of 2.27. AEP earns a higher WallStSmart Score of 64/100 (C+).
AEP
Buy64
out of 100
Grade: C+
FTS
Buy53
out of 100
Grade: C-
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 23.7%
Reasonable price relative to book value
Strong operational efficiency at 28.8%
Areas to Watch
Expensive relative to growth rate
Elevated debt levels
Negative free cash flow — burning cash
Distress zone — elevated risk
1.9% revenue growth
ROE of 7.4% — below average capital efficiency
Elevated debt levels
Expensive relative to growth rate
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 16.3% and operating margin at 23.7%. Revenue growth of 10.2% demonstrates continued momentum.
Bull Case : FTS
The strongest argument for FTS centers on Price/Book, Operating Margin.
Bear Case : AEP
The primary concerns for AEP are PEG Ratio, Debt/Equity, Free Cash Flow. Debt-to-equity of 1.63 is elevated, increasing financial risk.
Bear Case : FTS
The primary concerns for FTS are Revenue Growth, Return on Equity, Debt/Equity.
Key Dynamics to Monitor
AEP profiles as a mature stock while FTS is a value play — different risk/reward profiles.
AEP carries more volatility with a beta of 0.55 — expect wider price swings.
AEP is growing revenue faster at 10.2% — sustainability is the question.
FTS generates stronger free cash flow (-401M), providing more financial flexibility.
Bottom Line
AEP scores higher overall (64/100 vs 53/100), backed by strong 16.3% margins and 10.2% 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 →Fortis Inc
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
Fortis Inc. is a gas and electric utility company in Canada, the United States, and the Caribbean countries. The company is headquartered in St. John's, Canada.
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