American Electric Power Co Inc (AEP)vsHowmet Aerospace Inc (HWM)
AEP
American Electric Power Co Inc
$127.79
+0.58%
UTILITIES · Cap: $69.16B
HWM
Howmet Aerospace Inc
$250.72
-1.88%
INDUSTRIALS · Cap: $100.31B
Smart Verdict
WallStSmart Research — data-driven comparison
American Electric Power Co Inc generates 160% more annual revenue ($22.43B vs $8.62B). HWM leads profitability with a 20.2% profit margin vs 16.3%. HWM appears more attractively valued with a PEG of 0.80. HWM earns a higher WallStSmart Score of 73/100 (B).
AEP
Buy64
out of 100
Grade: C+
HWM
Strong Buy73
out of 100
Grade: B
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%
Every $100 of equity generates 32 in profit
Earnings expanding 71.4% YoY
Large-cap with strong market position
Keeps 20 of every $100 in revenue as profit
Growing faster than its price suggests
Strong operational efficiency at 28.2%
Areas to Watch
Expensive relative to growth rate
Elevated debt levels
Negative free cash flow — burning cash
Distress zone — elevated risk
Trading at 18.2x book value
Premium valuation, high expectations priced in
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 : HWM
The strongest argument for HWM centers on Return on Equity, EPS Growth, Market Cap. Profitability is solid with margins at 20.2% and operating margin at 28.2%. Revenue growth of 19.1% demonstrates continued momentum.
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 : HWM
The primary concerns for HWM are Price/Book, P/E Ratio. A P/E of 58.2x leaves little room for execution misses.
Key Dynamics to Monitor
AEP profiles as a mature stock while HWM is a growth play — different risk/reward profiles.
HWM carries more volatility with a beta of 1.19 — expect wider price swings.
HWM is growing revenue faster at 19.1% — sustainability is the question.
HWM generates stronger free cash flow (359M), providing more financial flexibility.
Bottom Line
HWM scores higher overall (73/100 vs 64/100), backed by strong 20.2% margins and 19.1% revenue growth. Both earn "Strong 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 →Howmet Aerospace Inc
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Howmet Aerospace Inc. is an American aerospace company based in Pittsburgh, Pennsylvania. The company manufactures components for jet engines, fasteners and titanium structures for aerospace applications, and forged aluminum wheels for heavy trucks.
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