American Electric Power Co Inc (AEP)vsTXNM Energy, Inc. (TXNM)
AEP
American Electric Power Co Inc
$125.73
+0.38%
UTILITIES · Cap: $69.87B
TXNM
TXNM Energy, Inc.
$57.60
+0.19%
UTILITIES · Cap: $6.41B
Smart Verdict
WallStSmart Research — data-driven comparison
American Electric Power Co Inc generates 920% more annual revenue ($22.79B vs $2.23B). AEP leads profitability with a 13.8% profit margin vs 8.8%. AEP appears more attractively valued with a PEG of 2.18. TXNM earns a higher WallStSmart Score of 63/100 (C+).
AEP
Buy56
out of 100
Grade: C
TXNM
Buy63
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 23.3%
Earnings expanding 190.9% YoY
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Reasonable price relative to book value
Strong operational efficiency at 23.7%
Areas to Watch
Expensive relative to growth rate
Elevated debt levels
Earnings declined 43.2%
Negative free cash flow — burning cash
Premium valuation, high expectations priced in
ROE of 4.2% — below average capital efficiency
Weak financial health signals
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.
Bull Case : TXNM
The strongest argument for TXNM centers on EPS Growth, Altman Z-Score, Debt/Equity.
Bear Case : AEP
The primary concerns for AEP are PEG Ratio, Debt/Equity, EPS Growth. Debt-to-equity of 1.63 is elevated, increasing financial risk.
Bear Case : TXNM
The primary concerns for TXNM are P/E Ratio, Return on Equity, Piotroski F-Score.
Key Dynamics to Monitor
AEP carries more volatility with a beta of 0.51 — expect wider price swings.
TXNM is growing revenue faster at 9.2% — sustainability is the question.
TXNM generates stronger free cash flow (-160M), providing more financial flexibility.
Monitor UTILITIES - REGULATED ELECTRIC industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TXNM scores higher overall (63/100 vs 56/100). 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 →TXNM Energy, Inc.
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
TXNM Energy, Inc., provides electricity and electric services in the United States. The company is headquartered in Albuquerque, New Mexico.
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