American Electric Power Co Inc (AEP)vsTXNM Energy, Inc. (TXNM)
AEP
American Electric Power Co Inc
$126.53
-0.19%
UTILITIES · Cap: $70.90B
TXNM
TXNM Energy, Inc.
$58.22
-0.29%
UTILITIES · Cap: $6.46B
Smart Verdict
WallStSmart Research — data-driven comparison
American Electric Power Co Inc generates 957% more annual revenue ($23.61B vs $2.23B). AEP leads profitability with a 14.2% profit margin vs 8.8%. TXNM appears more attractively valued with a PEG of 2.55. AEP earns a higher WallStSmart Score of 64/100 (C+).
AEP
Buy64
out of 100
Grade: C+
TXNM
Buy63
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-82.5%
Fair Value
$69.32
Current Price
$126.53
$57.21 premium
Intrinsic value data unavailable for TXNM.
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 26.9%
Earnings expanding 190.9% YoY
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Strong operational efficiency at 22.5%
Areas to Watch
Elevated debt levels
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Premium valuation, high expectations priced in
ROE of 4.2% — below average capital efficiency
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : AEP
The strongest argument for AEP centers on Market Cap, Price/Book, Operating Margin. Revenue growth of 13.7% demonstrates continued momentum.
Bull Case : TXNM
The strongest argument for TXNM centers on EPS Growth, Altman Z-Score, Price/Book.
Bear Case : AEP
The primary concerns for AEP are Debt/Equity, PEG Ratio, Free Cash Flow. Debt-to-equity of 1.68 is elevated, increasing financial risk.
Bear Case : TXNM
The primary concerns for TXNM are P/E Ratio, Return on Equity, Debt/Equity. Debt-to-equity of 1.66 is elevated, increasing financial risk.
Key Dynamics to Monitor
AEP carries more volatility with a beta of 0.47 — expect wider price swings.
AEP is growing revenue faster at 13.7% — sustainability is the question.
TXNM generates stronger free cash flow (-96M), providing more financial flexibility.
Monitor UTILITIES - REGULATED ELECTRIC industry trends, competitive dynamics, and regulatory changes.
Bottom Line
AEP scores higher overall (64/100 vs 63/100) and 13.7% 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 →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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