American Electric Power Co Inc (AEP)vsUBS Group AG (UBS)
AEP
American Electric Power Co Inc
$128.80
+0.69%
UTILITIES · Cap: $67.96B
UBS
UBS Group AG
$36.99
-1.47%
FINANCIAL SERVICES · Cap: $116.88B
Smart Verdict
WallStSmart Research — data-driven comparison
UBS Group AG generates 127% more annual revenue ($49.60B vs $21.88B). AEP leads profitability with a 16.4% profit margin vs 15.7%. UBS appears more attractively valued with a PEG of 0.44. UBS earns a higher WallStSmart Score of 77/100 (B+).
AEP
Buy60
out of 100
Grade: C+
UBS
Strong Buy77
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-176.6%
Fair Value
$44.20
Current Price
$128.80
$84.60 premium
Margin of Safety
+61.2%
Fair Value
$109.04
Current Price
$36.99
$72.05 discount
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%
Growing faster than its price suggests
Reasonable price relative to book value
Strong operational efficiency at 54.6%
Earnings expanding 58.0% YoY
Large-cap with strong market position
Attractively priced relative to earnings
Areas to Watch
Elevated debt levels
Expensive relative to growth rate
Earnings declined 12.6%
Negative free cash flow — burning cash
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 : UBS
The strongest argument for UBS centers on PEG Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 15.7% and operating margin at 54.6%. Revenue growth of 12.4% demonstrates continued momentum.
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 : UBS
The primary concerns for UBS are Free Cash Flow.
Key Dynamics to Monitor
UBS carries more volatility with a beta of 0.82 — 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.
Monitor UTILITIES - REGULATED ELECTRIC industry trends, competitive dynamics, and regulatory changes.
Bottom Line
UBS scores higher overall (77/100 vs 60/100), backed by strong 15.7% margins and 12.4% 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 →UBS Group AG
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
UBS Group AG, provides advice and financial solutions to private, institutional and corporate clients worldwide. The company is headquartered in Zurich, Switzerland.
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