AEP

The upcoming report from American Electric Power (AEP) is expected to reveal quarterly earnings of $2.04 per share, indicating an increase of 13.3% compared to the year-ago period. Analysts forecast revenues of $6.58 billion, representing an increase of 9.5% year over year. Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted upward by 3.6% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period. Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock. While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights. Given this perspective, it's time to examine the average forecasts of specific AEP metrics that are routinely monitored and predicted by Wall Street analysts. The average prediction of analysts places 'Total Revenues- Generation & Marketing' at $567.21 million. The estimate points to a change of -18.3% from the year-ago quarter. Analysts expect 'Total Revenues- Transmission and Distribution Utilities' to come in at $1.89 billion. The estimate indicates a year-over-year change of +12.4%. According to the collective judgment of analysts, 'Total Revenues- Vertically Integrated Utilities' should come in at $4.19 billion. The estimate points to a change of +19.4% from the year-ago quarter. Analysts predict that the 'Total Revenues- AEP Transmission Holdco' will reach $631.34 million. The estimate points to a change of +10.1% from the year-ago quarter. Based on the collective assessment of analysts, 'Operating Earnings (non-GAAP)- Vertically Integrated Utilities' should arrive at $716.50 million. The estimate compares to the year-ago value of $573.50 million. Analysts forecast 'Operating Earnings (non-GAAP)- Transmission & Distribution Utilities' to reach $291.51 million. Compared to the current estimate, the company reported $259.10 million in the same quarter of the previous year. It is projected by analysts that the 'Operating Earnings (non-GAAP)- Generation & Marketing' will reach $29.67 million. Compared to the present estimate, the company reported $48.40 million in the same quarter last year. Analysts' assessment points toward 'Operating Earnings (non-GAAP)- AEP Transmission Holdco' reaching $219.92 million. Compared to the present estimate, the company reported $199.90 million in the same quarter last year. View all Key Company Metrics for AEP here>>> Over the past month, AEP shares have recorded returns of +11.1% versus the Zacks S&P 500 composite's -1.2% change. Based on its Zacks Rank #2 (Buy), AEP will likely outperform the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> . Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Electric Power Company, Inc. (AEP) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

American Electric Power Company, Inc. (AEP), headquartered in Columbus, Ohio, generates, transmits, and distributes electricity for sale to retail and wholesale customers. With a market cap of $69.4 billion, the company operates approximately 225,000 circuit miles of distribution lines that delivers electricity to 5.6 million customers. The domestic electric utility company is expected to announce its fiscal third-quarter earnings for 2026 before the market opens on Wednesday, Oct. 28. Ahead of the event, analysts expect American Electric Power to report a profit of $2.04 per share on a diluted basis, up 13.3% from $1.80 per share in the year-ago quarter. The company beat the consensus estimates in two of the last four quarters while missing the forecast on two other occasions. - Crude Oil Prices Fall As Oil Continues to Flow Through Strait of Hormuz - Crude Oil Prices Rally After Close on US State Department Warning - Crude Oil Prices Rise on Saudi Tensions - Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. For the full year, analysts expect American Electric Power to report EPS of $6.39, up 7% from $5.97 in fiscal 2025. Its EPS is expected to rise 7.5% year over year to $6.87 in fiscal 2027. AEP stock has underperformed the S&P 500 Index's ($SPX) 15.2% gains over the past 52 weeks, with shares up 10.7% during this period. However, it outperformed the State Street Utilities Select Sector SPDR ETF's (XLU) 6% losses over the same time frame. AEP has delivered mixed performance over the past year due to a tension between strong long-term growth drivers and near-term market friction. On the positive side, AEP has benefited from structural demand tailwinds driven by the massive expansion of AI data centers and industrial electrification, which significantly expanded its growth pipeline and led management to raise 2026 earnings guidance, alongside defensive sector rotations into high-yield utility stocks. However, this growth momentum has been offset by quarter-to-quarter financial volatility, including missing Q2 EPS estimates due to tax timing issues and tough comparisons against previous asset sales, as well as valuation pressure as rising interest rate expectations and rich multiples prompted profit-taking among investors. On Jul. 30, AEP shares closed down more than 1% after reporting its Q2 results. Its adjusted EPS of $1.36 missed Wall Street expectations of $1.49. The company's revenue was $5.4 billion, topping Wall Street forecasts of $5.3 billion. AEP expects full-year adjusted EPS in the range of $6.25 to $6.55. Analysts' consensus opinion on AEP stock is reasonably bullish, with a "Moderate Buy" rating overall. Out of 23 analysts covering the stock, 13 advise a "Strong Buy" rating, one suggests a "Moderate Buy," and nine give a "Hold." AEP's average analyst price target is $138.63, indicating a potential upside of 6.8% from the current levels. On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com

The market expects Edison International (EIX) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on October 29, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This electric power provider is expected to post quarterly earnings of $1.79 per share in its upcoming report, which represents a year-over-year change of -23.5%. Revenues are expected to be $5.52 billion, down 4% from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Edison International, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +1.12%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination indicates that Edison International will most likely beat the consensus EPS estimate. While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Edison International would post earnings of $1.02 per share when it actually produced earnings of $1.54, delivering a surprise of +50.98%. Over the last four quarters, the company has beaten consensus EPS estimates four times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Edison International appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Another stock from the Zacks Utility - Electric Power industry, American Electric Power (AEP), is soon expected to post earnings of $2.04 per share for the quarter ended September 2026. This estimate indicates a year-over-year change of +13.3%. Revenues for the quarter are expected to be $6.58 billion, up 9.5% from the year-ago quarter. The consensus EPS estimate for AEP has been revised 3% higher over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +2.23%. When combined with a Zacks Rank of #3 (Hold), this Earnings ESP indicates that AEP will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Edison International (EIX) : Free Stock Analysis Report American Electric Power Company, Inc. (AEP) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

American Electric Power (AEP) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on October 28. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This utility is expected to post quarterly earnings of $2.01 per share in its upcoming report, which represents a year-over-year change of +11.7%. Revenues are expected to be $6.58 billion, up 9.5% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 3.6% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For AEP, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +2.93%. On the other hand, the stock currently carries a Zacks Rank of #2. So, this combination indicates that AEP will most likely beat the consensus EPS estimate. While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that AEP would post earnings of $1.49 per share when it actually produced earnings of $1.36, delivering a surprise of -8.72%. Over the last four quarters, the company has beaten consensus EPS estimates two times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. AEP appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Among the stocks in the Zacks Utility - Electric Power industry, CenterPoint Energy (CNP), is soon expected to post earnings of $0.5 per share for the quarter ended September 2026. This estimate indicates no change from the year-ago quarter. This quarter's revenue is expected to be $2.16 billion, up 8.4% from the year-ago quarter. Over the last 30 days, the consensus EPS estimate for CenterPoint has been revised 3.2% down to the current level. Nevertheless, the company now has an Earnings ESP of +0.67%, reflecting a higher Most Accurate Estimate. This Earnings ESP, combined with its Zacks Rank #3 (Hold), suggests that CenterPoint will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Electric Power Company, Inc. (AEP) : Free Stock Analysis Report CenterPoint Energy, Inc. (CNP) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

NextEra Energy NEE is scheduled to release its third-quarter 2026 results on Oct. 21, before market open. The Zacks Consensus Estimate for earnings is currently pegged at $1.19 per share on revenues of $9.05 billion. Third-quarter earnings estimates have declined 3.25% over the past 60 days. The Zacks Consensus Estimate for quarterly revenues indicates a year-over-year increase of 13.65%. Image Source: Zacks Investment Research NextEra Energy's earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 6.82%. Image Source: Zacks Investment Research Our proven model predicts an earnings beat for NextEra Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the chances of an earnings beat. That is the case here, as you can see below. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter. NEE's Earnings ESP: NextEra Energy has an Earnings ESP of +2.74%. Zacks Rank of NEE: The company currently carries a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here. Some companies in the same industry with the right combination of the two factors for an earnings beat this season are American Electric Power AEP, Dominion Energy D and PPL Corporation PPL. AEP, D and PPL currently have an Earnings ESP of +3.46%, +1.03% and +0.78%, respectively. Currently, AEP and D carry a Zacks Rank #3 each, while PPL has a Zacks Rank #2. NextEra Energy's subsidiary, Florida Power & Light ("FPL"), continues to benefit from Florida's strong economic growth and steady customer additions. Strategic grid investments, electricity rates nearly 25% below the national average and expanding renewable energy capacity support customer retention and lower fuel costs. Rising electricity demand in the region is likely to have boosted the company's earnings. NextEra Energy's Energy Resources segment continues to benefit from the expansion of its renewable energy and storage portfolio. Following the addition of 3.6 gigawatts (GW) of new projects during the second quarter, its backlog reached nearly 35.1 GW. The addition of new renewable generation capacity is likely to have supported the segment's third-quarter earnings. NextEra Energy is poised to have benefited from strategic infrastructure investments and rising electricity demand from AI applications and data centers across its service territories. Newly commissioned projects are also likely to have supported the company's quarterly earnings. However, higher development costs for natural gas projects compared with renewable energy and battery storage might have weighed on NextEra Energy's profitability. Elevated interest rates are expected to have increased borrowing costs and pressured profit margins, while localized supply-chain disruptions might have affected operations and project execution. Return on equity ("ROE") is a financial ratio that measures how well a company uses its shareholders' equity to generate profits. The company's current ROE indicates that it is using shareholders' funds more efficiently than peers. NextEra Energy's trailing 12-month ROE is 12.28%, ahead of the industry average of 11.48%. Image Source: Zacks Investment Research NEE's shares have gained 0.2% in the past month compared with the Zacks Utility – Electric Power industry's rise of 3.5%. Image Source: Zacks Investment Research The company is currently valued at a premium compared with its industry on a forward 12-month P/E basis. NextEra Energy is trading at 18.51X compared with its industry's 14.38X. Image Source: Zacks Investment Research Florida's strengthening economy continues to drive electricity demand and steady customer additions, supporting NextEra Energy's long-term growth prospects. Ongoing investments in renewable energy and battery storage enhance service reliability and strengthen its clean energy portfolio. The company's disciplined cost management helps maintain electricity bills well below the national average, supporting customer affordability and attracting new customers. Rising electricity demand from data centers is expected to have created additional growth opportunities. Although NextEra Energy's ROE remains above the industry average, its premium valuation, elevated borrowing costs and higher development expenses for natural gas projects compared with renewables remain key concerns. NextEra Energy's third-quarter earnings are likely to come above estimates, and its long-term outlook remains solid. Ongoing investments in renewable energy and Florida's robust economic expansion continue to create new growth opportunities. Rising electricity demand and consistent customer additions position the company for sustained long-term growth. Yet, its premium valuation remains a concern, suggesting investors may be better off waiting for a more attractive entry point. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NextEra Energy, Inc. (NEE) : Free Stock Analysis Report PPL Corporation (PPL) : Free Stock Analysis Report American Electric Power Company, Inc. (AEP) : Free Stock Analysis Report Dominion Energy Inc. (D) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

PG&E Corporation PCG is scheduled to report third-quarter 2026 results on Oct. 22, before market open. The company delivered an earnings surprise of 8.11% in the last reported quarter. Let's discuss the factors that are likely to be reflected in the upcoming quarterly results. Growing electricity demand driven by increased electric vehicle adoption, data center expansion and building electrification is expected to have supported energy consumption, contributing to the company's growth and expansion. Higher anticipated sales and lower non-fuel operating and maintenance expenses are likely to have positively impacted PG&E's third-quarter earnings. In September 2026, Pacific Gas and Electric Company, a PG&E subsidiary, partnered with Rewiring America and Google to launch a first-of-its-kind virtual power plant initiative called SHARE (Smart Home Assets for Reliability and Efficiency). The program aims to integrate nearly 21,000 existing home energy devices, including batteries and smart technologies, to manage electricity demand during peak periods and support grid operations. This initiative is expected to improve grid reliability, expand electricity capacity, reduce energy costs and support a more resilient power supply for customers. The introduction of revised electric and gas rates in previous quarters may have improved cost recovery, enhancing earnings visibility during the quarter. The Zacks Consensus Estimate for sales is pegged at $6.59 billion, which indicates year-over-year growth of 5.4%. The consensus estimate for earnings is pegged at 42 cents, which calls for a year-over-year decline of 16%. Our proven model does not conclusively predict an earnings beat for PG&E this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as you will see below. Pacific Gas & Electric Co. price-eps-surprise | Pacific Gas & Electric Co. Quote Earnings ESP: The company's Earnings ESP is -1.21%. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter. Zacks Rank: PCG currently carries a Zacks Rank #4 (Sell). You can see the complete list of today's Zacks #1 Rank stocks here. Investors may consider the following players from the same industry, as these have the right combination of elements to post an earnings beat this reporting cycle. CMS Energy Corporation CMS is scheduled to report its third-quarter 2026 results on Oct. 27, before market open. It has an Earnings ESP of +9.69% and a Zacks Rank of 3 at present. CMS' long-term (three to five years) earnings growth rate is 7.07%. The Zacks Consensus Estimate for earnings stands at $1.21 per share, which implies a year-over-year increase of 30.1%. NiSource Inc. NI is slated to report its third-quarter 2026 results on Oct. 28, before market open. It has an Earnings ESP of +2.27% and a Zacks Rank of 3 at present. NI's long-term earnings growth rate is 6.55%. The Zacks Consensus Estimate for earnings is pegged at 22 cents per share, which suggests a year-over-year rise of 15.8%. American Electric Power Company, Inc. AEP is slated to report its third-quarter 2026 results on Oct. 28, before market open. It has an Earnings ESP of +4.67% and a Zacks Rank of 3 at present. AEP's long-term earnings growth rate is 7.40%. The Zacks Consensus Estimate for earnings stands at $2 per share, which implies a year-over-year jump of 11.1%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Pacific Gas & Electric Co. (PCG) : Free Stock Analysis Report NiSource, Inc (NI) : Free Stock Analysis Report American Electric Power Company, Inc. (AEP) : Free Stock Analysis Report CMS Energy Corporation (CMS) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Is AEP a good stock to buy? We came across a bullish thesis on American Electric Power Company, Inc. on Astute Optics - US's Substack. In this article, we will summarize the bulls' thesis on AEP. American Electric Power Company, Inc.'s share was trading at $124.23 as of October 12th 2026. AEP's trailing and forward P/E were 20.52 and 17.24 respectively according to Yahoo Finance. This isn't the first time we see a utility company pitched as a great investment. Utility stocks are up this year with modest single digit gains, but is their recent weakness a buying opportunity or a reason for caution? In June, we published an article about the 12 Best Utility Stocks to Buy Now According to Hedge Funds and AEP ranked #5 in that article. AEP lost 10.36% since then. So, hedge funds were bullish on AEP but unfortunately it turned out to be a disappointment. This article explains why billionaire Peter Thiel's fund is betting on the grid behind AI, highlighting AEP and FE as its two energy stock picks. Before getting into our analysis, let's take a look at the business and why some investors like the stock so much. American Electric Power Company, Inc. (NASDAQ:AEP) is one of the largest regulated electric utilities in the United States, generating, transmitting, and distributing electricity across a broad Midwest and South-Central footprint. Its network spans about 252,000 circuit miles of distribution lines, 38,000 circuit miles of transmission lines, and 25,000 MW of owned generation. Growing demand from data centers and industrial customers is central to the investment story right now. Read More: 15 AI Stocks That Are Quietly Making Investors Rich Read More: Undervalued AI Stock Poised For Massive Gains: 10000% Upside Potential Revenue over the past twelve months rose 10.3% year over year to $22.8 billion, with a 23.3% operating margin and 13.8% net margin, and the company beat expectations on both earnings and revenue in its most recent quarter. The bigger question for investors is whether years of rising electricity demand can justify a major expansion program that comes with $52.2 billion in net financial debt. The bullish case centers on data centers and heavy industry needing more power, which in turn requires more transmission lines, distribution networks, and generation capacity. As more large customers connect to its grid, the company grows both by selling more electricity and by investing in the infrastructure needed to deliver it. The numbers so far support this: retail electricity sales are up 7.5% year over year, commercial and industrial usage is up 10%, and the company's pipeline of future commercial electricity demand has doubled to 56 GW. Management raised its five-year capital spending plan to more than $72 billion, a sign that it expects demand strong enough to justify the extra investment. If the company can connect new data centers, build out its transmission network, and get timely approval from regulators to recover these costs through customer bills, it could see years of steady growth in its regulated asset base and earnings, not just a short-term demand spike. Total power needs across its system could reach roughly 63 GW by 2030. On top of the growth story, it also pays a $3.80 annual dividend, a yield of about 3.05% at its current share price, rewarding investors while the expansion plays out. Wall Street backs this growth story: the average analyst price target is $144, implying about 15.5% upside from the current price of $124.67, with targets ranging from $129 to $173. The stock trades at roughly 21.6 times trailing earnings and 19.5 times forward earnings. For that $144 target to hold up at the current valuation, earnings would need to climb about 16% above what analysts currently expect for the year ahead. If earnings growth slows instead, the stock may need a richer valuation multiple to support that target, which is a tougher ask. The biggest risk to this story is cost. Meeting all this new demand requires spending heavily upfront, well before the earnings and cash flow from it show up. In fiscal 2025, the company generated $6.9 billion in operating cash flow but spent $8.6 billion on capital projects, leaving free cash flow at negative $1.6 billion. Its $52.2 billion in net financial debt also dwarfs its $32.1 billion in total equity. To help fund this, it announced a $2.6 billion stock offering in May 2026, structured so that the resulting dilution to shareholders won't hit until later. Other risks include regulatory delays, rising customer bills, and shortages of specialized equipment like large power transformers and high-voltage hardware. With debt already high and spending set to rise further, there is little room for missteps. Another risk for the stock is data center demand falling short of expectations. Proposed projects do not guarantee that customers will connect on schedule or use all the power requested. Changes in AI investment plans could lead developers to delay or reduce their requirements. AEP Ohio's tariff includes minimum payments and exit fees to help protect against this risk. These protections reduce exposure but do not guarantee that the wider demand pipeline becomes operating facilities. Lower realized demand could leave infrastructure underused and weaken expected electricity sales. In our opinion, this could pressure AEP's price multiples if anticipated data center growth fails to materialize. Hedge fund positioning shows a mixed signal for the sector. As per our database, 65 hedge funds held American Electric Power Company, Inc. at the end of the second quarter, up from 62 in the previous quarter. This modest increase suggests institutional investors are growing somewhat more comfortable with American Electric Power Company, Inc.'s data center growth story and capital spending plans, even with the balance-sheet risks involved. By comparison, NextEra Energy, Inc. (NYSE:NEE) was held by 80 hedge funds, up from 74, Southern Company (NYSE:SO) was held by 55 hedge funds, up from 54, and Duke Energy Corporation (NYSE:DUK) was held by 51 hedge funds, down from 55. The divergence suggests institutional investors showed the strongest increase in conviction toward NextEra Energy, Inc. during the second quarter, while Southern Company also gained modestly, Duke Energy Corporation declined, and hedge fund interest in American Electric Power Company, Inc. improved despite its leverage and execution risks. Short interest data also paints a fairly concerning picture. About, 5.41% of American Electric Power Company, Inc.'s float is sold short, well above Southern Company at 2.55%, Duke Energy Corporation at 2.54%, and NextEra Energy, Inc. at 2.85%. That makes American Electric Power Company, Inc. the most heavily shorted of the four utilities, suggesting its debt load, financing needs, and reliance on regulatory approval are drawing extra scrutiny from skeptical investors, though the level of bearish betting is still not extreme. Valuation Analysis AEP's forward P/E is 17.24x. NextEra Energy, Inc., Southern Company, and Duke Energy Corporation trade at forward P/Es of 17.73x, 16.98x, and 15.95x, respectively. AEP's own forward P/E was 18.35x on December 31, 2025, putting its current valuation approximately 6% below that level. We believe the current valuation reflects expectations for growing electricity demand alongside concerns about debt, financing costs, and regulatory approval. However, AEP trades close to its peers, suggesting investors are not paying an unusually large premium for its data-center opportunity. American Electric Power Company, Inc. targets annual operating earnings-per-share growth of 7% to 9% through 2030, while its dividend yield is approximately 3%. We believe 17.24 times expected earnings could be reasonable if that growth materializes, because earnings growth and dividends together could deliver annual returns of roughly 10% to 12% if the P/E remains unchanged. If AEP can earn approved returns on its infrastructure investments and deliver that per-share growth despite financing costs and dilution, the current valuation could offer a reasonable entry point despite its debt and execution risks. We believe AEP could be a good long-term investment, as its reasonable valuation could support attractive returns if it delivers its targeted earnings growth, with dividends adding to returns. Previously, we covered a bullish thesis on Evergy, Inc. (EVRG) by Hidden Market Gems in April 2025, which highlighted the company's defensive utility profile, tariff insulation, high yield, and low volatility amid macro uncertainty. EVRG's stock price has appreciated by approximately 25.05% since our coverage. We believe AEP could be a good long-term investment, as its reasonable valuation could support attractive returns if it delivers its targeted earnings growth, with dividends adding to returns. American Electric Power Company, Inc. is not on our list of the 40 Most Popular Stocks Among Hedge Funds. While AEP could deliver steady long-term returns through growing electricity demand, grid investment, and dividends, we believe some AI stocks offer stronger long-term potential, with a high probability of delivering superior returns on a much shorter timeline. If you are looking for an AI stock that is more promising than AEP and that has 10,000% upside potential, check out our report about this cheapest AI stock. Disclosure: None.

Carl Icahn bought nearly 69 million IEP units across two quarters at prices ranging from roughly $7.30 to $7.67, lifting his stake to 132 million units (18.65%). CVI, IEP's anchor holding, surged 116% year to date and crushed Q2 estimates, making IEP a leveraged bet on the CVR refining thesis. IEP's unit count rises mechanically each quarter through distribution reinvestment, so Icahn's accumulation isn't purely open-market conviction buying. Just released. Our analysts combed the entire stock market and named the ten best stocks to buy right now, and Icahn Enterprises didn't make the cut. Enter your email to see the names that beat IEP. The report is free. Enter your email and see if any of your stocks made the cut. Carl Icahn kept doing what he has been doing all year: Buying his own holding company. A Form 4 dated June 25 disclosed the acquisition of another 36,456,030 depositary units of Icahn Enterprises (NASDAQ:IEP) at $7.2956 per unit. That followed an April 17 acquisition of 32,536,774 units at $7.67. Two consecutive quarters of large-block additions pushed his beneficial ownership from 124,334,891 units (18.56% of the class) on April 17 to 132,123,972 units (18.65%) reported on June 29. Icahn Enterprises is a master limited partnership, and the controlling unitholder is the same person running the investment strategy. That changes how a retirement-focused reader should interpret "insider buying." IEP pays a $0.50 per depositary unit quarterly distribution, declared Aug. 3, with a record date of Aug. 17 and payment on Sept. 23. Unitholders can elect cash or additional units, and the default election is additional units. Icahn's unit count mechanically rises each quarter through that reinvestment. A quarterly filing does not break out how any specific block was obtained, so the accumulation reflects a mix of mechanisms rather than a clean open-market conviction trade. Free Report, Just Released Why Didn't IEP Make The Top 10 List? 24/7 Wall St has helped investors make money for over two decades, and our top analysts just finished ranking the definitive Top 10 Stocks To Buy Now. Not the ten biggest companies. Not the ten everyone is arguing about. The ten best stocks to buy right now. And IEP didn't make the cut! The report is free, and you can see why we think each stock is a top investment today. Enter Your Email and See the Ten → The tension worth flagging: the share count rose sharply across the June quarter while the units traded in a narrow band. IEP is down nearly 7% year to date (YTD) to $6.96 as of midday Sept. 18, and over the five year years, the stock has fallen more than 86%. Growing unit count into a depressed price means the disclosed dollar value of the position barely moves even as the ownership stake expands. That is the concentration story in one sentence. The anchor investment inside IEP is CVR Energy (NYSE:CVI), where Icahn holds 71,201,875 shares as of Feb. 24. CVR just posted adjusted Q2 EPS of 34 cents versus the 11-cent consensus on revenue of $2.738 billion, up 40.8% year over year, and the stock is up nearly 113% YTD to $53.56. Icahn's stated view is that "CVR will eventually be on the list of undervalued assets that prove to be extremely profitable for us." Accumulating IEP units is the levered way to express that call. On the other side of the ledger, the JetBlue chapter closed. A Schedule 13D/A filed Aug. 20, reported 0% ownership of JetBlue Airways (NASDAQ:JBLU), down from 10,167,730 shares (2.73%) on June 9. No current American Electric Power (NASDAQ:AEP) position appears in the disclosed holdings data. Both exits simply cleared room in the portfolio rather than signaling a company-specific verdict. Following this trade means underwriting two things: the CVR refining thesis and the willingness to hold a highly concentrated MLP whose Q2 indicative NAV fell $765 million to roughly $2.60 billion after a $435 million mark-down on the CVI position. Extreme single-name concentration is a risk characteristic, and IEP wears it plainly. What to watch in the next filing is whether the unit count keeps climbing and whether the CVI stake stays intact. If both hold, the concentration is still increasing, and Icahn is still doubling down on himself. If you have cash sitting in your account right now, give this two minutes. After more than two decades of helping investors beat the market, our top analysts at 24/7 Wall St. put together a definitive report on the Top 10 Stocks To Buy Today. And IEP wasn't one of them. They combed the entire market. It's not 10 ideas, not 10 stocks everyone is talking about, it's what their research points to as the 10 best stocks to buy right now, and it's free. Read more here and >;elm:context_link;itc:0;sec:content-canvas" data-yga="{"yLinkElement":"context_link","yModuleName":"content-canvas","yLinkText":"see which stocks made the list -->"}" class="link ">see which stocks made the list -->> Contact [email protected] for any questions or corrections.

NANAIMO, BC, Aug. 25, 2026 /CNW/ -- Atlas Engineered Products ("AEP" or the "Company") (TSXV: AEP) (OTC Markets: APEUF) is pleased to announce its financial and operating results for the three and six months ended June 30, 2026. All amounts are presented in Canadian dollars. Q2 Financial and Operating Highlights Revenue increases of 19% Q2 2026 vs Q2 2025 and 3% YTD 2026 vs YTD 2025; Revenue increases of 74% Q2 2026 vs Q1 2026; Gross Margin increases to 17% in Q2 2026 from 3% in Q1 2026; Continued and increased investment into sales and management for the new automation facility; New automation facility commissioning finishing August 2026 and anticipated shipping roof trusses September 2026; Continued challenging market conditions in Ontario & BC, improvement in Ontario with new housing HST relief, but also general seasonal improvements for Ontario & BC. Hadi Abassi, President, CEO & Founder of AEP, stated, "The second quarter of 2026 reflected the strength and resilience of our team, with revenue increasing 19% over the prior year and 74% over the first quarter of 2026. Gross margin improved to 17% in Q2, supported by higher revenues, seasonal recovery in construction activity, and continued execution across our operating platform. While market conditions in Ontario and British Columbia remain competitive, quoting and order activity continue to be encouraging, and we are seeing benefits from the investments we have made in sales, management, and operational capabilities. We also made important progress on our first robotic truss manufacturing facility in Clinton, Ontario, with equipment installed and commissioning underway. We believe our scale, automation strategy, and growing national footprint position AEP well to continue gaining market share as construction activity improves." As previously announced, the Company had entered into a non‑repayable contribution agreement with the Government of Canada under the Investments in the Forest Industry Transformation (IFIT) Program in support of the Company's Robotics Manufacturing Plant project. The agreement provided funding of up to $4 million toward eligible expenditures. The Company did receive $3.6 million in June 2026. The remaining $400,000 is a standard holdback and is still anticipated to be received this year. Revenue for the three and six months ended June 30, 2026 was $16,211,481 and $25,507,562, respectively, compared to revenue of $13,653,148 and $24,663,863 for the three and six months ended June 30, 2025, representing a 19% and 3% increase, respectively. Revenue increased due to the expansion of the sales team for market growth, and the acquisitions of Truss-Worthy and Penn-Truss. Gross profit for the three and six months ended June 30, 2026 was $2,829,127 and $3,102,302 compared to $2,325,939 and $4,066,534 for the six months ended June 30, 2025, respectively. Gross profits increased for the three months ended June 30, 2026 due to the increase in revenues. Gross profits decreased though for the six months ended June 30, 2026 due to the results from the first quarter of 2026 which were driven by the winter weather conditions and industry market conditions in Ontario and British Columbia. During the first three months of fiscal 2026, the Company carried some additional labour and other expenses as normal and additional costs due to the preparation for the new automation facility in Clinton, Ontario. Revenues increasing through the three months ending June 30, 2026 supported the increased costs carried through the first three months ending March 31, 2026 which is typical through the seasonal construction industry. Non-IFRS measure normalized EBITDA for the three and six months ended June 30, 2026 was $1,731,568 and $1,207,024 with a normalized EBITDA margin of 11% and 5%, respectively. Normalized EBITDA for the three and six months ended June 30, 2025 was $1,100,515 and $1,724,587 with a normalized EBITDA margin of 8% and 7%, respectively. The three months ended June 30, 2026 increases were driven by increased revenues, consistent gross margins, and slightly reduced operating expenses, along with increased depreciation and income tax addbacks for EBITDA. For the six months ended June 30, 2026, the decreases are due to offsetting results from the first three months ending March 31, 2026 similar to gross profit. Summary of Quarterly Results for 2026 Outlook for 2026 AEP has received all equipment related to the first truss robotic facility in Clinton, ON after some shipping delays. The equipment has been installed and commissioning commenced in late July 2026. The Company anticipates delivering its first truss order from this facility in September 2026. The Company continues to report high quoting volumes from the beginning of 2025 and continuing in 2026. Up to the end of July 2026, quotes exceeded $176 million, compared to roughly $159 million and $125 million up to the end of July 2025 and 2024, respectively. Because quoting activity has been significantly higher in both 2025 and early 2026 than in previous years, order volumes have also been increasing. Up to the end of July 2026, orders totaled over $49 million, up from more than $33.7 million in the same period of 2025. However, while orders are being placed, the Company is noticing that there is more lead time on these orders than during a busier market and deliveries may be in subsequent quarters instead of within the same quarter as the order was received. The Company is seeing typical seasonal recovery in the market for the summer and anticipates this continuing in the fall of 2026. The Company is cautiously optimistic that the HST relief on new housing in Ontario seems to have sparked some market recovery, but the Company anticipates signs of long-term recovery will become more evident through the winter and early 2027 during the typically slower construction season. AEP continues to drive organic growth by expanding its focus on wall panel manufacturing and offering customers complete project packages that include roof and floor trusses, wall panels, and engineered wood products. Additionally, the Company is assessing the benefits of adding loose lumber materials and wall panel installation to its offerings to customers. This strategy can help reduce the Company's exposure to recessionary pressures by increasing potential sales volume per order. In addition to its organic growth strategy, the Company continues to evaluate acquisition opportunities across North America. Each potential acquisition is evaluated based on its geography, results, and growth potential. Conference Call AEP will host a conference call to discuss the results today, August 25, 2026 at 11:00am EDT (8:00am PT). The call will be hosted by Hadi Abassi, CEO & President, Founder, and Melissa MacRae, CFO. Details to join this conference call are below. Date: Tuesday, August 25, 2026Time: 11:00am EST (8:00am PST)Webinar Link: https://atlasaep.ca/81uhak1AMeeting ID: 245 813 044 472 448Passcode: gz25nv9P Non-GAAP / Non-IFRS Financial Measures Certain financial measures in this news release do not have any standardized meaning under IFRS and, therefore are considered non-IFRS or non-GAAP measures. These non-IFRS measures are used by management to facilitate the analysis and comparison of period-to-period operating results for AEP and to assess whether AEP's operations are generating sufficient operating cash flow to fund working capital needs and to fund capital expenditures. As these non-IFRS measures do not have any standardized meaning under IFRS, these measures may not be comparable to similar measures presented by other issuers. The non-IFRS measures used in this news release may include "EBITDA", "EBITDA margin", "adjusted EBITDA", "adjusted EBITDA margin", "normalized EBITDA" and "normalized EBITDA margin". For a description of the composition of these measures, please refer to AEP's Management's Discussion and Analysis for the three and six months ended June 30, 2026 under "Non-IFRS / Non-GAAP Financial Measures", available on AEP's website at www.atlasengineeredproducts.com or on SEDAR at www.sedar.com. About Atlas Engineered Products Ltd. AEP is a growth company that is acquiring and operating profitable, well-established operations in Canada's truss and engineered products industry. We have a well-defined and disciplined acquisition and operating growth strategy enabling us to scale aggressively and apply new technologies, giving us a unique opportunity to consolidate a fragmented industry of independent operators. FORWARD LOOKING INFORMATION Information set forth in this news release contains forward-looking statements. These statements reflect management's current estimates, beliefs, intentions and expectations; they are not guarantees of future performance. Although AEP believes that the expectations reflected in the forward looking statements are reasonable, there is no assurance that such expectations will prove to be correct, or that such future events will occur in the disclosed time frames or at all.  AEP cautions that all forward looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond AEP's control.  Such factors include, among other things: risks and uncertainties related to the housing market, changes in interest rates and other risks and uncertainties relating to AEP, including those described in the Management's Discussion and Analysis ("MD&A") for AEP's three and six months ended June 30, 2026.  Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, AEP undertakes no obligation to publicly update or revise forward-looking information. SELECTED FINANCIAL INFORMATION Except as noted below, the financial information provided in this news release is derived from the AEP's audited financial statements for the three and six months ended June 30, 2026 and the related notes thereto as prepared in accordance with International Financial Reporting Standards ("IFRS") and related IFRS Interpretations Committee ("IFRICs") as issued by the International Accounting Standards Board ("IASB"). A copy of AEP's financial statements for the three and six months ended June 30, 2026 and the related Management's Discussion and Analysis is available on AEP's website at www.atlasengineeredproducts.com or on SEDAR at www.sedar.com. Financial information for AEP's acquisitions are included in AEP's unaudited financial statements from the date of acquisition. Financial information for acquired businesses for periods prior to the date of acquisition were prepared by management and have not been reviewed or audited by independent auditors. NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE. View original content: http://www.newswire.ca/en/releases/archive/August2026/25/c2988.html