Financial Performance - AEP reported first-quarter 2025 GAAP earnings of $800 million or $1.50 per share, down from $1,003 million or $1.91 per share in the same quarter of 2024[3][16] - Operating earnings for the first quarter of 2025 were $823 million or $1.54 per share, compared to $670 million or $1.27 per share in the first quarter of 2024, reflecting a 22.8% increase[3][16] - AEP's estimated GAAP earnings per share for 2025 is projected to be between $5.71 and $5.91, with adjustments for various impacts[26][28] - GAAP earnings for Q1 2025 were $800.2 million, translating to an EPS of $1.50, compared to $1.91 in Q1 2024[38] - Adjustments to GAAP earnings in Q1 2025 totaled $23.1 million, resulting in operating earnings of $823.3 million, or $1.54 per share[38] Sales Performance - Total retail electric sales increased by 3.5% year-over-year, reaching 23,934 million kWh in Q1 2025, up from 23,119 million kWh in Q1 2024[42] - Wholesale electric sales surged by 27.3% year-over-year, totaling 4,791 million kWh in Q1 2025, compared to 3,763 million kWh in Q1 2024[42] - Residential retail electric sales increased by 9.9% to 9,404 million kWh in Q1 2025, compared to 8,560 million kWh in Q1 2024[42] - The industrial retail electric sales decreased by 1.8% year-over-year, totaling 8,101 million kWh in Q1 2025, down from 8,252 million kWh in Q1 2024[42] - Total KWHs delivered by transmission and distribution utilities increased by 10.7% year-over-year, reaching 24,194 million kWh in Q1 2025[42] Capital and Investment - The company secured $2.3 billion through an equity offering completed in March 2025 to support its five-year, $54 billion capital growth plan[5][6] - AEP's capital plan includes $34 billion for distribution and transmission investments to support anticipated load growth, with projects totaling $1.7 billion approved by the PJM board[10][11] - The transmission business is expected to contribute 55% of operating earnings in 2025, with over 500 new and existing customers interested in connecting to the transmission system[11] - AEP's direct tariff exposure related to the $54 billion capital plan is minimal at approximately 0.3%[8] Regulatory and Policy Engagement - The company is actively working with regulators to achieve energy policy goals and has filed updated integrated resource plans in Arkansas and Indiana[13][15] - The impact of Ohio legislation contributed an additional $27.7 million to earnings in Q1 2025[38] Segment Performance - The vertically integrated utilities segment reported a GAAP loss of $324.1 million in Q1 2025, down from a profit of $560.8 million in Q1 2024[39] - The corporate segment reported a loss of $25.5 million in Q1 2025, compared to a loss of $54.3 million in Q1 2024[39] Guidance and Outlook - AEP reaffirmed its 2025 operating earnings guidance of $5.75 to $5.95 per share and a long-term growth rate of 6% to 8%[4][25] - Commercial load increased by 12.3% in the first quarter of 2025 compared to the same period in 2024, continuing a trend from the previous year[6][9]

Financial Performance - AEP reported Q1 2025 operating earnings of $1.54 per share, totaling $823 million[29] - The company reaffirmed its 2025 operating earnings guidance range of $5.75-$5.95 per share and a long-term growth rate of 6%-8%[19] - AEP's FFO/Debt as of March 31, 2025, was 13.2%, with an expected increase of 40-60 bps upon closing the minority interest transmission transaction in 2H 2025[51] Capital Investments and Growth - AEP is executing a $54 billion 5-year capital plan through 2029, with potential for up to $10 billion in incremental investments[19] - The company anticipates approximately 20 GW of load growth through the end of the decade, driven by data center and industrial demand[19] - AEP's transmission investments represent 55% of total AEP earnings in 2025, based on the guidance midpoint of $5.85[92] Regulatory and Strategic Initiatives - AEP has secured or has "secured-like" rate mechanisms for approximately 80% of its rate-related revenue for 2025[19] - The company completed all anticipated equity needs through a $2.3 billion equity sale and an expected $2.82 billion minority interest transmission transaction close[20] - AEP forecasts annual retail load growth of 8%-9% between 2025-2027, adding over 52 million MWh to retail sales[36]

Group 1: Coca-Cola (KO) - Coca-Cola stock is up over 16% in 2025, contrasting with a more than 5% decline in the S&P 500 index, indicating its status as a safe haven during market turbulence [3][6] - The stock offers a near 2.8% dividend yield and is relatively insulated from tariffs due to local production and minimal exposure to packaging material costs [4][6] - Coca-Cola's core beverage is considered a consumer staple, making it less vulnerable to economic downturns [5] Group 2: Waste Management (WM) - WM stock has increased over 13% year-to-date, significantly outperforming the S&P 500 [7] - The company reported a 16.7% increase in revenue and a 12.2% growth in adjusted EBITDA for Q1 2025, largely due to the acquisition of Stericycle for $7.2 billion [8][9] - WM benefits from long-term contracts and a diverse customer base, providing insulation from economic fluctuations and trade tensions [10][11] - The company has consistently increased its dividend, with a 10% raise to $3.30 per share, and has reduced its share count by 11% over the last decade [12][13] Group 3: American Electric Power (AEP) - AEP stock has risen over 17% in 2025, outperforming the S&P 500, which has declined more than 5% [14] - The company operates as a regulated utility, ensuring stable returns and predictable financial planning for capital expenditures, including $54 billion for infrastructure upgrades from 2025 to 2029 [16] - AEP has maintained an average payout ratio of 69% over the past five years, balancing shareholder value growth with necessary upgrades [17] - Currently, AEP is valued at 8.9 times operating cash flow, below its five-year average of 9.3, making it an attractive option for income investors [18]

Core Viewpoint - American Electric Power Company, Inc. (AEP) is expected to report its first-quarter 2025 results on May 6, with earnings per share (EPS) estimates indicating a year-over-year rise of 9.5% and sales growth of 6.7% [1][6]. Factors Impacting AEP's Q1 Earnings - Mixed weather patterns during the January-March 2025 quarter are likely to have a moderate impact on AEP's overall top line, with below-normal temperatures increasing electricity demand for heating, while above-normal temperatures may have reduced demand [2]. - Positive factors such as favorable rate revisions, strong transmission revenues, data center demand, and higher normalized retail sales due to economic development in AEP's operating states are expected to enhance top-line performance [3]. - Adverse weather events, including snowstorms and floods, may have caused outages and infrastructure damage, potentially increasing operating expenses and negatively impacting earnings [4]. - Despite challenges, benefits from prior investments, strong rate base growth, and solid sales growth expectations are likely to support overall earnings [5]. Earnings Expectations - The Zacks Consensus Estimate for AEP's sales is $5.34 billion, reflecting a year-over-year growth of 6.7% [6]. - The Zacks Consensus Estimate for earnings is $1.39 per share, suggesting a year-over-year increase of 9.5% [6]. Earnings Prediction Model - AEP has an Earnings ESP of +0.54%, indicating a favorable outlook for an earnings beat [7]. - Currently, AEP holds a Zacks Rank of 3 (Hold), which suggests a stable position in the market [8].

Analysts on Wall Street project that American Electric Power (AEP) will announce quarterly earnings of $1.39 per share in its forthcoming report, representing an increase of 9.5% year over year. Revenues are projected to reach $5.34 billion, increasing 6.7% from the same quarter last year.The current level reflects an upward revision of 13.4% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial ...

Financial Data and Key Metrics Changes - For the full year 2024, the company reported operating earnings of $5.62 per share, continuing a trend of meeting or exceeding earnings per share guidance for over a decade [17] - The quarterly dividend was increased by $0.05 to $0.93 per share, with an operating earnings guidance range for 2025 set between $5.75 and $5.95 per share [17] - The company aims for a long-term operating earnings growth rate of 6% to 8%, combined with dividends to provide a potential total shareholder return of 10% to 12% [17] Business Line Data and Key Metrics Changes - The company plans to invest over $34 billion in transmission and distribution infrastructure to create a resilient grid [17] - An additional $14 billion is allocated for new diverse generation resources to balance reliability and affordability [17] - Commercial load growth increased by 10.6% last year, driven by data centers and reshoring of manufacturing [18] Market Data and Key Metrics Changes - The company anticipates an additional investment of up to $10 billion in infrastructure to support increased demand, driven by over 20 gigawatts of new load expected by the end of the decade [19] Company Strategy and Development Direction - The company is focused on building an energy system to support growing customer needs while emphasizing execution, accountability, and operational excellence [16] - The capital plan is seen as key to unlocking long-term value for shareholders, customers, and communities [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's future, highlighting the commitment of employees and the potential for significant achievements that benefit customers [19] - The company is working with regulators and large customers to ensure fair allocation of infrastructure costs [19] Other Important Information - The company has a historic five-year capital plan totaling $54 billion [17] - The independent registered public accounting firm PricewaterhouseCoopers LLP was ratified for 2025, with approximately 99% of votes in favor [25] Q&A Session Summary Question: Were there any questions submitted by shareholders? - No questions were received from shareholders during the meeting [22]

Company Overview - American Electric Power (AEP) is expected to report a year-over-year increase in earnings, with a projected EPS of $1.39, reflecting a change of +9.5% [3] - Revenues are anticipated to reach $5.34 billion, which is a 6.7% increase from the same quarter last year [3] Earnings Expectations - The earnings report is scheduled for May 6, 2025, and the stock price may rise if actual results exceed expectations [2] - Conversely, if results fall short, the stock may decline [2] Estimate Revisions - The consensus EPS estimate has been revised 13.41% higher in the last 30 days, indicating a bullish sentiment among analysts [4] - AEP's Most Accurate Estimate is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +0.54% [10][11] Historical Performance - In the last reported quarter, AEP met the expected EPS of $1.24, resulting in no surprise [12] - Over the past four quarters, AEP has beaten consensus EPS estimates two times [13] Industry Comparison - Southern Co. (SO), a competitor in the electric power industry, is expected to report an EPS of $1.20, showing a year-over-year change of +16.5% [17] - Southern Co.'s revenues are projected at $6.94 billion, up 4.4% from the previous year [17] - Southern Co. has an Earnings ESP of -0.08%, making it challenging to predict a beat on the consensus EPS estimate [18]

COLUMBUS, Ohio, April 29, 2025 /PRNewswire/ -- Joseph G. Sauvage, retired vice chairman and chairman of Global Power, Utilities and Renewables of Citigroup, today was elected to the American Electric Power (Nasdaq: AEP) Board of Directors. Sauvage led Citigroup's Global Power, Utilities and Renewables practice for more than 16 years. Prior to joining Citigroup, he held various investment banking roles at Lehman Brothers, including vice chairman and global head of Power, Utilities and Renewables. Sauvage ser ...

Core Viewpoint - The Zacks Utilities sector is expected to see a 13.2% increase in first-quarter 2025 earnings, driven by new electric, natural gas, and water rates, cost-saving initiatives, and customer growth [1] Group 1: Earnings Expectations - Four utilities, DTE Energy, American Electric Power, Exelon Corporation, and NiSource Inc., are identified as likely to exceed earnings expectations this reporting cycle due to positive Earnings ESP and favorable Zacks Ranks [2] - The Zacks Consensus Estimate for DTE Energy's first-quarter earnings is $1.91, reflecting a 14.4% increase year-over-year [9] - American Electric Power's first-quarter earnings estimate is $1.75, indicating a 37.8% increase from the previous year [11] - Exelon's first-quarter earnings per share estimate is 75 cents, representing an 8.7% year-over-year increase [13] - NiSource's first-quarter earnings estimate is 88 cents, showing a 3.5% increase from the year-ago figure [15] Group 2: Influencing Factors - Utility providers are benefiting from higher electricity rates, accretive acquisitions, cost reductions, and energy-efficiency programs [3] - The shift to renewable energy sources and improvements in electric infrastructure resilience are also contributing positively [3] - Economic improvements in service territories have increased demand for utility services, boosting revenues [5] - The rise of data centers, particularly those supporting AI, has significantly increased electricity consumption, benefiting utility revenues [5] - Lower capital servicing expenses due to a one percentage point reduction in the Fed's fund rate since September 2024 are expected to enhance margins and profitability for capital-intensive utilities [6] Group 3: Challenges - Severe storms in March 2025 caused power outages in some service regions, potentially leading to higher operating expenses for utilities [7] - DTE Energy's profitability may be impacted by severe storms in southeast Michigan, despite benefiting from rising demand from data centers [8] - American Electric Power also faced negative impacts on earnings due to power outages caused by severe storms in its service areas [10]

Group 1 - Quarterly financial reports are crucial for investors to assess company performance and future outlook, with earnings being a key metric [1] - The comparison of actual earnings results to bottom line expectations significantly impacts stock prices, making earnings surprises valuable for investors [2] - The Zacks Earnings ESP tool helps identify companies likely to exceed earnings estimates by focusing on the most recent analyst revisions [3][4] Group 2 - The Zacks Expected Surprise Prediction (ESP) calculates the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, providing a percentage figure that indicates potential earnings surprises [4] - Stocks with a positive earnings ESP and a Zacks Rank of 3 (Hold) or better have historically shown a 70% chance of a positive earnings surprise, yielding an average annual return of approximately 28% over the past decade [5] - Stocks ranked 2 (Buy) and 1 (Strong Buy) are expected to outperform the market, with Strong Buy stocks showing the highest potential for outperformance [6] Group 3 - NextEra Energy (NEE) currently holds a 3 (Hold) ranking, with a Most Accurate Estimate of $0.99 per share ahead of its earnings release on April 23, 2025 [7] - NEE has an Earnings ESP of +2.33%, calculated from the difference between its Most Accurate Estimate and the Zacks Consensus Estimate of $0.97 [8] - American Electric Power (AEP) is another utility stock with a positive ESP, holding a 3 (Hold) ranking and a Most Accurate Estimate of $2.05 per share, with an Earnings ESP of +9.22% [9][10]