American Electric Power (AEP) Lags Q3 Earnings Estimates

Core Viewpoint - American Electric Power (AEP) reported quarterly earnings of $1.8 per share, slightly missing the Zacks Consensus Estimate of $1.81 per share, and down from $1.85 per share a year ago, indicating an earnings surprise of -0.55% [1] Financial Performance - AEP posted revenues of $6.01 billion for the quarter ended September 2025, exceeding the Zacks Consensus Estimate by 6.46%, and up from $5.4 billion year-over-year [2] - Over the last four quarters, AEP has surpassed consensus EPS estimates two times and topped consensus revenue estimates three times [2] Stock Performance - AEP shares have increased approximately 24.8% since the beginning of the year, outperforming the S&P 500's gain of 17.2% [3] Future Outlook - The company's earnings outlook will be crucial for assessing future stock performance, with current consensus EPS estimates at $1.13 for the coming quarter and $5.90 for the current fiscal year [7] - The Zacks Rank for AEP is currently 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Utility - Electric Power industry is currently in the top 21% of Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8]