Core Viewpoint - American Electric Power Company, Inc. (NASDAQ:AEP) is considered a recession-proof stock by Jim Cramer, despite recent price target reductions and a $2 billion debt issuance [1][2]. Group 1: Price Target Changes - The West Virginia Public Service Commission approved the securitization of $2.4 billion in costs and removed $1.9 billion from the rate base, leading Jefferies to lower its price target for AEP from $120 to $116 [2]. - Morgan Stanley also reduced its price target for AEP from $117 to $115 shortly after Jefferies' adjustment [2]. Group 2: Debt Issuance - On September 23, 2025, AEP announced the issuance of $1.1 billion in Series C Debentures and $900 million in Series D Debentures, totaling $2 billion, which are due in 2056 [3]. - This debt issuance is aimed at securing long-term funding for the company's expansion efforts [3]. Group 3: Institutional Confidence - AEP is backed by 53 hedge funds, indicating strong institutional confidence in the stock, making it a favorable option for investors seeking recession-proof investments [3]. Group 4: Company Overview - Founded in 1906, AEP is one of the largest electric utilities in the U.S., serving 5.6 million customers across 11 states [4].

Core Viewpoint - The article discusses Jim Cramer's recession-proof stock picks amid increasing economic uncertainty and potential government shutdown impacts on GDP growth [1][2][3]. Economic Context - Recent political gridlock in the U.S. is causing investor anxiety regarding its effects on investments, with Treasury Secretary Scott Bessent warning of a possible government shutdown affecting GDP growth [1]. - Private payrolls decreased by 32,000 in September, marking a record high in layoffs since 2020, indicating a troubling labor market [2]. - The Federal Reserve is facing uncertainty, with markets pricing in a 100% probability of a rate cut in October and growing expectations for another cut by year-end [2]. Investment Strategy - Jim Cramer's strategy focuses on stocks that can withstand economic downturns, providing a list of recession-proof stock picks to enhance portfolio stability [3]. Methodology - The list of recession-proof stock picks is compiled based on mentions by Jim Cramer and ranked by the number of hedge funds holding these stocks as of Q2 2025, utilizing data from the Insider Monkey database [5][6]. Company Highlights - **Realty Income Corporation (NYSE:O)** - Ranked among Cramer's picks, supported by 27 hedge funds, and reported a revenue of $1.41 billion for Q2 2025, a 5.3% increase year-over-year [7][8][9]. - The company announced an $800 million notes issuance, with a slight stock performance uptick of 0.13% following the announcement [8]. - Realty Income is known for its monthly dividend payments and operates a diversified portfolio of over 15,000 commercial properties [10]. - **ONEOK, Inc. (NYSE:OKE)** - Included in Cramer's recession-proof picks, with 44 hedge funds holding stakes in the company [11][13]. - Recently completed a $3 billion public offering to address outstanding obligations, although the stock's monthly performance declined by 1.33% [12][13]. - Cramer maintains a Buy rating on ONEOK, citing strong management and institutional interest [13][14].