Question 1

What is American Electric Power Company's P/FCF ratio?

Accepted Answer

American Electric Power Company (AEP) P/FCF ratio is 9.5× as of July 22, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month free cash flow, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/FCF ratio calculated?

Accepted Answer

P/FCF = Market Capitalisation ÷ Trailing Twelve-Month (TTM) Free Cash Flow, where Free Cash Flow = Operating Cash Flow − Capital Expenditures. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/FCF ratio?

Accepted Answer

The price-to-free-cash-flow (P/FCF) ratio compares a company's market capitalisation to its trailing twelve-month (TTM) free cash flow. It is calculated as market cap ÷ TTM free cash flow, where free cash flow = operating cash flow − capital expenditures. Because FCF cannot be inflated by non-cash accounting items, P/FCF is often considered a cleaner measure of "earnings-power valuation" than P/E — especially for capital-intensive businesses where depreciation diverges from real cash outflows.

Question 4

What is a good P/FCF ratio for American Electric Power Company?

Accepted Answer

Mature companies that consistently convert profit into cash often trade at 15–25× P/FCF; capital-intensive businesses with lumpy capex typically trade lower. Compare against sector peers and against the company's own multi-year average — single-year P/FCF can be distorted by working-capital swings. For American Electric Power Company specifically, the relevant sector benchmark is the current sector median of 45.4×.

Question 5

Is American Electric Power Company's P/FCF ratio high or low?

Accepted Answer

American Electric Power Company's P/FCF ratio of 9.5× is below its own 5-year average of 14.7× and below the sector median of 45.4×. That places the current reading at the 38th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is American Electric Power Company's historical P/FCF ratio range?

Accepted Answer

In the available daily series, American Electric Power Company (AEP) P/FCF ratio has ranged from a low of 7.9× in 2026 to a high of 341.7× in 2015. The 5-year average is 14.7× and the 5-year median is 12.9×.

Question 7

What was American Electric Power Company's P/FCF ratio in 2025?

Accepted Answer

American Electric Power Company (AEP) P/FCF ratio at the end of 2025 was 7.2×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month free cash flow figure available at that date.

Question 8

Why does American Electric Power Company's P/FCF ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (free cash flow). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$59.8B	$8.29B	7.2×	—	Dec 31, 2025
2024	$48.9B	-$966M	—	—	Dec 31, 2024
2023	$42.5B	-$2.49B	—	—	Dec 31, 2023
2022	$48.7B	-$1.48B	—	—	Dec 31, 2022
2021	$44.8B	-$1.92B	—	—	Dec 31, 2021
2020	$41.3B	-$2.48B	—	—	Dec 31, 2020
2019	$46.7B	-$1.87B	—	—	Dec 31, 2019
2018	$36.8B	-$1.13B	—	—	Dec 31, 2018
2017	$36.2B	-$1.53B	—	—	Dec 31, 2017
2016	$31B	-$390M	—	—	Dec 31, 2016
2015	$28.6B	$219M	130.9×	+49.1×	Dec 31, 2015
2014	$29.7B	$363M	81.8×	+12.4×	Dec 31, 2014
2013	$22.8B	$328M	69.4×	+38.6×	Dec 31, 2013
2012	$20.7B	$672M	30.8×	+11.1×	Dec 31, 2012
2011	$20B	$1.01B	19.7×	-56.8×	Dec 31, 2011
2010	$17.3B	$226M	76.5×	—	Dec 31, 2010
2009	$16.3B	-$317M	—	—	Dec 31, 2009
2008	$13.5B	-$1.22B	—	—	Dec 31, 2008
2007	$18.6B	-$1.17B	—	—	Dec 31, 2007
2006	$16.9B	-$796M	—	—	Dec 31, 2006
2005	$14.5B	-$527M	—	—	Dec 31, 2005
2004	$13.5B	$904M	15.0×	+2.6×	Dec 31, 2004
2003	$11.8B	$950M	12.4×	—	Dec 31, 2003
2002	$9.4B	-$45M	—	—	Dec 31, 2002


Eversource Energy (ES)	110.1×
Constellation Energy (CEG)	86.9×
NextEra Energy (NEE)	82.1×
American States Water (AWR)	77.8×
Middlesex Water (MSEX)	63.1×
Vistra (VST)	45.4×
UGI (UGI)	32.9×
FirstEnergy (FE)	16.3×
Duke Energy (DUK)	15.4×
Consolidated Edison (ED)	14.6×

P/FCF Ratio for American Electric Power Company (AEP) 2003-2026

P/FCF Ratio daily chart for American Electric Power Company (AEP)

Historical P/FCF Ratio for American Electric Power Company (AEP) from 2002 to 2025

About P/FCF Ratio at American Electric Power Company (AEP)

American Electric Power Company P/FCF Ratio by Year

American Electric Power Company P/FCF Ratio 2025: 7.2×

American Electric Power Company P/FCF Ratio 2015: 130.9×

American Electric Power Company P/FCF Ratio 2014: 81.8×

American Electric Power Company P/FCF Ratio 2013: 69.4×

American Electric Power Company P/FCF Ratio 2012: 30.8×

Sector peers by P/FCF Ratio — chart

Sector peers by P/FCF Ratio — table

Frequently asked questions

American Electric Power Company (AEP) Key Financials