American Electric Power Co Inc (AEP)vsLumentum Holdings Inc (LITE)
AEP
American Electric Power Co Inc
$137.11
+1.99%
UTILITIES · Cap: $74.53B
LITE
Lumentum Holdings Inc
$858.32
+8.46%
TECHNOLOGY · Cap: $64.43B
Smart Verdict
WallStSmart Research — data-driven comparison
American Electric Power Co Inc generates 939% more annual revenue ($21.88B vs $2.11B). AEP leads profitability with a 16.4% profit margin vs 11.9%. LITE appears more attractively valued with a PEG of 0.63. LITE earns a higher WallStSmart Score of 69/100 (B-).
AEP
Buy60
out of 100
Grade: C+
LITE
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-59.0%
Fair Value
$76.88
Current Price
$137.11
$60.23 premium
Intrinsic value data unavailable for LITE.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 22.8%
Revenue surging 65.5% year-over-year
Earnings expanding 71.1% YoY
Large-cap with strong market position
Every $100 of equity generates 29 in profit
Growing faster than its price suggests
Areas to Watch
Elevated debt levels
Expensive relative to growth rate
Earnings declined 12.6%
Negative free cash flow — burning cash
Premium valuation, high expectations priced in
Trading at 72.4x book value
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : AEP
The strongest argument for AEP centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 16.4% and operating margin at 22.8%. Revenue growth of 13.2% demonstrates continued momentum.
Bull Case : LITE
The strongest argument for LITE centers on Revenue Growth, EPS Growth, Market Cap. Revenue growth of 65.5% demonstrates continued momentum. PEG of 0.63 suggests the stock is reasonably priced for its growth.
Bear Case : AEP
The primary concerns for AEP are Debt/Equity, PEG Ratio, EPS Growth. Debt-to-equity of 1.61 is elevated, increasing financial risk.
Bear Case : LITE
The primary concerns for LITE are P/E Ratio, Price/Book, Altman Z-Score. A P/E of 263.1x leaves little room for execution misses.
Key Dynamics to Monitor
AEP profiles as a mature stock while LITE is a growth play — different risk/reward profiles.
LITE carries more volatility with a beta of 1.39 — expect wider price swings.
LITE is growing revenue faster at 65.5% — sustainability is the question.
LITE generates stronger free cash flow (51M), providing more financial flexibility.
Bottom Line
LITE scores higher overall (69/100 vs 60/100) and 65.5% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
American Electric Power Co Inc
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
American Electric Power (AEP) is a major investor-owned electric utility in the United States, delivering electricity to more than five million customers in 11 states.
Visit Website →Lumentum Holdings Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Lumentum Holdings Inc. manufactures and sells optical and photonic products in the Americas, Asia-Pacific, Europe, the Middle East, and Africa. The company is headquartered in San Jose, California.
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