American Electric Power Co Inc (AEP)vsNiSource Inc (NI)
AEP
American Electric Power Co Inc
$127.79
+0.06%
UTILITIES · Cap: $69.16B
NI
NiSource Inc
$45.84
+0.57%
UTILITIES · Cap: $22.63B
Smart Verdict
WallStSmart Research — data-driven comparison
American Electric Power Co Inc generates 229% more annual revenue ($22.43B vs $6.82B). AEP leads profitability with a 16.3% profit margin vs 14.1%. AEP appears more attractively valued with a PEG of 2.27. AEP earns a higher WallStSmart Score of 64/100 (C+).
AEP
Buy64
out of 100
Grade: C+
NI
Buy60
out of 100
Grade: C+
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 23.7%
Strong operational efficiency at 34.8%
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Elevated debt levels
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Expensive relative to growth rate
Negative free cash flow — burning cash
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 16.3% and operating margin at 23.7%. Revenue growth of 10.2% demonstrates continued momentum.
Bull Case : NI
The strongest argument for NI centers on Operating Margin, Price/Book.
Bear Case : AEP
The primary concerns for AEP are PEG Ratio, Debt/Equity, Free Cash Flow. Debt-to-equity of 1.63 is elevated, increasing financial risk.
Bear Case : NI
The primary concerns for NI are Debt/Equity, PEG Ratio, Free Cash Flow. Debt-to-equity of 1.74 is elevated, increasing financial risk.
Key Dynamics to Monitor
AEP profiles as a mature stock while NI is a value play — different risk/reward profiles.
AEP carries more volatility with a beta of 0.55 — expect wider price swings.
AEP is growing revenue faster at 10.2% — sustainability is the question.
NI generates stronger free cash flow (-363M), providing more financial flexibility.
Bottom Line
AEP scores higher overall (64/100 vs 60/100), backed by strong 16.3% margins and 10.2% revenue growth. Both earn "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 →NiSource Inc
UTILITIES · UTILITIES - REGULATED GAS · USA
NiSource Inc. is one of the largest fully regulated utility companies in the United States. The company is based in Merrillville, Indiana.
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