American Electric Power Co Inc (AEP)vsAT&T Inc (T)
AEP
American Electric Power Co Inc
$128.30
-0.39%
UTILITIES · Cap: $69.74B
T
AT&T Inc
$28.81
-0.21%
COMMUNICATION SERVICES · Cap: $204.67B
Smart Verdict
WallStSmart Research — data-driven comparison
AT&T Inc generates 474% more annual revenue ($125.65B vs $21.88B). T leads profitability with a 17.5% profit margin vs 16.4%. T appears more attractively valued with a PEG of 1.60. T earns a higher WallStSmart Score of 63/100 (C+).
AEP
Buy60
out of 100
Grade: C+
T
Buy63
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-169.9%
Fair Value
$45.29
Current Price
$128.30
$83.01 premium
Margin of Safety
-39.7%
Fair Value
$20.67
Current Price
$28.81
$8.14 premium
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%
Mega-cap, among the largest globally
Attractively priced relative to earnings
Reasonable price relative to book value
Generating 4.5B in free cash flow
Areas to Watch
Elevated debt levels
Expensive relative to growth rate
Earnings declined 12.6%
Negative free cash flow — burning cash
Expensive relative to growth rate
3.6% revenue growth
Earnings declined 5.6%
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 : T
The strongest argument for T centers on Market Cap, P/E Ratio, Price/Book. Profitability is solid with margins at 17.5% and operating margin at 18.4%.
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 : T
The primary concerns for T are PEG Ratio, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
AEP profiles as a mature stock while T is a value play — different risk/reward profiles.
T carries more volatility with a beta of 0.58 — expect wider price swings.
AEP is growing revenue faster at 13.2% — sustainability is the question.
T generates stronger free cash flow (4.5B), providing more financial flexibility.
Bottom Line
T scores higher overall (63/100 vs 60/100), backed by strong 17.5% margins. 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 →AT&T Inc
COMMUNICATION SERVICES · TELECOM SERVICES · USA
AT&T Inc. is an American multinational conglomerate holding company, Delaware-registered but headquartered at Whitacre Tower in Downtown Dallas, Texas. It is the world largest telecommunications company, and the second largest provider of mobile telephone services.
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