WallStSmart

American Electric Power Co Inc (AEP)vsT-Mobile US Inc (TMUS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

T-Mobile US Inc generates 304% more annual revenue ($88.31B vs $21.88B). AEP leads profitability with a 16.4% profit margin vs 12.4%. TMUS appears more attractively valued with a PEG of 0.80. TMUS earns a higher WallStSmart Score of 60/100 (C).

AEP

Buy

60

out of 100

Grade: C+

Growth: 4.0Profit: 7.0Value: 4.7Quality: 5.0
Piotroski: 4/9Altman Z: 0.67

TMUS

Buy

60

out of 100

Grade: C

Growth: 4.0Profit: 7.0Value: 7.3Quality: 5.5
Piotroski: 4/9Altman Z: 1.06
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AEPSignificantly Overvalued (-169.9%)

Margin of Safety

-169.9%

Fair Value

$45.29

Current Price

$128.30

$83.01 premium

UndervaluedFair: $45.29Overvalued
TMUSSignificantly Overvalued (-235.8%)

Margin of Safety

-235.8%

Fair Value

$66.10

Current Price

$211.36

$145.26 premium

UndervaluedFair: $66.10Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AEP3 strengths · Avg: 8.3/10
Market CapQuality
$69.74B9/10

Large-cap with strong market position

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Operating MarginProfitability
22.8%8/10

Strong operational efficiency at 22.8%

TMUS3 strengths · Avg: 8.7/10
Market CapQuality
$236.30B10/10

Mega-cap, among the largest globally

PEG RatioValuation
0.808/10

Growing faster than its price suggests

Free Cash FlowQuality
$4.18B8/10

Generating 4.2B in free cash flow

Areas to Watch

AEP4 concerns · Avg: 2.3/10
Debt/EquityHealth
1.613/10

Elevated debt levels

PEG RatioValuation
2.772/10

Expensive relative to growth rate

EPS GrowthGrowth
-12.6%2/10

Earnings declined 12.6%

Free Cash FlowQuality
$-245.90M2/10

Negative free cash flow — burning cash

TMUS3 concerns · Avg: 2.3/10
Debt/EquityHealth
1.993/10

Elevated debt levels

EPS GrowthGrowth
-26.6%2/10

Earnings declined 26.6%

Altman Z-ScoreHealth
1.062/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull 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 : TMUS

The strongest argument for TMUS centers on Market Cap, PEG Ratio, Free Cash Flow. Revenue growth of 11.3% demonstrates continued momentum. PEG of 0.80 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 : TMUS

The primary concerns for TMUS are Debt/Equity, EPS Growth, Altman Z-Score. Debt-to-equity of 1.99 is elevated, increasing financial risk.

Key Dynamics to Monitor

AEP profiles as a mature stock while TMUS is a value play — different risk/reward profiles.

AEP carries more volatility with a beta of 0.57 — expect wider price swings.

AEP is growing revenue faster at 13.2% — sustainability is the question.

TMUS generates stronger free cash flow (4.2B), providing more financial flexibility.

Bottom Line

AEP scores higher overall (60/100 vs 60/100), backed by strong 16.4% margins and 13.2% 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.

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T-Mobile US Inc

COMMUNICATION SERVICES · TELECOM SERVICES · USA

T-Mobile US, Inc., doing business under the global brand name T-Mobile, is an American wireless network operator. Its headquarters are located in Bellevue, Washington, in the Seattle metropolitan area and Overland Park, Kansas, in the Kansas City metropolitan area.

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