Little House Capital LLC Invests in American Electric Power Company

Little House Capital LLC has made a significant investment in American Electric Power Company, Inc. (NASDAQ:AEP) during the fourth quarter of the previous year. According to their latest 13F filing with the Securities and Exchange Commission, Little House Capital acquired 6,393 shares of the company's stock, totaling approximately $590,000.

This investment reflects a growing interest in American Electric Power among various institutional investors. In fact, other firms have also recently adjusted their holdings in the company. Legacy Investment Solutions LLC invested about $25,000 in the third quarter, while Safe Harbor Fiduciary LLC contributed $33,000 during the same period. Newbridge Financial Services Group Inc. acquired a stake valued at $35,000 in the fourth quarter. Additionally, Reston Wealth Management LLC and Decker Retirement Planning Inc. made new investments worth $48,000 and $49,000, respectively, all in the third and fourth quarters. Notably, institutional investors now own 75.24% of American Electric Power's stock, showcasing confidence in the company's performance.

American Electric Power Stock Overview

As of Friday, American Electric Power's stock opened at $101.83. The company displays favorable financial metrics, with a current ratio of 0.57, a quick ratio of 0.41, and a debt-to-equity ratio of 1.47. Its market capitalization stands at $54.19 billion. The stock's price-to-earnings (P/E) ratio is 20.41, while the price/earnings growth (PEG) ratio is 2.84, indicating its growth prospects. The stock has seen fluctuations, with a 12-month low of $79.01 and a 12-month high of $105.18.

Recent Earnings Announcement

On February 13th, American Electric Power reported its quarterly earnings. The company announced earnings per share (EPS) of $1.24, matching analysts' expectations. The net margin for American Electric Power was 13.48%, and it achieved a return on equity of 11.41%. In comparison, the previous year's earnings for the same quarter were $1.23 per share. Analysts project an EPS of 5.58 for the current year, suggesting steady growth.

Dividend Declaration

In addition to its performance, American Electric Power recently declared a quarterly dividend of $0.93, which will be payable on March 10th. Stockholders who are on record by February 10th will receive this dividend, equating to an annualized payout of $3.72 and a dividend yield of 3.65%. Currently, the firm's dividend payout ratio is 74.55%, indicating a substantial commitment to returning value to its shareholders.

Analyst Ratings and Target Price Changes

Several analysts have weighed in on American Electric Power shares. BMO Capital Markets downgraded their target price from $108.00 to $100.00, maintaining an "outperform" rating. Meanwhile, UBS Group raised their price objective from $91.00 to $95.00 but assigned a "sell" rating. Other analysts, including Evercore ISI and Morgan Stanley, also modified their target prices, reflecting a mix of ratings across the board. MarketBeat data shows an average rating of "Hold" from research analysts, with a consensus target price of $98.00.

Company Profile

American Electric Power Company, Inc. is a public utility holding company engaged in electricity generation, transmission, and distribution for both retail and wholesale customers across the United States. The company operates various segments, including Vertically Integrated Utilities, Transmission and Distribution Utilities, AEP Transmission Holdco, and Generation & Marketing.

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