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AEP vs. WEC: American Electric Power vs. WEC Energy Stock Comparison

How do American Electric Power (AEP) and WEC Energy (WEC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

American Electric Power (AEP) and WEC Energy (WEC) both fall under the Utilities industry group, but AEP is classified in Electric Utilities while WEC is classified in Multi-Utilities.

Company profile comparison for American Electric Power (AEP) and WEC Energy (WEC)
Profile ItemAEPWEC
NameAmerican Electric Power Company, Inc.WEC Energy Group Inc.
Country/RegionUnited StatesUnited States
GICS SectorUtilitiesUtilities
GICS Industry GroupUtilitiesUtilities
GICS IndustryElectric UtilitiesMulti-Utilities
GICS Sub-IndustryElectric UtilitiesMulti-Utilities
Market Capitalization68.90 billion USD38.12 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateJanuary 2, 1962March 17, 1980
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

AEP
WEC
GSPC
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American Electric Power (AEP) vs. WEC Energy (WEC), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for American Electric Power (AEP) and WEC Energy (WEC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for American Electric Power (AEP) and WEC Energy (WEC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for American Electric Power (AEP) and WEC Energy (WEC)
MetricAEPWEC
Total Return (1Y)8.60%7.80%
Total Return (3Y, Annualized)22.18%18.04%
Total Return (5Y, Annualized)12.81%9.22%

Risk Profile

Drawdown History

AEP
WEC
GSPC
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American Electric Power (AEP) vs. WEC Energy (WEC), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for American Electric Power (AEP) and WEC Energy (WEC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for American Electric Power (AEP) and WEC Energy (WEC)
MetricAEPWEC
Volatility (1Y, Annualized)18.45%17.21%
Beta (5Y)0.460.43
Max Drawdown (5Y)-29.56%-26.02%
Avg. Volume (3M)3.64M2.71M

Risk-Adjusted Performance

Risk-Return Positioning

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AEP and WEC are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for American Electric Power (AEP) and WEC Energy (WEC)
MetricAEPWEC
Sharpe Ratio (1Y)0.230.20
Sortino Ratio (1Y)0.330.31

Profitability

ROE (TTM)

WEC Energy (WEC) at 12.49% sits in the top ROE quartile, while American Electric Power (AEP) at 10.60% is closer to the peer norm — stronger capital efficiency for WEC.

AEP

Utilities industry group

10.60%

Max
17.99%
Q3
12.01%
AEP
10.60%
Median
9.44%
Q1
7.56%
Min
2.17%

WEC

Utilities industry group

12.49%

Max
17.99%
WEC
12.49%
Q3
12.01%
Median
9.44%
Q1
7.56%
Min
2.17%
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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their ROE against the Utilities industry group benchmark.

Net Margin (TTM)

WEC Energy (WEC) at 17.53% retains a top-quartile share of revenue as profit, ahead of American Electric Power (AEP) at 14.21%, which keeps about the industry-typical share.

AEP

Utilities industry group

14.21%

Max
28.78%
Q3
17.30%
AEP
14.21%
Median
12.73%
Q1
9.18%
Min
-0.20%

WEC

Utilities industry group

17.53%

Max
28.78%
WEC
17.53%
Q3
17.30%
Median
12.73%
Q1
9.18%
Min
-0.20%
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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their net margin against the Utilities industry group benchmark.

Operating Margin (TTM)

Both American Electric Power (AEP) at 26.89% and WEC Energy (WEC) at 25.44% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

AEP

Utilities industry group

26.89%

Max
53.83%
Q3
31.12%
AEP
26.89%
Median
23.62%
Q1
15.45%
Min
-4.90%

WEC

Utilities industry group

25.44%

Max
53.83%
Q3
31.12%
WEC
25.44%
Median
23.62%
Q1
15.45%
Min
-4.90%
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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their operating margin against the Utilities industry group benchmark.

Profitability Metrics

Profitability metrics for American Electric Power (AEP) and WEC Energy (WEC)
MetricAEPWEC
ROE (TTM)10.60%12.49%
ROA (TTM)3.04%3.08%
Net Margin (TTM)14.21%17.53%
Operating Margin (TTM)26.89%25.44%
Gross Margin (TTM)46.62%42.36%

Growth

Revenue Growth

WEC Energy (WEC) at 13.96% sits in the top revenue growth quartile, while American Electric Power (AEP) at 10.93% is closer to the peer norm — faster top-line expansion for WEC.

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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both American Electric Power (AEP) at 19.35% and WEC Energy (WEC) at -0.41% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for American Electric Power (AEP) and WEC Energy (WEC)
MetricAEPWEC
Revenue Growth (YoY)10.93%13.96%
Revenue Growth (3Y CAGR)3.66%0.70%
EPS Growth (YoY)19.35%-0.41%
EPS Growth (3Y CAGR)14.04%2.63%

Financial Strength

Current Ratio (MRQ)

Both American Electric Power (AEP) at 0.51 and WEC Energy (WEC) at 0.53 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.

AEP

Utilities industry group

0.51

Max
1.90
Q3
1.17
Median
0.88
Q1
0.66
AEP
0.51
Min
0.29

WEC

Utilities industry group

0.53

Max
1.90
Q3
1.17
Median
0.88
Q1
0.66
WEC
0.53
Min
0.29
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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their current ratio against the Utilities industry group benchmark.

Debt / Equity (MRQ)

Both American Electric Power (AEP) at 1.62 and WEC Energy (WEC) at 1.54 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

AEP

Utilities industry group

1.62

Max
2.63
Q3
1.77
AEP
1.62
Median
1.35
Q1
0.84
Min
0.00

WEC

Utilities industry group

1.54

Max
2.63
Q3
1.77
WEC
1.54
Median
1.35
Q1
0.84
Min
0.00
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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their debt-to-equity ratio against the Utilities industry group benchmark.

Financial Strength Metrics

Financial strength metrics for American Electric Power (AEP) and WEC Energy (WEC)
MetricAEPWEC
Current Ratio (MRQ)0.510.53
Debt / Equity (MRQ)1.621.54
Net Debt / EBITDA5.765.66

Dividends

Dividend Yield (TTM)

Both American Electric Power (AEP) at 3.00% and WEC Energy (WEC) at 3.17% pay solid, industry-typical yields, sitting squarely within their peers’ usual range.

AEP

Utilities industry group

3.00%

Max
6.66%
Q3
3.58%
AEP
3.00%
Median
2.85%
Q1
0.66%
Min
0.00%

WEC

Utilities industry group

3.17%

Max
6.66%
Q3
3.58%
WEC
3.17%
Median
2.85%
Q1
0.66%
Min
0.00%
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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their dividend yield against the Utilities industry group benchmark.

Dividend Payout Ratio (TTM)

Both American Electric Power (AEP) at 62.09% and WEC Energy (WEC) at 68.18% keep payout ratio within their industries’ typical mid-ranges — dividend policies that share earnings without consuming too much of them.

AEP

Utilities industry group

62.09%

Max
113.04%
Q3
68.72%
AEP
62.09%
Median
56.38%
Q1
32.38%
Min
0.00%

WEC

Utilities industry group

68.18%

Max
113.04%
Q3
68.72%
WEC
68.18%
Median
56.38%
Q1
32.38%
Min
0.00%
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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their payout ratio against the Utilities industry group benchmark.

Dividend Metrics

Dividend metrics for American Electric Power (AEP) and WEC Energy (WEC)
MetricAEPWEC
Dividend Yield (TTM)3.00%3.17%
Dividend Payout Ratio (TTM)62.09%68.18%

Valuation

P/E Ratio (TTM)

Both American Electric Power (AEP) at 20.67 and WEC Energy (WEC) at 21.07 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

AEP

Utilities industry group

20.67

Max
31.22
Q3
23.30
AEP
20.67
Median
19.64
Q1
15.17
Min
3.34

WEC

Utilities industry group

21.07

Max
31.22
Q3
23.30
WEC
21.07
Median
19.64
Q1
15.17
Min
3.34
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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their P/E ratio against the Utilities industry group benchmark.

P/S Ratio (TTM)

American Electric Power (AEP) at 2.92 is priced about in line with its industry on P/S ratio, while WEC Energy (WEC) at 3.69 sits in the pricier quartile — WEC costs more per dollar of sales.

AEP

Utilities industry group

2.92

Max
6.35
Q3
3.63
AEP
2.92
Median
2.63
Q1
1.52
Min
0.00

WEC

Utilities industry group

3.69

Max
6.35
WEC
3.69
Q3
3.63
Median
2.63
Q1
1.52
Min
0.00
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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their P/S ratio against the Utilities industry group benchmark.

P/B Ratio (MRQ)

American Electric Power (AEP) at 2.10 is valued about in line with its industry on P/B ratio, while WEC Energy (WEC) at 2.62 carries an above-peer premium to book — WEC is pricier on assets.

AEP

Utilities industry group

2.10

Max
3.12
Q3
2.21
AEP
2.10
Median
1.83
Q1
1.46
Min
0.34

WEC

Utilities industry group

2.62

Max
3.12
WEC
2.62
Q3
2.21
Median
1.83
Q1
1.46
Min
0.34
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American Electric Power (AEP) vs. WEC Energy (WEC): A comparison of their P/B ratio against the Utilities industry group benchmark.

Valuation Metrics

Valuation metrics for American Electric Power (AEP) and WEC Energy (WEC)
MetricAEPWEC
P/E Ratio (TTM)20.6721.07
P/S Ratio (TTM)2.923.69
P/B Ratio (MRQ)2.102.62
Free Cash Flow Yield (TTM)-11.28%-5.16%