Wall Street analysts expect American Electric Power (AEP) to post quarterly earnings of $1.84 per share in its upcoming report, which indicates a year-over-year decline of 0.5%. Revenues are expected to be $5.69 billion, up 5.3% from the year-ago quarter.
The consensus EPS estimate for the quarter has undergone an upward revision of 1.8% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Bearing this in mind, let's now explore the average estimates of specific AEP metrics that are commonly monitored and projected by Wall Street analysts.
According to the collective judgment of analysts, 'Total Revenues- Generation & Marketing' should come in at $464.95 million. The estimate points to a change of -6.8% from the year-ago quarter.
The consensus among analysts is that 'Total Revenues- Transmission and Distribution Utilities' will reach $1.62 billion. The estimate suggests a change of +3% year over year.
It is projected by analysts that the 'Total Revenues- Vertically Integrated Utilities' will reach $3.53 billion. The estimate indicates a change of +6.8% from the prior-year quarter.
Analysts expect 'Total Revenues- AEP Transmission Holdco' to come in at $547.08 million. The estimate indicates a year-over-year change of +6.8%.
Analysts' assessment points toward 'Total Energy Sales - Retail Electric - Transmission & Distribution Utilities - Total Retail' reaching 27204 gigawatt hours / millions of kwh. Compared to the present estimate, the company reported 24815 gigawatt hours / millions of kwh in the same quarter last year.
The collective assessment of analysts points to an estimated 'Total Energy Sales - Retail Electric - Vertically Integrated Utilities - Total Retail' of 25039 gigawatt hours / millions of kwh. Compared to the present estimate, the company reported 25043 gigawatt hours / millions of kwh in the same quarter last year.
Based on the collective assessment of analysts, 'Total Energy Sales - Wholesale Electric - Transmission & Distribution Utilities' should arrive at 527 gigawatt hours / millions of kwh. The estimate is in contrast to the year-ago figure of 504 gigawatt hours / millions of kwh.
The consensus estimate for 'Total Energy Sales - Transmission & Distribution Utilities - Total' stands at 27730 gigawatt hours / millions of kwh. The estimate is in contrast to the year-ago figure of 25319 gigawatt hours / millions of kwh.
Analysts forecast 'Total Energy Sales - Wholesale Electric - Vertically Integrated Utilities' to reach 3827 gigawatt hours / millions of kwh. Compared to the current estimate, the company reported 3559 gigawatt hours / millions of kwh in the same quarter of the previous year.
The average prediction of analysts places 'Total Energy Sales - Vertically Integrated Utilities - Total' at 28866 gigawatt hours / millions of kwh. The estimate is in contrast to the year-ago figure of 28602 gigawatt hours / millions of kwh.
The combined assessment of analysts suggests that 'Operating Earnings (non-GAAP)- Vertically Integrated Utilities' will likely reach $606.24 million. Compared to the current estimate, the company reported $572.40 million in the same quarter of the previous year.
Analysts predict that the 'Operating Earnings (non-GAAP)- Transmission & Distribution Utilities' will reach $231.10 million. Compared to the present estimate, the company reported $245.20 million in the same quarter last year.
View all Key Company Metrics for AEP here>>>
Over the past month, shares of AEP have returned +7.7% versus the Zacks S&P 500 composite's +1.3% change. Currently, AEP carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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American Electric Power Company, Inc. (AEP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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