Shares Worth Watching: American Electric Power Company, Inc. (NYSE:AEP)

During the past trading session, shares of American Electric Power Company, Inc. (NYSE:AEP) traded -0.6308%. Covering analysts are predicting the stock to move to $67.0300 within the next year. Depending on the analyst, target price projections may differ widely. This target price is a consensus number based on polled analysts by Thomson Reuters. 

Wall Street analysts have the ability to use various metrics to help calculate target projections. A commonly used metric is a company’s P/E Ratio. This calculation stems from dividing the current share price by the projected earnings per share. At the time of this writing, American Electric Power Company has a price to earnings ratio of 40.8618. Investors may also evaluate a company’s PEG or price to earnings growth ratio. The PEG ratio represents the ratio of the price to earnings to the anticipated future growth rate of the company. If a company has a PEG Ratio below one, it may be viewed as undervalued. If a company has a PEG Ratio above one, it may indicate that the company is overvalued. A PEG Ratio near one may be seen as fair value. The stock presently has a PEG Ratio of 8.3400.

Taking a brief view of stock performance, we see that company shares are currently trading $-2.9773 off the 50-day moving average of $61.6548 and $-6.6458 off of the 200-day moving average of $65.3233. The stock has been recently recorded -17.7264% off of the 52-week high of 71.3200 and +8.5013% away from the 52-week low of 54.0800. Tracking the stock price relative to moving averages and highs and lows for the year may help evaluate the future value of the stock.