AEP Beats Q3, Lifts 2026 Outlook and Unveils $100B Five-Year Capital Plan
AEP sits 16% above its 52-week low of $112.535.
Summary
AEP reported Q3 operating EPS of $2.23 and said full-year 2026 will land at or above the high end of its $6.25-$6.55 range, while unveiling a $100 billion five-year capital plan and 9%-11% long-term earnings growth target backed by 84 GW of contracted load by 2031.
Key Events · Earnings and Guidance · AEP
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Q3 Operating EPS of $2.23
Operating earnings rose to $1,216 million, or $2.23 per share, from $963 million, or $1.80 per share, in Q3 2025; GAAP EPS was $2.18 versus $1.82.
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$100B Capital Plan Through 2031
The five-year plan targets a 13%+ rate base CAGR, growing rate base to $162 billion by 2031, including roughly $37 billion for transmission and $36 billion for generation.
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New 9%-11% Long-Term Growth Target
AEP introduced 9%-11% annual operating EPS growth from 2027 through 2031, a 10%+ CAGR off the $6.30 2026 midpoint, with 2027 guidance of $6.75-$7.05 and 2028 guidance of $7.40-$7.70.
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84 GW Contracted Load by 2031
15 GW of new load commitments were signed in Q3, and fixed cost offsets for residential customers from large-load contracts are now expected to reach up to $21 billion, up from $16 billion.
Analysis · AEP · Energy & Transportation
AEP delivered Q3 operating EPS of $2.23 versus $1.80 a year ago and now expects full-year 2026 results at or above the top of its $6.25-$6.55 range. The bigger news is the forward plan: a $100 billion five-year capital budget through 2031, a 13%+ rate base CAGR, and a new 9%-11% annual operating EPS growth target from 2027 through 2031. That combination resets the long-term earnings trajectory for a $70 billion utility and gives investors explicit 2027 ($6.75-$7.05) and 2028 ($7.40-$7.70) guidance for the first time. The plan is underpinned by contracted load growth — 15 GW signed in Q3 alone, with incremental contracted load expected to reach 84 GW by 2031 — and by up to $21 billion of fixed cost offsets for residential customers, up from $16 billion, which addresses the affordability and regulatory-recovery risk that has weighed on utility valuations.
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In the 30 days to Oct 28, 2026, 36.5% of the 953 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was -0.66%. These are measured outcomes after filings of this importance, not a forecast for this one.
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At the time of this filing, AEP was trading at $130.11 on NASDAQ in the Energy & Transportation sector, with a market capitalization of approximately $70.9B. The 52-week trading range was $112.54 to $140.58. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.