American Electric Power: A Reliable Dividend Play With Limited Upside
Summary
- The company's changing CEO and the electrification of society, mainly due to the growth of data centers, are tailwinds.
- However, as a regulated utility, it will be hard to take advantage of the demand growth due to high capital expenditures.
- I estimate the company is reasonably priced at $100 per share using a discounted dividend model.
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