American Electric Power Company, Inc. (AEP) vs NextEra Energy, Inc. (NEE)

A side-by-side comparison of American Electric Power Company, Inc. and NextEra Energy, Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of July 28, 2026. Differences are shown without an overall score or investment verdict.

Compare

Total returnAEP vs NEE

growth of $100 · dividends reinvested · last 30y
AEP +1086.5%NEE +4013.0%NEE compounded faster
01k2k3k4kStart $100200120062011201620212026$1,187$4,113
AEP NEE

AEP vs NEE: by the numbers

  • NEE is the larger company ($186.20B vs $72.38B market cap).
  • AEP trades at the lower trailing earnings multiple (19.73 vs 22.60 P/E), one valuation lens rather than an overall verdict.
  • NEE converts more revenue to profit (29.03% vs 16.49% net margin).
  • NEE grew revenue faster over the past five years (10.50% vs 7.51% CAGR).
  • AEP pays the higher dividend yield (2.83% vs 2.68%).

Metrics side by side

Valuation

MetricAEPNEE
P/E ratio19.7322.60
Forward P/E21.0421.94
P/S ratio3.306.58
P/B ratio2.303.36
PEG ratio0.911.31
EV / EBITDA14.2118.48
FCF yield10.47%1.27%

Profitability

MetricAEPNEE
Gross margin31.81%67.32%
Operating margin23.47%29.20%
Net margin16.49%29.03%
ROE11.49%14.82%
ROIC4.71%4.23%

Dividends

MetricAEPNEE
Dividend yield2.83%2.68%
Payout ratio56.76%71.89%

Growth (annualized)

MetricAEPNEE
Revenue CAGR (5Y)7.51%10.50%
EPS CAGR (5Y)8.45%17.31%
FCF CAGR (5Y)41.49%65.74%
Total return CAGR (5Y)12.60%5.40%

Frequently asked

Which has the lower trailing P/E, AEP or NEE?
AEP has the lower trailing P/E: AEP trades at 19.73 and NEE at 22.60. P/E is one valuation measure and does not by itself establish which business is cheaper.
Which has grown faster, AEP or NEE?
Over the past five years, NEE grew revenue faster — AEP at a 7.51% CAGR versus NEE at 10.50%.
Does AEP or NEE pay a bigger dividend?
AEP yields 2.83% and NEE yields 2.68% based on trailing dividends and the latest price.
Is AEP or NEE more profitable?
NEE runs the higher net margin — AEP at 16.49% versus NEE at 29.03%.
How have AEP and NEE total returns compared?
Over the past 10 years, AEP delivered 10.73% and NEE delivered 13.68% annualized total return. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified July 28, 2026.