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.
AEP
American Electric Power Company, Inc.
$133.02UtilitiesDelayed quote: Jul 28, 2026, 4:00 PM EDT
NEE
NextEra Energy, Inc.
$89.28UtilitiesDelayed quote: Jul 28, 2026, 4:00 PM EDT
Total return — AEP vs NEE
growth of $100 · dividends reinvested · last 30yAEP +1086.5%NEE +4013.0%NEE compounded faster
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
| Metric | AEP | NEE |
|---|---|---|
| P/E ratio | 19.73 | 22.60 |
| Forward P/E | 21.04 | 21.94 |
| P/S ratio | 3.30 | 6.58 |
| P/B ratio | 2.30 | 3.36 |
| PEG ratio | 0.91 | 1.31 |
| EV / EBITDA | 14.21 | 18.48 |
| FCF yield | 10.47% | 1.27% |
Profitability
| Metric | AEP | NEE |
|---|---|---|
| Gross margin | 31.81% | 67.32% |
| Operating margin | 23.47% | 29.20% |
| Net margin | 16.49% | 29.03% |
| ROE | 11.49% | 14.82% |
| ROIC | 4.71% | 4.23% |
Dividends
| Metric | AEP | NEE |
|---|---|---|
| Dividend yield | 2.83% | 2.68% |
| Payout ratio | 56.76% | 71.89% |
Growth (annualized)
| Metric | AEP | NEE |
|---|---|---|
| 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.
Go deeper
Dig into the metrics
American Electric Power P/E ratioNextEra Energy P/E ratioAmerican Electric Power dividend yieldNextEra Energy dividend yieldAmerican Electric Power ROENextEra Energy ROEAmerican Electric Power operating marginNextEra Energy operating marginAmerican Electric Power revenue growthNextEra Energy revenue growthAmerican Electric Power free cash flowNextEra Energy free cash flow
American Electric Power & NextEra Energy appear in these rankings
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.