American Electric Power Company, Inc. (AEP) Return on Invested Capital (ROIC): 4.71%
Is American Electric Power Company, Inc.’s return on invested capital (ROIC) high or low?
American Electric Power Company, Inc.'s return on invested capital (ROIC) of 4.71% is in line with its 5-year average of 4.30%, near the high end of its 5-year range (3.87%–4.96%).
The return on invested capital (ROIC) for American Electric Power Company, Inc. (AEP) is 4.71% as of Wednesday, June 10, 2026. It is below its 12-month average by 2.59% (4.83%).
AEP Return on Invested Capital (ROIC) Chart
AEP Average Return on Invested Capital (ROIC) Chart
AEP Current vs Average Return on Invested Capital (ROIC) Chart
AEP Return on Invested Capital (ROIC) Metrics
RETURN ON INVESTED CAPITAL (ROIC)
4.71%
RETURN ON INVESTED CAPITAL (ROIC) AVG TTM
4.83%
RETURN ON INVESTED CAPITAL (ROIC) AVG 3Y
4.51%
RETURN ON INVESTED CAPITAL (ROIC) AVG 5Y
4.30%
RETURN ON INVESTED CAPITAL (ROIC) AVG 10Y
4.27%
RETURN ON INVESTED CAPITAL (ROIC) AVG 15Y
4.12%
RETURN ON INVESTED CAPITAL (ROIC) AVG 20Y
4.13%
CURRENT VS TTM AVG
-2.59%
CURRENT VS 3Y AVG
+4.49%
CURRENT VS 5Y AVG
+9.58%
CURRENT VS 10Y AVG
+10.23%
CURRENT VS 15Y AVG
+14.27%
CURRENT VS 20Y AVG
+13.95%
AEP Competitors' Return on Invested Capital (ROIC)
| NAME | MARKET CAP | RETURN ON INVESTED CAPITAL (ROIC) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| American Electric Power Company, Inc. (AEP) | $69.93B | 4.71% | 4.83% | 4.51% | 4.30% |
| Sempra (SRE) | $59.53B | 2.56% | 2.75% | 3.19% | 3.51% |
| Dominion Energy, Inc. (D) | $58.73B | 3.41% | 3.13% | 2.58% | 2.44% |
| Entergy Corporation (ETR) | $50.95B | 3.55% | 3.37% | 3.76% | 3.53% |
| Xcel Energy Inc. (XEL) | $48.76B | 3.77% | 3.71% | 3.95% | 3.99% |
| Exelon Corporation (EXC) | $46.67B | 3.97% | 3.95% | 3.68% | 3.14% |
| Duke Energy Corporation (DUK) | $97.49B | 4.13% | 4.07% | 3.83% | 3.58% |
| Consolidated Edison, Inc. (ED) | $39.65B | 3.24% | 3.36% | 3.27% | 3.54% |
| WEC Energy Group, Inc. (WEC) | $37.14B | 5.25% | 4.70% | 4.31% | 4.21% |
| The Southern Company (SO) | $105.99B | 4.36% | 4.30% | 4.00% | 3.75% |
Capital Efficiency
ROIC
4.7%
ROE
11.5%
American Electric Power Company, Inc. Return on Invested Capital (ROIC) Formula & Definition
ROIC = NOPAT / Invested Capital
Return on invested capital measures the after-tax return a company earns on all capital (debt and equity) invested in the business.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
American Electric Power Company, Inc. Return on Invested Capital (ROIC) FAQ
- What is the return on invested capital (ROIC) for American Electric Power Company, Inc. (AEP)?
- The return on invested capital (ROIC) for AEP stock is 4.71%.
- Is American Electric Power Company, Inc.'s return on invested capital (ROIC) high or low?
- American Electric Power Company, Inc.'s return on invested capital (ROIC) of 4.71% is in line with its 5-year average of 4.30%, near the high end of its 5-year range (3.87%–4.96%).
- What is the TTM average return on invested capital (ROIC) for American Electric Power Company, Inc. (AEP)?
- The TTM average return on invested capital (ROIC) for AEP stock is 4.83%.
- What is the 3Y average return on invested capital (ROIC) for American Electric Power Company, Inc. (AEP)?
- The 3Y average return on invested capital (ROIC) for AEP stock is 4.51%.
- What is the 5Y average return on invested capital (ROIC) for American Electric Power Company, Inc. (AEP)?
- The 5Y average return on invested capital (ROIC) for AEP stock is 4.30%.
- What is the 10Y average return on invested capital (ROIC) for American Electric Power Company, Inc. (AEP)?
- The 10Y average return on invested capital (ROIC) for AEP stock is 4.27%.
- What is the 15Y average return on invested capital (ROIC) for American Electric Power Company, Inc. (AEP)?
- The 15Y average return on invested capital (ROIC) for AEP stock is 4.12%.
- What is the 20Y average return on invested capital (ROIC) for American Electric Power Company, Inc. (AEP)?
- The 20Y average return on invested capital (ROIC) for AEP stock is 4.13%.
American Electric Power Company, Inc. Return on Invested Capital (ROIC) History
| DATE | RETURN ON INVESTED CAPITAL (ROIC) |
|---|---|
| 2025-12-31 | 4.71% |
| 2024-12-31 | 4.96% |
| 2023-12-31 | 4.45% |
| 2022-12-31 | 3.91% |
| 2021-12-31 | 3.89% |
| 2020-12-31 | 3.87% |
| 2019-12-31 | 3.87% |
| 2018-12-31 | 4.01% |
| 2017-12-31 | 3.70% |
| 2016-12-31 | 5.82% |
| 2015-12-31 | 3.81% |
| 2014-12-31 | 3.67% |
| 2013-12-31 | 3.95% |
| 2012-12-31 | 3.94% |
| 2011-12-31 | 3.78% |
| 2010-12-31 | 3.61% |
| 2009-12-31 | 4.13% |
| 2008-12-31 | 4.13% |
| 2007-12-31 | 4.30% |
| 2006-12-31 | 4.19% |
| 2005-12-31 | 4.10% |
| 2004-12-31 | 4.21% |
| 2003-12-31 | 3.06% |
| 2002-12-31 | 4.02% |
| 2001-12-31 | 4.07% |
| 2000-12-31 | 2.04% |
| 1999-12-31 | 8.18% |
| 1998-12-31 | 8.56% |
| 1997-12-31 | 5.52% |
| 1996-12-31 | 5.73% |
Related Metrics
About American Electric Power Company, Inc.
American Electric Power Company, Inc. (AEP) operates as a prominent electric utility holding company, with its core business encompassing the generation, transmission, and delivery of electricity. Serving both retail and wholesale clients across the United States, AEP organizes its extensive operations into several key segments: Vertically Integrated Utilities, Transmission and Distribution Utilities, AEP Transmission Holdco, and Generation & Marketing. The firm produces its electrical power from a diverse portfolio of energy sources, including coal, lignite, natural gas, nuclear, hydroelectric, solar, and wind power, alongside other emerging technologies. Beyond direct consumer sales, AEP also functions as a major wholesale electricity supplier, providing power to other utility companies, rural electric cooperatives, municipalities, and various other participants within the energy market. Incorporated in 1906, the company's corporate headquarters are situated in Columbus, Ohio.
- Sector
- Utilities
- Industry
- Regulated Electric
- CEO
- William J. Fehrman