Analyst Note| Andrew Bischof, CFA, CPA |
We are reaffirming our $89 per share fair value estimate after American Electric Power increased its quarterly dividend to $0.78 per share, a 5.5% increase. The company's 2021 operating earnings guidance range of $4.55 to $4.75 and its long-term 5% to 7% growth rate are unchanged. Our expectations are for management to achieve the midpoint of this range. Our narrow moat and stable moat trend remain unchanged.