COLUMBUS, Ohio – American Electric Power (NASDAQ: ), a major utility company with a market cap of $48.1 billion, announced the appointment of Trevor I. Mihalik as its new Executive Vice President and Chief Financial Officer, effective January 20th. Mihalik will succeed Chuck Zebula, who is transitioning to the role of senior advisor to the CEO before retiring in March. According to InvestingPro data, AEP maintains a fair grade of overall financial health, making this leadership transition particularly meaningful for investors.
Mihalik has more than three decades of experience in the energy sector, and was recently the president of the Sempro group. His experience includes various leadership positions spanning finance, risk management and business operations. Mihalik’s appointment is part of AEP’s strategy to improve operational performance and implement a multibillion-dollar capital plan to meet growing energy needs. The company currently trades at a P/E ratio of 18.1x and has demonstrated its financial stability through 54 consecutive years of dividend payments, with 15 consecutive years of dividend increases.
AEP President and CEO Bill Fehrman praised Mihalik’s diverse experience and leadership qualities, saying Mihalik will make a significant contribution to the company’s senior management team and internal succession planning. Mihalik expressed his enthusiasm for joining AEP and his commitment to creating value for stakeholders.
Fehrman also recognized Zebula for 25 years of valuable service at AEP, noting his significant contributions and leadership. Zebula will help in the transition until his retirement.
Mihalik’s career in the energy industry includes roles at Iberdrola (OTC:) Renewables Holdings, Chevron (NYSE:) Natural Gas and Bridgeline Holdings. He also chairs the finance committee on the board of directors The WD-40 Company (NASDAQ:). He holds a bachelor’s degree in accounting and an MBA, and is a certified public accountant in Texas.
American Electric Power, based in Columbus (WA:), Ohio, serves 5.6 million customers in 11 states and is investing $54 billion from 2025 to 2029 to support community energy needs. The company operates the nation’s largest electricity transmission system and is one of the largest producers of electricity in the US. With trailing twelve month EBITDA of $7.3 billion and a current dividend yield of 4.1%, AEP presents a comprehensive investment case. For detailed analysis and additional insights, investors can access the full Pro Research Report available at InvestingProwhich offers in-depth coverage of AEP among the top 1,400+ US stocks.
This executive change is based on a press release and represents a strategic move for AEP as it navigates the evolving energy landscape.
In other recent news, American Electric Power reported strong third quarter operating earnings of $1.85 per share, equal to $985 million. The company also revised full-year 2024 guidance to a range of $5.58 to $5.68 per share and introduced a 2025 operating earnings range of $5.75 to $5.95 per share. The company’s long-term earnings growth rate is projected at 6% to 8%, supported by a $54 billion capital plan for 2025-2029.
Scotiabank (TSX: ) and JPMorgan downgraded the company’s stock from Sector Perform and Overweight to Sector Perform and Neutral, adjusting their target price to $102. Meanwhile, BMO Capital initially raised its price target to $108.00, maintaining an Outperform rating. However, following AEP’s weaker-than-expected 2025 guidance, BMO Capital revised its price target to $104.00, while maintaining an Outperform rating.
These recent developments reflect the company’s current financial performance and future growth prospects, with analysts from Scotiabank, JPMorgan and BMO Capital providing their perspectives based on their analysis of the company’s announcements and valuations. Despite the downgrades and revised price targets, American Electric Power’s long-term value remains intact, according to analysts.
This article was generated with the help of AI and reviewed by an editor. See our T&C for more information.
