American Electric Power Raises Quarterly Dividend 2.1% to $0.97, Extending 16-Year Growth Streak

American Electric Power (AEP) raised its quarterly dividend to $0.97 per share on Oct. 20, a 2.1% increase from $0.95, extending its dividend-growth streak to 16 years. The payment is due Dec. 10 to shareholders of record on Nov. 10. The new annual payout of $3.88 yields about 3% at a share price of $129.22. The Columbus, Ohio-based utility serves 5.6 million customers across 11 states and carries a market capitalization of roughly $70.6 billion. Second-quarter revenue rose about 7% year over year to $5.45 billion, while non-GAAP operating earnings fell $24 million to $742 million and operating EPS slipped to $1.36 from $1.43. AEP raised full-year operating EPS guidance to $6.25–$6.55 from $6.15–$6.45. Grid spending underpins growth. AEP is studying a 960-megawatt nuclear project with X-Energy (XE) in Indiana backed by Amazon (AMZN), and plans roughly $4 billion in Bloom Energy (BE) fuel cells in Wyoming under a 20-year Google (GOOGL) power agreement. Analysts expect third-quarter EPS of $2.04, up 13%, when AEP reports Oct. 28.