NEW YORK (TheStreet) -- Shares of American Electric Power Co. (AEP) - Get Report are higher by 0.21% to $58.30 on Thursday morning, after the company reported its 2015 fourth quarter earnings results.
Before the market open, the Columbus, OH-based utility holding company reported operating earnings of 48 cents per share, lower than analysts' estimates of 50 cents per share.
Revenue for the quarter was $3.6 billion, which missed analysts' expectations of $3.87 billion.
"Our strong 2015 earnings performance demonstrates that ongoing investment in our core, regulated operations is the right way to deliver enhanced service for our customers and value for our shareholders," CEO Nicholas K. Akins said in a statement.
"We increased our earnings guidance twice in 2015 and achieved earnings performance solidly within our revised range, despite extremely warm temperatures in the fourth quarter."
TheStreet's Jim Cramer and Jack Mohr said the company reported a solid quarter in a new Action Alerts Plus post this morning.
"Although there was a slight, declining sales trend in the quarter, the company saw great performances from its Vertically Integrated Utility segment and from its AEP Transmission Holdco. In addition, management raised its 2017 to 2018 capital expenditures forecast to $5 billion a year -- an increase of $1 billion a year -- to support long-term earnings growth, which we believe will generally offset any negative reaction to declining sales, as this bodes well for future results," Cramer and Mohr said.
American Electric Power delivers electricity to almost 5.4 million customers in 11 states.
Separately, TheStreet Ratings Team has a "buy" rating with a score of A on the stock.
This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that the team rates.
The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, good cash flow from operations, increase in net income and attractive valuation levels.
The team believes its strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: AEP