American Electric price target lowered to $105 from $108 at Scotiabank

Scotiabank lowered the firm’s price target on American Electric (AEP) to $105 from $108 and keeps an Outperform rating on the shares. While the firm is encouraged by the robust load growth outlook, increase to the capex plan, and pickup in the long-term EPS growth rate, the lower-than-expected starting point is “disappointing,” the analyst tells investors. Overall, the firm is remaining bullish on the stock, believing investor concerns over regulatory relationship and balance sheets are reasonable, but overdone.