AEP raises capital plan to $78 billion, beats profit estimates on data center demand

American Electric Power raised its five-year capital investment plan to $78 billion, signaling stronger growth expectations tied to rising electricity demand from data centers and industrial customers. The company also beat Wall Street estimates for first-quarter profit, reinforcing the improving fundamentals. The higher capex plan points to sustained network expansion and a constructive outlook for regulated utility earnings.

Analysis

American Electric Power raised its five-year capital investment plan to $78 billion, signaling stronger growth expectations tied to rising electricity demand from data centers and industrial customers. The company also beat Wall Street estimates for first-quarter profit, reinforcing the improving fundamentals. The higher capex plan points to sustained network expansion and a constructive outlook for regulated utility earnings.