Analyst Ratings for American Equity Investment Life Holding Co. (AEL)

Updated: 2017-07-27

Shares of American Equity Investment Life Holding Co. (NYSE:AEL) have received a consensus rating of Overweight from Wall Street analysts. About 30 days ago, AEL was issued an average rating of Overweight.

A buy rating was issued by 3 analysts, 1 issued an overweight rating, 6 gave a hold rating, 0 issued an underweight rating, and 0 issued a sell rating. Over the past 90 days, the number of analysts that are bullish on the stock has decreased by 2. Over the same time period, there has been an increase of 0 in the number of analysts with a negative outlook on the stock.

AEL was given price targets by several analysts. The most optimistic analyst gave a price target of 32, implying a possible profit of 19.05 percent. The most pessimistic analyst gave a price target of 25, implying potential capital losses of -6.99 percent. One must be careful with overanalyzing price targets and ratings due to possible conflicts of interest among the analysts releasing them.

Analysts have revised their earnings estimates upwards for this quarter, by about 0 percent on average, compared to last month. That number becomes 0.85 percent if we expand the time horizon to include the past 3 months instead of just one. Meanwhile, fiscal year estimates have been revised upwards by 0.81 percent, compared to last month. If we look at the last 90 days instead, we find a net average change of 3.97 percent in FY estimates.

Another thing investors often look at is the level of agreement among analysts' revisions. Over the past month, 2 analysts increased their quarterly estimates, while 2 analysts revised their estimates downwards. During this time, 2 analysts made positive revisions in their estimates for this fiscal year's earnings, compared to 2 analysts that revised their FY estimates downwards.

AEL has an estimated earnings growth rate of 19.6 percent as forecasted by analysts. It's possible to gain additional insight about growth valuation of a company by looking at the PEG ratio. A lower PEG ratio is favorable, because people typically see that as an indicator of higher growth relative to stock price. Many investors consider PEG ratios between 0 and 1 as preferrable, although it is frequently more appropriate to compare PEG ratios to the company's peers. AEL has a PEG ratio of 0.67.

In the last 52-weeks, AEL has achieved a high of 28.32 and a low of 15.07. Currently the stock is 78.37 percent higher than its low, and below the high by 5.08 percent. AEL has a price/earnings ratio of 13.18. Investors typically compare the P/E ratio to a company's peers in the industry. The AEL value stock report compares AEL to some of its peers using value stock charts. The market cap of AEL is $2.41 billion. AEL's next earnings release will be on 0000-00-00, which is days away.