American Electric Power (AEP) Stock Concentration Calculator
Calculator · free · no signup · AEPQuantify American Electric Power concentration risk. Drawdown impact at 30 / 50 / 70%, with the tax-aware trade-off between selling down and hedging.
Beta · invite-only · AlphaLatitude Inc. · Free Tools
Your inputs
Adjust — results update instantly.Position & portfolio
Tax
Most fee-only advisors target ≤10% in any single name. You're at 67%.
Estimates only. Not financial advice.
Most sensitive to: Expected market return (±10% on this input swings best-plan wealth by ±$190,508).
Cost of fully de-concentrating
All three plans sell to 0% (no hedge).Sensitivity. If your expected position return drops below 19.6%/yr, lump-sum (sell everything today) beats every spread plan above.
Have multiple RSU vest lots? The RSU Lot Order Calculator picks which lots to sell first, and on which dates, to divest at the lowest computed tax.
Build your own plan
Toggle below — chart updates live. Sell buttons show the slice.Tech / Software single names hit a 50%+ peak-to-trough drawdown in roughly 1 of every 5 rolling 3-year windows over 2014–2024. Even mega-caps aren’t exempt.
Tax brackets: 2026 · Estimates only — not financial advice.
Estate note. Heirs receive a stepped-up basis at death (§1014), eliminating built-in gain on inherited shares. Older holders who plan to bequeath rather than sell may rationally never de-concentrate.
You sized one position's risk. The beta integrates hedging, sell-down, and tax timing into one optimized plan.
Request beta access →Related calculators: Protect Your Stock Calculator · RSU Lot Order Calculator · Equity Funding Plan Calculator
About American Electric Power
American Electric Power (AEP) is a public Utility company, incorporated in New York and headquartered in Columbus, OH.
Last close: $126.35 per share (as of 2026-08-18).
Equity grants at American Electric Power typically include restricted stock units (RSUs).
American Electric Power Company, Inc. is an American domestic electric utility company in the United States. It is one of the largest electric utility companies in the country, with more than five million customers in 11 states.
Source: Wikipedia (CC BY-SA 4.0)
The company traces to 1906 and operates one of the largest electricity transmission networks in the United States, serving customers across eleven states. Transmission investment earns a regulated return and has grown as the grid absorbs renewable generation built far from where power is consumed. Data-center load growth in several service territories has raised demand forecasts sharply after two decades of flat consumption. Coal plant retirement schedules are negotiated through state regulators. Headquarters are in Columbus, Ohio.
Sources: sec.gov · en.wikipedia.org
OptionsAhoy is an independent tool and is not affiliated with, endorsed by, or sponsored by American Electric Power.
If a meaningful share of your net worth sits in AEP, concentration risk is the question. This calculator quantifies drawdown impact at 30 / 50 / 70%, and the trade-off between selling down (tax cost now) versus hedging (option premium drag), auto-filled with AEP's option-implied volatility.
Example: 5,000 AEP shares at $126.35 is a $631,750 position. A 30% drawdown costs $189,525; a 50% drawdown costs $315,875; a 70% drawdown costs $442,225. The calculator quantifies the trade-off between selling down (immediate capital-gains tax) and hedging (option premium drag) using AEP's option-implied volatility and your cost basis.
All American Electric Power tools → · Use the generic Stock Concentration Calculator for any company. Diversifying multiple RSU lots? See the lot-by-lot sell order →
American Electric Power equity questions
- How much AEP stock is too much?
- There is no single threshold, but the larger the share of your net worth in one stock, the more a single bad year can set back your plans. The calculator above quantifies the drawdown impact at 30, 50, and 70 percent for your AEP position and weighs selling down (which triggers capital-gains tax now) against hedging (which costs option premium).
- Does American Electric Power grant ISOs, NSOs, or RSUs?
- Equity compensation at American Electric Power typically takes the form of restricted stock units (RSUs). Restricted stock units are taxed as ordinary income when they vest.
One piece of the puzzle.
OptionsAhoy plans your American Electric Power equity alongside hedging, vesting, and de-concentration, across bullish, neutral, and bearish market scenarios. Free during beta.