Consolidated Edison (ED) AI Stock Analysis

• Market Cap: $35.21B
• Dividend Yield: 3.42%
• Average Volume (3M): 2.32M
• Price to Earnings (P/E): 17.7
• Beta (1Y): -0.16
• Revenue Growth: 9.03%
• EPS Growth: 7.22%
• Country: US
• Employees: 15,097
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 0.67
• Shares Outstanding: 360,651,670
• 10 Day Avg. Volume: 2,146,840
• 30 Day Avg. Volume: 2,317,005
• PEG Ratio: -0.62
• Price to Book (P/B): 1.41
• Price to Sales (P/S): 2.02
• P/FCF Ratio: -26.68
• Enterprise Value/Market Cap: 1.76
• Enterprise Value/Revenue: 3.83
• Enterprise Value/Gross Profit: 6.31
• Enterprise Value/Ebitda: 10.60
• 1Y Price Target: $102.13
• Price Target Upside: 3.36% Upside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 8

• Rating: 66 Neutral
• Price Target: $106.00 ▲(7.28% Upside)

Consolidated Edison receives a moderate score driven by stable financial performance and reasonable valuation. The company's solid revenue growth and profitability are offset by cash flow challenges. Technical indicators suggest potential short-term weakness, but the attractive dividend yield supports the stock's appeal for income investors.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business operations, supporting long-term financial stability.

Leverage Management

Improved leverage management enhances financial stability and reduces risk, providing a solid foundation for future growth and investment.

Profit Margins

Strong profit margins indicate efficient operations and pricing power, contributing to sustained profitability and competitive advantage.

Negative Factors

Free Cash Flow Decline

Declining free cash flow can limit the company's ability to invest in growth opportunities and meet financial obligations, posing a risk to long-term sustainability.

Operational Efficiency Pressure

Decreasing operational efficiency can erode profitability and competitiveness, necessitating strategic improvements to maintain market position.

Liquidity Concerns

Liquidity issues can constrain the company's ability to fund operations and growth, impacting its financial flexibility and resilience.

Consolidated Edison Business Overview & Revenue Model

Company Description

Consolidated Edison, Inc., through its subsidiaries, engages in the regulated electric, gas, and steam delivery businesses in the United States. It offers electric services to approximately 3.5 million customers in New York City and Westchester County; gas to approximately 1.1 million customers in Manhattan, the Bronx, parts of Queens, and Westchester County; and steam to approximately 1,555 customers in parts of Manhattan. The company also supplies electricity to approximately 0.3 million customers in southeastern New York and northern New Jersey; and gas to approximately 0.1 million customers in southeastern New York. In addition, it operates 533 circuit miles of transmission lines; 15 transmission substations; 64 distribution substations; 87,564 in-service line transformers; 3,924 pole miles of overhead distribution lines; and 2,291 miles of underground distribution lines, as well as 4,350 miles of mains and 377,971 service lines for natural gas distribution. Further, the company owns, operates, and develops renewable and energy infrastructure projects; and provides energy-related products and services to wholesale and retail customers, as well as invests in electric and gas transmission projects. It primarily sells electricity to industrial, commercial, residential, and government customers. The company was founded in 1823 and is based in New York, New York.

How the Company Makes Money

Con Edison generates revenue primarily through the sale of electricity, natural gas, and steam to residential, commercial, and industrial customers. The company operates under a regulated utility framework, where it earns money through rates set by state public utility commissions. Key revenue streams include charges for energy delivery, usage fees, and various service-related fees. Additionally, Con Edison invests in renewable energy projects and energy efficiency programs, which can provide additional revenue opportunities. Partnerships with local governments and organizations to promote sustainable energy solutions also contribute to the company's earnings. Moreover, regulatory frameworks support Con Edison’s ability to recover costs and earn returns on capital investments, ensuring a stable revenue model.

Consolidated Edison Financial Statement Overview

Summary

Consolidated Edison demonstrates solid revenue growth and profitability with stable margins. However, challenges in cash flow, particularly with declining free cash flow, highlight potential liquidity concerns. Improved leverage management is a positive aspect.

Income Statement

Consolidated Edison shows a stable income statement with consistent revenue growth, evidenced by a 2.38% increase in TTM revenue. The company maintains healthy margins, with a gross profit margin of 56.21% and a net profit margin of 11.98% in the TTM period. However, the EBIT and EBITDA margins have slightly decreased compared to previous years, indicating some pressure on operational efficiency.

Balance Sheet

The balance sheet reflects a moderate financial position with a debt-to-equity ratio of 1.10, which is an improvement from previous years, indicating better leverage management. The return on equity stands at 8.48%, showing a stable return for shareholders. However, the equity ratio is relatively low, suggesting a higher reliance on debt financing.

Cash Flow

Cash flow analysis reveals challenges, with a significant decline in free cash flow growth at -65.72% in the TTM period. The operating cash flow to net income ratio is 0.81, indicating adequate cash generation relative to net income. However, the negative free cash flow to net income ratio highlights potential liquidity concerns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	16.15B	15.26B	14.65B	15.66B	13.67B	12.24B
Gross Profit	9.80B	9.76B	8.96B	9.55B	8.89B	8.06B
EBITDA	5.84B	5.48B	6.06B	5.17B	4.37B	4.11B
Net Income	1.94B	1.82B	2.52B	1.66B	1.35B	1.10B
Balance Sheet
Total Assets	71.50B	70.56B	66.33B	69.06B	63.12B	62.90B
Cash, Cash Equivalents and Short-Term Investments	1.51B	1.32B	1.19B	1.28B	992.00M	1.27B
Total Debt	27.09B	27.82B	25.01B	24.41B	25.36B	25.08B
Total Liabilities	47.74B	48.60B	45.17B	48.18B	42.78B	43.83B
Stockholders Equity	23.76B	21.96B	21.16B	20.69B	20.04B	18.85B
Cash Flow
Free Cash Flow	-278.00M	-1.16B	-2.34B	-233.00M	-1.22B	-1.71B
Operating Cash Flow	4.52B	3.61B	2.16B	3.94B	2.73B	2.20B
Investing Cash Flow	-5.31B	-5.27B	-1.00B	-4.57B	-3.48B	-4.22B
Financing Cash Flow	788.00M	1.80B	-1.49B	1.01B	461.00M	2.25B

Consolidated Edison Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 98.81
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ED, the sentiment is Neutral. The current price of 98.81 is above the 20-day moving average (MA) of 97.71, below the 50-day MA of 99.81, and below the 200-day MA of 99.48, indicating a neutral trend. The MACD of -0.09 indicates Negative momentum. The RSI at 51.31 is Neutral, neither overbought nor oversold. The STOCH value of 45.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ED.

Consolidated Edison Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WEC	76 Outperform	$36.37B	21.66	13.12%	3.10%	7.88%	20.67%
ETR	68 Neutral	$41.69B	23.25	11.32%	2.52%	1.38%	-2.90%
XEL	68 Neutral	$47.50B	22.28	10.65%	2.81%	1.20%	7.99%
EXC	68 Neutral	$45.51B	17.11	9.87%	3.48%	4.46%	8.68%
PEG	67 Neutral	$40.71B	20.60	12.19%	3.04%	13.73%	19.94%
ED	66 Neutral	$35.21B	17.70	8.54%	3.42%	9.03%	7.22%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%

Consolidated Edison Corporate Events

Consolidated Edison Holds Annual Shareholder Meeting

At the Annual Meeting, Consolidated Edison, Inc. stockholders elected board members, ratified PricewaterhouseCoopers LLP as independent accountants for 2025, and approved executive compensation. These decisions reflect continued shareholder support for the company’s leadership and strategic direction, potentially reinforcing its stability and market position.