Last Updated: 16 Sep 2024
Executive Summary
Edison International (EIX) is a leading electric utility holding company with a strong financial position and a track record of consistent earnings growth. The company's shares are currently trading at $85.42, near their 52-week high. Analysts are generally positive on the stock, with a consensus target price of $88.35.
Company Overview
Edison International is a public utility holding company based in Rosemead, California. Its subsidiaries include Southern California Edison, one of the largest electric utilities in the United States, and Edison Energy, an unregulated non-utility business assets. The company serves over 15 million customers in Southern California, Central California, and Nevada.
Fundamental Analysis
Edison International's financial performance has been strong in recent years. The company's revenue has grown steadily, and its earnings per share have increased by an average of 5% per year over the past five years. The company's profit margins are also healthy, and its return on equity is above the industry average.
Edison International's balance sheet is also strong. The company has a low level of debt and a high level of liquidity. This gives the company the financial flexibility to invest in new growth opportunities and to withstand economic downturns.
Technical Analysis
Edison International's stock price has been trending higher in recent months. The stock is currently trading above its 50-day and 200-day moving averages, which is a bullish sign. The stock's relative strength index (RSI) is also in bullish territory, indicating that the stock is not overbought.
Short Term Outlook
Edison International's stock price is expected to continue to trend higher in the short term. The company's strong financial performance and positive analyst sentiment are likely to support the stock's price. The stock's technical indicators are also bullish, suggesting that the stock is likely to continue to rise.
Long Term Outlook
Edison International's long-term outlook is also positive. The company's strong financial position and its position as a leading electric utility in California give it a competitive advantage in the long term. The company's investment in renewable energy is also likely to benefit it in the long term, as the demand for clean energy continues to grow.
Analyst Recommendations
Analysts are generally positive on Edison International's stock. The consensus target price for the stock is $88.35, which represents a potential upside of 3.4% from the current price. Four analysts have a "Strong Buy" rating on the stock, seven have a "Buy" rating, seven have a "Hold" rating, and one has a "Sell" rating.
