DB:EIX

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Edison International

Executive Summary

Edison International, through its subsidiaries, engages in the generation, transmission, and distribution of electricity in the United States.


Snowflake Analysis

6 star dividend payer and slightly overvalued.


Similar Companies

Share Price & News

How has Edison International's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: EIX has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.8%

EIX

-0.6%

DE Electric Utilities

0.7%

DE Market


1 Year Return

-28.2%

EIX

14.4%

DE Electric Utilities

8.8%

DE Market

Return vs Industry: EIX underperformed the German Electric Utilities industry which returned 14.3% over the past year.

Return vs Market: EIX underperformed the German Market which returned 8.1% over the past year.


Shareholder returns

EIXIndustryMarket
7 Day1.8%-0.6%0.7%
30 Day-4.5%0.3%0.1%
90 Day-11.6%16.7%12.6%
1 Year-25.2%-28.2%18.6%14.4%11.2%8.8%
3 Year-23.5%-31.8%59.3%41.1%5.4%-3.0%
5 Year-0.7%-16.3%58.8%23.9%15.9%0.3%

Price Volatility Vs. Market

How volatile is Edison International's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Edison International undervalued compared to its fair value and its price relative to the market?

0.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: EIX (€46.4) is trading below our estimate of fair value (€46.81)

Significantly Below Fair Value: EIX is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: EIX is poor value based on its PE Ratio (17.7x) compared to the XE Electric Utilities industry average (11.9x).

PE vs Market: EIX is good value based on its PE Ratio (17.7x) compared to the German market (21.5x).


Price to Earnings Growth Ratio

PEG Ratio: EIX is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: EIX is overvalued based on its PB Ratio (1.4x) compared to the XE Electric Utilities industry average (0.7x).


Next Steps

Future Growth

How is Edison International forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

7.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EIX's forecast earnings growth (7.9% per year) is above the savings rate (0.2%).

Earnings vs Market: EIX's earnings (7.9% per year) are forecast to grow slower than the German market (24.5% per year).

High Growth Earnings: EIX's earnings are forecast to grow, but not significantly.

Revenue vs Market: EIX's revenue (3.4% per year) is forecast to grow slower than the German market (5.9% per year).

High Growth Revenue: EIX's revenue (3.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EIX's Return on Equity is forecast to be low in 3 years time (10.7%).


Next Steps

Past Performance

How has Edison International performed over the past 5 years?

-22.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EIX has a large one-off loss of $637.0M impacting its June 30 2020 financial results.

Growing Profit Margin: EIX became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: EIX's earnings have declined by 22.5% per year over the past 5 years.

Accelerating Growth: EIX has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: EIX has become profitable in the last year, making it difficult to compare its past year earnings growth to the Electric Utilities industry (6.3%).


Return on Equity

High ROE: EIX's Return on Equity (6.8%) is considered low.


Next Steps

Financial Health

How is Edison International's financial position?


Financial Position Analysis

Short Term Liabilities: EIX's short term assets ($4.8B) do not cover its short term liabilities ($5.9B).

Long Term Liabilities: EIX's short term assets ($4.8B) do not cover its long term liabilities ($44.7B).


Debt to Equity History and Analysis

Debt Level: EIX's debt to equity ratio (126.1%) is considered high.

Reducing Debt: EIX's debt to equity ratio has increased from 93.3% to 126.1% over the past 5 years.

Debt Coverage: EIX's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: EIX's interest payments on its debt are not well covered by EBIT (2.5x coverage).


Balance Sheet


Next Steps

Dividend

What is Edison International current dividend yield, its reliability and sustainability?

4.67%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: EIX's dividend (4.67%) is higher than the bottom 25% of dividend payers in the German market (1.23%).

High Dividend: EIX's dividend (4.67%) is in the top 25% of dividend payers in the German market (3.78%)


Stability and Growth of Payments

Stable Dividend: EIX's dividends per share have been stable in the past 10 years.

Growing Dividend: EIX's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (81.6%), EIX's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: EIX's dividends in 3 years are forecast to be covered by earnings (55.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.9yrs

Average management tenure


CEO

Pedro Pizarro (54 yo)

3.92yrs

Tenure

US$11,761,702

Compensation

Mr. Pedro J. Pizarro has been the Chief Executive Officer of Edison International since September 30, 2016 and has been its President since June 01 2016. He joined Edison International in 1999. Mr. Pizarro ...


CEO Compensation Analysis

Compensation vs Market: Pedro's total compensation ($USD11.76M) is above average for companies of similar size in the German market ($USD5.24M).

Compensation vs Earnings: Pedro's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Pedro Pizarro
President3.92yrsUS$11.76m0.016%
$ 2.9m
Maria Rigatti
Executive VP & CFO 3.92yrsUS$3.76m0.0053%
$ 939.4k
Adam Umanoff
Executive VP & General Counsel5.58yrsUS$2.61m0.0032%
$ 553.1k
J. Murphy
Senior Vice President of Strategy & Corporate Development2.58yrsUS$1.94m0.00080%
$ 140.5k
Kevin Payne
President4.58yrsUS$3.63m0.0031%
$ 549.6k
Sam Ramraj
Vice President of Investor Relations3.17yrsno datano data
Michael Montoya
VP and Chief Ethics & Compliance Officerno datano datano data
Beth Foley
Vice President of Corporate Communicationsno datano datano data
Jacqueline Trapp
Senior VP & Chief Human Resources Officer4.17yrsno data0.00080%
$ 140.5k
Caroline Choi
Senior Vice President of Corporate Affairs1.5yrsno data0.0014%
$ 238.8k
Robert Boada
VP & Treasurerno datano datano data
Aaron Moss
VP & Corporate Controller4.42yrsno data0.00098%
$ 172.1k

3.9yrs

Average Tenure

55yo

Average Age

Experienced Management: EIX's management team is considered experienced (3.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Pedro Pizarro
President3.92yrsUS$11.76m0.016%
$ 2.9m
Kevin Payne
President4.58yrsUS$3.63m0.0031%
$ 549.6k
William Sullivan
Independent Non-Executive Chair of the Board3.92yrsUS$435.05k0.0018%
$ 309.0k
Linda Stuntz
Independent Director6.33yrsUS$302.48k0.0015%
$ 263.4k
Vanessa C. Chang
Independent Director13.33yrsUS$325.73k0.0014%
$ 245.8k
Peter Taylor
Independent Director8.67yrsUS$305.03k0.0041%
$ 716.4k
Timothy O'Toole
Independent Director3yrsUS$299.19k0.0013%
$ 231.8k
James Morris
Independent Director4.33yrsUS$282.09k0.00044%
$ 77.3k
Brian Trent
Independent Director1.83yrsUS$281.77k0.0013%
$ 233.5k
Michael Camuñez
Independent Director3.17yrsUS$285.03kno data
Carey Smith
Independent Director0.83yrUS$68.86kno data
Jeanne Beliveau-Dunn
Independent Director1.5yrsUS$275.04kno data

4.1yrs

Average Tenure

60.5yo

Average Age

Experienced Board: EIX's board of directors are considered experienced (4.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.6%.


Top Shareholders

Company Information

Edison International's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Edison International
  • Ticker: EIX
  • Exchange: DB
  • Founded: 1886
  • Industry: Electric Utilities
  • Sector: Utilities
  • Market Cap: US$20.655b
  • Listing Market Cap: US$17.559b
  • Shares outstanding: 378.22m
  • Website: https://www.edison.com

Number of Employees


Location

  • Edison International
  • 2244 Walnut Grove Avenue
  • PO Box 976
  • Rosemead
  • California
  • 91770
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EIXNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
0IFJLSE (London Stock Exchange)YesCommon StockGBUSDJan 1968
EIXDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
EIX1 *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1968
E1IX34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REPR 1 COM NPVBRBRLDec 2019

Biography

Edison International, through its subsidiaries, engages in the generation, transmission, and distribution of electricity in the United States. The company generates electricity through hydroelectric, diese ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/10 21:19
End of Day Share Price2020/08/10 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.