Edison International Valuation

Is EIX undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of EIX when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: EIX ($69.4) is trading below our estimate of fair value ($277.58)

Significantly Below Fair Value: EIX is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for EIX?

Other financial metrics that can be useful for relative valuation.

EIX key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue4x
Enterprise Value/EBITDA11x
PEG Ratio1.6x

Price to Earnings Ratio vs Peers

How does EIX's PE Ratio compare to its peers?

The above table shows the PE ratio for EIX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average15.5x
XEL Xcel Energy
16.7x9.2%US$29.6b
ETR Entergy
9.5x-0.07%US$22.4b
FE FirstEnergy
19.7x10.7%US$22.1b
PCG PG&E
15.9x10.7%US$35.7b
EIX Edison International
22.3x13.8%US$26.7b

Price-To-Earnings vs Peers: EIX is expensive based on its Price-To-Earnings Ratio (22.3x) compared to the peer average (15.5x).


Price to Earnings Ratio vs Industry

How does EIX's PE Ratio compare vs other companies in the US Electric Utilities Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a8.5%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a8.5%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: EIX is expensive based on its Price-To-Earnings Ratio (22.3x) compared to the US Electric Utilities industry average (17.5x).


Price to Earnings Ratio vs Fair Ratio

What is EIX's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

EIX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio22.3x
Fair PE Ratio22.2x

Price-To-Earnings vs Fair Ratio: EIX is expensive based on its Price-To-Earnings Ratio (22.3x) compared to the estimated Fair Price-To-Earnings Ratio (22.2x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst EIX forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$69.40
US$73.77
+6.3%
10.5%US$86.00US$58.00n/a16
Mar ’25US$66.55
US$75.02
+12.7%
9.1%US$86.00US$60.50n/a15
Feb ’25US$68.29
US$74.38
+8.9%
10.3%US$86.00US$57.00n/a16
Jan ’25US$71.49
US$72.94
+2.0%
9.9%US$86.00US$57.00n/a16
Dec ’24US$67.48
US$72.06
+6.8%
11.3%US$86.00US$53.00n/a16
Nov ’24US$63.97
US$72.50
+13.3%
12.0%US$86.00US$52.00n/a16
Oct ’24US$63.29
US$74.19
+17.2%
11.4%US$86.00US$53.00n/a16
Sep ’24US$68.41
US$73.63
+7.6%
12.3%US$86.00US$51.00n/a15
Aug ’24US$71.04
US$74.43
+4.8%
12.2%US$89.00US$56.00n/a14
Jul ’24US$69.45
US$73.86
+6.3%
11.7%US$86.00US$55.00n/a14
Jun ’24US$66.68
US$73.93
+10.9%
11.2%US$86.00US$57.00n/a14
May ’24US$73.95
US$73.57
-0.5%
10.2%US$82.00US$58.00n/a14
Apr ’24US$70.59
US$71.08
+0.7%
12.1%US$82.00US$50.00n/a13
Mar ’24US$64.59
US$71.00
+9.9%
10.8%US$82.00US$54.00US$66.5514
Feb ’24US$67.87
US$70.29
+3.6%
9.9%US$82.00US$56.00US$68.2914
Jan ’24US$63.62
US$67.93
+6.8%
12.2%US$82.00US$52.00US$71.4914
Dec ’23US$65.52
US$67.27
+2.7%
12.3%US$82.00US$52.00US$67.4815
Nov ’23US$60.51
US$67.13
+10.9%
13.6%US$82.00US$49.00US$63.9715
Oct ’23US$56.58
US$73.47
+29.8%
8.3%US$82.00US$62.00US$63.2915
Sep ’23US$68.27
US$73.93
+8.3%
7.4%US$82.00US$62.00US$68.4115
Aug ’23US$66.99
US$72.93
+8.9%
8.6%US$82.00US$62.00US$71.0415
Jul ’23US$63.75
US$73.87
+15.9%
8.9%US$82.00US$55.00US$69.4515
Jun ’23US$69.73
US$74.67
+7.1%
6.8%US$82.00US$64.00US$66.6815
May ’23US$68.79
US$74.87
+8.8%
6.6%US$82.00US$65.00US$73.9515
Apr ’23US$71.04
US$71.57
+0.7%
8.7%US$82.00US$58.00US$70.5915
Mar ’23US$63.65
US$70.27
+10.4%
9.7%US$82.00US$54.00US$64.5915

Analyst Forecast: Target price is less than 20% higher than the current share price.


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