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EIX

Edison International NYSE:EIX Stock Report

Last Price

US$63.75

Market Cap

US$24.3b

7D

1.5%

1Y

11.7%

Updated

03 Jul, 2022

Data

Company Financials +
EIX fundamental analysis
Snowflake Score
Valuation0/6
Future Growth1/6
Past Performance0/6
Financial Health1/6
Dividends4/6

EIX Stock Overview

Edison International, through its subsidiaries, generates and distributes electric power.

Edison International Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Edison International
Historical stock prices
Current Share PriceUS$63.75
52 Week HighUS$73.32
52 Week LowUS$54.14
Beta0.66
1 Month Change-9.40%
3 Month Change-10.26%
1 Year Change11.74%
3 Year Change-5.11%
5 Year Change-17.03%
Change since IPO216.77%

Recent News & Updates

May 24
Edison International (NYSE:EIX) Seems To Be Using A Lot Of Debt

Edison International (NYSE:EIX) Seems To Be Using A Lot Of Debt

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

May 15

Edison International: Reasonable Performance But Too Expensive Given Risks

Edison International's operating income and net income both declined YOY, which is the exact opposite of what we typically expect from a utility company. This was largely due to a one-off non-cash charge and does not accurately reflect the performance of the company's underlying operations. Edison International plans to aggressively continue its growth trajectory by making significant capital investments between now and the end of 2025. The company has been devoting a great deal of effort towards reducing the risk that it could cause a wildfire, which is a very good idea. The company is somewhat riskier than its peers in other states, yet the stock trades at a premium. It might make sense to wait for it to drop down a bit.

May 10
Edison International (NYSE:EIX) Has More To Do To Multiply In Value Going Forward

Edison International (NYSE:EIX) Has More To Do To Multiply In Value Going Forward

To find a multi-bagger stock, what are the underlying trends we should look for in a business? Ideally, a business will...

Shareholder Returns

EIXUS Electric UtilitiesUS Market
7D1.5%4.0%-2.5%
1Y11.7%8.1%-21.2%

Return vs Industry: EIX exceeded the US Electric Utilities industry which returned 8.1% over the past year.

Return vs Market: EIX exceeded the US Market which returned -21.2% over the past year.

Price Volatility

Is EIX's price volatile compared to industry and market?
EIX volatility
EIX Average Weekly Movement4.1%
Electric Utilities Industry Average Movement3.4%
Market Average Movement8.1%
10% most volatile stocks in US Market16.8%
10% least volatile stocks in US Market3.3%

Stable Share Price: EIX is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: EIX's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
188613,003Pedro Pizarrohttps://www.edison.com

Edison International, through its subsidiaries, generates and distributes electric power. It delivers electricity to 15 million residential, commercial, industrial, public authorities, agricultural, and other customers across Southern, Central, and Coastal California. The company also provides energy solutions to commercial and industrial users.

Edison International Fundamentals Summary

How do Edison International's earnings and revenue compare to its market cap?
EIX fundamental statistics
Market CapUS$24.30b
Earnings (TTM)US$584.00m
Revenue (TTM)US$15.91b

41.6x

P/E Ratio

1.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
EIX income statement (TTM)
RevenueUS$15.91b
Cost of RevenueUS$6.87b
Gross ProfitUS$9.05b
Other ExpensesUS$8.46b
EarningsUS$584.00m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Jul 28, 2022

Earnings per share (EPS)1.53
Gross Margin56.85%
Net Profit Margin3.67%
Debt/Equity Ratio159.6%

How did EIX perform over the long term?

See historical performance and comparison

Dividends

4.4%

Current Dividend Yield

178%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

0/6

Valuation Score 0/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

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/Revenue3.6x
Enterprise Value/EBITDA10.5x
PEG Ratio3.4x

Price to Earnings Ratio vs Peers

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

EIX PE Ratio vs 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.
CompanyPEEstimated GrowthMarket Cap
Peer Average36.1x
ETR Entergy
22.1x9.3%US$23.4b
PCG PG&E
80.4x14.8%US$20.4b
ES Eversource Energy
23.2x7.9%US$30.1b
FE FirstEnergy
18.8x8.2%US$22.5b
EIX Edison International
41.6x12.3%US$24.3b

Price-To-Earnings vs Peers: EIX is expensive based on its Price-To-Earnings Ratio (41.6x) compared to the peer average (36.1x).


Price to Earnings Ratio vs Industry

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

Price-To-Earnings vs Industry: EIX is expensive based on its Price-To-Earnings Ratio (41.6x) compared to the US Electric Utilities industry average (22.1x)


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 Ratio41.6x
Fair PE Ratio25x

Price-To-Earnings vs Fair Ratio: EIX is expensive based on its Price-To-Earnings Ratio (41.6x) compared to the estimated Fair Price-To-Earnings Ratio (25x).


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 ($63.75) is trading above our estimate of fair value ($49.01)

Significantly Below Fair Value: EIX is trading above our estimate of fair value.


Price to Earnings Growth Ratio

PEG Ratio: EIX is poor value based on its PEG Ratio (3.4x)


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Future Growth

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

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


12.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EIX's forecast earnings growth (12.3% per year) is above the savings rate (1.9%).

Earnings vs Market: EIX's earnings (12.3% per year) are forecast to grow slower than the US market (13.6% per year).

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

Revenue vs Market: EIX's revenue (2.9% per year) is forecast to grow slower than the US market (8.2% per year).

High Growth Revenue: EIX's revenue (2.9% 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 (12.7%).


Discover growth companies

Past Performance

How has Edison International performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-2.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: EIX has a large one-off loss of $2.0B impacting its March 31 2022 financial results.

Growing Profit Margin: EIX's current net profit margins (3.7%) are lower than last year (5.9%).


Past Earnings Growth Analysis

Earnings Trend: EIX's earnings have declined by 2.8% per year over the past 5 years.

Accelerating Growth: EIX's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: EIX had negative earnings growth (-28.3%) over the past year, making it difficult to compare to the Electric Utilities industry average (9.5%).


Return on Equity

High ROE: EIX's Return on Equity (3.3%) is considered low.


Discover strong past performing companies

Financial Health

How is Edison International's financial position?

Financial Health Score

1/6

Financial Health Score 1/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: EIX's short term assets ($5.3B) do not cover its short term liabilities ($8.3B).

Long Term Liabilities: EIX's short term assets ($5.3B) do not cover its long term liabilities ($48.7B).


Debt to Equity History and Analysis

Debt Level: EIX's net debt to equity ratio (158.2%) is considered high.

Reducing Debt: EIX's debt to equity ratio has increased from 90.8% to 159.6% over the past 5 years.

Debt Coverage: EIX's debt is not well covered by operating cash flow (2.6%).

Interest Coverage: EIX's interest payments on its debt are well covered by EBIT (3x coverage).


Balance Sheet


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Dividend

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

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


4.39%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: EIX's dividend (4.39%) is higher than the bottom 25% of dividend payers in the US market (1.6%).

High Dividend: EIX's dividend (4.39%) is in the top 25% of dividend payers in the US market (4.25%)


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.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (177.5%), EIX's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: EIX is paying a dividend but the company has no free cash flows.


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Management

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

5.8yrs

Average management tenure


CEO

Pedro Pizarro (56 yo)

6.08yrs

Tenure

US$14,364,340

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 ($USD14.36M) is about average for companies of similar size in the US market ($USD13.43M).

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


Leadership Team

Experienced Management: EIX's management team is seasoned and experienced (5.8 years average tenure).


Board Members

Experienced Board: EIX's board of directors are considered experienced (5.1 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: EIX insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Edison International
  • Ticker: EIX
  • Exchange: NYSE
  • Founded: 1886
  • Industry: Electric Utilities
  • Sector: Utilities
  • Implied Market Cap: US$24.302b
  • Shares outstanding: 381.20m
  • Website: https://www.edison.com

Number of Employees


Location

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

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/03 00:00
End of Day Share Price2022/07/01 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.