NYSE:ES

Stock Analysis Report

Executive Summary

Eversource Energy, a public utility holding company, engages in the energy delivery business.

Snowflake

Fundamentals

Established dividend payer and overvalued.


Similar Companies

Share Price & News

How has Eversource Energy's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.1%

ES

2.1%

US Electric Utilities

-0.6%

US Market


1 Year Return

33.9%

ES

19.6%

US Electric Utilities

0.7%

US Market

ES outperformed the Electric Utilities industry which returned 19.6% over the past year.

ES outperformed the Market in United States of America which returned 0.6% over the past year.


Share holder returns

ESIndustryMarket
7 Day1.1%2.1%-0.6%
30 Day4.4%3.3%2.9%
90 Day7.6%4.2%1.3%
1 Year37.8%33.9%23.6%19.6%2.9%0.7%
3 Year62.6%48.1%37.6%23.7%44.6%35.2%
5 Year120.0%87.5%84.3%52.9%61.9%44.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Eversource Energy undervalued based on future cash flows and its price relative to the stock market?

30.76x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Eversource Energy's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Eversource Energy's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Eversource Energy is overvalued based on earnings compared to the US Electric Utilities industry average.

Eversource Energy is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Eversource Energy is poor value based on expected growth next year.


Price Based on Value of Assets

Eversource Energy is good value based on assets compared to the US Electric Utilities industry average.


Next Steps

Future Growth

How is Eversource Energy expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

10.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Eversource Energy's revenue is expected to grow by 4.4% yearly, however this is not considered high growth (20% yearly).

Eversource Energy's earnings are expected to grow by 10.7% yearly, however this is not considered high growth (20% yearly).

Eversource Energy's revenue growth is positive but not above the United States of America market average.

Eversource Energy's earnings growth is positive but not above the United States of America market average.

Eversource Energy's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Eversource Energy is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Eversource Energy performed over the past 5 years?

5.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Eversource Energy's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

Eversource Energy's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Eversource Energy's 1-year earnings growth is negative, it can't be compared to the US Electric Utilities industry average.


Return on Equity

Eversource Energy has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Eversource Energy used its assets less efficiently than the US Electric Utilities industry average last year based on Return on Assets.


Return on Capital Employed

Eversource Energy's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Eversource Energy's financial position?


Financial Position Analysis

Eversource Energy's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Eversource Energy's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Eversource Energy's level of debt (125.1%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (95.2% vs 125.1% today).

Debt is not well covered by operating cash flow (13.3%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 3.6x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.1x debt.


Next Steps

Dividend

What is Eversource Energy's current dividend yield, its reliability and sustainability?

2.77%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Eversource Energy's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Eversource Energy's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.3x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.6x coverage).


Next Steps

Management

What is the CEO of Eversource Energy's salary, the management and board of directors tenure and is there insider trading?

5.0yrs

Average management tenure


CEO

Jim Judge (63yo)

3.4yrs

Tenure

US$14,925,381

Compensation

Mr. James J. Judge, also known as Jim, has been the Chief Executive Officer and President of Eversource Energy (formerly, Northeast Utilities/Northeast Utilities System) since May 4, 2016. Mr. Judge served ...


CEO Compensation Analysis

Jim's remuneration is higher than average for companies of similar size in United States of America.

Jim's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

5.0yrs

Average Tenure

61yo

Average Age

The average tenure for the Eversource Energy management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

7.4yrs

Average Tenure

68.5yo

Average Age

The tenure for the Eversource Energy board of directors is about average.


Insider Trading

Eversource Energy individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$99,99028 Aug 19
Philip Lembo
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares1,256
Max PriceUS$79.61
SellUS$641,43506 Aug 19
Gregory Butler
EntityIndividual
Role
Chief Legal Officer
Executive VP & General Counsel
Shares8,298
Max PriceUS$77.30
SellUS$510,66115 May 19
Leon Olivier
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Enterprise Energy Strategy & Business Development
Shares7,000
Max PriceUS$72.95
SellUS$789,23907 Mar 19
Gregory Butler
EntityIndividual
Role
Chief Legal Officer
Executive VP & General Counsel
Shares11,500
Max PriceUS$68.63
SellUS$71,76305 Mar 19
Sanford Cloud
EntityIndividual
Role
Lead Director
Lead Trustee
Shares1,042
Max PriceUS$68.87
SellUS$5,525,80627 Feb 19
James Judge
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares79,508
Max PriceUS$69.50
SellUS$114,56926 Feb 19
Jay Buth
EntityIndividual
Role
Chief Accounting Officer
VP, Controller & Chief Accounting Officer
Shares1,650
Max PriceUS$69.44
SellUS$176,22825 Feb 19
Frederica Williams
EntityIndividual
Role
Member of the Board of Directors
Shares2,501
Max PriceUS$70.46
SellUS$175,07025 Feb 19
William Van Faasen
EntityIndividual
Role
Member of the Board of Directors
Shares2,501
Max PriceUS$70.00
SellUS$503,23325 Feb 19
Joseph Nolan
EntityIndividual
Shares7,191
Max PriceUS$69.98
SellUS$1,050,91525 Feb 19
Christine Carmody
EntityIndividual
Role
Head of Human Resources
Executive Vice President of Human Resources & Information Technology
Shares15,000
Max PriceUS$70.06

Ownership Breakdown


Management Team

  • Jim Judge (63yo)

    Chairman

    • Tenure: 3.4yrs
    • Compensation: US$14.93m
  • Jeff Kotkin

    Vice President of Investor Relations

    • Tenure: 18.3yrs
  • Lee Olivier (71yo)

    Executive Vice President of Enterprise Energy Strategy & Business Development

    • Tenure: 13.8yrs
    • Compensation: US$2.84m
  • Werner Schweiger (60yo)

    Executive VP & COO

    • Tenure: 5yrs
    • Compensation: US$3.31m
  • Greg Butler (61yo)

    Executive VP & General Counsel

    • Tenure: 13.8yrs
    • Compensation: US$2.88m
  • Jay Buth (49yo)

    VP, Controller & Chief Accounting Officer

    • Tenure: 7.4yrs
  • Chris Carmody (56yo)

    Executive Vice President of Human Resources & Information Technology

    • Tenure: 3.1yrs
  • Phil Lembo (63yo)

    Executive VP & CFO

    • Tenure: 2.3yrs
    • Compensation: US$4.20m
  • Jim Hunt

    Chief Communications Officer & Senior VP for Regulatory Affairs

    • Tenure: 2.9yrs
  • Duncan MacKay

    Chief Compliance Officer & Deputy General Counsel

    • Tenure: 0yrs

Board Members

  • Jim Judge (63yo)

    Chairman

    • Tenure: 3.4yrs
    • Compensation: US$14.93m
  • Sanford Cloud (74yo)

    Lead Trustee

    • Tenure: 7.4yrs
    • Compensation: US$292.57k
  • Cotton Cleveland (67yo)

    • Tenure: 27.7yrs
    • Compensation: US$247.57k
  • Bill Van Faasen (71yo)

    • Tenure: 7.4yrs
    • Compensation: US$259.07k
  • John Kim (59yo)

    • Tenure: 1.7yrs
    • Compensation: US$247.57k
  • Jim DiStasio (72yo)

    • Tenure: 7.4yrs
    • Compensation: US$262.57k
  • Francis Doyle (71yo)

    • Tenure: 7.4yrs
    • Compensation: US$267.57k
  • Ken Leibler (70yo)

    • Tenure: 12.8yrs
    • Compensation: US$247.57k
  • Frederica Williams (61yo)

    • Tenure: 7.4yrs
    • Compensation: US$247.57k
  • Linda Forry (45yo)

    • Tenure: 1.3yrs
    • Compensation: US$218.82k

Company Information

Eversource Energy's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Eversource Energy
  • Ticker: ES
  • Exchange: NYSE
  • Founded: 1927
  • Industry: Electric Utilities
  • Sector: Utilities
  • Market Cap: US$26.943b
  • Shares outstanding: 323.60m
  • Website: https://www.eversource.com

Number of Employees


Location

  • Eversource Energy
  • 300 Cadwell Drive
  • Springfield
  • Massachusetts
  • 1104
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ESNYSE (New York Stock Exchange)YesCommon SharesUSUSDJan 1968
NWJDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1968
0IJ2LSE (London Stock Exchange)YesCommon SharesGBUSDJan 1968

Biography

Eversource Energy, a public utility holding company, engages in the energy delivery business. The company operates in four segments: Electric Distribution, Electric Transmission, Natural Gas Distribution,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/21 23:40
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.