Edison International
NYSE:EIX
Intrinsic Value
Edison International is a renewable energy company, which through its subsidiaries, generates and distributes electric power, and invests in energy services and technologies. [ Read More ]
The intrinsic value of one EIX stock under the Base Case scenario is 121.52 USD. Compared to the current market price of 70.73 USD, Edison International is Undervalued by 42%.
Valuation Backtest
Edison International
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Fundamental Analysis
Guided Strong Earnings Growth Despite Headwinds
2023-Q4 Earnings Call
In 2023, the company delivered core earnings per share (EPS) above the midpoint and committed to significant investments of $38 to $43 billion for grid improvements, emphasizing reliability and wildfire mitigation, with this spending pattern having previous approval records. The EPS for 2024 is estimated to be between $4.75 and $5.05, reflecting modest growth due to increased interest expenses from wildfire settlement-related debt, operational variance reductions, and some increased costs. However, the utility forecasts a strong 5% to 7% core EPS growth from 2021 through 2025, envisioning an uplift in 2025 EPS driven majorly by a rate base earnings increase of 11% to 14%. Notably, this growth is forecasted despite an approximately $325 million pretax interest expense dragging on earnings. Investors can expect minimal financing activities in 2024, maintained EPS growth targets of 5% to 7% through 2028, and potential upside from operational excellence initiatives and cost recovery endeavors.
Balance Sheet Decomposition
Edison International
Current Assets | 6.8B |
Cash & Short-Term Investments | 345m |
Receivables | 2B |
Other Current Assets | 4.5B |
Non-Current Assets | 74.9B |
Long-Term Investments | 4.2B |
PP&E | 57.3B |
Other Non-Current Assets | 13.4B |
Current Liabilities | 8.6B |
Accounts Payable | 2B |
Accrued Liabilities | 120m |
Short-Term Debt | 1.1B |
Other Current Liabilities | 5.4B |
Non-Current Liabilities | 57.7B |
Long-Term Debt | 30.3B |
Other Non-Current Liabilities | 27.3B |
Earnings Waterfall
Edison International
Revenue
|
16.3B
USD
|
Cost of Revenue
|
-5.5B
USD
|
Gross Profit
|
10.9B
USD
|
Operating Expenses
|
-7.3B
USD
|
Operating Income
|
3.5B
USD
|
Other Expenses
|
-2.3B
USD
|
Net Income
|
1.2B
USD
|
Free Cash Flow Analysis
Edison International
What is Free Cash Flow?
EIX Profitability Score
Profitability Due Diligence
Edison International's profitability score is 47/100. The higher the profitability score, the more profitable the company is.
Score
Edison International's profitability score is 47/100. The higher the profitability score, the more profitable the company is.
EIX Solvency Score
Solvency Due Diligence
Edison International's solvency score is 23/100. The higher the solvency score, the more solvent the company is.
Score
Edison International's solvency score is 23/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
EIX Price Targets Summary
Edison International
According to Wall Street analysts, the average 1-year price target for EIX is 75.44 USD with a low forecast of 58.58 USD and a high forecast of 90.3 USD.
Ownership
EIX Insider Trading
Buy and sell transactions by insiders
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Shareholder Return
EIX Price
Edison International
Average Annual Return | 6.15% |
Standard Deviation of Annual Returns | 17.19% |
Max Drawdown | -43% |
Market Capitalization | 27.3B USD |
Shares Outstanding | 384 524 000 |
Percentage of Shares Shorted | 2.31% |
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
Edison International is a renewable energy company, which through its subsidiaries, generates and distributes electric power, and invests in energy services and technologies. The company is headquartered in Rosemead, California and currently employs 13,003 full-time employees. The Company, through its subsidiaries, generates and distributes electric power, as well as provides energy services and technologies, including renewable energy. SCE is a public utility primarily engaged in the business of supplying and delivering electricity to an approximately 50,000 square mile area of southern California. SCE serves approximately 15 million customers across Southern, Central, and Coastal California. Edison Energy Group is an indirect wholly owned subsidiary of Edison International and a holding company for Edison Energy, LLC (Edison Energy) which is engaged in the competitive business of providing data driven energy solutions to commercial, institutional and industrial customers.
Contact
IPO
Employees
Officers
The intrinsic value of one EIX stock under the Base Case scenario is 121.52 USD.
Compared to the current market price of 70.73 USD, Edison International is Undervalued by 42%.