CONSOLIDATED EDISON INC (ED) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ED - US2091151041 - Common Stock
95.41 USD
-0.41 (-0.43%)
95.41 USD
0 (0%)
Taking everything into account, ED scores 5 out of 10 in our fundamental rating. ED was compared to 26 industry peers in the Multi-Utilities industry. ED has a medium profitability rating, but doesn't score so well on its financial health evaluation. ED is quite expensive at the moment. It does show a decent growth rate. Finally ED also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year ED was profitable.
ED had a positive operating cash flow in the past year.
Each year in the past 5 years ED has been profitable.
In the past 5 years ED always reported a positive cash flow from operatings.
1.2 Ratios
ED has a Return On Assets of 2.83%. This is amongst the best in the industry. ED outperforms 88.46% of its industry peers.
With a Return On Equity value of 8.42%, ED perfoms like the industry average, outperforming 46.15% of the companies in the same industry.
ED has a worse Return On Invested Capital (3.67%) than 73.08% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ED is in line with the industry average of 3.94%.
The 3 year average ROIC (3.42%) for ED is below the current ROIC(3.67%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 8.42% | ||
| ROIC | 3.67% |
ROA(3y)2.93%
ROA(5y)2.53%
ROE(3y)9.41%
ROE(5y)8.16%
ROIC(3y)3.42%
ROIC(5y)3.64%
1.3 Margins
ED has a Profit Margin (12.26%) which is in line with its industry peers.
ED's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 17.82%, ED is doing worse than 73.08% of the companies in the same industry.
ED's Operating Margin has declined in the last couple of years.
The Gross Margin of ED (77.43%) is better than 88.46% of its industry peers.
In the last couple of years the Gross Margin of ED has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.82% | ||
| PM (TTM) | 12.26% | ||
| GM | 77.43% |
OM growth 3Y-4.66%
OM growth 5Y-3.39%
PM growth 3Y6.62%
PM growth 5Y2.24%
GM growth 3Y-0.95%
GM growth 5Y-0.37%
2. Health
2.1 Basic Checks
ED has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for ED has been increased compared to 1 year ago.
Compared to 5 years ago, ED has more shares outstanding
Compared to 1 year ago, ED has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.10, we must say that ED is in the distress zone and has some risk of bankruptcy.
With an excellent Altman-Z score value of 1.10, ED belongs to the best of the industry, outperforming 88.46% of the companies in the same industry.
A Debt/Equity ratio of 1.08 is on the high side and indicates that ED has dependencies on debt financing.
ED's Debt to Equity ratio of 1.08 is amongst the best of the industry. ED outperforms 92.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.1 |
ROIC/WACC0.56
WACC6.53%
2.3 Liquidity
A Current Ratio of 1.08 indicates that ED should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.08, ED is in the better half of the industry, outperforming 65.38% of the companies in the same industry.
A Quick Ratio of 0.97 indicates that ED may have some problems paying its short term obligations.
ED's Quick ratio of 0.97 is amongst the best of the industry. ED outperforms 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.97 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.20% over the past year.
Measured over the past 5 years, ED shows a small growth in Earnings Per Share. The EPS has been growing by 4.28% on average per year.
ED shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.35%.
ED shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.94% yearly.
EPS 1Y (TTM)7.2%
EPS 3Y7.23%
EPS 5Y4.28%
EPS Q2Q%13.1%
Revenue 1Y (TTM)10.35%
Revenue growth 3Y3.71%
Revenue growth 5Y3.94%
Sales Q2Q%10.7%
3.2 Future
ED is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.91% yearly.
Based on estimates for the next years, ED will show a small growth in Revenue. The Revenue will grow by 4.74% on average per year.
EPS Next Y7.78%
EPS Next 2Y7.36%
EPS Next 3Y6.79%
EPS Next 5Y5.91%
Revenue Next Year7.87%
Revenue Next 2Y5.69%
Revenue Next 3Y5.28%
Revenue Next 5Y4.74%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
ED is valuated correctly with a Price/Earnings ratio of 16.42.
The rest of the industry has a similar Price/Earnings ratio as ED.
Compared to an average S&P500 Price/Earnings ratio of 26.59, ED is valued a bit cheaper.
A Price/Forward Earnings ratio of 15.33 indicates a correct valuation of ED.
61.54% of the companies in the same industry are more expensive than ED, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.80, ED is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.42 | ||
| Fwd PE | 15.33 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ED.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.3 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of ED may justify a higher PE ratio.
PEG (NY)2.11
PEG (5Y)3.84
EPS Next 2Y7.36%
EPS Next 3Y6.79%
5. Dividend
5.1 Amount
ED has a Yearly Dividend Yield of 3.53%.
ED's Dividend Yield is a higher than the industry average which is at 3.54.
Compared to an average S&P500 Dividend Yield of 2.31, ED pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.53% |
5.2 History
The dividend of ED has a limited annual growth rate of 2.39%.
ED has paid a dividend for at least 10 years, which is a reliable track record.
ED has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)2.39%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
56.36% of the earnings are spent on dividend by ED. This is a bit on the high side, but may be sustainable.
The dividend of ED is growing, but earnings are growing more, so the dividend growth is sustainable.
DP56.36%
EPS Next 2Y7.36%
EPS Next 3Y6.79%
95.41
-0.41 (-0.43%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners72.54%
Inst Owner Change2.5%
Ins Owners0.16%
Ins Owner Change-0.54%
Market Cap34.44B
Revenue(TTM)16.59B
Net Income(TTM)2.04B
Analysts52
Price Target105.64 (10.72%)
Short Float %2.28%
Short Ratio3.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.53% |
Yearly Dividend3.18
Dividend Growth(5Y)2.39%
DP56.36%
Div Incr Years34
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.73%
Min EPS beat(2)1.57%
Max EPS beat(2)5.89%
EPS beat(4)3
Avg EPS beat(4)1.81%
Min EPS beat(4)-0.36%
Max EPS beat(4)5.89%
EPS beat(8)7
Avg EPS beat(8)2.57%
EPS beat(12)8
Avg EPS beat(12)2.29%
EPS beat(16)11
Avg EPS beat(16)3.25%
Revenue beat(2)2
Avg Revenue beat(2)2.57%
Min Revenue beat(2)0.84%
Max Revenue beat(2)4.31%
Revenue beat(4)3
Avg Revenue beat(4)1.69%
Min Revenue beat(4)-3.22%
Max Revenue beat(4)4.83%
Revenue beat(8)3
Avg Revenue beat(8)-2.4%
Revenue beat(12)5
Avg Revenue beat(12)0.26%
Revenue beat(16)9
Avg Revenue beat(16)2.79%
PT rev (1m)-0.86%
PT rev (3m)-1.55%
EPS NQ rev (1m)-7.8%
EPS NQ rev (3m)-12.65%
EPS NY rev (1m)0.45%
EPS NY rev (3m)0.48%
Revenue NQ rev (1m)-0.34%
Revenue NQ rev (3m)-0.86%
Revenue NY rev (1m)0.85%
Revenue NY rev (3m)1.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.42 | ||
| Fwd PE | 15.33 | ||
| P/S | 2.08 | ||
| P/FCF | N/A | ||
| P/OCF | 7.44 | ||
| P/B | 1.42 | ||
| P/tB | 1.45 | ||
| EV/EBITDA | 11.3 |
EPS(TTM)5.81
EY6.09%
EPS(NY)6.22
Fwd EY6.52%
FCF(TTM)-0.19
FCFYN/A
OCF(TTM)12.83
OCFY13.44%
SpS45.97
BVpS66.96
TBVpS65.83
PEG (NY)2.11
PEG (5Y)3.84
Graham Number93.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 8.42% | ||
| ROCE | 4.43% | ||
| ROIC | 3.67% | ||
| ROICexc | 3.68% | ||
| ROICexgc | 3.7% | ||
| OM | 17.82% | ||
| PM (TTM) | 12.26% | ||
| GM | 77.43% | ||
| FCFM | N/A |
ROA(3y)2.93%
ROA(5y)2.53%
ROE(3y)9.41%
ROE(5y)8.16%
ROIC(3y)3.42%
ROIC(5y)3.64%
ROICexc(3y)3.49%
ROICexc(5y)3.71%
ROICexgc(3y)3.52%
ROICexgc(5y)3.78%
ROCE(3y)4.23%
ROCE(5y)4.48%
ROICexgc growth 3Y-5.69%
ROICexgc growth 5Y-4.55%
ROICexc growth 3Y-4.94%
ROICexc growth 5Y-3.92%
OM growth 3Y-4.66%
OM growth 5Y-3.39%
PM growth 3Y6.62%
PM growth 5Y2.24%
GM growth 3Y-0.95%
GM growth 5Y-0.37%
F-Score6
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5 | ||
| Cap/Depr | 206.05% | ||
| Cap/Sales | 28.31% | ||
| Interest Coverage | 2.59 | ||
| Cash Conversion | 88.41% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.97 | ||
| Altman-Z | 1.1 |
F-Score6
WACC6.53%
ROIC/WACC0.56
Cap/Depr(3y)216.17%
Cap/Depr(5y)209.9%
Cap/Sales(3y)29.64%
Cap/Sales(5y)30.04%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.2%
EPS 3Y7.23%
EPS 5Y4.28%
EPS Q2Q%13.1%
EPS Next Y7.78%
EPS Next 2Y7.36%
EPS Next 3Y6.79%
EPS Next 5Y5.91%
Revenue 1Y (TTM)10.35%
Revenue growth 3Y3.71%
Revenue growth 5Y3.94%
Sales Q2Q%10.7%
Revenue Next Year7.87%
Revenue Next 2Y5.69%
Revenue Next 3Y5.28%
Revenue Next 5Y4.74%
EBIT growth 1Y10.54%
EBIT growth 3Y-1.12%
EBIT growth 5Y0.42%
EBIT Next Year88.14%
EBIT Next 3Y32.02%
EBIT Next 5Y20.15%
FCF growth 1Y96.45%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y85.35%
OCF growth 3Y9.76%
OCF growth 5Y2.89%
CONSOLIDATED EDISON INC / ED FAQ
Can you provide the ChartMill fundamental rating for CONSOLIDATED EDISON INC?
ChartMill assigns a fundamental rating of 5 / 10 to ED.
What is the valuation status for ED stock?
ChartMill assigns a valuation rating of 3 / 10 to CONSOLIDATED EDISON INC (ED). This can be considered as Overvalued.
What is the profitability of ED stock?
CONSOLIDATED EDISON INC (ED) has a profitability rating of 6 / 10.
What is the financial health of CONSOLIDATED EDISON INC (ED) stock?
The financial health rating of CONSOLIDATED EDISON INC (ED) is 3 / 10.
How sustainable is the dividend of CONSOLIDATED EDISON INC (ED) stock?
The dividend rating of CONSOLIDATED EDISON INC (ED) is 7 / 10 and the dividend payout ratio is 56.36%.