CONSOLIDATED EDISON INC (ED) Stock Fundamental Analysis
USA - NYSE:ED - US2091151041 - Common Stock
101.66 USD
+0.71 (+0.7%)
101.66 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. Both the profitability and the financial health of ED get a neutral evaluation. Nothing too spectacular is happening here. ED is not valued too expensively and it also shows a decent growth rate. Finally ED also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
ED had positive earnings in the past year.
ED had a positive operating cash flow in the past year.
ED had positive earnings in each of the past 5 years.
In the past 5 years ED always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 2.83%, ED belongs to the best of the industry, outperforming 88.46% of the companies in the same industry.
The Return On Equity of ED (8.42%) is comparable to the rest of the industry.
ED has a Return On Invested Capital of 3.67%. This is in the lower half of the industry: ED underperforms 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 3.96%.
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.
ED has a worse Operating Margin (17.82%) than 73.08% of its industry peers.
In the last couple of years the Operating Margin of ED has declined.
Looking at the Gross Margin, with a value of 77.43%, ED belongs to the top of the industry, outperforming 88.46% of the companies in the same industry.
ED's Gross Margin has been stable in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ED is destroying value.
Compared to 1 year ago, ED has more shares outstanding
ED has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ED has a worse debt to assets ratio.
2.2 Solvency
ED has an Altman-Z score of 1.12. This is a bad value and indicates that ED is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of ED (1.12) is better than 84.62% of its industry peers.
ED has a debt to FCF ratio of 1868.64. This is a negative value and a sign of low solvency as ED would need 1868.64 years to pay back of all of its debts.
The Debt to FCF ratio of ED (1868.64) is better than 92.31% of its industry peers.
ED has a Debt/Equity ratio of 1.08. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of ED (1.08) is better than 92.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 1868.64 | ||
| Altman-Z | 1.12 |
ROIC/WACC0.56
WACC6.59%
2.3 Liquidity
A Current Ratio of 1.08 indicates that ED should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.08, ED is doing good in 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 has a better Quick ratio (0.97) than 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.97 |
3. Growth
3.1 Past
ED shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.20%.
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%.
Measured over the past years, ED shows a small growth in Revenue. The Revenue has been growing by 3.94% on average per year.
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 Y7.3%
EPS Next 2Y7.12%
EPS Next 3Y6.5%
EPS Next 5Y5.91%
Revenue Next Year6.96%
Revenue Next 2Y5.41%
Revenue Next 3Y4.92%
Revenue Next 5Y4.74%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 rather expensively with a Price/Earnings ratio of 17.50.
Based on the Price/Earnings ratio, ED is valued a bit cheaper than the industry average as 61.54% of the companies are valued more expensively.
ED is valuated rather cheaply when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 16.41 indicates a correct valuation of ED.
ED's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.59, ED is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.5 | ||
| Fwd PE | 16.41 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ED.
ED's Price/Free Cash Flow ratio is rather cheap when compared to the industry. ED is cheaper than 92.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2618.83 | ||
| EV/EBITDA | 11.89 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ED does not grow enough to justify the current Price/Earnings ratio.
ED has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.4
PEG (5Y)4.09
EPS Next 2Y7.12%
EPS Next 3Y6.5%
5. Dividend
5.1 Amount
ED has a Yearly Dividend Yield of 3.37%.
Compared to an average industry Dividend Yield of 3.49, ED pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, ED pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
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 its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)2.39%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
ED pays out 55.43% of its income as dividend. 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.
DP55.43%
EPS Next 2Y7.12%
EPS Next 3Y6.5%
101.66
+0.71 (+0.7%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners72.03%
Inst Owner Change0.05%
Ins Owners0.16%
Ins Owner Change0.62%
Market Cap36.66B
Revenue(TTM)16.59B
Net Income(TTM)2.04B
Analysts52
Price Target106.56 (4.82%)
Short Float %2.37%
Short Ratio3.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
Yearly Dividend3.18
Dividend Growth(5Y)2.39%
DP55.43%
Div Incr Years34
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.25%
Min EPS beat(2)1.57%
Max EPS beat(2)4.93%
EPS beat(4)3
Avg EPS beat(4)1.57%
Min EPS beat(4)-0.36%
Max EPS beat(4)4.93%
EPS beat(8)7
Avg EPS beat(8)2.45%
EPS beat(12)8
Avg EPS beat(12)2.21%
EPS beat(16)11
Avg EPS beat(16)3.19%
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)0.41%
PT rev (3m)-0.81%
EPS NQ rev (1m)2.74%
EPS NQ rev (3m)1.72%
EPS NY rev (1m)0.07%
EPS NY rev (3m)0.01%
Revenue NQ rev (1m)-0.84%
Revenue NQ rev (3m)-0.71%
Revenue NY rev (1m)0.6%
Revenue NY rev (3m)1.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.5 | ||
| Fwd PE | 16.41 | ||
| P/S | 2.21 | ||
| P/FCF | 2618.83 | ||
| P/OCF | 8.29 | ||
| P/B | 1.52 | ||
| P/tB | 1.54 | ||
| EV/EBITDA | 11.89 |
EPS(TTM)5.81
EY5.72%
EPS(NY)6.2
Fwd EY6.09%
FCF(TTM)0.04
FCFY0.04%
OCF(TTM)12.26
OCFY12.06%
SpS46.01
BVpS67.01
TBVpS65.88
PEG (NY)2.4
PEG (5Y)4.09
Graham Number93.6
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 | 0.08% |
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 | 1868.64 | ||
| Debt/EBITDA | 5.09 | ||
| Cap/Depr | 201.69% | ||
| Cap/Sales | 26.56% | ||
| Interest Coverage | 2.71 | ||
| Cash Conversion | 85.98% | ||
| Profit Quality | 0.69% | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.97 | ||
| Altman-Z | 1.12 |
F-Score6
WACC6.59%
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 Y7.3%
EPS Next 2Y7.12%
EPS Next 3Y6.5%
EPS Next 5Y5.91%
Revenue 1Y (TTM)10.35%
Revenue growth 3Y3.71%
Revenue growth 5Y3.94%
Sales Q2Q%10.7%
Revenue Next Year6.96%
Revenue Next 2Y5.41%
Revenue Next 3Y4.92%
Revenue Next 5Y4.74%
EBIT growth 1Y10.54%
EBIT growth 3Y-1.12%
EBIT growth 5Y0.42%
EBIT Next Year92.81%
EBIT Next 3Y32.72%
EBIT Next 5Y21.55%
FCF growth 1Y100.73%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y76.98%
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 5 / 10 to CONSOLIDATED EDISON INC (ED). This can be considered as Fairly Valued.
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 4 / 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 55.43%.