Edison International

Valuation Analysis

About the Company

Edison International, through its subsidiaries, engages in the generation and distribution of electric power. The company supplies and delivers through its electrical infrastructure to an approximately 50,000 square-mile area of southern, central, and coastal California. It serves residential, commercial, industrial, public authorities, agricultural, street lighting, and other sectors. The company's distribution network consists of approximately 13,000 circuit-miles of lines ranging from 55 kV to 500 kV and approximately 80 transmission substations; and approximately 38,000 circuit-miles of overhead lines, approximately 32,000 circuit-miles of underground lines, and approximately 730 distribution substations. Edison International was founded in 1886 and is based in Rosemead, California.

Edison International Stock at a Glance

Edison International (EIX) is currently trading at $72.95 with a market capitalization of $28.1B. The trailing P/E ratio stands at 7.93x, with a forward P/E of 11.2x. The 52-week range spans from $47.73 to $76.22; the current price is 4.3% below the yearly high. Year-over-year revenue growth stands at +7.7%. The net profit margin stands at 18.12%.

💰 Dividend

Edison International pays an annual dividend of $3.51 per share, representing a yield of 4.81%. The payout ratio stands at 37.07%.

📊 Analyst Rating

14 analysts rate Edison International (EIX) on consensus: Hold. The average price target is $74.96, implying +2.76% from the current price. Analyst price targets range from $62.00 to $86.00.

Edison International: The Investment Case in Detail

Edison International (EIX) operates in the Utilities — specifically Utilities - Regulated Electric — and is headquartered in United States. Below is a structured read of the investment case built directly from the latest fundamentals, valuation multiples, analyst positioning and smart-money flows. Each section translates raw numbers into the investment logic they imply, so you can decide whether the risk/reward fits your portfolio.

The Bull Case

The combination of a 58.68% gross margin and 27.49% operating margin shows the business converts revenue into profit efficiently — a hallmark of competitive moat. Our valuation screen flags the stock as undervalued relative to its fundamentals — multiples are running below where the cash flow profile would normally justify.

The Bear Case

The debt-to-equity ratio of 226.1% is elevated, meaning the company relies heavily on creditors — refinancing terms will become more important than operational performance in the next economic downturn.

Valuation in Context

At a PEG of 3.45, investors are paying more than three times the growth rate for each unit of earnings — that pricing assumes growth not only continues but accelerates from here. The EV/EBITDA multiple of 8.43x is below the historical equity-market average — strategic acquirers would find the cash-flow profile attractive at this level.

What to Watch Next

• The dividend yield near 4.81% combined with a payout ratio of 37.07% leaves room for further hikes — a track record of consecutive raises is a strong income signal.

Investment Thesis: Strengths & Weaknesses

Technical Snapshot

Price trades above both the 50- and 200-day moving averages, with 50d above 200d — a classic bullish setup (golden-cross alignment).

Risk Profile

The data points to relatively defensive market behavior, elevated short interest (5.02%), higher leverage relative to equity.

Trading Data

💵 Dividend Info

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