Latest news with #EIX
Yahoo
a day ago
- Business
- Yahoo
Why Edison International (EIX) is a Top Value Stock for the Long-Term
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum. Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks. Incorporated in 1987, California-based Edison International (EIX) is the parent holding company of Southern California Edison (SCE) and Edison Energy. EIX boasts a Value Style Score of A and VGM Score of B, and holds a Zacks Rank #3 (Hold) rating. Shares of Edison International are trading at a forward earnings multiple of 8.3X , as well as a PEG Ratio of 1.2, a Price/Cash Flow ratio of 3.7X, and a Price/Sales ratio of 1.1X. A company's earnings performance is important for value investors as well. For fiscal 2025, three analysts revised their earnings estimate higher in the last 60 days for EIX, while the Zacks Consensus Estimate has increased $0.17 to $6.06 per share. EIX also holds an average earnings surprise of 8.8%. Investors should take the time to consider EIX for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Edison International (EIX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
19-05-2025
- Business
- Yahoo
Should Value Investors Buy Edison International (EIX) Stock?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers. Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels. Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today. Edison International (EIX) is a stock many investors are watching right now. EIX is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock holds a P/E ratio of 9.51, while its industry has an average P/E of 15.07. Over the past 52 weeks, EIX's Forward P/E has been as high as 16.23 and as low as 8.63, with a median of 14.14. EIX is also sporting a PEG ratio of 1.36. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. EIX's industry has an average PEG of 1.91 right now. Within the past year, EIX's PEG has been as high as 1.91 and as low as 1.02, with a median of 1.33. Another valuation metric that we should highlight is EIX's P/B ratio of 1.29. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This stock's P/B looks solid versus its industry's average P/B of 2.15. EIX's P/B has been as high as 2.09 and as low as 1.18, with a median of 1.80, over the past year. Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. EIX has a P/S ratio of 1.3. This compares to its industry's average P/S of 2.31. Finally, investors should note that EIX has a P/CF ratio of 3.59. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 8.91. Over the past 52 weeks, EIX's P/CF has been as high as 8.21 and as low as 3.27, with a median of 6.96. These are just a handful of the figures considered in Edison International's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that EIX is an impressive value stock right now. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Edison International (EIX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Reuters
16-05-2025
- Business
- Reuters
Southern California Edison submits three-year wildfire mitigation plan
May 16 (Reuters) - Southern California Edison (SCE), a unit of utility Edison International (EIX.N), opens new tab, said on Friday it has submitted a three-year wildfire mitigation plan to California's Office of Energy Infrastructure Safety. The plan builds on efforts to address immediate and long-term wildfire risks in response to extreme weather events, SCE said. Southern California Edison has been facing multiple lawsuits alleging that its electrical equipment started one of the major wildfires in the Los Angeles area – the Eaton fire. In April, the utility had submitted an initial plan to rebuild the areas within its service territory that were devastated by the Los Angeles wildfires. The wildfires tore across Los Angeles starting on January 7, leading to dozens of deaths and destroying thousands of homes. It is estimated to be the most expensive natural disaster in U.S. history. The company expects an investment of $6.2 billion over three years from 2026 to 2028 to achieve the plan.
Yahoo
30-04-2025
- Business
- Yahoo
Edison International (EIX) Q1 2025 Earnings Call Highlights: Strong EPS Growth Amid Wildfire ...
Core Earnings Per Share (EPS): $1.37, compared to $1.13 a year ago. EPS Guidance for 2025: Affirmed range of $5.94 to $6.34. Long-term EPS Growth Expectation: 5% to 7% CAGR from 2025 to 2028, translating to $6.74 to $7.14 of 2028 EPS. TKM Settlement Impact: Approximately $0.30 EPS contribution in Q1. Interest Expense: Higher at EIX Parent and Other. Wildfire Mitigation and Restoration Settlement: Awaiting CPUC approval, authorizing 100% of capital expenditures and 96% of O&M. Capital Expenditure Forecast: Includes $1.4 billion annually on wildfire mitigation and $2 billion of FERC transmission spending. Debt Issuance: $550 million of senior notes by EIX and $1.5 billion of long-term debt by SCE. Warning! GuruFocus has detected 10 Warning Signs with EIX. Release Date: April 29, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Edison International (NYSE:EIX) reported a significant increase in core earnings per share, rising to $1.37 from $1.13 year-over-year. The company remains confident in meeting its 2025 EPS guidance and delivering a 5% to 7% core EPS CAGR through 2028. Edison International (NYSE:EIX) has made substantial progress in regulatory proceedings, including a settlement agreement in its WMCE proceeding related to wildfire mitigation and restoration. The company is executing a comprehensive plan to rebuild and harden electrical infrastructure in wildfire-affected areas, which includes undergrounding over 150 circuit miles. Edison International (NYSE:EIX) has successfully addressed its parent debt needs for 2025 through a $550 million senior notes issuance, demonstrating strong investor support. The company faces potential material losses related to the Eaton fire, with ongoing investigations and pending litigation. Edison International (NYSE:EIX) has not yet received a decision in its 2025 General Rate Case, creating uncertainty in revenue recognition. The company is dealing with increased interest expenses, partially offsetting earnings gains. There is uncertainty regarding the legislative efforts to enhance California's wildfire framework, with no guarantees of action in the current session. The potential liability from the Eaton fire is not yet estimable, and the company has not ruled out the possibility of its equipment being involved. Q: What drove Edison International to disclose a potential material loss related to the Eaton fire now, and how does this relate to the $21 billion wildfire fund? A: Pedro Pizarro, President and CEO, explained that the disclosure was made due to the absence of another likely cause for the fire, despite ongoing investigations. The potential liability is not yet estimable, and while third-party estimates suggest the fire's cost might be within the fund's range, it's too early to determine the exact liability. Q: How will potential liabilities from the Eaton fire affect Edison International's financing plan? A: Maria Rigatti, CFO, stated that the company will utilize the wildfire fund, which negates the need for issuing debt to pay claims. The financing plan will focus on normal capital needs, and the company will update its plan after the General Rate Case (GRC) decision. Q: What are the prospects for updated wildfire legislation in California, and will it provide more certainty for investors? A: Pedro Pizarro expressed confidence that legislative leaders understand the need for expanding the AB 1054 framework. While discussions are ongoing, there is no guarantee of immediate action, but the engagement level is encouraging. Q: How is Edison International addressing potential risks from idle or abandoned lines in its wildfire mitigation plans? A: Pedro Pizarro noted that idle lines are maintained and inspected for future use. The company continuously updates its wildfire mitigation plans based on new learnings, including adding clarity to operational manuals for grounding idle lines. Q: How does Edison International plan to finance incremental capital expenditures, such as the ERP and AMI programs? A: Maria Rigatti explained that the company typically finances capital in line with its authorized capital structure. The current financing plan through 2028 involves minimal equity and is largely debt-financed, with capacity to meet capital needs. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
29-04-2025
- Business
- Yahoo
Edison International: Q1 Earnings Snapshot
ROSEMEAD, Calif. (AP) — ROSEMEAD, Calif. (AP) — Edison International (EIX) on Tuesday reported first-quarter net income of $1.49 billion. On a per-share basis, the Rosemead, California-based company said it had net income of $3.72. Earnings, adjusted for non-recurring gains, were $1.37 per share. The results exceeded Wall Street expectations. The average estimate of three analysts surveyed by Zacks Investment Research was for earnings of $1.21 per share. The electric power provider posted revenue of $3.81 billion in the period, missing Street forecasts. Three analysts surveyed by Zacks expected $4.13 billion. _____ This story was generated by Automated Insights ( using data from Zacks Investment Research. Access a Zacks stock report on EIX at Sign in to access your portfolio
