ED Stock Analysis — Consolidated Edison
Sector: Utilities
AI Verdict
ED trades at 17.8x next year's earnings with 8.6% expected EPS growth—fairly priced for a regulated utility, but the monopoly moat means the slow growth is credible even if upside is limited.
Competitive Moat
Consolidated Edison operates regulated electric and gas utilities in the New York metropolitan area, protected by high barriers to entry due to infrastructure costs and regulatory approvals. Its monopoly position in a dense urban market ensures stable cash flows and limited competition.
Summary
ED is notable for its defensive utility status and a 33.0 RSI that signals oversold territory.
Where It Stands
ED has returned -1.39% over the past year, trades at 17.8x forward earnings versus the utility sector median of 18x, and its RSI of 33.0 suggests it is oversold.
Key Metrics
- RSI: 33 — Near Oversold
- Trailing P/E: 19.4x
- Forward P/E: 17.8x
- PEG Ratio: 2.34
- Earnings Growth: +0.1%
- Revenue Growth: +0.1%
- Market Cap: $40.3B
- Dividend Yield: 0.03%
- 1-Year Return: -1.39%
- 52-Week High: $116.23
- 52-Week Low: $94.96
Analyst Consensus
3 Buy · 12 Hold · 12 Sell (27 analysts)
Bull Case
With analysts expecting 8.6% forward EPS growth and a forward P/E of 17.8x, ED offers slightly better earnings growth than most utilities at a fair price.
Bear Case
The trailing PEG ratio of 2.34 means you're paying a premium for growth that doesn't fully justify the valuation, and a rebound from a 33.0 RSI could be limited if earnings disappoint.
Catalyst to Watch
Watch for regulatory decisions or rate case outcomes, as favorable rulings could support earnings growth and re-rate the stock.