ES Stock Analysis — Eversource Energy
Sector: Utilities
AI Verdict
Eversource trades at 14.8x next year's earnings—cheap for a regulated utility if 6.4% EPS growth holds, but the elevated RSI means you're buying into a rally that could easily reverse if sentiment cools.
Competitive Moat
Eversource operates regulated electric and gas utilities across New England, giving it a regional monopoly protected by state regulation and high infrastructure barriers to entry. Its defensible position is reinforced by long-term rate agreements and essential service status, making customer loss unlikely.
Summary
Eversource is drawing attention as it trades at 14.8x next year's earnings with a 6.4% EPS growth forecast, while its RSI of 65.5 signals elevated momentum.
Where It Stands
Shares are up 13.35% over the past year, trade at 14.8x forward earnings (below the 18x utility sector median), and an RSI of 65.5 puts it in the elevated zone with pullback risk.
Key Metrics
- RSI: 65.5 — Near Overbought
- Trailing P/E: 15.8x
- Forward P/E: 14.8x
- PEG Ratio: 2.07
- Earnings Growth: +0.1%
- Revenue Growth: +0.1%
- Market Cap: $27.8B
- Dividend Yield: 0.04%
- 1-Year Return: 13.35%
- 52-Week High: $76.41
- 52-Week Low: $61.53
Analyst Consensus
13 Buy · 9 Hold · 3 Sell (25 analysts)
Bull Case
The forward P/E of 14.8x is a discount to the sector median, so investors are paying less than average for a regulated utility with 6.4% expected EPS growth.
Bear Case
With an RSI of 65.5, a pullback to neutral (RSI 50) could mean a 10–15% drop if momentum fades and the P/E compresses toward the sector median.
Catalyst to Watch
Watch for state regulatory decisions on rate cases, as approval or rejection of rate increases will directly affect earnings growth and valuation.