Consolidated Edison price target raised to $90 from $88 at KeyBanc

KeyBanc analyst Sophie Karp raised the firm’s price target on Consolidated Edison (ED) to $90 from $88 and keeps an Underweight rating on the shares. The firm notes shares currently trade at a 2-times discount to peers, directionally aligned with its view as the “wires-only” characteristics limit the growth potential. KeyBanc believes investors will continue to appreciate better growth stories, while noting the CECONY rate cases, where bill pressure remains top of mind, creates outsized risk for shares. Therefore, the firm thinks valuation will likely remain pressured by the negative political backdrop in NY with limited growth opportunities and expect further multiple contraction for shares.