Consolidated Edison (ED) AI Stock Analysis

• Market Cap: $41.51B
• Dividend Yield: 3.44%
• Average Volume (3M): 2.42M
• Price to Earnings (P/E): 17.5
• Beta (1Y): -0.25
• Revenue Growth: 10.35%
• EPS Growth: 7.64%
• Country: US
• Employees: 15,097
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 0.89
• Shares Outstanding: 361,302,700
• 10 Day Avg. Volume: 2,157,435
• 30 Day Avg. Volume: 2,418,914
• PEG Ratio: 2.31
• Price to Book (P/B): 1.47
• Price to Sales (P/S): 2.10
• P/FCF Ratio: 986.03
• Enterprise Value/Market Cap: 1.66
• Enterprise Value/Revenue: 4.07
• Enterprise Value/Gross Profit: 6.56
• Enterprise Value/Ebitda: 9.78
• 1Y Price Target: $111.08
• Price Target Upside: -3.31% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 13
• EPS Forecast (FY): 6.09
• Revenue Forecast (FY): $17.34B

• Rating: 67 Neutral
• Price Target: $121.00 ▲(5.33% Upside)
• Action: Reiterated Date: 03/12/26
• Date: Action: Reiterated 03/12/26

The score is driven primarily by mixed financial quality (stable utility earnings but capex-heavy, frequently negative free cash flow and a 2025 balance-sheet data discontinuity) balanced by favorable technical trend signals. Valuation and dividend yield provide additional support, and recent financing actions modestly improve liquidity and capital flexibility.

Positive Factors

Regulated business model

A regulated rate-base model yields predictable, durable cash flows because revenues and allowed returns are set through regulatory processes. This supports stable earnings, long-term capital planning and recovery of prudent investment, reducing fundamental demand volatility over months.

Revenue trend and service demand

Multi-year revenue growth reflects persistent demand in Con Edison's service territory and the utility’s ability to expand rate base. Steady top-line expansion underpins medium-term earnings stability, supports regulatory rate cases, and justifies continued infrastructure investment.

Enhanced liquidity via credit facility

A $3.5B revolving facility materially strengthens near-term liquidity and commercial paper backstop, lowering refinancing risk during heavy capex cycles. It preserves capital flexibility to meet regulatory investment requirements and manage cash flow troughs over the next several years.

Negative Factors

Capex-driven negative free cash flow

Sustained negative free cash flow from heavy reinvestment constrains organic funding for dividends and growth, forcing reliance on external financing. Over 2–6 months this heightens refinancing and liquidity sensitivity, and limits financial flexibility amid large ongoing infrastructure needs.

2025 balance-sheet discontinuity

A major 2025 reporting discontinuity undermines comparability of leverage and asset trends, complicating assessment of solvency and covenant headroom. This persistent data ambiguity raises governance and analytic risk when forecasting capital needs and covenant compliance over coming quarters.

Inconsistent earnings trajectory

Earnings volatility despite a regulated model suggests timing differences in cost recovery, weather or commodity passthroughs, and limited margin expansion. This reduces predictability of returns and makes medium-term cash flow planning and rate-case outcomes less certain for investors and management.

Consolidated Edison Business Overview & Revenue Model

Company Description

Consolidated Edison, Inc., through its subsidiaries, engages in the regulated electric, gas, and steam delivery businesses in the United States. It offers electric services to approximately 3.5 million customers in New York City and Westchester County; gas to approximately 1.1 million customers in Manhattan, the Bronx, parts of Queens, and Westchester County; and steam to approximately 1,555 customers in parts of Manhattan. The company also supplies electricity to approximately 0.3 million customers in southeastern New York and northern New Jersey; and gas to approximately 0.1 million customers in southeastern New York. In addition, it operates 533 circuit miles of transmission lines; 15 transmission substations; 64 distribution substations; 87,564 in-service line transformers; 3,924 pole miles of overhead distribution lines; and 2,291 miles of underground distribution lines, as well as 4,350 miles of mains and 377,971 service lines for natural gas distribution. Further, the company owns, operates, and develops renewable and energy infrastructure projects; and provides energy-related products and services to wholesale and retail customers, as well as invests in electric and gas transmission projects. It primarily sells electricity to industrial, commercial, residential, and government customers. The company was founded in 1823 and is based in New York, New York.

How the Company Makes Money

Con Edison primarily makes money through regulated utility operations. The largest revenue streams come from selling electricity delivery and supply-related services, natural gas delivery and sales, and steam service to customers in its service territories. As a regulated utility, many of its earnings are determined by rate-setting processes overseen by state regulators (for example, utility commissions), which establish the rates it can charge customers to recover prudently incurred operating costs and to earn an allowed return on invested capital (rate base) used to build, maintain, and upgrade grid and pipeline infrastructure. Customer bills generally include components for delivery (distribution) and, where applicable, energy supply; delivery revenues are tied to approved tariffs and the size/usage profile of the customer base, while supply-related revenues can include pass-through energy costs depending on regulatory rules. In addition to the core utility segments, Con Edison can earn revenue from non-utility businesses (e.g., clean energy and energy infrastructure-related activities) where earnings are driven by project development, owned assets, and contracted arrangements; if specific project-level partnerships or contract terms are not publicly specified in a given source, null.

Consolidated Edison Financial Statement Overview

Summary

Steady utility-style revenue and profitability (revenue rising over the cycle; net margin generally stable) support a mid-range score. Offsetting factors include inconsistent year-to-year growth, net income stepping down after 2023, mostly negative free cash flow in 2020–2024 due to heavy capex, and a major 2025 balance-sheet discontinuity that reduces confidence in trend comparability.

Income Statement

Revenue has trended higher over the cycle (from ~$12.2B in 2020 to ~$16.9B in 2025), showing steady demand typical of a regulated utility. Profitability is solid and fairly stable, with net margin generally around ~9–17% and a 2025 net margin near ~12%. Offsetting this, growth has been inconsistent year to year (including a revenue decline in 2023), and net income peaked in 2023 before stepping down in 2024–2025, suggesting limited upside momentum despite improving 2025 gross/EBITDA margins.

Balance Sheet

Leverage looks manageable across most years with debt-to-equity around ~1.18–1.33 (2020–2024), which is common for capital-intensive regulated utilities. Returns on equity are steady but modest (~6–12%), consistent with regulated returns. A key concern is the 2025 balance sheet data point showing extremely low reported debt and assets relative to prior years (debt-to-equity ~0.01 and assets ~$24.6B vs. ~$63–71B historically), which is a major discontinuity and raises data consistency/comparability risk when evaluating the trend.

Cash Flow

Operating cash flow is consistently positive, but free cash flow is negative in most years (2020–2024), indicating heavy reinvestment/capex needs and reduced financial flexibility. Cash generation improved sharply in 2025 with strong operating cash flow (~$4.5B) and positive free cash flow (with a large reported growth rate), but that improvement is not yet a multi-year pattern. Overall, cash flow quality appears mixed: recurring operating inflows, but frequent cash deficits after investment.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	16.92B	15.26B	14.65B	15.66B	13.67B
Gross Profit	10.49B	9.76B	8.96B	9.55B	8.89B
EBITDA	6.15B	5.48B	6.06B	5.17B	4.37B
Net Income	2.02B	1.82B	2.52B	1.66B	1.35B
Balance Sheet
Total Assets	74.60B	70.56B	66.33B	69.06B	63.12B
Cash, Cash Equivalents and Short-Term Investments	1.63B	1.32B	1.19B	1.28B	992.00M
Total Debt	28.75B	27.82B	25.01B	24.41B	25.36B
Total Liabilities	50.41B	48.60B	45.17B	48.18B	42.78B
Stockholders Equity	24.19B	21.96B	21.16B	20.69B	20.04B
Cash Flow
Free Cash Flow	36.00M	-1.16B	-2.34B	-233.00M	-1.22B
Operating Cash Flow	4.80B	3.61B	2.16B	3.94B	2.73B
Investing Cash Flow	-5.25B	-5.27B	-1.00B	-4.57B	-3.48B
Financing Cash Flow	746.00M	1.80B	-1.49B	1.01B	461.00M

Consolidated Edison Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 114.88
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ED, the sentiment is Positive. The current price of 114.88 is above the 20-day moving average (MA) of 111.97, above the 50-day MA of 106.71, and above the 200-day MA of 100.43, indicating a bullish trend. The MACD of 1.69 indicates Positive momentum. The RSI at 67.01 is Neutral, neither overbought nor oversold. The STOCH value of 70.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ED.

Consolidated Edison Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PEG	72 Outperform	$41.76B	18.98	12.60%	3.13%	18.29%	2.40%
WEC	69 Neutral	$38.20B	22.02	11.65%	3.38%	11.88%	29.76%
ED	67 Neutral	$41.51B	17.55	8.43%	3.44%	10.35%	7.64%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
EXC	65 Neutral	$50.96B	15.92	9.87%	3.68%	6.07%	15.20%
XEL	65 Neutral	$51.10B	21.48	9.43%	3.09%	3.32%	-2.30%
ETR	64 Neutral	$47.83B	23.04	10.76%	2.64%	6.71%	-0.12%

Consolidated Edison Corporate Events

Consolidated Edison Secures New $3.5 Billion Credit Facility

On March 11, 2026, Consolidated Edison, Inc. and subsidiaries Consolidated Edison Company of New York and Orange and Rockland Utilities entered a new revolving credit agreement with a syndicate of lenders led by Bank of America, N.A. The facility provides up to $3.5 billion in aggregate credit capacity, replacing a 2023 credit agreement and a 364-day facility from 2025, with tailored sub-limits for each borrowing entity and potential expansion of up to $500 million.

The companies plan to use the new credit line primarily to support their commercial paper programs and for general corporate purposes, enhancing liquidity and financial flexibility through March 11, 2031, subject to extension options. The agreement features variable-rate borrowing, availability conditioned on regulatory approvals for certain subsidiaries, and covenants limiting leverage and liens, with detailed default and change-of-control provisions that protect lenders while shaping Con Edison’s capital structure and risk profile.

The most recent analyst rating on (ED) stock is a Hold with a $117.00 price target. To see the full list of analyst forecasts on Consolidated Edison stock, see the ED Stock Forecast page.

Consolidated Edison Announces Forward Equity Offering Agreement

On February 23, 2026, Consolidated Edison, Inc. entered into a forward sale agreement with JPMorgan Chase Bank, N.A. covering 7,000,000 shares of its common stock, with an affiliate of the bank borrowing and selling the shares into the market at the company’s request. On the same date, Con Edison signed an underwriting agreement with J.P. Morgan Securities LLC, acting both as underwriter and forward seller, to facilitate the registered sale of these 7,000,000 common shares, a move that positions the utility to raise equity capital and potentially strengthen its balance sheet for ongoing investment needs and regulatory commitments.

The most recent analyst rating on (ED) stock is a Sell with a $104.00 price target. To see the full list of analyst forecasts on Consolidated Edison stock, see the ED Stock Forecast page.