Edison International (EIX) AI Stock Analysis

• Market Cap: $21.85B
• Dividend Yield: 5.85%
• Average Volume (3M): 3.23M
• Price to Earnings (P/E): 7.4
• Beta (1Y): 0.40
• Revenue Growth: 4.43%
• EPS Growth: 123.35%
• Country: US
• Employees: 14,013
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 2.34
• Shares Outstanding: 384,787,050
• 10 Day Avg. Volume: 3,363,895
• 30 Day Avg. Volume: 3,232,661
• PEG Ratio: 3.12
• Price to Book (P/B): 1.98
• Price to Sales (P/S): 1.75
• P/FCF Ratio: -44.47
• Enterprise Value/Market Cap: 2.94
• Enterprise Value/Revenue: 3.55
• Enterprise Value/Gross Profit: 7.82
• Enterprise Value/Ebitda: 7.33
• 1Y Price Target: $64.40
• Price Target Upside: 13.86% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11
• EPS Forecast (FY): 6.07
• Revenue Forecast (FY): $18.65B

• Rating: 76 Outperform
• Price Target: $63.00 ▲(11.39% Upside)

Edison International's strong earnings call performance and attractive valuation are the most significant factors contributing to the overall score. The company's financial performance is solid, though cash flow challenges need addressing. Technical analysis provides mixed signals, but the stock's valuation and dividend yield make it appealing. Legislative achievements and strategic investments further bolster confidence in future growth.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a stable demand for electricity and effective market positioning, supporting long-term business expansion.

Legislative Success

Legislative support enhances financial stability and reduces risk, providing a more predictable regulatory environment for future operations.

Wildfire Mitigation

Significant investment in infrastructure enhances safety and reliability, reducing operational risks and potential liabilities from wildfires.

Negative Factors

Wildfire Liabilities

Uncertainty around wildfire liabilities poses financial risks, potentially impacting cash flow and necessitating further capital allocation for settlements.

Cash Flow Challenges

Negative free cash flow indicates potential liquidity issues, limiting financial flexibility and ability to fund growth initiatives without external financing.

High Leverage

High leverage increases financial risk, potentially constraining future borrowing capacity and increasing vulnerability to interest rate fluctuations.

Edison International Business Overview & Revenue Model

Company Description

Edison International (EIX) is a leading energy company based in the United States, primarily focused on the generation, transmission, and distribution of electricity. The company operates through its main subsidiary, Southern California Edison (SCE), which serves millions of customers in Southern California. EIX is also involved in renewable energy projects and initiatives aimed at reducing greenhouse gas emissions, aligning with the growing demand for sustainable energy solutions.

How the Company Makes Money

Edison International generates revenue primarily through the sale of electricity to residential, commercial, and industrial customers via its subsidiary Southern California Edison. The company earns money by charging customers for electricity usage, which is regulated by the California Public Utilities Commission (CPUC). Key revenue streams include base electricity rates, which are set through regulatory proceedings, and various riders and surcharges for specific services or programs. Additionally, EIX invests in renewable energy projects, such as solar and wind, which can provide additional revenue through power purchase agreements and renewable energy credits. The company's focus on modernizing its grid and expanding its clean energy portfolio also positions it for future growth, supported by partnerships with various stakeholders in the energy sector, including government agencies and private developers.

Edison International Financial Statement Overview

Summary

Edison International demonstrates strong income statement performance with consistent revenue growth and robust profitability margins. The balance sheet shows a high leverage typical of the industry but maintains a strong return on equity. Cash flow analysis indicates challenges with negative free cash flow, although there is notable improvement. Overall, the company is on a positive growth trajectory but should focus on enhancing cash flow generation to strengthen its financial position.

Income Statement

Edison International shows strong income statement performance with a consistent revenue growth rate of 3.13% in the TTM period. The company maintains solid profitability metrics, with a gross profit margin of 45.33% and a net profit margin of 17.61%, indicating efficient cost management and strong bottom-line performance. EBIT and EBITDA margins are robust at 30.73% and 48.35%, respectively, reflecting operational efficiency. The upward trend in revenue and profitability margins suggests a positive growth trajectory.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 2.30, which is relatively high but typical for the regulated electric industry. The return on equity (ROE) is strong at 19.30%, indicating effective use of equity capital to generate profits. The equity ratio stands at 18.96%, suggesting a moderate level of equity financing. While the company is leveraged, it maintains a healthy ROE, balancing risk and return effectively.

Cash Flow

Cash flow analysis reveals challenges with negative free cash flow, although there is a significant improvement in free cash flow growth at 90.50% in the TTM period. The operating cash flow to net income ratio is 0.57, indicating that operating cash flows cover net income adequately. However, the free cash flow to net income ratio is negative, highlighting potential liquidity concerns. The company needs to focus on improving free cash flow generation to enhance financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	18.09B	17.60B	16.34B	17.22B	14.90B	13.58B
Gross Profit	8.20B	7.22B	6.71B	6.12B	5.72B	5.04B
EBITDA	8.74B	6.37B	5.85B	4.46B	4.00B	3.49B
Net Income	3.19B	1.55B	1.41B	824.00M	925.00M	871.00M
Balance Sheet
Total Assets	90.49B	85.58B	81.76B	78.04B	74.75B	69.37B
Cash, Cash Equivalents and Short-Term Investments	456.00M	193.00M	345.00M	914.00M	390.00M	87.00M
Total Debt	39.44B	37.76B	35.31B	33.10B	29.53B	24.15B
Total Liabilities	71.16B	67.84B	63.81B	60.52B	56.96B	53.42B
Stockholders Equity	17.16B	15.56B	15.50B	15.62B	15.89B	14.05B
Cash Flow
Free Cash Flow	-722.00M	-693.00M	-2.05B	-2.56B	-5.49B	-4.22B
Operating Cash Flow	5.40B	5.01B	3.40B	3.22B	11.00M	1.26B
Investing Cash Flow	-5.93B	-5.54B	-5.23B	-5.57B	-5.15B	-4.97B
Financing Cash Flow	788.00M	674.00M	1.45B	2.88B	5.45B	3.73B

Edison International Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 56.56
• 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 EIX, the sentiment is Positive. The current price of 56.56 is above the 20-day moving average (MA) of 56.20, above the 50-day MA of 55.03, and above the 200-day MA of 53.26, indicating a bullish trend. The MACD of 0.32 indicates Positive momentum. The RSI at 54.51 is Neutral, neither overbought nor oversold. The STOCH value of 62.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EIX.

Edison International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EIX	76 Outperform	$21.85B	7.43	19.13%	5.85%	4.43%	123.35%
CMS	72 Outperform	$22.20B	21.06	12.34%	3.00%	10.96%	-0.77%
FE	72 Outperform	$26.39B	19.85	10.54%	3.84%	7.64%	48.61%
ED	67 Neutral	$34.66B	17.43	8.54%	3.52%	9.03%	7.22%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
ES	65 Neutral	$27.40B	20.28	―	4.15%	13.12%	―
DTE	65 Neutral	$27.71B	19.99	11.64%	3.25%	19.42%	-9.68%

Edison International Corporate Events

Edison International’s Earnings Call Highlights Growth Amid Challenges

Edison International’s recent earnings call painted a picture of robust financial health and legislative progress, although challenges related to wildfire liabilities persist. The company demonstrated strong financial performance, bolstered by legislative achievements that enhance financial stability and support safety investments. However, the shadow of wildfire liabilities continues to loom, posing significant financial implications.

Edison International Highlights Grid Modernization Focus

On October 28, 2025, Edison International provided a business update highlighting its strategic focus on grid modernization and clean energy initiatives. The company is addressing wildfire risks and climate adaptation needs while aiming for strong rate base and dividend growth. The update emphasized the importance of regulatory structures in California and the federal level to support the transition to a clean energy future. Edison International is investing in infrastructure to ensure reliability and resilience, with a target rate base CAGR of 7–8% from 2024 to 2028 and a dividend payout target of 45–55% of SCE core earnings.

The most recent analyst rating on (EIX) stock is a Buy with a $68.00 price target. To see the full list of analyst forecasts on Edison International stock, see the EIX Stock Forecast page.

Edison International Reports Strong Q3 2025 Earnings

Edison International is a major electric utility holding company based in Rosemead, California, providing clean and reliable energy services through its subsidiaries, including Southern California Edison, which serves 15 million people across California.

Edison International Reports Strong Q3 2025 Earnings

Edison International reported a significant increase in third-quarter 2025 net income to $832 million, or $2.16 per share, compared to $516 million, or $1.33 per share, in the same period last year. The company’s core earnings also rose, driven by higher revenue from the 2025 General Rate Case decision. The passage of Senate Bill 254 and the classification of the Eaton Fire as a ‘covered wildfire’ by the Wildfire Fund administrator are key developments supporting financial stability. Edison International has narrowed its 2025 core EPS guidance and maintains confidence in achieving 5-7% core EPS growth from 2025 to 2028.

The most recent analyst rating on (EIX) stock is a Hold with a $59.00 price target. To see the full list of analyst forecasts on Edison International stock, see the EIX Stock Forecast page.

Edison International Seeks Approval for Woolsey Fire Settlement

Edison International‘s subsidiary, Southern California Edison (SCE), is involved in the electric utility industry, focusing on power generation and distribution. On September 19, 2025, SCE filed a motion with the California Public Utilities Commission (CPUC) seeking approval of a settlement agreement related to the 2018 Woolsey Fire. The agreement, if approved, would allow SCE to recover 35% of its $5.6 billion losses, amounting to approximately $2 billion. This settlement is a significant step in resolving financial impacts from the 2017/2018 wildfire events, potentially improving SCE’s financial strength and reducing costs for customers.

The most recent analyst rating on (EIX) stock is a Sell with a $61.00 price target. To see the full list of analyst forecasts on Edison International stock, see the EIX Stock Forecast page.

Edison International’s Senate Bill 254 Approval Impact

On September 13, 2025, the California Legislature approved Senate Bill 254, which is expected to be signed into law by the Governor. This legislation aims to enhance the financial stability of investor-owned utilities (IOUs) and customer affordability by creating a new fund for wildfire-related claims, funded equally by customers and IOUs. Additionally, on September 11, 2025, SCE reached a settlement agreement regarding the Eaton Fire litigation, agreeing to pay a portion of claims to an insurance claimant, while seeking reimbursement from the Wildfire Insurance Fund.

The most recent analyst rating on (EIX) stock is a Buy with a $66.00 price target. To see the full list of analyst forecasts on Edison International stock, see the EIX Stock Forecast page.

Edison International’s Earnings Call: Balancing Confidence and Challenges

Edison International’s recent earnings call presented a balanced sentiment, showcasing a firm confidence in their long-term financial guidance and regulatory progress. However, the call also highlighted current challenges, such as the unresolved Eaton Fire investigation and potential legislative impacts that could affect the company’s financial stability.

Edison International Updates on Grid Modernization Efforts

On July 31, 2025, Edison International provided a business update highlighting its ongoing efforts to transform the electric power industry through significant investments in grid modernization and clean energy initiatives. The company emphasized the importance of addressing wildfire risks, climate adaptation, and infrastructure replacement to ensure reliability and resiliency. With a focus on electrification and clean energy, Edison International aims to achieve strong rate base and dividend growth while navigating regulatory challenges and maintaining revenue certainty.

The most recent analyst rating on (EIX) stock is a Buy with a $94.00 price target. To see the full list of analyst forecasts on Edison International stock, see the EIX Stock Forecast page.

Edison International Reports Q2 2025 Earnings

Edison International is one of the largest electric utility holding companies in the United States, primarily focused on providing clean and reliable energy through its subsidiaries, including Southern California Edison, which serves millions across California.

Edison International Reports Q2 2025 Income Decline

Edison International reported a decrease in second-quarter 2025 net income to $343 million, or $0.89 per share, compared to $439 million, or $1.14 per share, in the same quarter last year. The company is actively addressing wildfire risks and regulatory challenges, with ongoing investigations into the Eaton Fire and plans for a Wildfire Recovery Compensation Program. Despite these challenges, Edison International reaffirmed its 2025 Core EPS guidance and expressed confidence in achieving a 5-7% Core EPS growth from 2025 to 2028. The company is also engaged in discussions to enhance California’s AB 1054 regulatory framework, which is crucial for maintaining infrastructure resiliency and mitigating wildfire risks.

The most recent analyst rating on (EIX) stock is a Buy with a $100.00 price target. To see the full list of analyst forecasts on Edison International stock, see the EIX Stock Forecast page.