Eversource Energy (ES) AI Stock Analysis

• Market Cap: $24.31B
• Dividend Yield: 4.48%
• Average Volume (3M): 1.92M
• Price to Earnings (P/E): 28.2
• Beta (1Y): 0.20
• Revenue Growth: 14.44%
• EPS Growth: N/A
• Country: US
• Employees: 10,000
• Sector: Utilities
• Sector Strength: 87
• Industry: Regulated Electric
• EPS (TTM): 0.96
• Shares Outstanding: 371,115,170
• 10 Day Avg. Volume: 2,222,812
• 30 Day Avg. Volume: 1,922,560
• PEG Ratio: -0.09
• Price to Book (P/B): 1.37
• Price to Sales (P/S): 1.73
• P/FCF Ratio: -8.85
• Enterprise Value/Market Cap: 2.18
• Enterprise Value/Revenue: 4.18
• Enterprise Value/Gross Profit: 10.80
• Enterprise Value/Ebitda: 12.47
• 1Y Price Target: $67.80
• Price Target Upside: 3.50% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6

• Rating: 71 Outperform
• Price Target: $72.00 ▲(9.91% Upside)

Eversource Energy's overall score reflects strong earnings growth and strategic investments, balanced by valuation concerns and leverage risks. The company's ability to maintain recent financial improvements and manage its high debt levels will be key to sustaining investor confidence.

Positive Factors

Financial Strategy

Financially, storm securitization of potentially $1bn and $1.6bn from the Aquarion Water sale would help support metrics like FFO/debt and reduce equity needs of $1.8bn through 2029.

Project Progress

Orsted announced the project is 75% complete and the company reiterated that it is well-positioned for its role.

Regulatory Environment

SB4 repositions PURA to serve in an administrative-only capacity, which may help future rate proceedings move faster, reduce uncertainty, and more consistent.

Negative Factors

Earnings Performance

Results were below Consensus/BofA expectations of $1.51/$1.53.

Interest Costs

Losses at the parent company were primarily due to higher interest expense because of the absence of capitalized interest.

Regulatory Challenges

The company's relationship with the CT Public Utilities Regulatory Authority remains contentious, especially with ongoing legal proceedings.

Eversource Energy Business Overview & Revenue Model

Company Description

Eversource Energy (ES) is a leading energy delivery company based in the northeastern United States, serving over 4 million customers in Connecticut, Massachusetts, and New Hampshire. The company operates in the electric and natural gas sectors, providing reliable energy services while focusing on sustainability and innovation. Eversource is involved in the generation, transmission, and distribution of electricity, as well as the delivery of natural gas. With a commitment to clean energy and reducing carbon emissions, Eversource is a key player in the transition to renewable energy sources.

How the Company Makes Money

Eversource Energy generates revenue primarily through the sale of electricity and natural gas to residential, commercial, and industrial customers. The company's revenue model is based on regulated utility rates set by state public utility commissions, which allows it to earn a return on its investments in infrastructure and service delivery. Key revenue streams include electricity transmission and distribution, natural gas distribution, and energy efficiency programs. Additionally, Eversource may engage in partnerships with renewable energy developers to support clean energy initiatives, which can provide additional income through power purchase agreements and incentives. The company's focus on expanding its renewable energy portfolio and improving energy efficiency also contributes to its long-term growth and stability.

Eversource Energy Financial Statement Overview

Summary

Eversource Energy shows strong profit margins and operating cash flow but faces challenges in revenue growth and leverage. Recent net income and free cash flow recovery are positives, yet maintaining this trajectory is crucial given industry-standard high debt levels.

Income Statement

Eversource Energy shows a stable gross profit margin with a slight decline in revenue over recent years. The TTM data shows a strong net income recovery, leading to improved net profit margins. However, revenue growth has been inconsistent, with a notable decline in the previous year. EBIT and EBITDA margins indicate stable operating performance, but there is potential for improvement in revenue growth to enhance long-term profitability.

Balance Sheet

The balance sheet indicates a solid equity base with a stable equity ratio. The debt-to-equity ratio is relatively high, which is typical for the regulated electric industry but poses potential leverage risks. Return on equity has fluctuated, reflecting varying profitability levels. Overall, the company maintains a stable asset base, but leverage management remains critical.

Cash Flow

Eversource Energy's cash flow position benefits from a strong operating cash flow relative to net income, indicating quality earnings. However, free cash flow has been negative in past periods, though recent TTM data shows significant improvement. The company needs to sustain positive free cash flow trends to ensure long-term financial flexibility, especially given high capital expenditure requirements.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	12.69B	11.90B	11.91B	12.29B	9.86B	8.90B
Gross Profit	4.91B	3.70B	4.85B	5.41B	4.75B	4.44B
EBITDA	4.26B	4.13B	1.40B	4.19B	3.49B	3.25B
Net Income	840.59M	811.65M	-442.24M	1.40B	1.22B	1.21B
Balance Sheet
Total Assets	60.19B	59.59B	55.61B	53.23B	48.49B	46.10B
Cash, Cash Equivalents and Short-Term Investments	111.36M	26.66M	53.87M	374.60M	66.77M	106.60M
Total Debt	29.43B	29.11B	26.75B	22.94B	20.22B	17.97B
Total Liabilities	44.70B	44.40B	41.28B	37.60B	33.74B	31.88B
Stockholders Equity	15.34B	15.04B	14.17B	15.47B	14.60B	14.06B
Cash Flow
Free Cash Flow	-1.43B	-2.32B	-2.69B	-1.04B	-1.21B	-1.26B
Operating Cash Flow	2.91B	2.16B	1.65B	2.40B	1.96B	1.68B
Investing Cash Flow	-4.09B	-4.54B	-4.87B	-4.13B	-3.45B	-4.13B
Financing Cash Flow	1.02B	2.34B	2.87B	2.03B	1.44B	2.59B

Eversource Energy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 65.51
• 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 ES, the sentiment is Positive. The current price of 65.51 is below the 20-day moving average (MA) of 65.91, above the 50-day MA of 65.07, and above the 200-day MA of 60.60, indicating a neutral trend. The MACD of 0.23 indicates Positive momentum. The RSI at 49.95 is Neutral, neither overbought nor oversold. The STOCH value of 51.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ES.

Eversource Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CMS	72 Outperform	$21.79B	21.49	12.48%	2.95%	8.25%	4.37%
EIX	72 Outperform	$21.56B	8.23	17.37%	5.82%	4.26%	173.18%
FE	72 Outperform	$25.21B	19.27	10.33%	3.99%	6.44%	49.07%
ES	71 Outperform	$24.31B	28.20	5.63%	4.48%	14.44%	―
DTE	71 Outperform	$29.05B	20.13	12.61%	3.07%	14.35%	3.62%
CNP	67 Neutral	$25.10B	26.79	8.76%	2.21%	4.84%	-11.24%
Sector *	56 Neutral	AU$1.98B	1.72	5.21%	4.09%	24.08%	-117.07%

Eversource Energy Corporate Events

Eversource Energy Reports Q2 2025 Earnings Growth

On July 31, 2025, Eversource Energy reported its financial results for the second quarter of 2025, showing an increase in earnings to $352.7 million compared to $335.3 million in the same period of 2024. The company attributed this growth to improved performance across its electric transmission, electric distribution, natural gas, and water distribution segments, driven by increased investments and rate adjustments. However, the parent and other companies experienced increased losses due to higher interest expenses. Eversource reaffirmed its earnings projection for 2025 and its commitment to long-term investment strategies.

The most recent analyst rating on (ES) stock is a Buy with a $75.00 price target. To see the full list of analyst forecasts on Eversource Energy stock, see the ES Stock Forecast page.

Eversource Energy Enters $1.2 Billion Equity Agreement

On May 30, 2025, Eversource Energy entered into an Equity Distribution Agreement with several financial institutions, allowing the company to issue and sell up to $1.2 billion in common shares. This move is part of Eversource’s strategy to strengthen its financial position and potentially expand its market presence, impacting its operations and stakeholders positively.

The most recent analyst rating on (ES) stock is a Sell with a $56.00 price target. To see the full list of analyst forecasts on Eversource Energy stock, see the ES Stock Forecast page.