Consolidated Edison, Inc. (ED) — Fundamental Analysis & Key Financial Ratios

Kaplio's reading: Consolidated Edison, Inc.

Updated on October 14, 2026 · accounts published on August 6, 2026

Reading of October 13, 2026: A steady regulated utility with modest returns and a heavy debt load

Consolidated Edison trades at a P/E of 17.7×, 14 % below the utility sector median, with a 3.3 % dividend raised for 10 straight years.

• Is Consolidated Edison expensive or cheap? Consolidated Edison trades at a P/E of 17.7×, 14 % below its sector median and 8 % below its own ten-year median.
• How is the business doing? Revenue grew 11 % and EPS 8 % over the last 12 months; the 18 % operating margin is still just under its decade average.
• How strong is the balance sheet? Net debt was $79.34 per share in fiscal 2025, about 74 % of the share price, with interest covered only 2.4 times.
• Is the dividend sustainable with this debt? The dividend yields 3.3 % over the last 12 months, with a fiscal 2025 payout of 58 %, well under the 80 % utility ceiling.
• What to expect from the next earnings? Analysts expect EPS of $2.00 when Consolidated Edison reports on November 5, 2026; it beat estimates in 7 of the last 8 quarters.

Is Consolidated Edison expensive or cheap?

Over the last 12 months Consolidated Edison trades at a P/E of 17.7×, against a sector median of 20.6× across 123 utilities and its own ten-year median of 19.2×. Over the last decade the multiple ranged from 12.2× to 27.3×, and the stock has traded below today's level only 28 % of the time, so it sits on the cheaper side of its history without being at a floor. A free cash flow yield of 9.4 % and an EV/EBITDA of 9.0× support that reading. After a 10 % rise over the last 12 months, the shares are 6 % below their 52-week high of $115.46.

How is the business doing?

Over the last 12 months revenue rose 11 % and EPS 8 %, a solid pace for a regulated utility. The operating margin of 18 % has recovered from 17 % in fiscal 2025 but is still slightly below the 19 % average of fiscal 2014-2025, and the net margin is 13 %. Returns are modest by design: an ROE of 8.9 % falls inside the 8-12 % range regulators typically allow, while ROIC of 3.4 % is 0.7 points below the sector median of 4.0 % and has not topped 10 % in any of the last ten fiscal years. The company earns a regulated return on a large asset base, and the figures show exactly that.

How strong is the balance sheet?

Debt is what defines this balance sheet. Net debt of 4.4× EBITDA in fiscal 2025 sits within the 5.5× ceiling considered healthy for utilities, and debt to equity is 1.1× over the last 12 months. The weak spot is interest coverage of 2.4× in fiscal 2025, below the 3× the sector treats as comfortable, which leaves earnings more exposed to interest rates than peers with stronger coverage. A current ratio of 1.27 and a Piotroski score of 6 out of 9 over the last 12 months point to adequate financial health.

Is the dividend sustainable with this debt?

Utilities behave like bonds with growth attached: their earnings are regulated and stable, so investors watch debt, interest rates and payout consistency more than growth itself. The result here is mixed. The payout of 58 % in fiscal 2025 leaves room under the 80 % healthy ceiling, and the dividend has risen for 10 consecutive fiscal years. Its pace is slow, though: 2.7 % a year over fiscal 2015-2025, short of the 4 % benchmark. EPS grew 11.5 % a year over fiscal 2020-2025, above the 4-7 % range seen as healthy. With interest coverage at 2.4×, interest rates are a bigger risk to the dividend than the payout.

What to expect from the next earnings?

Consolidated Edison beat EPS estimates in 7 of its last 8 quarters, most recently on August 6, 2026, with $0.83 against $0.76 expected, a 9.8 % surprise. For the quarter due on November 5, 2026, analysts expect EPS of $2.00. Full-year expectations are steady: the 2026 EPS consensus barely moved over the last 29 days, from $6.10 to $6.11 among 8 analysts, and the revenue consensus was flat as well. Ratings are cautious despite that beat record, with only 3 of 27 analysts recommending a buy, 17 a hold and 7 a sell.

How this was prepared: the data comes from companies' official filings, collected by a professional provider, and from Kaplio's analysis engine (trailing-12-month ratios, 10 years of history and sector medians computed across US-listed companies). The text is written from that data alone, every figure is checked against it before publication, and it is reviewed when the company reports results. This is not investment advice.