Consolidated Edison ED

NYSE ED

$103.41 -0.09 (-0.09%)

At close: Oct 2, 2026 · 4:00 PM EDT

Key Stats

Market Cap38.24 Bn

P/E18.82

P/S2.16

Div. Yield3.40

Total Debt (Qtr)971.00 Mn

Revenue Growth (1y) (Qtr)13.18

Add ratio to table…

About

Consolidated Edison, Inc. (Con Edison) is a holding company that owns all of the outstanding common stock of Consolidated Edison Company of New York, Inc. (CECONY), Orange and Rockland Utilities, Inc. (O&R) and Con Edison Transmission, Inc. Con Edison’s principal business operations are those of the Utilities and Con Edison Transmission. The Utilities refer to CECONY and O&R. Con Edison Transmission, a regulated company primarily under the oversight of the Federal Energy Regulatory Commission (FERC), develops and invests in electric transmission projects and owns interests in both electric and gas assets. The company provides electric, gas and steam delivery services to customers in New York and New Jersey.

Con Edison generates revenue primarily through the delivery of electricity, gas and steam to its full-service customers. CECONY provides electric service to approximately 3.7 million customers in New York City and most of Westchester County, gas service to approximately 1.1 million customers in Manhattan, the Bronx, parts of Queens and most of Westchester County, and steam service to approximately 1,485 customers in parts of Manhattan. O&R provides electric service to approximately 0.3 million customers in southeastern New York and northern New Jersey and gas service to over 0.1 million customers in southeastern New York. Con Edison Transmission develops and invests in electric transmission projects and holds interests in gas storage facilities, contributing to revenue through project development and asset ownership.

The company operates through the following segments: CECONY, O&R and Con Edison Transmission.

CECONY: This segment provides regulated electric, gas and steam delivery services in New York State. It delivers electricity to approximately 3.7 million customers across New York City and Westchester County. It supplies gas to approximately 1.1 million customers in Manhattan, the Bronx, parts of Queens and Westchester County, and operates the largest steam distribution system in the United States, delivering approximately 16,975 MMlb of steam annually to approximately 1,485 customers in parts of Manhattan.
O&R: This segment provides regulated electric and gas delivery services in southeastern New York and northern New Jersey. It serves approximately 0.3 million electric customers across a 1,300 square mile service area. It delivers gas to over 0.1 million customers in southeastern New York. O&R and its utility subsidiary, Rockland Electric Company (RECO), together provide electric service in the region.
Con Edison Transmission: This segment develops and invests in electric transmission projects under FERC oversight. It participates in the New York Transco partnership with the New York Power Authority (NYPA) to develop the Propel NY Energy transmission project, a 90-mile electric transmission project expected to increase high voltage transmission connections between Long Island and the rest of New York State. It also holds ownership interests in the Transmission Solutions (TOTS) and New York Energy Solution (NYES) projects, which aim to relieve transmission congestion between upstate and downstate New York.

Con Edison operates within the regulated utility industry in the northeastern United States, competing with other investor-owned utilities such as National Grid, Eversource Energy and PSEG for service territory and regulatory approvals. Its competitive advantages stem from its regulated rate structures, which provide predictable returns on infrastructure investments, and its focus on grid resilience, clean energy integration and long-term transmission development through Con Edison Transmission. The company benefits from a strong credit profile and a history of consistent dividend growth supported by stable earnings from its utility operations.

Con Edison serves approximately 3.7 million electric customers, 1.1 million gas customers and 1,485 steam customers through CECONY in New York City and Westchester County. Through O&R, it serves approximately 0.3 million electric customers and over 0.1 million gas customers in southeastern New York and northern New Jersey. The company’s customer base includes residential, religious, commercial, industrial and municipal customers across its service territories.

Investment Thesis

▲ Bull case

Con Edison operates under a regulated utility model that delivers predictable cash flows supported by steady rate base growth in its electric gas and steam businesses. The company reported twenty twenty five adjusted earnings per share of five point seven zero dollars representing year over year growth of about five point six%. Management has reaffirmed a twenty twenty six adjusted EPS guidance range of six point zero zero to six point two zero dollars and targets a five year compounded annual growth rate of six to seven%. This outlook combined with a fifty two year consecutive dividend increase provides a reliable income stream that the market may be underestimating given the stable regulatory framework and continued investments in grid modernization.
A recent consulting contract awarded to Xtensible a SAM company will pilot a Common Information Model based data modeling approach integrated with Geographic Information Systems for Con Edison. The effort aims to create a consistent standards based foundation that improves data quality interoperability and reuse while lowering the complexity and cost of point to point integrations. By applying its expertise in CIM standards utility data modeling and GIS SAM will help define CIM compliant structures map existing GIS asset data to the standard and validate the approach through targeted use cases. Successful outcomes could inform Con Edison’s broader data and grid modernization initiatives leading to long term operational efficiencies and cost savings that are not yet fully reflected in current earnings estimates.
Con Edison’s partnership with Convey earned a Bronze Award for Excellence in Outage Communications from Chartwell’s 2026 Best Practices Awards after effectively managing two extreme winter storms in early twenty twenty six. During the storms the utility used Convey’s platform to deliver nearly four hundred thousand localized messages including over two hundred fifteen thousand estimated restoration time messages and achieved a customer satisfaction rate of ninety two% with seventy eight% reporting they were very satisfied. The shift toward self service channels reduced strain on call centers with sixty one% of outage reports submitted through digital platforms during the period and eighty two% during severe weather. This demonstrated ability to maintain high communication standards under stress reinforces regulatory credibility and may reduce future penalties or fines related to service reliability.
Con Edison has launched an at the market equity offering program that allows it to sell up to three thousand two hundred million dollars of common equity in twenty twenty six and additional amounts in later years without relying on traditional block trades. The proceeds are earmarked to fund subsidiary capital requirements and general corporate purposes supporting the company’s planned six billion five hundred ninety five million dollar capital investment in twenty twenty six and six billion seven hundred fifty nine million in twenty twenty seven. By accessing capital markets flexibly Con Edison can finance its grid upgrades and renewable integration projects while maintaining a balanced capital structure. This financing flexibility reduces reliance on debt issuance and may limit interest expense pressure providing a tailwind to future earnings growth.

Con Edison operates under a regulated utility model that delivers predictable cash flows supported by steady rate base growth in its electric gas and steam businesses. The company reported twenty twenty five adjusted earnings per share of five point seven zero dollars representing year over year growth of about five point six%. Management has reaffirmed a twenty twenty six adjusted EPS guidance range of six point zero zero to six point two zero dollars and targets a five year compounded annual growth rate of six to seven%. This outlook combined with a fifty two year consecutive dividend increase provides a reliable income stream that the market may be underestimating given the stable regulatory framework and continued investments in grid modernization.
A recent consulting contract awarded to Xtensible a SAM company will pilot a Common Information Model based data modeling approach integrated with Geographic Information Systems for Con Edison. The effort aims to create a consistent standards based foundation that improves data quality interoperability and reuse while lowering the complexity and cost of point to point integrations. By applying its expertise in CIM standards utility data modeling and GIS SAM will help define CIM compliant structures map existing GIS asset data to the standard and validate the approach through targeted use cases. Successful outcomes could inform Con Edison’s broader data and grid modernization initiatives leading to long term operational efficiencies and cost savings that are not yet fully reflected in current earnings estimates.
Con Edison’s partnership with Convey earned a Bronze Award for Excellence in Outage Communications from Chartwell’s 2026 Best Practices Awards after effectively managing two extreme winter storms in early twenty twenty six. During the storms the utility used Convey’s platform to deliver nearly four hundred thousand localized messages including over two hundred fifteen thousand estimated restoration time messages and achieved a customer satisfaction rate of ninety two% with seventy eight% reporting they were very satisfied. The shift toward self service channels reduced strain on call centers with sixty one% of outage reports submitted through digital platforms during the period and eighty two% during severe weather. This demonstrated ability to maintain high communication standards under stress reinforces regulatory credibility and may reduce future penalties or fines related to service reliability.
Con Edison has launched an at the market equity offering program that allows it to sell up to three thousand two hundred million dollars of common equity in twenty twenty six and additional amounts in later years without relying on traditional block trades. The proceeds are earmarked to fund subsidiary capital requirements and general corporate purposes supporting the company’s planned six billion five hundred ninety five million dollar capital investment in twenty twenty six and six billion seven hundred fifty nine million in twenty twenty seven. By accessing capital markets flexibly Con Edison can finance its grid upgrades and renewable integration projects while maintaining a balanced capital structure. This financing flexibility reduces reliance on debt issuance and may limit interest expense pressure providing a tailwind to future earnings growth.

▼ Bear case

Con Edison missed Wall Street estimates for fourth quarter twenty twenty five adjusted profit reporting eighty nine cents per share versus the analyst consensus of ninety five cents per share. The shortfall was driven by higher operating expenses which rose to three point five one billion dollars from three point one six billion a year earlier and increased interest expense that climbed to three hundred thirteen million from three hundred four million. Rising variable weather conditions including intermittent storms can push up operating and maintenance costs while higher for longer interest rates raise borrowing costs for the capital intensive utility. If these cost pressures persist they could compress margins and hinder the company’s ability to meet its six to seven% long term EPS growth target.
As a holding company whose utility subsidiaries are extensively regulated Con Edison earnings are highly sensitive to the outcomes of rate case proceedings and the allowed return on equity set by the New York State Public Service Commission. Any adverse change in rate plans that fails to provide a reasonable return could directly reduce net income and limit the funds available for capital investment. The company’s reliance on regulatory approval for its capital expenditure plan creates a scenario where delays or reductions in approved spending could impede grid modernization efforts and weigh on future growth prospects. While management expresses confidence in the current three year rate plan the inherent regulatory uncertainty remains a risk that the market may not be fully pricing in.
Con Edison’s service territory is exposed to increasing frequency and severity of extreme weather events driven by climate change which can elevate storm related costs and strain infrastructure resilience. Although the utility earned recognition for its outage communications during the twenty twenty six winter storms the underlying physical damage to equipment and the need for accelerated repairs can still lead to higher capital expenditures and operating expenses. The company’s exposure to environmental consequences including increased costs related to climate change represents a structural risk that could affect long term profitability if adaptation measures fall short of rising threats. Investors should consider that the recent award reflects strong communication response but does not eliminate the underlying physical risk posed by severe weather.
Con Edison’s at the market offering and forward sale agreements contemplate the issuance of up to one thousand one hundred million dollars of common equity in twenty twenty six and additional amounts in later years potentially increasing the share count significantly. While the proceeds are intended to fund capital expenditures the dilution effect could offset earnings per share growth especially if the incremental investments do not generate immediate returns. The market may be underestimating the potential overhang from these equity programs which could exert downward pressure on the stock price if investor sentiment shifts or if the company’s growth trajectory slows. Monitoring the actual uptake of the ATM program and the resulting impact on shareholder dilution will be important for assessing the true risk to EPS expansion.

Con Edison missed Wall Street estimates for fourth quarter twenty twenty five adjusted profit reporting eighty nine cents per share versus the analyst consensus of ninety five cents per share. The shortfall was driven by higher operating expenses which rose to three point five one billion dollars from three point one six billion a year earlier and increased interest expense that climbed to three hundred thirteen million from three hundred four million. Rising variable weather conditions including intermittent storms can push up operating and maintenance costs while higher for longer interest rates raise borrowing costs for the capital intensive utility. If these cost pressures persist they could compress margins and hinder the company’s ability to meet its six to seven% long term EPS growth target.
As a holding company whose utility subsidiaries are extensively regulated Con Edison earnings are highly sensitive to the outcomes of rate case proceedings and the allowed return on equity set by the New York State Public Service Commission. Any adverse change in rate plans that fails to provide a reasonable return could directly reduce net income and limit the funds available for capital investment. The company’s reliance on regulatory approval for its capital expenditure plan creates a scenario where delays or reductions in approved spending could impede grid modernization efforts and weigh on future growth prospects. While management expresses confidence in the current three year rate plan the inherent regulatory uncertainty remains a risk that the market may not be fully pricing in.
Con Edison’s service territory is exposed to increasing frequency and severity of extreme weather events driven by climate change which can elevate storm related costs and strain infrastructure resilience. Although the utility earned recognition for its outage communications during the twenty twenty six winter storms the underlying physical damage to equipment and the need for accelerated repairs can still lead to higher capital expenditures and operating expenses. The company’s exposure to environmental consequences including increased costs related to climate change represents a structural risk that could affect long term profitability if adaptation measures fall short of rising threats. Investors should consider that the recent award reflects strong communication response but does not eliminate the underlying physical risk posed by severe weather.
Con Edison’s at the market offering and forward sale agreements contemplate the issuance of up to one thousand one hundred million dollars of common equity in twenty twenty six and additional amounts in later years potentially increasing the share count significantly. While the proceeds are intended to fund capital expenditures the dilution effect could offset earnings per share growth especially if the incremental investments do not generate immediate returns. The market may be underestimating the potential overhang from these equity programs which could exert downward pressure on the stock price if investor sentiment shifts or if the company’s growth trajectory slows. Monitoring the actual uptake of the ATM program and the resulting impact on shareholder dilution will be important for assessing the true risk to EPS expansion.

Peer group

Peer Comparison

Companies in the Regulated Electric Utilities

View all peers

S.No.	Ticker	Company	Market Cap	P/E	P/S	Total Debt (Qtr)
1	ENIC	Enel Chile S.A.	287.73 Bn	217.32	24.79	-
2	NEE	Nextera Energy Inc	160.25 Bn	17.21	5.58	108.46 Bn
3	SO	Southern Co	96.31 Bn	20.44	3.19	75.58 Bn
4	DUK	Duke Energy CORP	88.79 Bn	17.47	2.68	90.25 Bn
5	NGG	National Grid Plc	79.16 Bn	16.82	3.34	-6.27 Bn
6	AEP	American Electric Power Co Inc	65.09 Bn	23.56	2.86	52.84 Bn
7	D	Dominion Energy, Inc	53.95 Bn	21.28	2.98	53.22 Bn
8	ED	Consolidated Edison Inc	38.24 Bn	18.82	2.16	0.97 Bn

Consolidated Edison ED

About

Investment Thesis

Peer Comparison

Create an account

Sign In

Reset Password