Edison International (NYSE:EIX) Trading Down 8.1% Following Analyst Downgrade

Edison International (NYSE:EIX) shares were down 8.1% during mid-day trading on Wednesday after UBS Group lowered their price target on the stock from $75.00 to $63.00. UBS Group currently has a neutral rating on the stock. Edison International traded as low as $54.46 and last traded at $54.0080. Approximately 1,214,015 shares traded hands during mid-day trading, a decline of 63% from the average daily volume of 3,289,790 shares. The stock had previously closed at $58.80.

Several other research analysts also recently commented on EIX. Mizuho reiterated a “neutral” rating and issued a $70.00 price objective (down from $86.00) on shares of Edison International in a report on Monday. Argus restated a “hold” rating on shares of Edison International in a research report on Wednesday, August 26th. Barclays reaffirmed an “equal weight” rating and issued a $75.00 price target (down from $78.00) on shares of Edison International in a research note on Friday, July 31st. Weiss Ratings upgraded Edison International from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, August 27th. Finally, JPMorgan Chase & Co. increased their price objective on Edison International from $75.00 to $76.00 and gave the company a “neutral” rating in a research note on Friday, May 15th. Two investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat, Edison International currently has a consensus rating of “Reduce” and a consensus price target of $67.18.

Edison International News Roundup

Here are the key news stories impacting Edison International this week:

• Positive Sentiment: Shares are recovering after plunging roughly 23%–24% in the prior session, suggesting some investors view the selloff as overdone. Heavy call-option activity—23,522 calls purchased versus average volume of 3,833—also indicates speculative bullish positioning, although it does not necessarily represent long-term conviction.
• Positive Sentiment: An earlier report that California lawmakers had rejected a wildfire bill lacking utility liability protections initially lifted Edison International and PG&E, as investors interpreted the development as leaving room for a more favorable reform package. PG&E Stock, Edison International Rise as California Lawmakers Kill Wildfire Bill
• Neutral Sentiment: Mizuho assigned Edison International a neutral rating, reinforcing a wait-and-see stance while the market assesses the company’s potential wildfire exposure. Edison International Earns Neutral Rating from Mizuho
• Negative Sentiment: The central negative catalyst is California’s amended wildfire legislation, which reportedly omits the liability protections investors expected. That leaves investor-owned utilities potentially responsible for substantial wildfire damages, raising concerns about earnings volatility, capital needs, credit ratings and access to financing. Edison’s Southern California Edison unit has called for broader wildfire reform. Edison International plunges after California bill omits protections
• Negative Sentiment: Bank of America downgraded EIX from Buy to Neutral and cut its price target to $51 from $81, citing the setback on liability reform. The target implies further downside from the reference price, while the downgrade adds institutional selling pressure. PCG and EIX face wildfire reform setback

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. 10Elms LLP bought a new stake in shares of Edison International during the 4th quarter valued at $26,000. Edmond DE Rothschild Holding S.A. bought a new position in Edison International during the 2nd quarter valued at approximately $26,000. Transamerica Financial Advisors LLC raised its position in shares of Edison International by 170.3% in the 4th quarter. Transamerica Financial Advisors LLC now owns 446 shares of the utilities provider’s stock worth $27,000 after purchasing an additional 281 shares during the last quarter. Groupe la Francaise purchased a new position in Edison International in the first quarter worth about $29,000. Finally, Mowery & Schoenfeld Wealth Management LLC bought a new position in shares of Edison International in the second quarter worth approximately $30,000. Hedge funds and other institutional investors own 88.95% of the company’s stock.

Edison International Trading Down 7.3%

The stock has a market cap of $20.99 billion, a PE ratio of 5.62, a PEG ratio of 4.19 and a beta of 0.62. The stock’s fifty day moving average price is $73.66 and its 200 day moving average price is $72.27. The company has a quick ratio of 0.61, a current ratio of 0.66 and a debt-to-equity ratio of 1.95.

Edison International (NYSE:EIX) last issued its quarterly earnings data on Thursday, July 30th. The utilities provider reported $1.54 earnings per share for the quarter, beating analysts’ consensus estimates of $1.18 by $0.36. The company had revenue of $4.36 billion for the quarter, compared to the consensus estimate of $4.82 billion. Edison International had a net margin of 20.30% and a return on equity of 15.53%. The firm’s revenue for the quarter was down 4.1% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.97 earnings per share. Edison International has set its FY 2026 guidance at 5.900-6.200 EPS. On average, sell-side analysts forecast that Edison International will post 6.13 EPS for the current year.

Edison International Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, July 31st. Shareholders of record on Tuesday, July 7th were paid a $0.8775 dividend. This represents a $3.51 annualized dividend and a yield of 6.4%. The ex-dividend date was Tuesday, July 7th. Edison International’s dividend payout ratio is presently 36.19%.

About Edison International

Edison International is a publicly traded utility holding company based in Rosemead, California, whose principal subsidiary is Southern California Edison (SCE). As an electric utility holding company, Edison International oversees the delivery of electricity through SCE’s integrated network of generation procurement, transmission and distribution infrastructure, serving millions of customers across central, coastal and southern California. The company’s operations focus on reliable energy delivery, customer service, regulatory compliance and long-term infrastructure planning for a complex and high-demand service territory.

The company’s activities include procuring and managing a diverse resource mix, maintaining and upgrading transmission and distribution systems, and implementing grid modernization projects.