What Does Edison International Offer That Eversource Does Not?
Edison International (EIX) and Eversource Energy (ES) both target 5-7% EPS growth through 2030. Edison's stock trades at 5.4x earnings, while Eversource's is at 14.3x. Edison reported Q2 2026 adjusted earnings of $1.54/share, up from $0.97 a year prior, and maintained its 2026 guidance. Edison has higher debt (204% of market value) and negative free cash flow ($389M), while Eversource has lower debt (121%) and positive free cash flow ($237M).
How this was made

The 30-second read
Why it matters
Both utilities held 2026 guidance; Edison shows higher leverage and negative cash flow, while Eversource appears financially stronger.
Market read
Provides investors with a side‑by‑side financial health snapshot, useful for relative valuation decisions.
What to watch
Potential regulatory or rate‑case outcomes could materially affect earnings guidance.
Background
The article compares Edison International (EIX) and Eversource Energy (ES) on earnings guidance, debt levels, and cash flow.
Ticker impact
Edison International held its 2026 earnings guide at $5.90‑$6.20 per share and disclosed high debt (204% of market value) and negative free cash flow.
likely downside as market prices in debt concerns
Guidance unchanged but balance sheet weakness suggests limited upside.
Eversource Energy also held its 2026 guide at $4.57‑$4.72 per share, showing lower debt (121% of market value) and positive free cash flow.
potential slight upside or stability
Guidance unchanged but healthier financial metrics could attract investors.
Market effects
Highlights valuation spread between utility peers based on debt and cash flow profiles.
U.S. utility sector may see modest re‑rating of high‑leverage stocks.
Limited to U.S. equity investors focused on utility fundamentals.
Counterpoint
Edison’s low valuation could be a buying opportunity if debt can be managed.
Key entities
- CompanyEdison International
Parent of Southern California Edison, utility with high debt and negative free cash flow.
- CompanyEversource Energy
Utility with lower debt and positive free cash flow.



