JPMorgan Revises Edison International (EIX) Assumptions Heading Into Earnings

Edison International (NYSE:EIX) is included among the 14 High Yield Dividend Stocks with Sustainable Payouts.

JPMorgan Revises Edison International (EIX) Assumptions Heading Into Earnings

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On January 28, JPMorgan analyst Aidan Kelly raised his price target on Edison International (NYSE:EIX) to $66 from $65 and kept a Neutral rating on the stock. The firm said the update reflects changes to its model ahead of the company’s Q4 earnings report.

Edison International operates mainly through Southern California Edison, one of the largest regulated electric utilities in the US. The business earns returns through CPUC-approved investments in its rate base rather than through changes in electricity usage. SCE carries an authorized return on equity of 10.33%, one of the highest levels in the industry. Long-term visibility comes from multi-year general rate cases that support spending on grid upgrades, wildfire mitigation, and clean energy infrastructure.

Customer growth remains modest, but demand trends in California continue to support investment. A strong commercial economy, rising electrification, and increasing power needs are driving ongoing capital deployment. That backdrop underpins management’s 5% to 7% EPS growth outlook and supports a long history of dividend growth.

Edison International (NYSE:EIX)  is one of the largest electric utility holding companies in the US. The company focuses on delivering clean, reliable energy and related services through its operating subsidiaries.

While we acknowledge the potential of EIX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than EIX and that has a 100x upside potential, check out our report about the cheapest AI stock.

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Disclosure: None.