Retirement Stock Portfolio: 12 Low Risk Investments

2. Consolidated Edison, Inc. (NYSE:ED)

Beta (5Y Monthly): 0.38

Dividend Yield as of January 25: 3.27%

On January 23, BofA raised its price target on Consolidated Edison, Inc. (NYSE:ED) to $99 from $96. The firm reiterated an Underperform rating. BofA said the stock’s risk and reward still look tilted to the downside compared with peers, even after the New York Public Service Commission unanimously approved Con Edison’s three-year electric and gas rate plan covering 2026 through 2028. While the agreement adds some near-term clarity, the analyst said few new catalysts would push the stock meaningfully beyond its long-term 5% to 7% EPS growth outlook, especially as affordability policies continue to gain traction.

Looking ahead, Consolidated Edison plans to invest about $72 billion over the next decade to support its core utility operations, expand cleaner energy use, and strengthen climate resilience. That level of spending is expected to underpin annual earnings growth in the 5% to 7% range, with dividend growth likely running in the low-to-mid single digits through at least 2030. With the stock yielding around 3.3%, that combination points to the potential for roughly 7% or higher average annual total returns over time.

Con Edison’s business is built around steady, predictable revenue. Demand for its services remains resilient, and rates are set through a regulated process that allows the company to recover capital invested in maintaining and expanding its utility network.

Consolidated Edison, Inc. (NYSE:ED) is an energy delivery company that, through its subsidiaries, provides electricity, gas, and related energy services to customers across its service territories.