Edison International [NYSE:EIX]: Analyst Rating and Earnings
Equities traders frequently stay up to date regarding what leading market analysts think about a possible stock buy. As it relates to Edison International [EIX], the latest mean analyst recommendation that’s publicly available is from the fiscal three-month period ending in December. On average, stock market experts give EIX an Outperform rating. Its stock price has been found in the range of 45.50 to 71.00. This is compared to its latest closing price of $60.20.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Edison International [EIX] is sitting at 2.19. This is compared to 1 month ago, when its average rating was 2.31.
For the quarter ending in Mar-19 Edison International [EIX] generated $2.82 billion in sales. That’s 2.41% higher than the average estimate of $2.76 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Stay on the lookout for the next quarterly financial report – the company is expected to release the following results on Thu 25 Jul (In 42 Days).
Fundamental Analysis of Edison International [EIX]
Now let’s turn to look at profitability: with a current Operating Margin for Edison International [EIX] sitting at +17.29 and its Gross Margin at +20.41, this company’s Net Margin is now -2.80%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 7.75, and its Return on Invested Capital has reached 0.70%. Its Return on Equity is -4.13, and its Return on Assets is -0.84. These metrics suggest that this Edison International does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Edison International [EIX] has generated a Total Debt to Total Equity ratio of 147.54. Similarly, its Total Debt to Total Capital is 59.60, while its Total Debt to Total Assets stands at 27.21. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 139.90, and its Long-Term Debt to Total Capital is 56.52.
What about valuation? This company’s Enterprise Value to EBITDA is 8.60 and its Total Debt to EBITDA Value is 3.74. The Enterprise Value to Sales for this firm is now 2.75, and its Total Debt to Enterprise Value stands at 0.43. Edison International [EIX] has a Price to Book Ratio of 1.77, a Price to Cash Flow Ratio of 5.83.
Shifting the focus to workforce efficiency, Edison International [EIX] earns $1,006,601 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 9.90 and its Total Asset Turnover is 0.23. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.57 and its Current Ratio is 0.62. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Edison International [EIX] has 330.18M shares outstanding, amounting to a total market cap of $19.65B. Its stock price has been found in the range of 45.50 to 71.00. At its current price, it has moved by -16.17% from its 52-week high, and it has moved 30.81% from its 52-week low.
This stock’s Beta value is currently 0.09, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 41.33. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Edison International [EIX] a Reliable Buy?
Edison International [EIX] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.