Edison International $EIX Stock: Compass Financial Management LLC Cuts Position

Key Points

• Compass Financial Management cut its Edison International stake by 94.4% in the third quarter, selling 18,611 shares and retaining 1,110 shares valued at about $60,000.
• Analyst sentiment is cautious: 10 analysts rate the stock Hold and four rate it Sell, giving it a consensus “Reduce” rating and an average price target of $60.58.
• Edison International beat quarterly earnings expectations with EPS of $1.92 versus $1.81 forecast, but revenue fell 15% year over year to $4.89 billion. The company’s annualized dividend is $3.51 per share, a yield of about 5.9%.

Compass Financial Management LLC lessened its position in Edison International (NYSE:EIX - Free Report) by 94.4% during the 3rd quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 1,110 shares of the utilities provider's stock after selling 18,611 shares during the quarter. Compass Financial Management LLC's holdings in Edison International were worth $60,000 at the end of the most recent reporting period.

Several other hedge funds have also recently bought and sold shares of EIX. Rakuten Investment Management Inc. grew its position in Edison International by 9.7% in the 3rd quarter. Rakuten Investment Management Inc. now owns 69,068 shares of the utilities provider's stock valued at $3,699,000 after acquiring an additional 6,124 shares in the last quarter. Provenance Wealth Advisors LLC acquired a new stake in shares of Edison International during the third quarter worth about $27,000. Putney Financial Group LLC acquired a new stake in shares of Edison International during the third quarter worth about $38,000. Welch Group LLC purchased a new position in shares of Edison International in the third quarter valued at approximately $501,000. Finally, Mirae Asset Global Investments Co. Ltd. purchased a new position in shares of Edison International in the third quarter valued at approximately $9,423,000. Institutional investors and hedge funds own 88.95% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research analysts recently weighed in on EIX shares. Jefferies Financial Group cut shares of Edison International from a "hold" rating to an "underperform" rating and dropped their price objective for the company from $53.00 to $42.00 in a report on Friday, October 2nd. Barclays upped their price target on Edison International from $53.00 to $58.00 and gave the stock an "equal weight" rating in a report on Friday, October 30th. Morgan Stanley increased their price target on Edison International from $60.00 to $62.00 and gave the company an "underweight" rating in a research report on Wednesday, October 21st. Bank of America cut Edison International from a "buy" rating to a "neutral" rating and decreased their price objective for the company from $81.00 to $51.00 in a research note on Tuesday, September 1st. Finally, UBS Group boosted their price objective on Edison International from $57.00 to $62.00 and gave the stock a "neutral" rating in a research report on Friday, October 30th. One research analyst has rated the stock with a Buy rating, ten have assigned a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of "Reduce" and an average target price of $60.58.

Insiders Place Their Bets

In related news, Director Peter Taylor sold 500 shares of the business's stock in a transaction on Monday, October 12th. The shares were sold at an average price of $55.56, for a total value of $27,780.00. Following the completion of the sale, the director directly owned 33,212 shares of the company's stock, valued at $1,845,258.72. The trade was a 1.48% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.20% of the stock is currently owned by company insiders.

Edison International Trading Down 0.2%

EIX opened at $59.27 on Monday. Edison International has a one year low of $51.10 and a one year high of $81.62. The company has a market cap of $22.81 billion, a P/E ratio of 6.30, a PEG ratio of 2.51 and a beta of 0.56. The company has a debt-to-equity ratio of 2.01, a quick ratio of 0.71 and a current ratio of 0.77. The business's 50-day simple moving average is $56.41 and its 200-day simple moving average is $67.70.

Edison International (NYSE:EIX - Get Free Report) last announced its quarterly earnings results on Thursday, October 29th. The utilities provider reported $1.92 EPS for the quarter, beating the consensus estimate of $1.81 by $0.11. Edison International had a net margin of 20.50% and a return on equity of 14.17%. The company had revenue of $4.89 billion for the quarter, compared to analyst estimates of $5.34 billion. During the same period in the prior year, the firm posted $2.34 earnings per share. The firm's revenue was down 15.0% on a year-over-year basis. As a group, equities research analysts expect that Edison International will post 6.13 EPS for the current fiscal year.

Edison International Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Saturday, October 31st. Investors of record on Wednesday, October 7th were given a $0.8775 dividend. This represents a $3.51 dividend on an annualized basis and a dividend yield of 5.9%. The ex-dividend date of this dividend was Wednesday, October 7th. Edison International's dividend payout ratio (DPR) is 37.30%.

Edison International Profile

Edison International is a holding company focused on electric power generation and delivery. Its principal subsidiary, Southern California Edison (SCE), is a regulated electric utility that serves homes and businesses across much of central and Southern California.

SCE operates and maintains the electric grid, including transmission and distribution infrastructure, and works to support the region's shift to cleaner energy. Edison International also provides energy advisory and management services through its Edison Energy business.

The company traces its roots to the late 19th century and has a long history of serving California's electricity needs.

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