Edison International logo EIX - Edison International

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 19
HOLD 14
SELL 4
STRONG
SELL
0
| PRICE TARGET: $74.17 DETAILS
HIGH: $79.00
LOW: $62.00
MEDIAN: $77.50
CONSENSUS: $74.17
UPSIDE: 4.20%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 85% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Undervalued Strong
Trading 53.1% below fair value
Current Price $71.18
Bear Case $132.66 86.4% upside ($132.66 - $71.18) / $71.18 = 86.4% $11.55 × 14x P/E
Fair Value $151.61 113.0% upside ($151.61 - $71.18) / $71.18 = 113.0% $11.55 × 16x P/E
Bull Case $170.56 139.6% upside ($170.56 - $71.18) / $71.18 = 139.6% $11.55 × 18x P/E

Adjust Assumptions

16.0x
11.55$

Key Value Driver

Normalized P/E multiple (16x base case)

Implied Market Multiple 6.2x

Plain-Language Summary

Our base-case estimate uses a valuation based on adjusted earnings per share and a normalized price-to-earnings multiple. We then blend that result with the average analyst price target of $74.17 from 37 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $151.61 per share.

Warnings

Dividend-based valuation: $104.25 (below our primary estimate by 44%). Large gaps may signal the dividend doesn't reflect full earning power.
Wall Street's average price target is $74.17 (from 37 analysts). Our estimate is 149% above the consensus -- consider that gap carefully.

Key Risks

  • Growth DCF inappropriate — terminal value assumptions dominate
  • EV/EBITDA misleading for regulated businesses where capex is mandated
  • Regulatory risk is a fat tail not visible in normal multiples