Using the industry peer median P/E multiple (trailing + forward), Consolidated Edison, Inc. (ED) has a fair value of $114.87 based on 9 comparable companies in the Regulated Electric industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| Consolidated Edison, Inc.ED | 40,018 | 19.8x | 18.3x |
| Entergy CorporationETR | 46,513 | 26.3x | 23.4x |
| Public Service Enterprise Group IncorporatedPEG | 40,257 | 19.2x | 18.4x |
| PG&E CorporationPCG | 38,069 | 14.7x | 10.5x |
| WEC Energy Group, Inc.WEC | 37,111 | 23.6x | 20.4x |
| DTE Energy CompanyDTE | 30,063 | 20.5x | 18.7x |
| Ameren CorporationAEE | 30,016 | 20.3x | 20.2x |
| FirstEnergy Corp.FE | 28,954 | 28.5x | 18.4x |
| Eversource EnergyES | 25,539 | 14.9x | 14.0x |
| CMS Energy CorporationCMS | 23,386 | 21.6x | 19.7x |
| Industry Median | 20.5x | 18.7x | |
| (*) Profit after tax | 2,023 | 2,186 | |
| Equity Value | 41,454 | 40,953 | |
| (/) Outstanding shares | 359 | 359 | |
| Fair Price | $116 | $114 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.