SkyOak Wealth LLC has expanded its investment in Consolidated Edison Inc (NYSE:ED) by 18.7% during the first quarter of 2023, as detailed in its latest 13F filing with the Securities and Exchange Commission. This increase translates to an additional 700 shares, bringing SkyOak’s total holdings to 4,453 shares, valued at approximately $492,000.
This move by SkyOak Wealth reflects a broader trend among institutional investors, as several hedge funds have adjusted their positions in Consolidated Edison recently. For instance, Merit Financial Group LLC raised its stake by 16.8%, now owning 10,666 shares worth $1.18 million after acquiring 1,533 additional shares. Ritholtz Wealth Management entered the scene with a new investment valued at $227,000, while Wealth Enhancement Advisory Services LLC increased its holdings by 2.8% to own 250,014 shares, valued at $27.65 million.
Orion Portfolio Solutions LLC also boosted its position by 22.2% in the previous quarter, with a total of 7,516 shares now worth $671,000. Additionally, Flagship Harbor Advisors LLC purchased a new stake in Consolidated Edison valued at approximately $217,000. Overall, hedge funds and institutional investors collectively own 66.29% of the company’s stock, indicating strong support among major investors.
Analyst Ratings and Stock Performance
Financial analysts have been actively assessing Consolidated Edison’s stock, with varying opinions emerging. Morgan Stanley recently lowered its price target from $93.00 to $92.00, rating the stock as “underweight.” KeyCorp followed suit, also downgrading its rating to “underweight” with a price target of $90.00.
Conversely, Mizuho upgraded its stance from “neutral” to “outperform,” raising the target price from $105.00 to $107.00. Wells Fargo & Company increased its target from $103.00 to $114.00 while maintaining an “equal weight” rating. UBS Group also adjusted its price target from $110.00 to $113.00 with a “neutral” rating. Currently, the consensus rating for Consolidated Edison is “Hold” with an average target price of $105.27.
As of the last trading session, Consolidated Edison’s stock opened at $100.59. The company’s market capitalization stands at $36.24 billion, with a price-to-earnings (PE) ratio of 18.59 and a low beta of 0.26. The firm’s debt-to-equity ratio is 1.04, indicating a stable capital structure. The stock has experienced a 12-month low of $87.28 and a high of $114.87.
Earnings Report and Dividend Announcement
Consolidated Edison recently reported its earnings for the first quarter of 2023, revealing earnings per share of $2.25, which fell short of analysts’ expectations of $2.30 by $0.05. The company generated revenue of $4.80 billion, surpassing the anticipated $4.21 billion. Despite the earnings miss, Consolidated Edison achieved a return on equity of 8.61% and a net margin of 11.98%. In the same quarter of the previous year, the firm reported earnings of $2.15 per share.
Furthermore, Consolidated Edison declared a quarterly dividend of $0.85, which was distributed to shareholders on June 16, 2023. This dividend represents an annualized payout of $3.40 with a yield of 3.38%. The dividend payout ratio stands at 62.85%, indicating a balanced approach to returning capital to shareholders while maintaining operational investment.
Consolidated Edison, through its subsidiaries, operates in the regulated electric, gas, and steam delivery sectors in the United States. The company provides electric services to approximately 3.7 million customers in New York City and Westchester County, gas services to around 1.1 million customers in Manhattan, the Bronx, parts of Queens, and Westchester County, and steam services to about 1,530 customers in portions of Manhattan.
As institutional interests grow and analysts weigh in on its performance, Consolidated Edison remains a significant player in the utilities sector, reflecting both challenges and opportunities for future growth.