Edison International Sees Unusually High Options Volume (NYSE:EIX)

Edison International (NYSE:EIX) was the recipient of unusually large options trading activity on Tuesday. Stock traders purchased 12,575 put options on the stock. This represents an increase of approximately 74% compared to the typical volume of 7,211 put options.

Edison International Trading Down 0.2%

NYSE EIX opened at $55.38 on Thursday. The company’s 50-day moving average price is $60.67 and its 200-day moving average price is $68.51. The company has a current ratio of 0.66, a quick ratio of 0.61 and a debt-to-equity ratio of 1.95. The stock has a market cap of $21.31 billion, a PE ratio of 7.74, a PEG ratio of 2.23 and a beta of 0.62. Edison International has a 12 month low of $51.10 and a 12 month high of $81.62.

Edison International (NYSE:EIX) last posted its quarterly earnings results on Thursday, July 30th. The utilities provider reported $1.54 EPS for the quarter, topping the consensus estimate of $1.18 by $0.36. Edison International had a net margin of 20.30% and a return on equity of 15.53%. The company had revenue of $4.36 billion for the quarter, compared to the consensus estimate of $4.82 billion. During the same quarter last year, the firm posted $0.97 EPS. The firm’s revenue was down 4.1% compared to the same quarter last year. Edison International has set its FY 2026 guidance at 5.900-6.200 EPS. Equities research analysts forecast that Edison International will post 6.13 earnings per share for the current year.

Edison International Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Saturday, October 31st. Shareholders of record on Wednesday, October 7th will be paid a $0.8775 dividend. This represents a $3.51 dividend on an annualized basis and a yield of 6.3%. The ex-dividend date is Wednesday, October 7th. Edison International’s dividend payout ratio is currently 36.19%.

Insider Activity at Edison International

In related news, Director Peter Taylor sold 500 shares of Edison International stock in a transaction dated Monday, October 12th. The shares were sold at an average price of $55.56, for a total transaction of $27,780.00. Following the completion of the transaction, the director directly owned 33,212 shares of the company’s stock, valued at approximately $1,845,258.72. The trade was a 1.48% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 1.20% of the company’s stock.

Institutional Trading of Edison International

Several institutional investors and hedge funds have recently modified their holdings of the stock. Strategy Asset Managers LLC increased its position in shares of Edison International by 140.1% during the third quarter. Strategy Asset Managers LLC now owns 10,293 shares of the utilities provider’s stock worth $553,000 after purchasing an additional 6,006 shares in the last quarter. Triumph Capital Management lifted its holdings in shares of Edison International by 3.9% during the 3rd quarter. Triumph Capital Management now owns 12,347 shares of the utilities provider’s stock valued at $663,000 after purchasing an additional 462 shares during the last quarter. Firethorn Wealth Partners LLC lifted its holdings in shares of Edison International by 26.0% during the 3rd quarter. Firethorn Wealth Partners LLC now owns 9,942 shares of the utilities provider’s stock valued at $534,000 after purchasing an additional 2,049 shares during the last quarter. Signal Advisors Wealth LLC acquired a new stake in shares of Edison International in the 3rd quarter worth $425,000. Finally, Steel Grove Capital Advisors LLC acquired a new stake in shares of Edison International in the 3rd quarter worth $1,428,000. Institutional investors own 88.95% of the company’s stock.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on EIX. Argus reissued a “hold” rating on shares of Edison International in a research note on Wednesday, August 26th. Morgan Stanley dropped their target price on Edison International from $65.00 to $60.00 and set an “underweight” rating for the company in a research report on Friday, September 18th. Weiss Ratings cut Edison International from a “buy (b-)” rating to a “hold (c)” rating in a research note on Thursday, September 10th. UBS Group reiterated a “neutral” rating and issued a $57.00 price target on shares of Edison International in a report on Thursday, September 24th. Finally, Jefferies Financial Group reiterated an “underperform” rating and issued a $42.00 price target (down from $53.00) on shares of Edison International in a report on Friday, October 2nd. One research analyst has rated the stock with a Buy rating, nine have given a Hold rating and four have issued a Sell rating to the company. According to data from MarketBeat, Edison International currently has a consensus rating of “Reduce” and a consensus target price of $60.18.

Edison International News Summary

Here are the key news stories impacting Edison International this week:

• Positive Sentiment: Some analysis suggests EIX could be approximately 16% undervalued after recent wildfire-related selling. The company’s regulated utility operations and roughly 6.4% dividend yield may appeal to income-focused investors if potential liabilities remain manageable. Edison International could be 16% undervalued
• Positive Sentiment: Southern California Edison warned of possible wildfire-related power shutoffs. While outages could hurt operations and customers, proactive shutoffs may reduce fire risk and potentially limit future liability. Southern California Edison warns of potential wildfire-related power shutoffs
• Neutral Sentiment: A director sold 500 shares worth approximately $27,780 under a pre-arranged Rule 10b5-1 plan. The sale reduced his holdings by only 1.48%, limiting its significance as an indicator of insider sentiment. SEC insider trading filing
• Negative Sentiment: Muddy Waters alleged willful misconduct by Edison International in the Eaton Fire case, intensifying concerns about litigation, regulatory action, and potentially significant wildfire liabilities. Edison drops as Muddy Waters alleges willful misconduct in Eaton Fire case
• Negative Sentiment: Investors bought 12,575 put options, about 74% above average volume, signaling increased demand for downside protection or bearish speculation.
• Negative Sentiment: Reports focused on the Eaton Fire claims indicate that uncertainty over liability is likely to remain the primary driver of EIX’s valuation, offsetting the appeal of its dividend and low earnings multiple. Investors may respond to Edison International short seller claims

About Edison International

Edison International is a publicly owned holding company based in Rosemead, California. Its principal subsidiary, Southern California Edison (SCE), is an electric utility that generates, transmits, and distributes electricity across central, coastal, and Southern California.

SCE provides electric service to residential, commercial, industrial, and public-sector customers and manages a large transmission and distribution network. The utility is also involved in grid modernization, wildfire mitigation, renewable energy integration, energy efficiency, and the development of electric transportation infrastructure.

Edison International’s history is rooted in Southern California Edison, which traces its origins to the late 19th century.