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Investing.com - Mizuho maintained its Outperform rating and $112.00 price target on Consolidated Edison (NYSE:ED), a $36 billion utility company with a 3.4% dividend yield, following the utility company’s investor call focused on future energy delivery goals. According to InvestingPro data, the company has maintained dividend payments for an impressive 50 consecutive years.
The utility company discussed growth opportunities beyond data centers during its presentation, highlighting plans for electric vehicle charging infrastructure, substation network expansion, and potential utility-owned renewable generation projects in New York. With a beta of 0.31 and an overall Financial Health score rated as GOOD by InvestingPro, the company appears well-positioned to execute these growth initiatives. Get access to 12 more exclusive InvestingPro Tips and comprehensive analysis for ED.
Consolidated Edison maintained its five-year rate base compound annual growth rate (CAGR) at 8.2%, though Mizuho expects an update to the company’s rate base forecast in its fourth-quarter presentation based on the projects and expansions outlined during the call.
The company is currently awaiting a decision in its CECONY electric and gas rate case, with Mizuho anticipating a settlement agreement consistent with Consolidated Edison’s filing history over the past 16 years.
Mizuho’s maintained $112 price target reflects confidence in Consolidated Edison’s growth strategy despite the company not being at the forefront of the data center expansion trend that has benefited other utilities.
In other recent news, Consolidated Edison reported second-quarter 2025 adjusted earnings per share of $0.68, surpassing the consensus estimate of $0.65. Following this solid earnings report, Mizuho raised its price target for the company to $112 from $107, while maintaining an Outperform rating. The company also reaffirmed its long-term earnings per share compound annual growth rate of 6% to 7%. Additionally, Consolidated Edison announced the election of Brendan Cavanagh, CEO of SBA Communications, to its Board of Directors, effective October 1, 2025. In further developments, the company declared a quarterly dividend of 85 cents per share, payable on September 15, 2025, to stockholders of record as of August 13, 2025. Consolidated Edison reported approximately $15 billion in annual revenues for the year ended December 31, 2024, and held $71 billion in assets as of March 31, 2025.
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