With a market cap of $33.5 billion, Consolidated Edison, Inc. (ED) is one of the largest investor-owned utility companies in the U.S., providing electric, gas, and steam services. The New York City-based company operates through its subsidiaries, including Consolidated Edison Company of New York (CECONY) and Orange & Rockland Utilities.

ED shares have underperformed the broader market considerably over the past year. ED has gained 8.1% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 20.7%. However, in 2025, ED’s stock rose 7.9%, exceeding SPX’s 3.2% rise on a YTD basis. 

Narrowing the focus, ED’s underperformance is also apparent when compared to the Utilities Select Sector SPDR Fund (XLU). The exchange-traded fund has gained about 31.7% over the past year. But, the ETF’s 4.9% gain on a YTD basis trails the stock’s returns over the same time frame.

Consolidated Edison has underperformed the broader market over the past year due to concerns about its aging infrastructure, limited renewable energy investments, and regulatory scrutiny. 

On Nov. 7, ED shares dropped over 1% after releasing its Q3 results. ED reported an adjusted EPS of $1.68, surpassing Wall Street’s estimate of $1.56. Revenue came in at $4.1 billion, exceeding the forecasted $4 billion. For FY2024, the company projects adjusted EPS in the range of $5.30 to $5.40.

For FY2024, which ended in December, analysts expect ED’s EPS to grow 5.5% to $5.35 on a diluted basis. The company’s earnings surprise history is impressive. It beat the consensus estimate in each of the last four quarters.

However, among the 18 analysts covering ED stock, the consensus is a “Hold.” That’s based on three “Strong Buy” ratings, 11 “Holds,” and four “Strong Sells.” 

This configuration is less bullish than a month ago, with four analysts suggesting a “Strong Buy.”

On Feb. 3, Mizuho Financial Group, Inc. (MFG) raised its price target on Consolidated Edison to $95 from $92 while maintaining a “Neutral” rating. The price target revision follows the company’s recent rate case filing with the New York State Department of Public Service. 

The proposal includes a return on equity (ROE) of 10.10%, a 48% equity layer, and incremental revenue requests of $3.4 billion, translating to a ~12% rate increase for electric customers and ~13% for gas. If approved, the plan could accelerate CECONY’s rate base CAGR from 6.5% to 7%. However, Mizuho remains cautious, seeking clarity on how the company will finance its expanded rate base. 

The mean price target of $100.44 represents a 4.3% premium to ED’s current price levels. The Street-high price target of $116 suggests an upside potential of 20.4%.