Consolidated Edison, Inc. (ED) — Fair Value Analysis
Base-case fair value (P50): $139.78 · Current price: $105.36 · Verdict: Undervalued
The Verdict on ED
Consolidated Edison (ED) is currently assessed as undervalued by our Monte Carlo simulations. Trading at $106.16, ED sits notably below its median fair value (P50) of $139.86. This suggests a substantial upside potential of +31.7% based on our current modeling, indicating a compelling entry point for investors seeking value in the Utilities sector.
How ED stacks up against Utilities
Relative to its peers within the Utilities sector, Consolidated Edison maintains an average quality tier in terms of operational and financial health. Despite this average standing, our fair value analysis still highlights a significant disconnect between ED's current market price of $106.16 and its intrinsic worth. The calculated median fair value of $139.86 suggests that the market may not be fully appreciating ED's stable business model within the Utilities space, leaving a +31.7% gap for potential appreciation.
What this means for investors
For investors, ED's undervalued status, with a current price of $106.16 well below its $139.86 median fair value, presents a clear opportunity for a +31.7% return to its P50 target. While our models also generate detailed downside and bull case scenarios, the significant upside to the median fair value remains a key takeaway. To access the full probability distribution, including the bear and bull targets and track ED's fair value as new fundamentals are released, sign up for a free FairCurve account.
Frequently Asked Questions
Is ED overvalued or undervalued right now?
Based on our current Monte Carlo simulations, Consolidated Edison (ED) is significantly undervalued. Its current price of $106.16 is well below the median fair value (P50) of $139.86.
What is the bear case and bull case for ED?
The complete Monte Carlo distribution for ED, including specific bear (P10) and bull (P90) case targets, alongside the probability of achieving upside, is exclusively available to users with a free FairCurve account. These detailed scenarios provide a comprehensive view beyond the median fair value.
How does FairCurve calculate ED's fair value?
FairCurve calculates ED's fair value through sophisticated Monte Carlo simulations, projecting thousands of forward scenarios for the company's financials. This robust statistical analysis generates a probabilistic range of potential valuations for Consolidated Edison.
How can I track ED's fair value as it changes?
To consistently monitor ED's valuation, add Consolidated Edison to your free FairCurve watchlist. This provides daily fair-value updates and instantly re-evaluates the stock when new fundamental data, such as earnings reports, are released.