Consolidated Edison (ED) Expected to Beat Earnings Estimates: Should You Buy?

Core Viewpoint - The market anticipates a year-over-year decline in earnings for Consolidated Edison (ED) despite higher revenues, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - Consolidated Edison is expected to report quarterly earnings of $0.84 per share, reflecting a year-over-year decrease of 14.3% [3]. - Revenues are projected to be $3.7 billion, which is an increase of 0.8% compared to the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating stability in analysts' assessments [4]. - A positive Earnings ESP of +0.25% suggests that analysts have recently become more optimistic about the company's earnings prospects [12]. Earnings Surprise History - In the last reported quarter, Consolid Edison was expected to post earnings of $1.76 per share but exceeded expectations with actual earnings of $1.90, resulting in a surprise of +7.95% [13]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [14]. Additional Insights - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [10]. - The current Zacks Rank for Consolid Edison is 3, indicating a likelihood of beating the consensus EPS estimate [12].