Stock Analysis | Consolidated Edison Outlook - Weak Technicals and Mixed Analysts Weigh on the Stock

Market Snapshot

Headline Takeaway: Consolidated Edison (ED) is facing a negative price trend, with technical indicators and analyst ratings suggesting caution. Stance: Negative.

News Highlights

Recent news featured several developments that may indirectly influence investor sentiment:

• Tesla's Optimus Robot Gets a Strong Endorsement: Nvidia CEO Jensen Huang highlighted Tesla's Optimus robot as a potential game-changer, signaling excitement in the robotics space. While not directly related to ED, the broader market enthusiasm for innovation may shift attention from slower-moving utilities like Edison.
• HH Chemical Launches BIODEX®: HH Chemical announced a new integrated bio-based materials brand, which could spark interest in sustainability-focused industries. While Edison is a utility, green initiatives may indirectly influence long-term infrastructure investments in the energy sector.
• Key Colony Management Buys Edison International (EIX) Shares: Institutional investors are showing some interest in the Edison family of utilities, which may hint at cautious optimism for the sector despite ED's current challenges.

Analyst Views & Fundamentals

Analysts are split in their assessments of ED, with mixed signals between ratings and price performance:

• Average Rating Score (Simple Mean): 2.75 (on a 5-point scale). Interpretation: Slightly bearish to neutral.
• Weighted Rating Score (Performance-Weighted): 2.21. Interpretation: Strongly bearish, reflecting the historical average returns of the analysts.
• Rating Consistency: Analysts are not aligned—there are differences, with 2 "Sell" ratings, 1 "Buy," and 1 "Neutral" in the last 20 days.
• Price Trend vs. Ratings: The stock has fallen 3.84% recently, and the average ratings align with this downward move, suggesting weighted expectations match current price action.

Key Fundamentals and Model Scores

• Price-to-Cash Flow (PCF): 15.45. Internal diagnostic score: 0.00.
• Price-to-Earnings (PE): 124.31. Internal diagnostic score: 3.00.
• Price-to-Sales (PS): 8.51. Internal diagnostic score: 2.00.
• Return on Assets (ROA): 0.34%. Internal diagnostic score: 3.00.
• Cash to Market Value (Cash-MV): 1.26. Internal diagnostic score: 0.00.
• Gross Profit to Operating Assets (GPOA): 2.55%. Internal diagnostic score: 2.00.

Money-Flow Trends

Large-scale investors are showing negative sentiment across all categories of fund flow:

• Large and Extra-Large Investors: Inflow ratios are below 50% (47.8% and 49.6%, respectively), indicating selling pressure.
• Overall Inflow Ratio: 48.96%. This suggests a net outflow in recent trading sessions.
• Big-Money Sentiment: The block trend is negative, meaning institutional players are not bullish.

For retail investors, the inflow ratio is also negative (49.2%), indicating no fresh enthusiasm in the retail segment either.

Key Technical Signals

Technically, ED is in a weak position, with bearish signals dominating the charts:

• Williams %R (WR) Oversold: Internal diagnostic score: 1.14. Evaluation: Biased bearish.
• RSI Oversold: Internal diagnostic score: 5.66. Evaluation: Neutral rise.

Recent Chart Patterns (Last 5 Days)

• 2025-08-26: WR Oversold signal
• 2025-09-02: WR Oversold and RSI Oversold signals
• 2025-08-28: WR Oversold
• 2025-08-27: WR Oversold
• 2025-08-29: WR Oversold

ED has seen repeated WR Oversold signals, but without follow-through from the RSI, the market is hesitant to break out. Technical insight: The market is in a volatile state, and the direction is not clear enough. Bearish signals are dominant.

Conclusion

Actionable Takeaway: Given the weak technical signals, mixed analyst sentiment, and negative money flows, investors should consider avoiding ED for now or waiting for a clearer breakout pattern. The stock appears to be in a holding pattern without strong directional momentum.