ED Consolidated Edison
too hard · 38
Owner-earnings value$101.14
Price$112.26
Margin of safety
-9.9%
Quality gate · 38/100
⚠ sub-hurdle returns (median roic 6% < 9%) · over-levered (net debt/EBITDA 4.1x > 4x)
Median ROIC5.5%
Gross margin53.4%
Net debt / EBITDA4.1x
FCF conversion-46%
Share count / yr+0.6%
Profitable years4/4
Moat & management
Owner-earnings inputs
| Owner earnings (TTM) | 2.22B |
| Owner-earnings yield | 5.3% |
| Free-cash-flow yield | -2.1% |
| Growth used (normalized) | 2.6% |
| Market-implied growth (reverse DCF) | 5.1% |
| Terminal growth | 3.0% |
| Discount rate (hurdle) | 9.0% |
Projected owner earnings
| Yr | Owner earnings | Growth | PV |
|---|---|---|---|
| 1 | 2.27B | 2.6% | 2.09B |
| 2 | 2.33B | 2.6% | 1.96B |
| 3 | 2.40B | 2.7% | 1.85B |
| 4 | 2.46B | 2.7% | 1.74B |
| 5 | 2.53B | 2.8% | 1.64B |
| 6 | 2.60B | 2.8% | 1.55B |
| 7 | 2.68B | 2.9% | 1.46B |
| 8 | 2.75B | 2.9% | 1.38B |
| 9 | 2.84B | 3.0% | 1.31B |
| 10 | 2.92B | 3.0% | 1.23B |
⚠ maintenance capex ≈ min(capex, D&A), capped at FCF · Price pays for ~5%/yr owner-earnings growth over 10y (reverse DCF); model credits 3%.