Eversource Energy
$69.88
+2.5%Eversource Energy, a public utility holding company, engages in the energy delivery business. The company operates through Electric Distribution, Electric Transmission, Natural Gas Distribution, and Water Distribution segments. It is involved in the transmission and distribution of electricity; solar power facilities; and distribution of natural gas. The company operates regulated water utilities that provide water services to approximately 226,000 customers. It serves residential, commercial, industrial, municipal and fire protection, and other customers in Connecticut, Massachusetts, and New Hampshire. The company was formerly known as Northeast Utilities and changed its name to Eversource Energy in April 2015. Eversource Energy is based in Springfield, Massachusetts.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
High confidenceValuation multiple is mid-range (P/E 15.3).
Valuation inputs: P/E 15.3, earnings yield +6.5%, momentum +2.5%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE +10.4%, ROIC +4.7%).
Profitability stack: net margin +12.5%, ROE +10.4%, ROIC +4.7%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceRisk profile is balanced but has notable pressure points to monitor.
Risk factors: liabilities/assets +74.4%, momentum +2.5%, net margin +12.5%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
Eversource Energy Market vs Earnings Trajectory
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Eversource Energy Fair Value Envelope
Eversource Energy Profit Bridge
Profitability Analysis
Gross Margin
Moderate margins typical of competitive industries. Monitor for pricing pressure or rising costs.
Operating Margin
Healthy operating margins demonstrate effective cost control and strong business fundamentals.
Net Profit Margin
Strong net margins indicate efficient operations and favorable tax/interest management.
Effective Tax Rate
Below-average tax rate suggests effective tax planning, favorable jurisdictions, or tax credits.
Profitability Insight
Efficient profit conversion: Minimal margin compression from gross to net indicates lean operations and favorable tax/interest environment.
Eversource Energy Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Negative free cash flow despite positive earnings raises concerns about cash generation ability or heavy capital requirements.
CapEx Intensity
Very high capital intensity consumes most operating cash flow. Limited flexibility for dividends or debt reduction.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Significant working capital drain. Growth may be consuming cash through inventory buildup or receivables extension—monitor closely.
Cash Flow Quality Insight
Cash flow concerns: Despite profitability, the company is burning cash. Review working capital management, CapEx levels, and sustainability of current operations.
Eversource Energy Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Warning: Liquidity concerns. Current assets may not be sufficient to cover short-term obligations.
Debt-to-Equity Ratio
High financial leverage. Heavy reliance on debt may indicate increased financial risk and potential solvency concerns.
Working Capital
Negative working capital indicates short-term liabilities exceed short-term assets—potential liquidity stress.
Asset Composition
Capital-intensive business with significant long-term investments in property, equipment, or intangibles.
Financial Health Insight
Financial stress indicators: Both liquidity and leverage metrics raise concerns. The company may face challenges meeting obligations and should focus on strengthening its balance sheet.
Eversource Energy Street Expectations Map
Wall Street analysts project that ES stock may experience modest gains over the coming 12 months. The consensus 1-year price target stands at 75.83, with estimates ranging from a low of 72.00 to a high of 79.00.
The consensus 1-year price target stands at 75.83, with estimates ranging from a low of 72.00 to a high of 79.00.
Analyst Consensus Analysis
Upside Potential
Moderate upside. Analysts expect positive returns but with limited margin of safety. Consider entry timing.
Analyst Agreement
High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.
Analyst Conviction
Positive outlook with reasonable agreement. Analysts generally optimistic about prospects with manageable uncertainty.
Market Sentiment Insight
Monitor and evaluate: Current analyst consensus suggests limited conviction or near-term catalysts. Stay informed on company developments and reassess positioning as new information emerges.
Eversource Energy Insider Positioning
During the last 12 months, insiders have purchased $300K and sold $3.25M worth of ES shares, resulting in $2.95M of net selling activity.
3 Months
750
49.86K
0
0.00
+50K
+$50K
3-6 Months
0
0.00
31.7K
2.35M
-2.3M
-$2.35M
6-9 Months
0
0.00
9.1K
665.88K
-666K
-$666K
9-12 Months
3.8K
249.74K
3.7K
238.21K
+12K
+$12K
Top Buyers
Keane Loretta D.
Other: Trustee
$250K
Mudge W Robert
Other: Trustee
$50K
Top Sellers
Kim John Y
Other: Trustee
$1.35M
Moreira John M.
Officer: Evp, Cfo And Treasurer
$576K
Butler Gregory B
Officer: Executive Vp & General Counsel
$365K
Conner Penelope M
Officer: Evp-Cust Exp & Energy Strategy
$343K
Hunt James W Iii
Officer: Evp-Corp Rel & Sustainability
$300K
Insider Activity Analysis
Net Insider Sentiment
Strong bearish signal with $2.95M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.
Buy/Sell Ratio
Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.
Recent Trend (3 Months)
Very strong recent buying momentum. Recent insider purchases significantly outpace sales, suggesting near-term optimism.
Insider Participation
5 insider sellers vs. 2 buyers. Widespread selling across multiple insiders may signal concerns.
es Dividend History
Learning Layer
Related Guides
Build conviction on ES by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.