Edison International (EIX) vs Evergy Inc. (EVRG)

Edison International and Evergy Inc. are both Utilities Regulated Electric companies. Edison International is the larger, with a market value of $21.4B against $18.8B — 1.1× the size. Edison International trades at the lower P/E: 5.7× against 20.7×. Edison International grew revenue faster over the last twelve months: 10.7% against 3.63%. Edison International has the higher net margin (19.3% vs 15.2%) and the higher return on invested capital (6.48% vs 4.15%). Both pay a dividend; Edison International yields more (6.28% vs 3.34%). Across the 22 metrics below, Edison International leads on 21 and Evergy Inc. on 1.

Valuation

Metric EIX EVRG Utilities Regulated Electric median
P/E 5.75 20.72 19.47
P/S 1.11 3.16 2.78
P/B 1.13 1.87 1.77
Price to free cash flow n/m n/m 38.27
EV/EBITDA 6.48 11.42 12.25
EV/Sales 3.28 5.42 4.74
Earnings yield 17.40% 4.83% 5.02%
Free cash flow yield (1.81%) (7.31%) (5.09%)

Profitability

Metric EIX EVRG Utilities Regulated Electric median
Gross margin 75.10% 69.31% 66.28%
Operating margin 32.69% 26.20% 21.79%
Net margin 19.28% 15.19% 12.94%
Free cash flow margin (2.00%) (23.07%) (11.51%)
Return on equity 20.68% 9.13% 9.75%
Return on assets 4.05% 2.71% 2.75%
Return on invested capital 6.48% 4.15% 3.87%

Growth

Metric EIX EVRG Utilities Regulated Electric median
Revenue growth (TTM) 10.74% 3.63% 7.43%
EPS growth (last fiscal year) 248.94% (3.43%) 7.45%
Revenue growth, 5-year CAGR 7.31% 3.94% 6.75%
Net income growth, 5-year CAGR 43.26% 6.71% 6.44%

Health

Metric EIX EVRG Utilities Regulated Electric median
Debt to equity 2.22 1.34 1.53
Current ratio 0.66 0.36 0.81
Net debt to EBITDA 3.84 4.80 5.25

Dividend

Metric EIX EVRG Utilities Regulated Electric median
Dividend yield 6.28% 3.34% 3.29%
Payout ratio 0.36 0.71 0.66

Size

Metric EIX EVRG Utilities Regulated Electric median
Market cap 21.41b 18.80b 23.14b

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