Eversource Energy (ES)
NYSEUtilitiesUtilities - Regulated ElectricSnapshot 2026-07-08
$73.80-1.27%
Close 2026-07-08 · 1-day change
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Track ES free→Warn: Management is running behind on a stated commitment.
Eversource aims for 2026 EPS between $4.57 and $4.72. They sold Aquarion Water for $2.4 billion to cut debt. The company plans $26.5 billion investments by 2030 to improve service and clean energy. They fight to raise transmission returns after a FERC cut.
Regulatory challenges may cut earnings and slow growth. EPS guidance was lowered recently. Rate increases and payment issues could hurt revenue. Cybersecurity incidents and debt raise risks.
The price is about 2% above our fair value near $73. Analysts expect almost no revenue growth. Our view sees modest growth but risks from regulation and guidance cuts.
Breaks if: Net proceeds used for debt fall below $1.7 billion
Complete sale of Aquarion Water Company to improve balance sheet and focus on core regulated electric and gas operations.
Standing thesis, reviewed periodically — not a price target or advice.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Stated in 2 disclosures including the 2026-Q1 period and the 2026-07-01 announcement. The sale of Aquarion Water Company for $2.4 billion cash with net proceeds of approximately $1.7 billion to reduce debt aligns with management's stated goal to strengthen the balance sheet and focus on core regulated operations. The transaction closed as planned, delivering on this capital allocation priority.
“Following the FERC order and potential Aquarion sale, the Company revised its earnings guidance for 2026.”
Breaks if: Investment plan falls short of $26.5 billion by 2030
Increase capital investments primarily in electric and natural gas distribution to support safe, reliable service and clean energy goals.
Newly stated in 2025-Q4. Management announced a $26.5 billion capital investment plan for 2026-2030, up $2.3 billion from prior plan, focusing on electric and natural gas distribution to support service reliability and clean energy. This strategic capital allocation priority is recent and sets a clear growth and infrastructure investment direction.
“Eversource released its new five-year $26.5 billion investment plan for the years 2026 to 2030, an increase of $2.3 billion over its previous plan.”
Breaks if: EPS falls below $4.57 in FY26
Continue to target 2026 non-GAAP recurring EPS between $4.57 and $4.72 per share, reflecting adjusted guidance after Aquarion sale and FERC ROE impacts.
Stated as a priority in 3 of last 3 quarters. Management revised 2026 non-GAAP recurring EPS guidance downward from $4.80-$4.95 per share in 2025-Q4 to $4.57-$4.72 per share by 2026-Q1, reflecting the Aquarion sale and FERC ROE impacts. The trajectory shows management adjusting guidance to reflect current realities while maintaining a clear EPS target.
“the Company revised its earnings guidance for 2026 non-GAAP recurring earnings to between $4.57 per share and $4.72 per share”
“Eversource Energy's annual projection for 2026 earnings is between $4.80 per share and $4.95 per share.”
“The Company's revised 2026 non-GAAP earnings guidance is now expected to be in the range of $4.57 per share and $4.72 per share.”
Breaks if: ROE remains at or below 9.57% beyond 2026
Challenge FERC's reduction of transmission return on equity and seek a higher prospective ROE to support transmission investments.
Newly stated in 2026-Q1. Management is actively challenging FERC's ROE reduction from 10.57% to 9.57% by filing rehearing requests and proposing a higher 11.39% ROE. This regulatory priority is a direct response to a material adverse ruling and management is pursuing actions to restore transmission investment returns.
“Eversource has taken several legal actions including filing a rehearing request at FERC and a Section 205 filing proposing a replacement ROE of 11.39%.”