AEE vs. EIX: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AEE and EIX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AEE’s market capitalization stands at 26.57 billion USD, while EIX’s is 20.22 billion USD, indicating their market valuations are broadly comparable.
EIX carries a higher beta at 0.78, indicating it’s more sensitive to market moves, while AEE (beta: 0.51) exhibits greater stability.
| Symbol | AEE | EIX |
|---|---|---|
| Company Name | Ameren Corporation | Edison International |
| Country | US | US |
| Sector | Utilities | Utilities |
| Industry | Regulated Electric | Regulated Electric |
| CEO | Martin J. Lyons Jr. | Pedro J. Pizarro |
| Price | 96.02 USD | 52.55 USD |
| Market Cap | 26.57 billion USD | 20.22 billion USD |
| Beta | 0.51 | 0.78 |
| Exchange | NYSE | NYSE |
| IPO Date | January 2, 1998 | May 3, 1973 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AEE and EIX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AEE
10.15%
Regulated Electric Industry
- Max
- 18.07%
- Q3
- 12.49%
- Median
- 10.00%
- Q1
- 8.48%
- Min
- 5.02%
AEE’s Return on Equity of 10.15% is on par with the norm for the Regulated Electric industry, indicating its profitability relative to shareholder equity is typical for the sector.
EIX
18.57%
Regulated Electric Industry
- Max
- 18.07%
- Q3
- 12.49%
- Median
- 10.00%
- Q1
- 8.48%
- Min
- 5.02%
EIX’s Return on Equity of 18.57% is exceptionally high, placing it well beyond the typical range for the Regulated Electric industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Return on Invested Capital
AEE
3.42%
Regulated Electric Industry
- Max
- 5.26%
- Q3
- 4.57%
- Median
- 3.97%
- Q1
- 3.33%
- Min
- 1.92%
AEE’s Return on Invested Capital of 3.42% is in line with the norm for the Regulated Electric industry, reflecting a standard level of efficiency in generating profits from its capital base.
EIX
4.82%
Regulated Electric Industry
- Max
- 5.26%
- Q3
- 4.57%
- Median
- 3.97%
- Q1
- 3.33%
- Min
- 1.92%
In the upper quartile for the Regulated Electric industry, EIX’s Return on Invested Capital of 4.82% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
AEE
15.31%
Regulated Electric Industry
- Max
- 22.24%
- Q3
- 15.98%
- Median
- 13.10%
- Q1
- 11.03%
- Min
- 3.79%
AEE’s Net Profit Margin of 15.31% is aligned with the median group of its peers in the Regulated Electric industry. This indicates its ability to convert revenue into profit is typical for the sector.
EIX
16.95%
Regulated Electric Industry
- Max
- 22.24%
- Q3
- 15.98%
- Median
- 13.10%
- Q1
- 11.03%
- Min
- 3.79%
A Net Profit Margin of 16.95% places EIX in the upper quartile for the Regulated Electric industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
AEE
19.93%
Regulated Electric Industry
- Max
- 31.57%
- Q3
- 25.65%
- Median
- 21.93%
- Q1
- 17.87%
- Min
- 8.99%
AEE’s Operating Profit Margin of 19.93% is around the midpoint for the Regulated Electric industry, indicating that its efficiency in managing core business operations is typical for the sector.
EIX
27.80%
Regulated Electric Industry
- Max
- 31.57%
- Q3
- 25.65%
- Median
- 21.93%
- Q1
- 17.87%
- Min
- 8.99%
An Operating Profit Margin of 27.80% places EIX in the upper quartile for the Regulated Electric industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | AEE | EIX |
|---|---|---|
| Return on Equity (TTM) | 10.15% | 18.57% |
| Return on Assets (TTM) | 2.65% | 3.32% |
| Return on Invested Capital (TTM) | 3.42% | 4.82% |
| Net Profit Margin (TTM) | 15.31% | 16.95% |
| Operating Profit Margin (TTM) | 19.93% | 27.80% |
| Gross Profit Margin (TTM) | 61.78% | 37.62% |
Financial Strength
Current Ratio
AEE
0.86
Regulated Electric Industry
- Max
- 1.48
- Q3
- 1.06
- Median
- 0.86
- Q1
- 0.73
- Min
- 0.28
AEE’s Current Ratio of 0.86 aligns with the median group of the Regulated Electric industry, indicating that its short-term liquidity is in line with its sector peers.
EIX
0.96
Regulated Electric Industry
- Max
- 1.48
- Q3
- 1.06
- Median
- 0.86
- Q1
- 0.73
- Min
- 0.28
EIX’s Current Ratio of 0.96 aligns with the median group of the Regulated Electric industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio
AEE
0.00
Regulated Electric Industry
- Max
- 2.38
- Q3
- 1.97
- Median
- 1.65
- Q1
- 1.28
- Min
- 0.27
At 0.00, AEE’s Debt-to-Equity Ratio is unusually low for the Regulated Electric industry. This highlights a conservative capital structure, suggesting the company prioritizes financial stability over aggressive growth funded by debt.
EIX
2.38
Regulated Electric Industry
- Max
- 2.38
- Q3
- 1.97
- Median
- 1.65
- Q1
- 1.28
- Min
- 0.27
EIX’s leverage is in the upper quartile of the Regulated Electric industry, with a Debt-to-Equity Ratio of 2.38. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
Interest Coverage Ratio
AEE
2.30
Regulated Electric Industry
- Max
- 3.07
- Q3
- 2.63
- Median
- 2.41
- Q1
- 2.30
- Min
- 1.87
AEE’s Interest Coverage Ratio of 2.30 is positioned comfortably within the norm for the Regulated Electric industry, indicating a standard and healthy capacity to cover its interest payments.
EIX
3.38
Regulated Electric Industry
- Max
- 3.07
- Q3
- 2.63
- Median
- 2.41
- Q1
- 2.30
- Min
- 1.87
With an Interest Coverage Ratio of 3.38, EIX demonstrates a superior capacity to service its debt, placing it well above the typical range for the Regulated Electric industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | AEE | EIX |
|---|---|---|
| Current Ratio (TTM) | 0.86 | 0.96 |
| Quick Ratio (TTM) | 0.62 | 0.89 |
| Debt-to-Equity Ratio (TTM) | 0.00 | 2.38 |
| Debt-to-Asset Ratio (TTM) | 0.00 | 0.45 |
| Net Debt-to-EBITDA Ratio (TTM) | -0.00 | 4.65 |
| Interest Coverage Ratio (TTM) | 2.30 | 3.38 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AEE and EIX. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AEE
2.87%
Regulated Electric Industry
- Max
- 6.60%
- Q3
- 4.03%
- Median
- 3.30%
- Q1
- 3.06%
- Min
- 0.00%
AEE’s Dividend Yield of 2.87% is in the lower quartile for the Regulated Electric industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
EIX
6.12%
Regulated Electric Industry
- Max
- 6.60%
- Q3
- 4.03%
- Median
- 3.30%
- Q1
- 3.06%
- Min
- 0.00%
With a Dividend Yield of 6.12%, EIX offers a more attractive income stream than most of its peers in the Regulated Electric industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio
AEE
60.08%
Regulated Electric Industry
- Max
- 123.06%
- Q3
- 69.07%
- Median
- 62.27%
- Q1
- 52.66%
- Min
- 0.00%
AEE’s Dividend Payout Ratio of 60.08% is within the typical range for the Regulated Electric industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
EIX
44.60%
Regulated Electric Industry
- Max
- 123.06%
- Q3
- 69.07%
- Median
- 62.27%
- Q1
- 52.66%
- Min
- 0.00%
EIX’s Dividend Payout Ratio of 44.60% is in the lower quartile for the Regulated Electric industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.
Dividend at a Glance
| Symbol | AEE | EIX |
|---|---|---|
| Dividend Yield (TTM) | 2.87% | 6.12% |
| Dividend Payout Ratio (TTM) | 60.08% | 44.60% |
Valuation
Price-to-Earnings Ratio
AEE
21.43
Regulated Electric Industry
- Max
- 26.46
- Q3
- 21.71
- Median
- 19.07
- Q1
- 17.74
- Min
- 12.74
AEE’s P/E Ratio of 21.43 is within the middle range for the Regulated Electric industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
EIX
6.89
Regulated Electric Industry
- Max
- 26.46
- Q3
- 21.71
- Median
- 19.07
- Q1
- 17.74
- Min
- 12.74
EIX’s P/E Ratio of 6.89 is below the typical range for the Regulated Electric industry. This may indicate that the stock is potentially undervalued, or it could reflect market concerns about the company’s future prospects.
Forward P/E to Growth Ratio
AEE
2.80
Regulated Electric Industry
- Max
- 4.21
- Q3
- 3.10
- Median
- 2.78
- Q1
- 2.34
- Min
- 1.46
AEE’s Forward PEG Ratio of 2.80 is within the middle range of its peers in the Regulated Electric industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
EIX
1.15
Regulated Electric Industry
- Max
- 4.21
- Q3
- 3.10
- Median
- 2.78
- Q1
- 2.34
- Min
- 1.46
EIX’s Forward PEG Ratio of 1.15 is below the typical range for the Regulated Electric industry. This is a strong indicator that the stock may be undervalued, as its price appears low given its future growth prospects.
Price-to-Sales Ratio
AEE
3.36
Regulated Electric Industry
- Max
- 3.88
- Q3
- 3.19
- Median
- 2.68
- Q1
- 1.96
- Min
- 0.27
AEE’s P/S Ratio of 3.36 is in the upper echelon for the Regulated Electric industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
EIX
1.17
Regulated Electric Industry
- Max
- 3.88
- Q3
- 3.19
- Median
- 2.68
- Q1
- 1.96
- Min
- 0.27
In the lower quartile for the Regulated Electric industry, EIX’s P/S Ratio of 1.17 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
Price-to-Book Ratio
AEE
2.12
Regulated Electric Industry
- Max
- 2.95
- Q3
- 2.37
- Median
- 1.89
- Q1
- 1.43
- Min
- 0.55
AEE’s P/B Ratio of 2.12 is within the conventional range for the Regulated Electric industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
EIX
1.22
Regulated Electric Industry
- Max
- 2.95
- Q3
- 2.37
- Median
- 1.89
- Q1
- 1.43
- Min
- 0.55
EIX’s P/B Ratio of 1.22 is in the lower quartile for the Regulated Electric industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | AEE | EIX |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 21.43 | 6.89 |
| Forward PEG Ratio (TTM) | 2.80 | 1.15 |
| Price-to-Sales Ratio (P/S, TTM) | 3.36 | 1.17 |
| Price-to-Book Ratio (P/B, TTM) | 2.12 | 1.22 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -14.65 | -31.54 |
| EV-to-EBITDA (TTM) | 7.41 | 7.11 |
| EV-to-Sales (TTM) | 3.36 | 3.37 |