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Consolidated Edison, Inc. (ED) — WACC Analysis

WACC Breakdown

Consolidated Edison, Inc. (ED) has a weighted average cost of capital (WACC) of 8.8%. The cost of equity is 6.5%, derived from a beta of 0.13 and a risk-free rate of 4.7%. The after-tax cost of debt is 111.6%. The capital structure is 97.9% equity and 2.1% debt.

Interpretation

A WACC of 8.8% is moderate, reflecting the market's balanced risk assessment of Consolidated Edison, Inc..

Investors can compare ED's WACC of 8.8% against industry peers to gauge its relative financing costs. A beta of 0.13 reflects the stock's volatility relative to the broader market.

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VALUATION

ED WACC: 8.76% for Consolidated Edison, Inc.

Current inputs imply a 6.51% cost of equity and a 141.31% pre-tax cost of debt. Use this discount rate as a starting point for DCF validation.

[01]Current Market Data
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WACC Calculation Process
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Market Data Loaded
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Company Data Fetched
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Beta Calculated (5Y)
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Inputs Auto-Populated
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WACC Calculated
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Step 2: Enter Ticker Symbol
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Step 4: Review Auto-Populated WACC Inputs

Values are automatically populated from real data. You can adjust them manually if needed.

4.30%
1.000
4.23%
5.00%
21.00%
70.00%
Debt: 30.00%Equity: 70.00%

Please enter a valid company ticker to calculate WACC

Consolidated Edison, Inc. Common Stock (ED) WACC Results
Weighted Average Cost of Capital
8.76%
Cost of Equity
6.51%
Risk-Free Rate4.73%
Beta0.13
Market Risk Premium4.23%
Cost of Debt
111.64%
Pre-Tax Cost of Debt141.31%
Tax Rate21.00%
Tax Shield29.68%
Capital Structure
Equity: 97.86%($39.75B)
Debt: 2.14%($869.00M)
Equity Component
6.37%
97.86% × 6.51%
Debt Component
2.39%
2.14% × 111.64%

Consolidated Edison, Inc. (ED) WACC in context

Consolidated Edison, Inc. (ED) currently screens with an estimated WACC of 8.76%. That blends a 6.51% cost of equity, a 141.31% pre-tax cost of debt, and a 97.86% equity weight into the discount rate you would typically use in a DCF model.

falls into a common range for established public companies and is a practical DCF starting point.

What ED WACC implies

A 8.76% discount rate falls into a common range for established public companies and is a practical DCF starting point.

How this page calculates ED

This page combines CAPM-based cost of equity with SEC-derived debt and capital structure inputs. The current beta is 0.13 and equity accounts for 97.86% of capital.

What to do next

Validate business quality on the company page, then carry the same discount-rate assumptions into the DCF page to test fair value sensitivity.

Disclaimer: This is not financial advice. Data sourced from SEC EDGAR and Polygon.io. Past performance does not guarantee future results. Always conduct your own research before making investment decisions.

ED WACC: 8.76% — Consolidated Edison, Inc. Cost of Capital (September 2026) | DeepViews