NEW YORK (TheStreet) -- Shares of Consolidated Edison (ED) are declining, lower by 0.84% to $62.50 in pre-market trading on Wednesday, after the electric utilities company was downgraded to "sell" from "neutral" by analysts at UBS this morning.
Analysts at the firm cited the recent outperformance of Con Edison shares, and maintained its price target of $59.
UBS analysts added that, "the potential near-term pressure on earnings power that could move the company's return-on-equity is below 9%."
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New York City-based Con Edison is a holding company which owns Consolidated Edison Co. of New York, Inc. and Orange and Rockland Utilities, Inc., providing electricity, natural gas and steam to customers primarily in New York, New Jersey, and Pennsylvania.
Separately, TheStreet Ratings team rates CONSOLIDATED EDISON INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate CONSOLIDATED EDISON INC (ED) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its attractive valuation levels, good cash flow from operations, increase in stock price during the past year, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income."