Q1 results and dividend affirmation set the tone
Eversource Energy (ES) opened May with a busy day for shareholders, combining first quarter earnings, an annual meeting vote on board leadership, and confirmation of its regular cash dividend.
For the quarter ended March 31, 2026, the company reported sales of US$4,504.36 million and net income of US$606.84 million, alongside basic and diluted earnings per share from continuing operations of US$1.61.
See our latest analysis for Eversource Energy.
The earnings release, annual meeting vote on board leadership and dividend affirmation arrived as Eversource Energy trades at US$68.08. Recent 7 day and 1 day share price returns are in positive territory, but 90 day performance has been weaker, while the 1 year total shareholder return of 10.75% contrasts with a slightly negative 5 year total shareholder return.
If this mix of earnings and dividends has you thinking about where else to look in the power and grid space, it might be worth scanning 35 power grid technology and infrastructure stocks
With Eversource Energy trading at US$68.08 alongside recent revenue and earnings growth, a projected intrinsic discount of about 26% and only a small gap to analyst targets, should you look for hidden value here, or assume the market is already pricing in future growth?
Most Popular Narrative: 6.2% Undervalued
At a last close of $68.08 against a narrative fair value of $72.58, Eversource Energy is framed as modestly undervalued, with that view built on detailed assumptions about future growth and profitability.
Positive legislative and regulatory developments, such as the passage of Senate Bill 4 in Connecticut and constructive rate case outcomes in both New Hampshire and Massachusetts, are enhancing visibility for cost recovery and capital deployment, supporting long-term earnings and cash flow stability. The company's proactive divestiture of non-core businesses, execution on cash flow enhancements, and planned storm cost securitization are expected to strengthen the balance sheet and reduce equity financing needs, which should improve FFO to debt metrics and support credit quality.
Want to see what sits behind that confidence in earnings and cash flows? The narrative leans heavily on measured revenue growth, firmer margins, and a specific earnings multiple that has to hold up over time.
Result: Fair Value of $72.58 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, that fair value story could shift quickly if Connecticut regulation remains challenging or if planned asset sales and storm cost securitization face delays.
Find out about the key risks to this Eversource Energy narrative.
Next Steps
Given this combination of risks and potential rewards, it can be helpful to review the underlying data yourself and act promptly to form your own view with 4 key rewards and 3 important warning signs
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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