10 Best Green Stocks To Buy According to Short Sellers

2. Edison International (NYSE:EIX)  

Short Interest as % of Shares Outstanding: 1.32%  

Number of Hedge Fund Investors in Q2 2024: 32  

Edison International (NYSE:EIX) is the parent company of Southern California Edison, one of the largest electric utilities in the United States. The company delivers electricity to approximately 15 million residents across a 50,000-square-mile area in Central, Coastal, and Southern California. The company is deeply integrated into California’s energy landscape, serving a region that has experienced consistent growth in electricity demand. The company has substantial investments in green energy sources, as of 2022, Southern California Edison’s electricity sources included 33.2% renewable power. The company has a long-term goal of achieving 100% carbon-free power distribution by 2045.

In Q2, Edison International’s (NYSE:EIX) revenue reached $4.324 billion, marking a 9.5% increase year-over-year. Net income surged by 27.4% to $572 million. The company is well-positioned to meet growing energy demands through its planned load expansion. Edison International (NYSE:EIX) is projected to grow its load capacity by 2% to 3% annually through 2028, and a 35% growth over the next decade.

Edison International’s (NYSE:EIX) focus on integrating artificial intelligence (AI) into its infrastructure aims to improve grid performance and predict power loads more accurately. Moreover, in 2023, Edison International (NYSE:EIX) filed a General Rate Case (GRC) application with the California Public Utilities Commission (CPUC) to increase its base revenue increase from $8.4 billion to $10.27 billion, the company anticipates a proposed decision by the first quarter of 2025, with the new rates expected to take effect on January 2025 and will support the company to invest in infrastructure and load growth, further strengthening its market position.

Edison International’s (NYSE:EIX) low percentage of short interest at only 1.32% indicates that investors have confidence in the company’s prospects. Analysts expect the company to increase its earnings by almost 4% this year and have a consensus Buy rating on the stock, with an average price target of $87.58 which indicates a potential 4% upside from current levels. As of the second quarter, Edison International’s (NYSE:EIX) stock is held by 32 hedge funds, with a total stake valued at $1.39 billion. Pzena Investment Management is the largest shareholder in the company and owns shares worth $924.57 million as of June 30.