On Thursday, December 11th, Edison International (EIX) announced a quarterly dividend increase from $0.8275 to $0.8775 per share that’s payable January 31, 2026 to holders of record January 7, 2026. This represents a 6.04% increase over the last quarterly dividend.
“Today’s dividend increase reflects the confidence of our board and management in Edison International’s financial strength and outlook. It underscores management’s commitment to delivering on our long-term EPS growth target of 5% to 7%,” said Pedro Pizarro, president and CEO of Edison International. “Further, this marks our 22nd consecutive year of dividend growth.”
At the current price of $60.17 (yesterday's close), this increase will raise EIX's dividend yield to 5.83%.
Edison International is a Dividend Contenders with a 22 year streak of dividend increases. Dividend growth rates for 1, 3, 5 and 10 years are 5.8, 5.6, 5.0 and 8.2 (Dividend Champions.xls)
As an owner of 70 shares of EIX, the recent dividend increase adds $10.43 to my projected annual net dividend income.
I was expecting an increase of around 5%, so the announcement was a slight positive surprise.
This marks the sixth dividend increase I’ve received from Edison International since initiating my position in June 2021. During that time, the company’s quarterly dividend has increased moderately from $0.6625 to $0.8775 per share — a cumulative increase of 32.5%.
As of this writing, EIX represents approximately 0.47% of my portfolio by weight and contributes around 0.67% to my projected annual dividend income.
Following this increase, my yield on cost is 5.86%.
Summary of 2025 Dividend Increases / Cuts
Click here to see my portfolio holdings.
You can follow the development of my dividends here.
Full Disclosure: Long EIX
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Thank you for posting. I have been considering Edison for a while and it looks attractive on these levels. What I can figure the low valuation has a lot to do with the risk of wildfires and liabilities linked to this. Would be interesting to hear yout thoughts on this. Wishing a Merry Christmas :)
ReplyDeleteHi Jonas,
DeleteIt is true that forest fires pose a potential risk to Edison’s future. In a worst-case scenario, the Wildfire Fund may not fully cover all claims, which could materially increase the company’s liabilities, pressure the balance sheet, and potentially lead to a dividend reduction or even a suspension. In a best-case scenario, the current framework remains effective, liabilities stay contained, and operations and shareholder distributions remain unchanged.
Ultimately, only time will tell how this risk materializes.
Best regards and Merry Christmas,
DH