Report timing: Thursday, July 30, 2026, after the market closes
Conference call: Friday, July 31, 2026, at 9:00 a.m. ET
The July 30 event is the earnings release; Eversource’s conference call is scheduled for the following morning.
Eversource enters the report having completed a major portfolio simplification, but with several regulatory matters still capable of materially changing the earnings and balance-sheet outlook.
The central question is not whether quarterly EPS beats or misses by a few cents. Investors will focus on whether management can:
At the July 29 close of $74.31, ES trades at approximately 16.0x the $4.645 midpoint of 2026 guidance. Its current $3.15 annualized dividend implies a yield of roughly 4.2%. The shares are up about 10.4% year to date, versus approximately 5.0% for the Utilities Select Sector SPDR Fund, so expectations are no longer especially depressed.
| Metric | Current benchmark |
|---|---|
| 2026 recurring EPS guidance | $4.57–$4.72 |
| Guidance midpoint | $4.645 |
| Long-term EPS growth | 5%–7% through 2030 |
| Expected growth trajectory | Toward upper half of range by 2028 |
| 1Q26 recurring EPS | $1.73 |
| 2Q25 EPS | $0.96 |
| 2026 capital spending plan | $5.1 billion |
| 2026–2030 capital plan | $26.5 billion |
| Planned equity through 2030 | $800 million–$1.1 billion |
| Quarterly dividend | $0.7875 per share |
Eversource produced $1.73 of recurring EPS in the first quarter. To reach full-year guidance, it must generate another $2.84–$2.99 per share over the final three quarters. The second quarter is seasonally much weaker than the first because natural-gas earnings are concentrated in the heating season.
The principal year-over-year positives are:
These benefits will likely be partly offset by:
The first-quarter results showed this pattern clearly. Electric transmission earnings excluding the FERC charge rose $25 million year over year, electric distribution improved $14 million, and gas distribution increased $77 million. Parent and other losses, however, widened by $19 million.
Eversource completed the $2.4 billion sale of Aquarion Water on June 30. The company expects to record an approximately $115 million after-tax, noncash charge, equivalent to $0.31 per share, in the second quarter.
Investors should therefore prioritize:
A weak GAAP comparison driven by the sale charge should not, by itself, be interpreted as operating deterioration. Aquarion’s operating contribution should largely remain in the second-quarter results because the transaction closed on the quarter’s final day, but it will be absent thereafter.
Management’s $4.57–$4.72 recurring EPS range already incorporates:
That makes a guidance reaffirmation the base case. A reiteration accompanied by language that results are tracking near the midpoint or upper half would be positive. Any move toward the low end would raise questions about parent-company expense, regulatory timing or incremental dilution.
Investors should also distinguish between a guidance change caused by operating performance and one caused by a new regulatory or accounting item.
The sale generated approximately $1.7 billion of adjusted net equity proceeds, which Eversource intends to use to displace debt. This was one of the company’s principal balance-sheet commitments.
The report should clarify:
At the first-quarter call, management reported FFO-to-debt metrics of 14.2% under S&P’s methodology and 14.5% under Moody’s, each more than 100 basis points above downgrade thresholds. A visible improvement after Aquarion would strengthen the investment case.
This is the largest unresolved risk.
In March, FERC reduced the New England transmission owners’ base ROE to 9.57%. Eversource estimates that the lower rate reduces annual after-tax earnings by approximately $70 million, partly offset by about $5 million from changes to transmission incentive adders.
Eversource and the other transmission owners subsequently proposed a new 11.39% base ROE, using current market data and FERC’s own methodology. Management previously expected the proposed rate could begin being billed by December 2026, subject to refund, if the parties do not settle.
Investors need updates on:
The potential loss range disclosed in the first-quarter 10-Q was unusually wide: $60.4 million to $932 million pre-tax. Eversource accrued only the low end, representing the statutory 15-month complaint period, because it does not believe the much larger retroactive refund is probable. Any change in that assessment would be a material negative, even if treated as nonrecurring.
Conversely, progress toward a prospective ROE above 9.57% would create earnings upside relative to current guidance and improve the economics of the transmission capital plan.
Connecticut’s review covers approximately $978 million of deferred storm costs incurred from 2018 through 2023. Eversource has also cited roughly $246 million of associated carrying charges. A final prudency decision had been expected around July 29, 2026, making this a potentially important call update.
PURA previously approved $100 million of interim storm-cost recovery, and a separate proceeding is considering securitization through rate-reduction bonds.
Together with New Hampshire, management has said approximately $2 billion of deferred storm costs and carrying charges could be recovered through securitization over the next 12–18 months. That cash could:
A favorable Connecticut decision would likely matter more to the stock than a modest quarterly EPS beat.
Eversource planned to initiate Connecticut Light & Power’s first comprehensive rate review in roughly eight years. This is a critical element of the projected earnings-growth acceleration toward the upper half of the 5%–7% range by 2028.
Investors should look for:
Connecticut’s regulatory environment has historically been one of the principal reasons for Eversource’s valuation discount. A disciplined filing and constructive early regulatory signals would support multiple expansion; an adversarial process would revive that discount.
Underlying rate-base growth should remain positive, but the 100-basis-point base ROE reduction is now a recurring headwind. The key issue is less the reported quarterly contribution than the prospective rate Eversource can earn on its expanding transmission portfolio.
Management’s commitment to the transmission portion of the $26.5 billion capital plan also bears watching. It previously acknowledged that investment could be reconsidered if returns remain inadequate.
This should be a relatively steady contributor, benefiting from:
Watch O&M, storm expense, depreciation and property taxes. Higher investment only creates value if regulatory recovery remains timely.
Gas produced the largest year-over-year earnings increase in the first quarter, principally because of rate increases effective in November 2025. The second quarter is seasonally less important, but the segment should still post a better year-over-year result.
The focus should be on whether higher revenues continue to exceed increases in O&M, depreciation, taxes and interest.
This remains an important drag. Parent and other lost $78 million in 1Q26, versus $59 million a year earlier, reflecting higher interest and tax expense.
Aquarion debt repayment should eventually reduce this burden. If parent losses remain elevated despite the asset-sale proceeds, investors may question the timing or effectiveness of the balance-sheet improvement.
At the first-quarter call, management said Revolution Wind was approximately 95% complete and expected commercial operation during the second half of 2026. Although Eversource sold its ownership interest, it retains exposure through post-closing cost obligations.
Investors should listen for:
Eversource reaffirmed a $26.5 billion 2026–2030 utility capital plan, including $5.1 billion for 2026. The company had spent approximately $813 million on capital projects in the first quarter.
The report should indicate whether:
Eversource’s recurring second-quarter operating results should benefit from rate increases and continued utility investment, but those positives are partly offset by the lower transmission ROE, higher financing costs and dilution. GAAP EPS will be clouded by the expected $0.31-per-share Aquarion sale charge.
The report’s real significance lies in the forward-looking updates. A clean guidance reaffirmation, visible debt reduction from Aquarion, favorable Connecticut storm-cost treatment and progress toward a better FERC transmission return would reinforce the argument that Eversource is transitioning into a simpler, better-capitalized regulated utility.
The principal downside remains regulatory: the large potential FERC refund exposure, Connecticut recovery risk and the economics of funding a $26.5 billion capital plan. With ES already outperforming the utility sector year to date and trading near 16x guidance, investors will likely require tangible progress on those issues—not merely an in-line quarterly EPS result—to drive the shares materially higher.
Sources: Eversource 1Q26 earnings release and conference-call transcript; 1Q26 Form 10-Q; June 30, 2026 Aquarion sale announcement; 2Q25 earnings release; July 9, 2026 earnings-call scheduling announcement; market prices through July 29, 2026.