Consolidated Edison Stock Volatility

ED Stock

USD 109.06 -1.19 -1.08%

Consolidated Edison's price history translates into the risk numbers analysts use to compare it with safer or riskier names. Its long-term beta is 0.34, meaning it tends to be less volatile than the market as a whole. The stock shows low price volatility over the last 3 months.

Sharpe Ratio = 0.078

Leading Returns	Top Quartile
Strong
Moderate
Modest
Cash	ED	Moderate	Elevated	High
Below Benchmark

Consolidated Edison reported a Market Risk Adjusted Performance of -0.3%, a Risk of 1.09, and a Risk Adjusted Performance of 0.1%. Monthly performance data shows the stock operating at about 6% of its measured historical range.

Key indicators related to Consolidated Edison's volatility include:

90 Days Market Risk

Very Low

Chance Of Distress

Minimal

90 Days Economic Sensitivity

Shows low sensitivity to market movements

Key risk metrics for Consolidated Edison (3 Months):

Beta

-0.30

Alpha

0.0816

Risk

1.09

Sharpe Ratio

0.078

Expected Return

0.0847

Moving together with Consolidated Stock

0.67	D	Dominion Energy Earnings Call This Week	Pair Corr
0.81	NI	NiSource	Pair Corr
0.88	AEE	Ameren Corp	Pair Corr
0.91	CMS	CMS Energy	Pair Corr
0.93	CNP	CenterPoint Energy	Pair Corr
0.89	DTE	DTE Energy	Pair Corr
0.63	PEG	Public Service Enterprise	Pair Corr
0.88	SRE	Sempra Energy Earnings Call This Week	Pair Corr
0.94	WEC	WEC Energy Group	Pair Corr
0.64	CF	CF Industries Holdings	Pair Corr

Moving Against Consolidated Stock

0.53	CMSA	CMS Energy Corp	Pair Corr
0.44	SOJE	Southern Company	Pair Corr
0.35	TLN	Talen Energy	Pair Corr
0.33	DTW	DTE Energy	Pair Corr

Sensitivity To Market

Consolidated Edison exhibits a beta of -0.3, representing its market-relative sensitivity. This coefficient separates systematic risk from company-specific volatility. Total return dispersion is approximately 1.09%. Consolidated Edison return patterns over the selected horizon reflect a moderate level of variability, based on dispersion and downside-focused statistics. Standard deviation is near 1.07%. Options markets imply a forward-looking volatility estimate near 56.0%. This indicates expectations for moderate future movement relative to historical averages. For individual stocks, volatility often rises around earnings, guidance updates, and major company news.

Current 90-day Consolidated Edison correlation with market (Dow Jones Industrial)

0.08

-0.2998

Competition

3 Months Beta |Consolidated Edison Demand Trend

Current 90-day Consolidated Edison correlation with market (Dow Jones Industrial)

Downside Risk

For Consolidated, the standard deviation figure expresses the observed spread of daily returns over the selected period. The magnitude of Consolidated standard deviation determines where it falls on the volatility spectrum relative to peers. Pairing standard deviation with beta separates Consolidated total risk from its market-driven component. Combining Consolidated standard deviation with skewness and kurtosis gives a more complete picture of return distribution shape.

Standard Deviation

1.09

Distinguishing between standard deviation and downside deviation sharpens the risk picture for Consolidated Edison. Standard deviation reflects total return dispersion for Consolidated Edison, while downside deviation captures only the adverse portion of Consolidated Edison's returns. Standard deviation and downside deviation for Consolidated Edison measure different things - total dispersion vs. loss-only dispersion. Semi-deviation and downside deviation focus on the loss risk embedded in Consolidated Edison's returns. Consolidated Edison reported a Downside Deviation of 1.01, a Downside Variance of 1.01, and a Maximum Drawdown of 4.13.

Consolidated Put Option Risk Profile Based on 2026-05-15 Contracts

Consolidated Edison reported an Option Implied Volatility of 0.56 and an Option Max Pain Price of 110. Put options written on Consolidated Edison allow holders to profit from or offset a decline in Consolidated Edison's price. A put option on Consolidated Stock gives the buyer the right to sell Consolidated Edison at the strike price until expiration. Consolidated Edison put options are associated with existing long-exposure coverage or directional views on a price decline in Consolidated Stock. Reviewing Consolidated Edison's put open interest reveals where institutional hedging activity is concentrated for Consolidated Edison.

Consolidated Edison's PUT expiring on 2026-06-18

Profit

Consolidated Edison Price At Expiration

Current Consolidated Edison Insurance Chain

		Delta	Gamma	Open Int	Expiration	Current Spread	Last Price
Put	ED260515P00055000	-0.043394	0.001824	1	2026-05-15	0.0 - 2.15	0.0	View
Put	ED260515P00070000	-0.061937	0.003474	2	2026-05-15	0.0 - 2.15	0.0	View
Put	ED260515P00075000	-0.070403	0.004392	11	2026-05-15	0.0 - 2.15	0.0	View
Put	ED260515P00080000	-0.048666	0.004646	83	2026-05-15	0.0 - 0.95	0.0	View
Put	ED260515P00085000	-0.049003	0.005871	32	2026-05-15	0.0 - 0.75	0.0	View
Put	ED260515P00087500	-0.053649	0.006973	29	2026-05-15	0.0 - 0.75	0.0	View
Put	ED260515P00090000	-0.059188	0.008406	143	2026-05-15	0.0 - 0.75	0.0	View
Put	ED260515P00092500	-0.065939	0.010325	47	2026-05-15	0.0 - 0.75	0.0	View
Put	ED260515P00095000	-0.040599	0.009843	388	2026-05-15	0.1 - 0.15	0.0	View
Put	ED260515P00097500	-0.057249	0.014444	120	2026-05-15	0.1 - 0.6	0.0	View
Put	ED260515P00100000	-0.115309	0.023788	364	2026-05-15	0.2 - 0.75	0.0	View

View All Consolidated Edison Options

Stock Volatility Analysis

For Consolidated Edison, understanding volatility is essential to assessing portfolio risk contribution. It indicates how dramatically Consolidated Edison's price swings over a specific time horizon. For Consolidated Edison, volatility is both a risk factor and a driver of return dispersion. Sharp price movements in Consolidated Edison's are triggered by earnings surprises, macroeconomic data, or sector trends.

Transformation

This analysis covers sixty-one data points across the selected time horizon. The Average Price transformation calculates the mean of Consolidated Edison's open, high, low, and close for each trading period. By incorporating all four price components equally, it provides a balanced representation of each period's trading activity. Compared to using the closing price alone, the average price reduces the influence of end-of-day positioning and can serve as a smoother input for other technical indicators.

Projected Return Density Against Market

For a 90-day investment horizon, Consolidated Edison has a beta of -0.2998 suggesting that as returns on the benchmark increase, returns on Consolidated Edison tend to move in the opposite direction, though by a smaller magnitude. During a bear market, however, Consolidated Edison tends to outperform the market.

Holders of Consolidated Edison face systematic risk from broad stock market trends and unsystematic risk from company or sector-specific developments. Diversification reduces specific exposure, but macro-driven volatility persists. Beta remains a common sensitivity metric. Consolidated Edison reported a Downside Deviation of 1.01, a Mean Deviation of 0.88, and an Option Implied Volatility of 0.56.

Consolidated Edison has an alpha of 0.0816, implying that it can generate a 0.0816 percent excess return over Dow Jones Industrial after adjusting for the inherent market risk (beta).

Predicted Return Distribution

Density

Consolidated Edison's volatility is typically evaluated with standard deviation and beta. Standard deviation reflects how far Consolidated Edison's returns usually move from the mean over the selected horizon.

What Drives Consolidated Edison's Price Volatility?

Industry Dynamics

Consolidated Edison's volatility can rise when competitive dynamics or demand conditions shift across the Multi-Utilities sector.

Political and Economic Environment

Changes in fiscal policy, rates, and growth expectations affect market-wide risk premiums and spill into Consolidated Edison's trading.

Consolidated Edison's Company-Specific Factors

Event risk around earnings, forecasts, and operating performance can create abrupt price dispersion in Consolidated Edison.

Stock Risk Measures

For a 90-day investment horizon, the coefficient of variation of Consolidated Edison is 1281.42. The daily returns are distributed with a variance of 1.18 and standard deviation of 1.09. The mean deviation of Consolidated Edison is currently at 0.89. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.94

α	Alpha over Dow Jones	0.08	Details
β	Beta against Dow Jones	-0.2998	Details
σ	Overall volatility	1.09	Details
Ir	Information ratio	0.08	Details

Stock Return Volatility

Consolidated Edison return volatility captures the typical daily swing in stock returns relative to the mean over the selected period. The firm has volatility of 1.086% on return distribution over a 90-day investment horizon. Meanwhile, Dow Jones Industrial reported 0.9502% volatility on return distribution over a 90-day investment horizon.

Performance

Timeline

Related Correlations Analysis

	WEC	PCG	FE	PEG	DTE	AEE	FTS	ETR	CMS	ES
WEC		0.89	0.94	0.62	0.94	0.97	0.94	0.83	0.97	0.49	WEC
PCG	0.89		0.89	0.75	0.85	0.87	0.91	0.61	0.88	0.65	PCG
FE	0.94	0.89		0.62	0.96	0.95	0.93	0.79	0.97	0.56	FE
PEG	0.62	0.75	0.62		0.51	0.57	0.66	0.24	0.54	0.78	PEG
DTE	0.94	0.85	0.96	0.51		0.97	0.93	0.84	0.98	0.48	DTE
AEE	0.97	0.87	0.95	0.57	0.97		0.94	0.87	0.97	0.48	AEE
FTS	0.94	0.91	0.93	0.66	0.93	0.94		0.72	0.92	0.6	FTS
ETR	0.83	0.61	0.79	0.24	0.84	0.87	0.72		0.87	0.09	ETR
CMS	0.97	0.88	0.97	0.54	0.98	0.97	0.92	0.87		0.44	CMS
ES	0.49	0.65	0.56	0.78	0.48	0.48	0.6	0.09	0.44		ES
	WEC	PCG	FE	PEG	DTE	AEE	FTS	ETR	CMS	ES

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Risk-Adjusted Indicators

Consolidated Edison Company can look attractive on recent price action while risk efficiency lags the peer group. Reviewing Consolidated Edison's risk-adjusted indicators gives a clearer view of whether returns are being earned efficiently. These indicators are quantitative in nature and measure volatility and risk-adjusted expected returns across different positions.

	Mean Deviation	Jensen Alpha	Sortino Ratio	Treynor Ratio	Semi Deviation	Expected Shortfall	Potential Upside	Value @Risk	Maximum Drawdown
WEC	0.78	0.08	0.08	7.20	0.88	-0.87	1.93	-1.35	5.39
PCG	1.20	0.15	0.09	0.29	1.47	-1.39	2.70	-2.21	10.55
FE	0.80	0.07	0.07	2.15	0.87	-0.88	1.79	-1.50	4.89
PEG	1.01	0.03	0.02	0.20	1.42	-0.99	1.73	-2.48	6.53
DTE	0.79	0.11	0.09	-5.55	0.97	-0.77	2.06	-1.56	6.65
AEE	0.84	0.10	0.09	0.93	0.97	-0.84	1.57	-1.47	6.33
FTS	0.74	0.12	0.13	-0.45	0.76	-0.81	1.64	-1.25	5.27
ETR	1.05	0.27	0.22	10.97	0.95	-1.21	2.47	-1.96	8.95
CMS	0.81	0.10	0.09	14.20	0.99	-0.85	1.76	-1.31	6.61
ES	1.02	-0.04	0.00	-0.39	0.00	0.00	2.48	-2.35	8.62

Risk Metrics, Assumptions & Methodology

Volatility regime analysis for Consolidated Edison identifies whether current dispersion is elevated, compressed, or transitioning between states. Regime transitions often precede directional moves, making volatility shifts a useful timing signal. Consolidated Edison has a market cap of 40.18 B, P/E of 20.35, ROE of 8.77%.

Consolidated Edison figures are aggregated from periodic company reporting and market reference feeds and normalized across reporting formats. Volatility and downside metrics are estimated from historical return dispersion.

Editorial review and methodology oversight provided by: Michael Smolkin, Member of Macroaxis Board of Directors

Consolidated Edison Volatility Profile Summary

Recent data suggests that Consolidated Edison is more volatile than Dow Jones Industrial by approximately 1.15x over the selected horizon. This differential reflects the relative dispersion of returns and frames how the asset responds to broader market conditions. Observed price behavior indicates modest directional movement within the current volatility regime. Across the current 90-day horizon, that places the security below 9% of the broader equity and portfolio universe on a pure volatility basis. This positioning reflects relative dispersion compared to peers rather than extreme instability.

Consolidated Edison exhibits characteristics that tend to dampen sensitivity to smaller market fluctuations within the current volatility regime. This directional read frames the latest price swing through a simple momentum and follow-through lens. It gives extra weight to the size of the move, the quote level, and whether the instrument trades in a hype-prone venue. a somewhat bearish sentiment with potential for near-term correction. Return distributions derived from historical modeling outline a range of potential outcomes over the selected 90-day horizon. View Consolidated Edison probability analysis.

Very strong inverse diversification

The correlation between Consolidated Edison and Dow Jones is -0.52, which Macroaxis classifies as Very strong inverse diversification for the selected horizon. In portfolio terms, the overlap shows how much shared movement remains after combining both positions.

View Details

Consolidated Edison Additional Risk Indicators

Secondary risk indicators for Consolidated Edison evaluate exposure beyond standard deviation, beta, or one headline volatility measure. This is most informative when assessing whether the current opportunity is being compensated with reasonable risk.

	Risk Adjusted Performance	0.0817
	Market Risk Adjusted Performance	-0.26
	Mean Deviation	0.8799
	Semi Deviation	0.942
	Downside Deviation	1.01
	Coefficient Of Variation	1164.35
	Standard Deviation	1.07

Consolidated Edison Suggested Diversification Pairs

A pair-trading setup around Consolidated Edison shifts the return benchmark from the broad market to a second position, altering the risk profile. The key question is whether the second leg adds real hedge value instead of just creating a more complex version of the same risk.

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While pairing positions reduces portfolio risk, some forms of risk persist no matter which instruments are combined. No matter how well a pair is constructed around Consolidated Edison, market-wide risk remains. What pair trading can address is Consolidated Edison's unsystematic risk - the portion driven by company or sector-specific factors rather than broad market forces.