Eversource yields more and has raised its dividend every year since 2015, but its cash flow tells a different story, and a pending Connecticut storm cost ruling could flip the entire income argument.
Exelon (NASDAQ:EXC | EXC Price Prediction) and Eversource Energy (NYSE:ES) are regulated utilities with no renewables growth story. Exelon seeks data-center transmission load in the Mid-Atlantic and Midwest. Eversource left offshore wind and is selling its water business to focus on New England.
Eversource Pays More While Exelon Builds Faster
Eversource yields 4.72% at $65.69, compared with 3.93% for Exelon at $41.73. Both raised dividends in 2026: Exelon to $0.42 from $0.40, and Eversource to $0.7875 from $0.7525.
Exelon’s adjusted operating EPS of $0.91 exceeded the $0.89 consensus. CEO Calvin Butler said Exelon is “on track for another year of consistent operational and financial performance.” Eversource’s fourth-quarter EPS of $1.12 missed the $1.14 estimate. CEO Joe Nolan said he was excited about its future “as a pure-play regulated utility company with solid growth opportunities.”
Income Lens Exelon Eversource Forward Annual Dividend $1.68 $3.15 Forward P/E 14 13 Total Debt (June 30, 2026) $52.28B $29.81B Rate Base Target $87.4B by 2029 $49.3B by 2030
Free Cash Flow Is Where Retirees Should Look Hard
Exelon generated $1.72 billion of operating cash flow in Q1 against $2.36 billion of capex. It plans $3.4 billion of new equity through 2029 with a target of about 60% of earnings paid out.
Eversource has less room. Its 2025 operating cash flow of $1.18 billion fell short of the $1.34 billion it paid in common dividends. The June quarter was better: $1.09 billion of operating cash against $1.01 billion of capex and $292 million in dividends.
Connecticut’s Storm Cost Ruling Could Reset the Scorecard
Exelon faces S&P downgrades on BGE and Moody’s review of PECO. Eversource, concentrated in New England, faces $980 million of storm costs under prudency review in Connecticut. Morningstar noted constructive regulatory progress there this week. Watch that ruling and how much of Exelon’s about 18 GW data-center pipeline gets secured beyond the current 45%.
Why I Side With Eversource for Retirement Income
For an income reader near retirement, Eversource is worth consideration. Its quarterly dividend has risen every year since 2015, from $0.4175 to $0.7875. Exelon’s record shows a reduction from $0.3825 in 2021 to $0.3375 in 2022. Exelon has done more for total-return holders. Its stock is up 46% over five years, while Eversource is down 5.69%. If Connecticut rejects a large share of those storm costs, the income case shifts toward Exelon and its broader multi-state footprint.
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Source: 247wallst.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.
