Post-earnings recap
Reported
Fri, Aug 7, 2026
EPS actual
$0.13
EPS est.
—
EPS surprise
—
1-day move
-0.72%
Hawaiian Electric Industries reported a decline in core net income compared to the previous year, reflecting ongoing challenges in managing costs. The stock reacted negatively, down 0.72%, likely due to investor concerns over rising operational expenses and the need for a rate increase. The company's focus on wildfire mitigation and grid modernization indicates a long-term strategy, but immediate financial pressures may weigh on investor sentiment.
| Metric | Actual | Expected | Surprise |
|---|---|---|---|
| EPS | $0.13 | N/A | — |
| Revenue | N/A | N/A | — |
| Core Net Income | $22.5M | N/A | — |
Management expressed a defensive outlook, emphasizing their commitment to wildfire mitigation and grid improvements. They acknowledged the challenges posed by rising operational and interest expenses.
The company is focusing on wildfire mitigation, grid modernization, and affordability amid higher O&M and interest expenses.
HEI plans to recover approximately $350 million of Wildfire Mitigation Plan costs through securitization.
A proposed base rate increase of $170 million is planned to be phased in over two years, starting in 2027.
Hawaiian Electric Industries, Inc. (HE) is a utility company that provides electricity to the Hawaiian Islands. As a key player in the electric utilities sector, it plays a vital role in supporting Hawaii's energy needs and transitioning to renewable energy sources.
Last quarter
In Q1-2026, Hawaiian Electric reported an EPS of $0.18, which did not meet expectations, leading to a 3.83% drop in stock price the following day. The company continues to face challenges in meeting analyst estimates.
EPS beat streak
0Q
EPS beat rate
0%
Avg EPS surprise
-25.32%
Avg 1-day reaction
-0.69%
Overall expectations for Hawaiian Electric's upcoming earnings are mixed, as the company has struggled to meet EPS estimates in recent quarters. Investors are closely watching how the company manages costs and revenue growth.
Bull case
The optimistic view is that Hawaiian Electric could report better-than-expected EPS and revenue growth, driven by increased demand for electricity and effective cost management.
Bear case
On the pessimistic side, if the company continues to miss EPS estimates and shows rising operating expenses, it could lead to further declines in stock price.
The print will turn on these.
Q1
What will the EPS be for Q2-2026?
EPS is a key indicator of profitability and will heavily influence investor sentiment and stock price.
Q2
How are operating expenses trending compared to last quarter?
Understanding operating expenses will help gauge the company's efficiency and cost management, which are critical for future profitability.
Est. EPS
$0.69
Est. Rev
$361M
Impl. Move
±23.9%
Why consensus could be wrong
The Street may be underestimating the potential for Hawaiian Electric to improve its cost management, which could lead to better-than-expected EPS this quarter.
Supporting evidence
Despite recent misses, the company has a history of recovering from poor quarters.
Options pricing suggests a significant move, indicating that traders expect volatility that could favor a positive outcome.
Key risk
If operating expenses come in lower than expected, it could significantly change the outlook for profitability.
Pre-commit to what would confirm each case.
The core thesis this quarter revolves around whether Hawaiian Electric can improve its profitability and manage costs effectively.
Bull confirmed if
An EPS of $0.25 or higher would confirm the bull case, indicating improved profitability.
Bear confirmed if
An EPS below $0.15 would confirm the bear case, suggesting ongoing profitability issues.
What the market is pricing for the move.
Implied Move
±18.23%
Historical Avg
±1.0%
The options market is pricing in a significant move of over 18%, indicating that traders expect volatility around the earnings report.
Options are pricing ±18.2% while HE has averaged ±1.0% over the last 8 prints — setup is pricing rich.
ATM IV
0.4%
30d HV
28.8%
Likely market behavior by outcome. Not investment advice.
Beat & raise
If Hawaiian Electric beats expectations, history suggests a potential stock increase of around 1.29%, confirming a positive outlook.
In line / cautious
If results are in line with expectations, the stock may react cautiously, reflecting uncertainty in management's commentary.
Miss
If the company misses expectations, history suggests a potential decline of around 1.91%, indicating ongoing challenges.
The lines on the call that would change the story.