EWT March 2027 options activity

What happened: Morgan Stanley downgraded Edison International (EIX) on April 21, 2026, lowering its price target to $70 from $71, while maintaining an Underweight rating. This follows a previous price target increase to $71 on March 23, 2026. Meanwhile, options activity for EWT (Edison International's holding company) in March 2027 shows an interesting dynamic with put and call options.

Market impact: The downgrade by Morgan Stanley, coupled with previous bearish sentiments, could negatively impact investor confidence in Edison International, potentially leading to a sell-off. This may affect the utility sector, given EIX's inclusion in lists of top high-yield dividend growth stocks and profitable utility stocks. Additionally, options activity suggests potential hedging or bearish positioning around the $68.00 strike price.

What to watch next: Upcoming catalysts include Edison International's Q2 2026 earnings report, scheduled for August 2026, and any regulatory decisions affecting the utility sector. Technical levels around the $68.00 strike price in EWT options will also be crucial to monitor.