How Investors May Respond To Edison International (EIX) Short Seller Claims On Eaton Fire Liabilities

Earlier this week, short seller Muddy Waters Research alleged that Edison International’s Southern California Edison unit could face over US$20.00 billion in potential liabilities tied to the January 2025 Eaton Fire, accusing the utility of ignoring wildfire risks and not de-energizing lines during severe winds. The report challenges Edison International’s wildfire risk controls, including its Fire Potential Index, raising fresh questions about how legal exposure might interact with...