Sempra (SRE) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Sempra and Dominion Energy are focusing on capital discipline and regulated growth following a period of sharp share price declines. Sempra's hybrid model offers greater upside but comes with execution risks; Dominion's simpler, defensive strategy focuses on data center-driven load growth. Both companies have guided to mid-to-high single-digit EPS growth off a lowered 2025 base, supported by recent rate case wins.
I reiterate a hold rating on Sempra Energy due to weak momentum, concerning chart patterns, and fundamental risks ahead of earnings. Sempra's Q4 2024 results missed expectations, leading to a significant stock drop; FY 2025 EPS guidance was also lowered, impacting investor sentiment. Despite a favorable valuation and attractive dividend yield, regulatory challenges, rising costs, and competitive threats pose significant risks to Sempra's outlook.
Sempra offers stability and growth with a 3.7% yield, trading near the low end of its 52-week range, making it attractive for income and value investors. Its diversified utility operations, especially Oncor in Texas, benefit from strong economic growth and high-margin, low-risk business models, ensuring steady earnings and dividends. SRE's $56 billion capital plan and 7-9% EPS growth target support long-term growth prospects.
Sempra (SRE) reported earnings 30 days ago. What's next for the stock?
Investors need to pay close attention to Sempra Energy (SRE) stock based on the movements in the options market lately.
Major U.S. equities indexes were mixed after a weak consumer confidence report and losses from several noteworthy tech firms.
Sempra (NYSE:SRE ) Q4 2024 Earnings Conference Call November 25, 2025 12:00 PM ET Company Participants Glen Donovan – Senior Vice President-Finance Jeff Martin – Chairman and Chief Executive Officer Allen Nye – Chief Executive Officer-Oncor Karen Sedgwick – Executive Vice President and Chief Financial Officer Justin Bird – Executive Vice President and Chief Executive Officer-Sempra Infrastructure Conference Call Participants Shar Pourreza – Guggenheim Partners Nick Campanella – Barclays Steve Fleishman – Wolfe Research David Arcaro – Morgan Stanley Ross Fowler – Bank of America Carly Davenport – Goldman Sachs Anthony Crowdell – Mizuho Paul Fremont – Ladenburg Thalmann & Co. Operator Good day, and welcome to Sempra's Fourth Quarter Earnings Call. Today's conference is being recorded.
SRE's Q4 revenues of $3.76 billion increase 7.6% from the year-ago level. The top line, however, misses the Zacks Consensus Estimate by 23.1%.
Sempra cuts its earnings guidance due to ‘regulatory matters and a higher-cost environment.'
Sempra (SRE) came out with quarterly earnings of $1.50 per share, missing the Zacks Consensus Estimate of $1.63 per share. This compares to earnings of $1.13 per share a year ago.
Sempra is a solid dividend growth stock with a BBB+ credit rating and undervalued shares, making it a buy. Despite a 16.7% revenue decline in Q3, SRE's long-term EPS growth rate of 6-8% remains strong, driven by Texas growth. SRE's 3% dividend yield is secure, with a low payout ratio and a 14-year growth streak, ensuring dividend consistency.