Dominion Energy shares moved -34.3% over the last 52 weeks, with a high of $88.78 and a low of $52.03. During this time, the stock lagged the S&P 500 index by -26.0%. As of April 2023, the company's 50-day average price is $57.16. Dominion Energy, Inc. produces and distributes energy in the United States. The large-cap Utilities company has 17,200 full time employees and is based in Richmond, VA. Dominion Energy has returned a 4.7% dividend yield over the last 12 months, but this may not be sustainable seen the company's patchy cash flow history.
The Company May Be Profitable, but Its Balance Sheet Is Highly Leveraged:
| 2019-12-31 | 2020-12-31 | 2021-12-31 | 2022-12-31 | |
|---|---|---|---|---|
| Revenue | $16,572,000 | $14,172,000 | $13,964,000 | $17,174,000 |
| Gross Margins | 45.8% | 51.5% | 48.0% | 45.6% |
| Operating Margins | 23.5% | 28.9% | 23.8% | 23.8% |
| Net Income | $1,358,000 | -$401,000 | $3,288,000 | $994,000 |
| Net Margins | 8.19% | -2.83% | 23.55% | 5.79% |
| Earnings Per Share | $1.73 | -$0.57 | $3.98 | $1.08 |
| Diluted Shares | 838,000 | 831,000 | 810,000 | 835,251 |
| Free Cash Flow | $224,000 | -$793,000 | -$1,923,000 | -$3,891,000 |
| Capital Expenditures | -$4,980,000 | -$6,020,000 | -$5,960,000 | -$7,591,000 |
| Net Current Assets | -$63,702,000 | -$62,558,000 | -$65,013,000 | -$66,512,000 |
| Current Ratio | 0.61 | 0.64 | 0.84 | 0.73 |
| Long Term Debt | $33,719,000 | $33,957,000 | $37,426,000 | $38,914,000 |
| Net Debt / EBITDA | 4.57 | 4.1 | 6.3 | 4.7 |
Dominion Energy's Valuation Is in Line With Its Sector Averages:
Compared to the Utilities sector's average of 22.89, Dominion Energy has a trailing twelve month P/E ratio of 52.9 and, according to its EPS guidance of 3.82, an expected P/E ratio of 15.0. Dominion Energy's PEG ratio is 2.42 based on its 21.9% compound average growth rate of historical and projected earnings per share. This suggests that the company's shares are overvalued. Furthermore, Dominion Energy is likely overvalued in terms of its book value, since its P/B ratio is 1.9 compared to its sector average of 1.03. As of the date of publication, the company's shares are trading 75.3% above their Graham number of $33.12.
Dominion Energy Has an Analyst Consensus of Some Upside Potential:
11 analysts are following Dominion Energy and have set target prices ranging from $52.0 to $72.0 per share. On average, they have given the company a rating of hold. At the current price of $58.06, D is trading -6.08% away from its average analyst target price of $61.82 per share, implying an analyst consensus of some upside potential for the stock. The company has a very low short interest since 0.8% of the company's shares are tied to short positions. Institutions own 71.2% of Dominion Energy's shares, while the insider ownership rate stands at 0.14%. which is a small amount of insider investors. The company's biggest shareholder is the Vanguard Group, Inc. with a 9% stake in the company worth $4,347,804,159.
