DUKE ENERGY CORP (DUK) Stock Fundamental Analysis
NYSE:DUK - New York Stock Exchange, Inc. - US26441C2044 - Common Stock
Overall DUK gets a fundamental rating of 3 out of 10. We evaluated DUK against 46 industry peers in the Electric Utilities industry. DUK has a medium profitability rating, but doesn't score so well on its financial health evaluation. While showing a medium growth rate, DUK is valued expensive at the moment. DUK also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year DUK was profitable.
In the past year DUK had a positive cash flow from operations.
DUK had positive earnings in each of the past 5 years.
Each year in the past 5 years DUK had a positive operating cash flow.
1.2 Ratios
The Return On Assets of DUK (2.29%) is worse than 67.57% of its industry peers.
DUK has a worse Return On Equity (8.55%) than 64.86% of its industry peers.
DUK has a Return On Invested Capital (3.56%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DUK is in line with the industry average of 4.61%.
The 3 year average ROIC (3.16%) for DUK is below the current ROIC(3.56%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.29% | ||
| ROE | 8.55% | ||
| ROIC | 3.56% |
ROA(3y)1.72%
ROA(5y)1.66%
ROE(3y)6.08%
ROE(5y)5.76%
ROIC(3y)3.16%
ROIC(5y)3.11%
1.3 Margins
DUK has a Profit Margin (13.91%) which is in line with its industry peers.
DUK's Profit Margin has declined in the last couple of years.
The Operating Margin of DUK (25.38%) is better than 75.68% of its industry peers.
DUK's Operating Margin has improved in the last couple of years.
DUK's Gross Margin of 67.41% is in line compared to the rest of the industry. DUK outperforms 54.05% of its industry peers.
DUK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.38% | ||
| PM (TTM) | 13.91% | ||
| GM | 67.41% |
OM growth 3Y0.84%
OM growth 5Y3.02%
PM growth 3Y20.94%
PM growth 5Y-2.84%
GM growth 3Y-2.84%
GM growth 5Y-0.76%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DUK is destroying value.
Compared to 1 year ago, DUK has about the same amount of shares outstanding.
Compared to 5 years ago, DUK has more shares outstanding
Compared to 1 year ago, DUK has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.67, we must say that DUK is in the distress zone and has some risk of bankruptcy.
DUK has a Altman-Z score of 0.67. This is in the lower half of the industry: DUK underperforms 64.86% of its industry peers.
DUK has a Debt/Equity ratio of 1.64. This is a high value indicating a heavy dependency on external financing.
DUK's Debt to Equity ratio of 1.64 is in line compared to the rest of the industry. DUK outperforms 40.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.64 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.67 |
ROIC/WACC0.57
WACC6.28%
2.3 Liquidity
DUK has a Current Ratio of 0.70. This is a bad value and indicates that DUK is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.70, DUK is doing worse than 78.38% of the companies in the same industry.
A Quick Ratio of 0.45 indicates that DUK may have some problems paying its short term obligations.
DUK has a worse Quick ratio (0.45) than 81.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.45 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.43% over the past year.
Measured over the past 5 years, DUK shows a small growth in Earnings Per Share. The EPS has been growing by 3.42% on average per year.
DUK shows a small growth in Revenue. In the last year, the Revenue has grown by 4.78%.
Measured over the past years, DUK shows a small growth in Revenue. The Revenue has been growing by 3.46% on average per year.
EPS 1Y (TTM)11.43%
EPS 3Y2.79%
EPS 5Y3.42%
EPS Q2Q%-16.49%
Revenue 1Y (TTM)4.78%
Revenue growth 3Y6.78%
Revenue growth 5Y3.46%
Sales Q2Q%2%
3.2 Future
The Earnings Per Share is expected to grow by 6.78% on average over the next years.
DUK is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.03% yearly.
EPS Next Y7.64%
EPS Next 2Y7.31%
EPS Next 3Y7.05%
EPS Next 5Y6.78%
Revenue Next Year2.97%
Revenue Next 2Y3.31%
Revenue Next 3Y3.23%
Revenue Next 5Y3.03%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 19.26, DUK is valued on the expensive side.
The rest of the industry has a similar Price/Earnings ratio as DUK.
When comparing the Price/Earnings ratio of DUK to the average of the S&P500 Index (28.29), we can say DUK is valued slightly cheaper.
DUK is valuated rather expensively with a Price/Forward Earnings ratio of 17.30.
The rest of the industry has a similar Price/Forward Earnings ratio as DUK.
DUK's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.26 | ||
| Fwd PE | 17.3 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DUK is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.8 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates DUK does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.52
PEG (5Y)5.64
EPS Next 2Y7.31%
EPS Next 3Y7.05%
5. Dividend
5.1 Amount
DUK has a Yearly Dividend Yield of 3.83%. Purely for dividend investing, there may be better candidates out there.
DUK's Dividend Yield is a higher than the industry average which is at 3.61.
Compared to an average S&P500 Dividend Yield of 2.28, DUK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.83% |
5.2 History
The dividend of DUK has a limited annual growth rate of 3.98%.
DUK has been paying a dividend for at least 10 years, so it has a reliable track record.
DUK has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.98%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
DUK pays out 76.56% of its income as dividend. This is not a sustainable payout ratio.
The dividend of DUK is growing, but earnings are growing more, so the dividend growth is sustainable.
DP76.56%
EPS Next 2Y7.31%
EPS Next 3Y7.05%
DUKE ENERGY CORP
NYSE:DUK (1/21/2025, 8:04:00 PM)
After market: 110.997 +0.23 (+0.2%)110.77
+1.51 (+1.38%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners66.56%
Inst Owner Change0.03%
Ins Owners0.12%
Ins Owner Change-1.16%
Market Cap85.57B
Analysts74.4
Price Target127.63 (15.22%)
Short Float %1.08%
Short Ratio2.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.83% |
Yearly Dividend4.21
Dividend Growth(5Y)3.98%
DP76.56%
Div Incr Years11
Div Non Decr Years11
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.49%
Min EPS beat(2)-5.36%
Max EPS beat(2)14.34%
EPS beat(4)2
Avg EPS beat(4)2.42%
Min EPS beat(4)-5.36%
Max EPS beat(4)14.34%
EPS beat(8)4
Avg EPS beat(8)-0.18%
EPS beat(12)5
Avg EPS beat(12)-0.49%
EPS beat(16)8
Avg EPS beat(16)0.25%
Revenue beat(2)2
Avg Revenue beat(2)3.84%
Min Revenue beat(2)0.18%
Max Revenue beat(2)7.49%
Revenue beat(4)3
Avg Revenue beat(4)2.01%
Min Revenue beat(4)-4.6%
Max Revenue beat(4)7.49%
Revenue beat(8)6
Avg Revenue beat(8)7.25%
Revenue beat(12)9
Avg Revenue beat(12)5.81%
Revenue beat(16)9
Avg Revenue beat(16)2.38%
PT rev (1m)0.42%
PT rev (3m)4.83%
EPS NQ rev (1m)0%
EPS NQ rev (3m)10.78%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.89%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.56%
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.26 | ||
| Fwd PE | 17.3 | ||
| P/S | 2.83 | ||
| P/FCF | N/A | ||
| P/OCF | 7.43 | ||
| P/B | 1.74 | ||
| P/tB | 2.87 | ||
| EV/EBITDA | 11.8 |
EPS(TTM)5.75
EY5.19%
EPS(NY)6.4
Fwd EY5.78%
FCF(TTM)-1.25
FCFYN/A
OCF(TTM)14.91
OCFY13.46%
SpS39.11
BVpS63.6
TBVpS38.62
PEG (NY)2.52
PEG (5Y)5.64
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.29% | ||
| ROE | 8.55% | ||
| ROCE | 4.61% | ||
| ROIC | 3.56% | ||
| ROICexc | 3.57% | ||
| ROICexgc | 4.03% | ||
| OM | 25.38% | ||
| PM (TTM) | 13.91% | ||
| GM | 67.41% | ||
| FCFM | N/A |
ROA(3y)1.72%
ROA(5y)1.66%
ROE(3y)6.08%
ROE(5y)5.76%
ROIC(3y)3.16%
ROIC(5y)3.11%
ROICexc(3y)3.17%
ROICexc(5y)3.12%
ROICexgc(3y)3.6%
ROICexgc(5y)3.56%
ROCE(3y)4.1%
ROCE(5y)4.03%
ROICexcg growth 3Y3.82%
ROICexcg growth 5Y1.66%
ROICexc growth 3Y4.29%
ROICexc growth 5Y2.3%
OM growth 3Y0.84%
OM growth 5Y3.02%
PM growth 3Y20.94%
PM growth 5Y-2.84%
GM growth 3Y-2.84%
GM growth 5Y-0.76%
F-Score6
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.64 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.75 | ||
| Cap/Depr | 196.99% | ||
| Cap/Sales | 41.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.26% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.45 | ||
| Altman-Z | 0.67 |
F-Score6
WACC6.28%
ROIC/WACC0.57
Cap/Depr(3y)191.09%
Cap/Depr(5y)193.74%
Cap/Sales(3y)40.78%
Cap/Sales(5y)41.64%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.43%
EPS 3Y2.79%
EPS 5Y3.42%
EPS Q2Q%-16.49%
EPS Next Y7.64%
EPS Next 2Y7.31%
EPS Next 3Y7.05%
EPS Next 5Y6.78%
Revenue 1Y (TTM)4.78%
Revenue growth 3Y6.78%
Revenue growth 5Y3.46%
Sales Q2Q%2%
Revenue Next Year2.97%
Revenue Next 2Y3.31%
Revenue Next 3Y3.23%
Revenue Next 5Y3.03%
EBIT growth 1Y12.69%
EBIT growth 3Y7.67%
EBIT growth 5Y6.58%
EBIT Next Year80.88%
EBIT Next 3Y28.13%
EBIT Next 5Y18.94%
FCF growth 1Y78.66%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y84.29%
OCF growth 3Y3.71%
OCF growth 5Y6.57%