SEMPRA (SRE) Stock Fundamental Analysis
USA - NYSE:SRE - US8168511090 - Common Stock
92 USD
-0.22 (-0.24%)
92.3 USD
+0.3 (+0.33%)
Taking everything into account, SRE scores 3 out of 10 in our fundamental rating. SRE was compared to 26 industry peers in the Multi-Utilities industry. SRE has only an average score on both its financial health and profitability. SRE does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
SRE had positive earnings in the past year.
SRE had a positive operating cash flow in the past year.
Each year in the past 5 years SRE has been profitable.
SRE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of SRE (1.97%) is worse than 84.62% of its industry peers.
Looking at the Return On Equity, with a value of 6.77%, SRE is doing worse than 84.62% of the companies in the same industry.
SRE has a worse Return On Invested Capital (2.94%) than 96.15% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SRE is in line with the industry average of 3.96%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.97% | ||
| ROE | 6.77% | ||
| ROIC | 2.94% |
ROA(3y)3.02%
ROA(5y)3.29%
ROE(3y)9.1%
ROE(5y)9.64%
ROIC(3y)3.3%
ROIC(5y)3.52%
1.3 Margins
The Profit Margin of SRE (15.38%) is better than 80.77% of its industry peers.
In the last couple of years the Profit Margin of SRE has grown nicely.
The Operating Margin of SRE (22.51%) is better than 65.38% of its industry peers.
SRE's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.51% | ||
| PM (TTM) | 15.38% | ||
| GM | N/A |
OM growth 3Y0.45%
OM growth 5Y-2.46%
PM growth 3Y29.87%
PM growth 5Y2.38%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SRE is destroying value.
SRE has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, SRE has more shares outstanding
SRE has a worse debt/assets ratio than last year.
2.2 Solvency
SRE has an Altman-Z score of 1.06. This is a bad value and indicates that SRE is not financially healthy and even has some risk of bankruptcy.
SRE has a Altman-Z score of 1.06. This is amongst the best in the industry. SRE outperforms 80.77% of its industry peers.
SRE has a Debt/Equity ratio of 1.02. This is a high value indicating a heavy dependency on external financing.
SRE has a Debt to Equity ratio of 1.02. This is amongst the best in the industry. SRE outperforms 96.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.06 |
ROIC/WACC0.44
WACC6.74%
2.3 Liquidity
SRE has a Current Ratio of 1.59. This is a normal value and indicates that SRE is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Current ratio value of 1.59, SRE belongs to the best of the industry, outperforming 96.15% of the companies in the same industry.
SRE has a Quick Ratio of 1.56. This is a normal value and indicates that SRE is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of SRE (1.56) is better than 96.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.56 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.24% over the past year.
SRE shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -5.31% yearly.
Looking at the last year, SRE shows a small growth in Revenue. The Revenue has grown by 6.14% in the last year.
Measured over the past years, SRE shows a small growth in Revenue. The Revenue has been growing by 4.04% on average per year.
EPS 1Y (TTM)16.24%
EPS 3Y-18.2%
EPS 5Y-5.31%
EPS Q2Q%24.72%
Revenue 1Y (TTM)6.14%
Revenue growth 3Y0.84%
Revenue growth 5Y4.04%
Sales Q2Q%13.51%
3.2 Future
SRE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.96% yearly.
Based on estimates for the next years, SRE will show a decrease in Revenue. The Revenue will decrease by -0.54% on average per year.
EPS Next Y-0.85%
EPS Next 2Y5.43%
EPS Next 3Y6.4%
EPS Next 5Y6.96%
Revenue Next Year-11.31%
Revenue Next 2Y-3.91%
Revenue Next 3Y-3.57%
Revenue Next 5Y-0.54%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 18.62, the valuation of SRE can be described as rather expensive.
Based on the Price/Earnings ratio, SRE is valued a bit more expensive than 61.54% of the companies in the same industry.
When comparing the Price/Earnings ratio of SRE to the average of the S&P500 Index (25.89), we can say SRE is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 17.92, the valuation of SRE can be described as rather expensive.
Based on the Price/Forward Earnings ratio, SRE is valued a bit more expensive than 65.38% of the companies in the same industry.
SRE's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.62 | ||
| Fwd PE | 17.92 |
4.2 Price Multiples
SRE's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. SRE is more expensive than 92.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 16.04 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.43%
EPS Next 3Y6.4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.80%, SRE has a reasonable but not impressive dividend return.
With a Dividend Yield of 2.80, SRE pays less dividend than the industry average, which is at 4.19. 80.77% of the companies listed in the same industry pay a better dividend than SRE!
Compared to an average S&P500 Dividend Yield of 2.44, SRE has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
5.2 History
The dividend of SRE decreases each year by -9.71%.
SRE has been paying a dividend for at least 10 years, so it has a reliable track record.
As SRE did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)-9.71%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
SRE pays out 76.67% of its income as dividend. This is not a sustainable payout ratio.
DP76.67%
EPS Next 2Y5.43%
EPS Next 3Y6.4%
92
-0.22 (-0.24%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners91.76%
Inst Owner Change3.45%
Ins Owners0.04%
Ins Owner Change-18.55%
Market Cap60.03B
Revenue(TTM)13.71B
Net Income(TTM)2.11B
Analysts77.14
Price Target98.24 (6.78%)
Short Float %2.04%
Short Ratio3.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
Yearly Dividend2.41
Dividend Growth(5Y)-9.71%
DP76.67%
Div Incr Years7
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.33%
Min EPS beat(2)4.16%
Max EPS beat(2)20.49%
EPS beat(4)3
Avg EPS beat(4)6.38%
Min EPS beat(4)-7.18%
Max EPS beat(4)20.49%
EPS beat(8)4
Avg EPS beat(8)0.32%
EPS beat(12)8
Avg EPS beat(12)2.78%
EPS beat(16)12
Avg EPS beat(16)4.05%
Revenue beat(2)1
Avg Revenue beat(2)1.51%
Min Revenue beat(2)-4.09%
Max Revenue beat(2)7.1%
Revenue beat(4)1
Avg Revenue beat(4)-3.89%
Min Revenue beat(4)-14.67%
Max Revenue beat(4)7.1%
Revenue beat(8)1
Avg Revenue beat(8)-12.45%
Revenue beat(12)2
Avg Revenue beat(12)-5.38%
Revenue beat(16)6
Avg Revenue beat(16)-1.3%
PT rev (1m)12.53%
PT rev (3m)17.16%
EPS NQ rev (1m)-3.64%
EPS NQ rev (3m)-7.37%
EPS NY rev (1m)0.22%
EPS NY rev (3m)0.38%
Revenue NQ rev (1m)-3.39%
Revenue NQ rev (3m)-3.88%
Revenue NY rev (1m)1.71%
Revenue NY rev (3m)-3.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.62 | ||
| Fwd PE | 17.92 | ||
| P/S | 4.38 | ||
| P/FCF | N/A | ||
| P/OCF | 12.66 | ||
| P/B | 1.93 | ||
| P/tB | 1.93 | ||
| EV/EBITDA | 16.04 |
EPS(TTM)4.94
EY5.37%
EPS(NY)5.14
Fwd EY5.58%
FCF(TTM)-9.02
FCFYN/A
OCF(TTM)7.27
OCFY7.9%
SpS21.01
BVpS47.78
TBVpS47.78
PEG (NY)N/A
PEG (5Y)N/A
Graham Number72.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.97% | ||
| ROE | 6.77% | ||
| ROCE | 3.55% | ||
| ROIC | 2.94% | ||
| ROICexc | 2.94% | ||
| ROICexgc | 2.94% | ||
| OM | 22.51% | ||
| PM (TTM) | 15.38% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)3.02%
ROA(5y)3.29%
ROE(3y)9.1%
ROE(5y)9.64%
ROIC(3y)3.3%
ROIC(5y)3.52%
ROICexc(3y)3.32%
ROICexc(5y)3.56%
ROICexgc(3y)3.41%
ROICexgc(5y)3.66%
ROCE(3y)3.99%
ROCE(5y)4.26%
ROICexgc growth 3Y-8.37%
ROICexgc growth 5Y-5.96%
ROICexc growth 3Y-8.1%
ROICexc growth 5Y-5.8%
OM growth 3Y0.45%
OM growth 5Y-2.46%
PM growth 3Y29.87%
PM growth 5Y2.38%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.6 | ||
| Cap/Depr | 411.78% | ||
| Cap/Sales | 77.51% | ||
| Interest Coverage | 2.32 | ||
| Cash Conversion | 83.66% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.56 | ||
| Altman-Z | 1.06 |
F-Score5
WACC6.74%
ROIC/WACC0.44
Cap/Depr(3y)359.34%
Cap/Depr(5y)353.45%
Cap/Sales(3y)54.96%
Cap/Sales(5y)53.03%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.24%
EPS 3Y-18.2%
EPS 5Y-5.31%
EPS Q2Q%24.72%
EPS Next Y-0.85%
EPS Next 2Y5.43%
EPS Next 3Y6.4%
EPS Next 5Y6.96%
Revenue 1Y (TTM)6.14%
Revenue growth 3Y0.84%
Revenue growth 5Y4.04%
Sales Q2Q%13.51%
Revenue Next Year-11.31%
Revenue Next 2Y-3.91%
Revenue Next 3Y-3.57%
Revenue Next 5Y-0.54%
EBIT growth 1Y18.88%
EBIT growth 3Y1.29%
EBIT growth 5Y1.48%
EBIT Next Year58.5%
EBIT Next 3Y22.25%
EBIT Next 5Y13.97%
FCF growth 1Y-58.81%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-1.56%
OCF growth 3Y8.5%
OCF growth 5Y9.71%
SEMPRA / SRE FAQ
What is the fundamental rating for SRE stock?
ChartMill assigns a fundamental rating of 3 / 10 to SRE.
What is the valuation status of SEMPRA (SRE) stock?
ChartMill assigns a valuation rating of 1 / 10 to SEMPRA (SRE). This can be considered as Overvalued.
Can you provide the profitability details for SEMPRA?
SEMPRA (SRE) has a profitability rating of 4 / 10.
Can you provide the financial health for SRE stock?
The financial health rating of SEMPRA (SRE) is 4 / 10.
What is the expected EPS growth for SEMPRA (SRE) stock?
The Earnings per Share (EPS) of SEMPRA (SRE) is expected to decline by -0.85% in the next year.