DOMINION ENERGY INC (D) Stock Fundamental Analysis
NYSE:D - New York Stock Exchange, Inc. - US25746U1097 - Common Stock - Currency: USD
Overall D gets a fundamental rating of 4 out of 10. We evaluated D against 25 industry peers in the Multi-Utilities industry. There are concerns on the financial health of D while its profitability can be described as average. D is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
D had positive earnings in the past year.
D had a positive operating cash flow in the past year.
D had positive earnings in 4 of the past 5 years.
Each year in the past 5 years D had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 1.94%, D is not doing good in the industry: 84.00% of the companies in the same industry are doing better.
The Return On Equity of D (7.41%) is worse than 80.00% of its industry peers.
With a Return On Invested Capital value of 3.59%, D is not doing good in the industry: 72.00% of the companies in the same industry are doing better.
The Average Return On Invested Capital over the past 3 years for D is in line with the industry average of 3.92%.
The 3 year average ROIC (3.19%) for D is below the current ROIC(3.59%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 7.41% | ||
| ROIC | 3.59% |
ROA(3y)1.69%
ROA(5y)1.58%
ROE(3y)6.47%
ROE(5y)5.83%
ROIC(3y)3.19%
ROIC(5y)3.18%
1.3 Margins
With a decent Profit Margin value of 13.60%, D is doing good in the industry, outperforming 68.00% of the companies in the same industry.
D's Profit Margin has improved in the last couple of years.
D's Operating Margin of 28.54% is amongst the best of the industry. D outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of D has grown nicely.
D's Gross Margin of 99.52% is amongst the best of the industry. D outperforms 100.00% of its industry peers.
D's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.54% | ||
| PM (TTM) | 13.6% | ||
| GM | 99.52% |
OM growth 3Y5.25%
OM growth 5Y1.54%
PM growth 3Y-21.43%
PM growth 5Y8.73%
GM growth 3Y0.03%
GM growth 5Y0.02%
2. Health
2.1 Basic Checks
D has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, D has more shares outstanding
D has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, D has a worse debt to assets ratio.
2.2 Solvency
D has an Altman-Z score of 0.64. This is a bad value and indicates that D is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.64, D is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
D has a Debt/Equity ratio of 1.54. This is a high value indicating a heavy dependency on external financing.
D has a Debt to Equity ratio of 1.54. This is comparable to the rest of the industry: D outperforms 48.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.64 |
ROIC/WACC0.56
WACC6.43%
2.3 Liquidity
D has a Current Ratio of 0.73. This is a bad value and indicates that D is not financially healthy enough and could expect problems in meeting its short term obligations.
D has a Current ratio of 0.73. This is in the lower half of the industry: D underperforms 76.00% of its industry peers.
A Quick Ratio of 0.53 indicates that D may have some problems paying its short term obligations.
D has a worse Quick ratio (0.53) than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
D shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 46.73%, which is quite impressive.
The Earnings Per Share has been decreasing by -8.18% on average over the past years.
The Revenue has been growing slightly by 5.38% in the past year.
The Revenue has been growing slightly by 0.08% on average over the past years.
EPS 1Y (TTM)46.73%
EPS 3Y-10.58%
EPS 5Y-8.18%
EPS Q2Q%69.09%
Revenue 1Y (TTM)5.38%
Revenue growth 3Y8.19%
Revenue growth 5Y0.08%
Sales Q2Q%12.22%
3.2 Future
Based on estimates for the next years, D will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.39% on average per year.
Based on estimates for the next years, D will show a small growth in Revenue. The Revenue will grow by 5.84% on average per year.
EPS Next Y25.43%
EPS Next 2Y14.99%
EPS Next 3Y12.19%
EPS Next 5Y9.39%
Revenue Next Year8.62%
Revenue Next 2Y6.88%
Revenue Next 3Y6.56%
Revenue Next 5Y5.84%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
D is valuated rather expensively with a Price/Earnings ratio of 17.25.
D's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of D to the average of the S&P500 Index (26.34), we can say D is valued slightly cheaper.
A Price/Forward Earnings ratio of 14.85 indicates a correct valuation of D.
The rest of the industry has a similar Price/Forward Earnings ratio as D.
D is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.19, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.25 | ||
| Fwd PE | 14.85 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of D indicates a slightly more expensive valuation: D is more expensive than 72.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.81 |
4.3 Compensation for Growth
D's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
D has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as D's earnings are expected to grow with 12.19% in the coming years.
PEG (NY)0.68
PEG (5Y)N/A
EPS Next 2Y14.99%
EPS Next 3Y12.19%
5. Dividend
5.1 Amount
D has a Yearly Dividend Yield of 4.78%, which is a nice return.
D's Dividend Yield is a higher than the industry average which is at 4.23.
Compared to an average S&P500 Dividend Yield of 2.40, D pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.78% |
5.2 History
The dividend of D decreases each year by -7.57%.
D has paid a dividend for at least 10 years, which is a reliable track record.
D has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-7.57%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
110.95% of the earnings are spent on dividend by D. This is not a sustainable payout ratio.
DP110.95%
EPS Next 2Y14.99%
EPS Next 3Y12.19%
54.18
+0.41 (+0.76%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners78.45%
Inst Owner Change2.52%
Ins Owners0.11%
Ins Owner Change1.46%
Market Cap46.17B
Analysts68
Price Target61.19 (12.94%)
Short Float %3.23%
Short Ratio4.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.78% |
Yearly Dividend2.65
Dividend Growth(5Y)-7.57%
DP110.95%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.75%
Min EPS beat(2)1.78%
Max EPS beat(2)21.72%
EPS beat(4)4
Avg EPS beat(4)9.99%
Min EPS beat(4)1.78%
Max EPS beat(4)21.72%
EPS beat(8)5
Avg EPS beat(8)2.85%
EPS beat(12)6
Avg EPS beat(12)1.92%
EPS beat(16)7
Avg EPS beat(16)1.16%
Revenue beat(2)1
Avg Revenue beat(2)-7.42%
Min Revenue beat(2)-15.42%
Max Revenue beat(2)0.59%
Revenue beat(4)1
Avg Revenue beat(4)-7.68%
Min Revenue beat(4)-15.42%
Max Revenue beat(4)0.59%
Revenue beat(8)1
Avg Revenue beat(8)-10.24%
Revenue beat(12)2
Avg Revenue beat(12)-10.7%
Revenue beat(16)2
Avg Revenue beat(16)-15.09%
PT rev (1m)-0.12%
PT rev (3m)1.47%
EPS NQ rev (1m)2.44%
EPS NQ rev (3m)-4.1%
EPS NY rev (1m)0%
EPS NY rev (3m)0.12%
Revenue NQ rev (1m)-2.14%
Revenue NQ rev (3m)-0.48%
Revenue NY rev (1m)-3.22%
Revenue NY rev (3m)2.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.25 | ||
| Fwd PE | 14.85 | ||
| P/S | 3.1 | ||
| P/FCF | N/A | ||
| P/OCF | 10.94 | ||
| P/B | 1.69 | ||
| P/tB | 1.99 | ||
| EV/EBITDA | 12.81 |
EPS(TTM)3.14
EY5.8%
EPS(NY)3.65
Fwd EY6.74%
FCF(TTM)-9.88
FCFYN/A
OCF(TTM)4.95
OCFY9.14%
SpS17.49
BVpS32.11
TBVpS27.25
PEG (NY)0.68
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 7.41% | ||
| ROCE | 4.44% | ||
| ROIC | 3.59% | ||
| ROICexc | 3.6% | ||
| ROICexgc | 3.76% | ||
| OM | 28.54% | ||
| PM (TTM) | 13.6% | ||
| GM | 99.52% | ||
| FCFM | N/A |
ROA(3y)1.69%
ROA(5y)1.58%
ROE(3y)6.47%
ROE(5y)5.83%
ROIC(3y)3.19%
ROIC(5y)3.18%
ROICexc(3y)3.2%
ROICexc(5y)3.19%
ROICexgc(3y)3.39%
ROICexgc(5y)3.43%
ROCE(3y)4.02%
ROCE(5y)3.97%
ROICexcg growth 3Y11.6%
ROICexcg growth 5Y0.81%
ROICexc growth 3Y12.92%
ROICexc growth 5Y1.47%
OM growth 3Y5.25%
OM growth 5Y1.54%
PM growth 3Y-21.43%
PM growth 5Y8.73%
GM growth 3Y0.03%
GM growth 5Y0.02%
F-Score6
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.13 | ||
| Cap/Depr | 485.3% | ||
| Cap/Sales | 84.83% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 61.52% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 0.64 |
F-Score6
WACC6.43%
ROIC/WACC0.56
Cap/Depr(3y)344.17%
Cap/Depr(5y)292.02%
Cap/Sales(3y)69.92%
Cap/Sales(5y)60.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)46.73%
EPS 3Y-10.58%
EPS 5Y-8.18%
EPS Q2Q%69.09%
EPS Next Y25.43%
EPS Next 2Y14.99%
EPS Next 3Y12.19%
EPS Next 5Y9.39%
Revenue 1Y (TTM)5.38%
Revenue growth 3Y8.19%
Revenue growth 5Y0.08%
Sales Q2Q%12.22%
Revenue Next Year8.62%
Revenue Next 2Y6.88%
Revenue Next 3Y6.56%
Revenue Next 5Y5.84%
EBIT growth 1Y26.31%
EBIT growth 3Y13.87%
EBIT growth 5Y1.62%
EBIT Next Year79.33%
EBIT Next 3Y29.13%
EBIT Next 5Y20.36%
FCF growth 1Y-139.49%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-9.7%
OCF growth 3Y7.52%
OCF growth 5Y-0.73%