SEMPRA - SRE 5 3/4 07/01/2079 (SREA) Stock Fundamental Analysis
NYSE:SREA - New York Stock Exchange, Inc. - US8168516040 - Currency: USD
We assign a fundamental rating of 3 out of 10 to SREA. SREA was compared to 25 industry peers in the Multi-Utilities industry. SREA has a medium profitability rating, but doesn't score so well on its financial health evaluation. SREA has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year SREA was profitable.
SREA had a positive operating cash flow in the past year.
Each year in the past 5 years SREA has been profitable.
SREA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 2.93%, SREA is doing good in the industry, outperforming 76.00% of the companies in the same industry.
SREA has a Return On Equity (9.02%) which is comparable to the rest of the industry.
The Return On Invested Capital of SREA (2.86%) is worse than 92.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SREA is in line with the industry average of 3.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.93% | ||
| ROE | 9.02% | ||
| ROIC | 2.86% |
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
With an excellent Profit Margin value of 21.37%, SREA belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
SREA's Profit Margin has improved in the last couple of years.
SREA has a better Operating Margin (22.46%) than 68.00% of its industry peers.
In the last couple of years the Operating Margin of SREA has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.46% | ||
| PM (TTM) | 21.37% | ||
| 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 SREA is destroying value.
Compared to 1 year ago, SREA has more shares outstanding
SREA has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, SREA has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.56, we must say that SREA is in the distress zone and has some risk of bankruptcy.
SREA has a Altman-Z score of 0.56. This is amonst the worse of the industry: SREA underperforms 88.00% of its industry peers.
A Debt/Equity ratio of 1.07 is on the high side and indicates that SREA has dependencies on debt financing.
With an excellent Debt to Equity ratio value of 1.07, SREA belongs to the best of the industry, outperforming 96.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.56 |
ROIC/WACC0.59
WACC4.84%
2.3 Liquidity
A Current Ratio of 0.55 indicates that SREA may have some problems paying its short term obligations.
SREA has a Current ratio of 0.55. This is amonst the worse of the industry: SREA underperforms 84.00% of its industry peers.
SREA has a Quick Ratio of 0.55. This is a bad value and indicates that SREA is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.49, SREA is doing worse than 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.55 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
SREA shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.22%.
The Earnings Per Share has been decreasing by -5.31% on average over the past years.
The Revenue for SREA has decreased by -21.14% in the past year. This is quite bad
The Revenue has been growing slightly by 4.04% on average over the past years.
EPS 1Y (TTM)0.22%
EPS 3Y-18.2%
EPS 5Y-5.31%
EPS Q2Q%32.74%
Revenue 1Y (TTM)-21.14%
Revenue growth 3Y0.84%
Revenue growth 5Y4.04%
Sales Q2Q%7.65%
3.2 Future
SREA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.58% yearly.
Based on estimates for the next years, SREA will show a small growth in Revenue. The Revenue will grow by 2.19% on average per year.
EPS Next Y-1.18%
EPS Next 2Y4.61%
EPS Next 3Y5.67%
EPS Next 5Y6.58%
Revenue Next Year-3.83%
Revenue Next 2Y0.24%
Revenue Next 3Y0.92%
Revenue Next 5Y2.19%
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 4.48, the valuation of SREA can be described as very cheap.
SREA's Price/Earnings ratio is rather cheap when compared to the industry. SREA is cheaper than 88.00% of the companies in the same industry.
SREA is valuated cheaply when we compare the Price/Earnings ratio to 24.29, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 4.53, which indicates a rather cheap valuation of SREA.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SREA indicates a rather cheap valuation: SREA is cheaper than 88.00% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of SREA to the average of the S&P500 Index (20.42), we can say SREA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.48 | ||
| Fwd PE | 4.53 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SREA is valued a bit cheaper than the industry average as 72.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.47 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y4.61%
EPS Next 3Y5.67%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.45%, SREA has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.66, SREA pays a bit more dividend than its industry peers.
SREA's Dividend Yield is a higher than the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.45% |
5.2 History
The dividend of SREA decreases each year by -9.71%.
SREA has been paying a dividend for over 5 years, so it has already some track record.
SREA has decreased its dividend recently.
Dividend Growth(5Y)-9.71%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
54.77% of the earnings are spent on dividend by SREA. This is a bit on the high side, but may be sustainable.
DP54.77%
EPS Next 2Y4.61%
EPS Next 3Y5.67%
NYSE:SREA (5/7/2025, 10:28:41 AM)
20.6999
+0.09 (+0.44%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners93.92%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap13.50B
Analysts74.78
Price Target23.11 (11.64%)
Short Float %0%
Short Ratio0.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.45% |
Yearly Dividend2.41
Dividend Growth(5Y)-9.71%
DP54.77%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-11.73%
Min EPS beat(2)-16.27%
Max EPS beat(2)-7.18%
EPS beat(4)0
Avg EPS beat(4)-7.52%
Min EPS beat(4)-16.27%
Max EPS beat(4)-0.63%
EPS beat(8)4
Avg EPS beat(8)-1.67%
EPS beat(12)8
Avg EPS beat(12)2.1%
EPS beat(16)11
Avg EPS beat(16)2.53%
Revenue beat(2)0
Avg Revenue beat(2)-18.51%
Min Revenue beat(2)-22.35%
Max Revenue beat(2)-14.67%
Revenue beat(4)0
Avg Revenue beat(4)-21.2%
Min Revenue beat(4)-35.37%
Max Revenue beat(4)-12.42%
Revenue beat(8)1
Avg Revenue beat(8)-6.76%
Revenue beat(12)4
Avg Revenue beat(12)-2.25%
Revenue beat(16)7
Avg Revenue beat(16)-0.59%
PT rev (1m)-12.2%
PT rev (3m)-11.17%
EPS NQ rev (1m)-1.01%
EPS NQ rev (3m)-16.13%
EPS NY rev (1m)0.23%
EPS NY rev (3m)-12.35%
Revenue NQ rev (1m)1.67%
Revenue NQ rev (3m)0.08%
Revenue NY rev (1m)-5.18%
Revenue NY rev (3m)-9.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.48 | ||
| Fwd PE | 4.53 | ||
| P/S | 1.02 | ||
| P/FCF | N/A | ||
| P/OCF | 2.75 | ||
| P/B | 0.43 | ||
| P/tB | 0.46 | ||
| EV/EBITDA | 8.47 |
EPS(TTM)4.62
EY22.32%
EPS(NY)4.57
Fwd EY22.05%
FCF(TTM)-6.44
FCFYN/A
OCF(TTM)7.53
OCFY36.36%
SpS20.22
BVpS47.92
TBVpS45.02
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.93% | ||
| ROE | 9.02% | ||
| ROCE | 3.43% | ||
| ROIC | 2.86% | ||
| ROICexc | 2.91% | ||
| ROICexgc | 2.98% | ||
| OM | 22.46% | ||
| PM (TTM) | 21.37% | ||
| 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%
ROICexcg growth 3Y-8.37%
ROICexcg 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 Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.22 | ||
| Cap/Depr | 373.57% | ||
| Cap/Sales | 69.05% | ||
| Interest Coverage | 2.46 | ||
| Cash Conversion | 90.89% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.55 | ||
| Quick Ratio | 0.49 | ||
| Altman-Z | 0.56 |
F-Score5
WACC4.84%
ROIC/WACC0.59
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)0.22%
EPS 3Y-18.2%
EPS 5Y-5.31%
EPS Q2Q%32.74%
EPS Next Y-1.18%
EPS Next 2Y4.61%
EPS Next 3Y5.67%
EPS Next 5Y6.58%
Revenue 1Y (TTM)-21.14%
Revenue growth 3Y0.84%
Revenue growth 5Y4.04%
Sales Q2Q%7.65%
Revenue Next Year-3.83%
Revenue Next 2Y0.24%
Revenue Next 3Y0.92%
Revenue Next 5Y2.19%
EBIT growth 1Y-20.27%
EBIT growth 3Y1.29%
EBIT growth 5Y1.48%
EBIT Next Year63.85%
EBIT Next 3Y22.01%
EBIT Next 5Y14.31%
FCF growth 1Y-50.48%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-21.08%
OCF growth 3Y8.5%
OCF growth 5Y9.71%