Unveiling 8 Analyst Insights On Sempra

During the last three months, 8 analysts shared their evaluations of Sempra SRE, revealing diverse outlooks from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $88.5, with a high estimate of $96.00 and a low estimate of $80.00. Witnessing a positive shift, the current average has risen by 4.82% from the previous average price target of $84.43.

Interpreting Analyst Ratings: A Closer Look

A comprehensive examination of how financial experts perceive Sempra is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Sempra. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Sempra compared to the broader market.
• Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Sempra's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Sempra's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Sempra analyst ratings.

Delving into Sempra's Background

Sempra Energy serves one of the largest utility customer bases in the United States. It distributes natural gas and electricity in Southern California and owns 80% of Oncor, a transmission and distribution business in Texas. SoCalGas and San Diego Gas & Electric distribute gas to more than 20 million customers, while Oncor serves more than 10 million Texas customers. Sempra Infrastructure partners, of which Sempra holds a controlling ownership, owns and operates liquefied natural gas facilities in North America and infrastructure in Mexico.

Sempra: A Financial Overview

Market Capitalization Analysis: With a profound presence, the company's market capitalization is above industry averages. This reflects substantial size and strong market recognition.

Negative Revenue Trend: Examining Sempra's financials over 3 months reveals challenges. As of 30 June, 2024, the company experienced a decline of approximately -9.72% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Utilities sector.

Net Margin: Sempra's net margin excels beyond industry benchmarks, reaching 23.68%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Sempra's ROE stands out, surpassing industry averages. With an impressive ROE of 2.51%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Sempra's ROA excels beyond industry benchmarks, reaching 0.79%. This signifies efficient management of assets and strong financial health.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 1.15.

Analyst Ratings: What Are They?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.