Sempra Stock: A Deep Dive Into Analyst Perspectives (11 Ratings)

Sempra SRE has been analyzed by 11 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $81.64, along with a high estimate of $95.00 and a low estimate of $72.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 13.98%.

Exploring Analyst Ratings: An In-Depth Overview

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 respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Sempra. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate 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.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Sempra's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Sempra analyst ratings.

Get to Know Sempra Better

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.

Unraveling the Financial Story of Sempra

Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.

Revenue Growth: Sempra displayed positive results in 3 months. As of 31 December, 2024, the company achieved a solid revenue growth rate of approximately 7.65%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Utilities sector.

Net Margin: Sempra's net margin is impressive, surpassing industry averages. With a net margin of 17.7%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Sempra's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 2.25%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 0.7%, the company showcases effective utilization of assets.

Debt Management: With a below-average debt-to-equity ratio of 1.18, Sempra adopts a prudent financial strategy, indicating a balanced approach to debt management.

How Are Analyst Ratings Determined?

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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