
Sempra Energy (SRE) Stock Forecast & Price Target
Sempra Energy (SRE) Analyst Ratings
Bulls say
Sempra Energy exhibits a strong financial outlook, driven by a substantial $36.1 billion capital plan for 2025-2029, reflecting a 34% increase, which is expected to enhance its revenue base through higher rates and customer growth. The company's net income from its California segment saw a notable increase of $203 million due to various tax benefits and higher operating margins, emphasizing its capacity for growth amidst increased capital investments. Furthermore, management's anticipation of more frequent rate case filings is likely to bolster earnings over the longer term, alongside an incremental $12 billion potential upside in the upcoming five-year plan, reinforcing confidence in the company's rate base growth of approximately 13.4%.
Bears say
Sempra Energy reported a 4Q earnings per share (EPS) miss and consequently lowered its 2025 EPS guidance by approximately 58 cents, indicating structural weaknesses and negative revisions in its long-term growth projections. Key factors contributing to a negative outlook include a significant reduction in net income due to unfavorable regulatory decisions and increased costs associated with operations in both California and Texas, which collectively dampen earnings expectations. Additionally, declining contributions from the Sempra Infrastructure segment, alongside lower natural gas prices and reduced revenue from renewable energy assets, have compounded the company's struggles, resulting in an overall diminished growth trajectory.
This aggregate rating is based on analysts' research of Sempra Energy and is not a guaranteed prediction by Public.com or investment advice.
Sempra Energy (SRE) Analyst Forecast & Price Prediction
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