Sempra: Upgraded Outlook, Accelerated Regulated Growth, and Capital Plan Support Buy Rating Without Equity Dilution

BMO Capital analyst James Thalacker has reiterated their bullish stance on SRE stock, giving a Buy rating today.

James Thalacker has given his Buy rating due to a combination of factors tied to Sempra’s upgraded financial outlook and stronger-than-expected growth profile. He highlights that the refreshed 2030 earnings guidance implies close to double‑digit annual EPS growth from the 2025 midpoint, effectively de‑risking the story and reinforcing management’s ability to outperform its previously stated 7–9% growth objective.

Moreover, Thalacker points to the expanded 2026–2030 capital plan, which meaningfully accelerates the company’s regulated rate base growth, especially in the higher‑growth Texas business that will represent the majority of the 2030 asset base. He also underscores that this investment plan is designed to be executed without new equity issuance, supported by asset recycling and LNG‑related cash flows, which together underpin his Outperform view and higher target price.

Thalacker covers the Utilities sector, focusing on stocks such as CMS Energy, PPL, and Sempra Energy. According to TipRanks, Thalacker has an average return of 15.1% and a 73.54% success rate on recommended stocks.

In another report released today, BTIG also maintained a Buy rating on the stock with a $106.00 price target.