Dominion Energy (D) AI Stock Analysis

• Market Cap: $55.08B
• Dividend Yield: 4.59%
• Average Volume (3M): 5.94M
• Price to Earnings (P/E): 16.7
• Beta (1Y): 0.10
• Revenue Growth: 12.72%
• EPS Growth: 4.90%
• Country: US
• Employees: 14,700
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 0.68
• Shares Outstanding: 878,785,640
• 10 Day Avg. Volume: 7,651,652
• 30 Day Avg. Volume: 5,944,493
• PEG Ratio: 0.40
• Price to Book (P/B): 1.72
• Price to Sales (P/S): 3.03
• P/FCF Ratio: -6.87
• Enterprise Value/Market Cap: 1.88
• Enterprise Value/Revenue: 6.28
• Enterprise Value/Gross Profit: 12.81
• Enterprise Value/Ebitda: 13.34
• 1Y Price Target: $65.42
• Price Target Upside: 4.55% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 13
• EPS Forecast (FY): 3.59
• Revenue Forecast (FY): $17.31B

• Rating: 63 Neutral
• Price Target: $68.00 ▲(8.68% Upside)
• Action: Reiterated Date: 02/24/26
• Date: Action: Reiterated 02/24/26

The score is primarily held back by persistent negative free cash flow and rising leverage that increase financing dependence amid a larger capital program. Offsetting this, technicals are supportive (price above major moving averages with healthy momentum) and earnings-call messaging was broadly constructive with reaffirmed growth targets, while valuation is mixed—an attractive yield but only moderate support from the P/E.

Positive Factors

Regulated rate-recovery on major capital spend

A large portion of the $65B five-year program is eligible for rider recovery, anchoring returns to regulated cost recovery. That structural regulatory mechanism provides durable earnings visibility and supports credit metrics by converting investment into recoverable rate base rather than relying solely on merchant markets.

Improving operating profitability and revenue

Profitability has meaningfully improved with margins roughly doubling from 2022 to 2025 while revenue turned modestly positive. Sustained margin expansion and stable-to-rising top line strengthen internal cash generation and operating resilience, improving capacity to fund ongoing capital needs and service debt.

Material progress on CVOW and strategic renewables

Coastal Virginia Offshore Wind being >70% complete with first power targeted and full permitting in place converts a strategic renewable asset from development risk toward revenue-producing status. Alongside an expanding data-center pipeline, this diversifies rate base and aligns the company with long-term clean-energy demand drivers.

Negative Factors

Rising leverage and heavy debt burden

Debt has increased materially over the last five years, pushing leverage higher and constraining financial flexibility. For a capital-intensive utility, rising debt-to-equity and a larger balance sheet increase sensitivity to interest rates and regulatory outcomes, limiting capacity to absorb shocks or opportunistically fund growth.

Persistently negative free cash flow

Operating cash flow is positive but capex-heavy investment keeps free cash flow deeply negative. Persistent negative FCF increases reliance on external financing (debt, hybrids, equity), raises dilution and execution risk, and means long-term capital plans are contingent on stable access to capital markets and constructive regulatory recovery.

Larger capital plan increases execution and financing risk

A 30% increase in the five-year plan intensifies project execution needs and funding demands. The company plans material equity, hybrid and debt issuance, which can dilute shareholders and strain credit metrics if costs, delays (CVOW installation risk) or tariff/legal issues materialize, making growth dependent on flawless execution.

Dominion Energy Business Overview & Revenue Model

Company Description

Dominion Energy, Inc. produces and distributes energy in the United States. The company operates through four segments: Dominion Energy Virginia, Gas Distribution, Dominion Energy South Carolina, and Contracted Assets. The Dominion Energy Virginia segment generates, transmits, and distributes regulated electricity to approximately 2.7 million residential, commercial, industrial, and governmental customers in Virginia and North Carolina. The Gas Distribution segment is involved in the regulated natural gas sales, transportation, gathering, storage, and distribution operations in Ohio, West Virginia, North Carolina, Utah, southwestern Wyoming, and southeastern Idaho that serve approximately 3.1 million residential, commercial and industrial customers. It also has nonregulated renewable natural gas facilities in operation. The Dominion Energy South Carolina segment generates, transmits, and distributes electricity to approximately 772,000 customers in the central, southern, and southwestern portions of South Carolina; and distributes natural gas to approximately 419,000 residential, commercial, and industrial customers in South Carolina. The Contracted Assets segment is involved in the nonregulated long-term contracted renewable electric generation and solar generation facility development operations; and gas transportation, LNG import, and storage operations, as well as in the liquefaction facility. As of December 31, 2021, the company's portfolio of assets included approximately 30.2 gigawatt of electric generating capacity; 10,700 miles of electric transmission lines; 78,000 miles of electric distribution lines; and 95,700 miles of gas distribution mains and related service facilities. The company was formerly known as Dominion Resources, Inc. Dominion Energy, Inc. was incorporated in 1983 and is headquartered in Richmond, Virginia.

How the Company Makes Money

Dominion Energy generates revenue primarily through the sale of electricity and natural gas to residential, commercial, and industrial customers. The company's utility operations are regulated, which allows it to earn a stable return on its investments in infrastructure and service delivery. Key revenue streams include retail electricity sales, natural gas distribution, and the development of renewable energy projects that may qualify for tax credits and incentives. Additionally, Dominion Energy benefits from significant partnerships and joint ventures in renewable energy projects, which help diversify its earnings and align with the growing demand for clean energy solutions.

Dominion Energy Financial Statement Overview

Summary

Income statement trends are solid (stable-to-rising revenue and materially improved margins into 2025), but the balance sheet is a constraint with rising leverage and debt-to-equity. Cash flow is the biggest drag: operating cash flow is positive, yet free cash flow is deeply and consistently negative, increasing reliance on external financing.

Income Statement

Revenue has been stable to modestly rising overall, with a noticeable step-up in 2025 (+4.4% vs. 2024) after relatively flat growth in 2023–2024. Profitability improved meaningfully from 2022 through 2025, with net margin expanding from ~9.5% (2022) to ~18.2% (2025) and operating earnings also strengthening. A key weakness is earnings volatility earlier in the period, including a net loss in 2020 and an unusually high margin year in 2021, which suggests results can be impacted by one-time items or swings in non-operating factors.

Balance Sheet

The balance sheet reflects heavy leverage typical of the regulated utility model, but still a clear constraint: debt rose to ~$48.9B in 2025 from ~$37.0B in 2020, and debt is ~1.68x equity in 2025 (up from ~1.42x in 2020). Equity has grown modestly, but not enough to offset the higher debt load, which can limit financial flexibility and keep funding costs sensitive to rate conditions. Total assets expanded over time, consistent with ongoing investment, but the leverage trajectory is the main watch item.

Cash Flow

Operating cash flow is positive and generally improving (about $5.4B in 2025 vs. $3.7B in 2022), but free cash flow is consistently negative across all years shown, including roughly -$7.3B in 2025 and -$7.4B in 2024. Free cash flow relative to net income is deeply negative each year, indicating cash generation after investment spend is not covering accounting earnings. This is not unusual for a capital-intensive regulated utility in build-out mode, but it increases reliance on debt and/or equity funding and raises execution and capital-market risk if spending or financing conditions tighten.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	16.51B	14.46B	14.39B	13.94B	11.42B
Gross Profit	8.09B	6.92B	6.96B	6.38B	5.41B
EBITDA	8.02B	6.71B	7.53B	4.44B	5.39B
Net Income	3.00B	2.12B	2.03B	1.19B	3.40B
Balance Sheet
Total Assets	115.86B	102.42B	109.03B	104.80B	99.59B
Cash, Cash Equivalents and Short-Term Investments	250.00M	310.00M	184.00M	119.00M	283.00M
Total Debt	48.94B	41.75B	44.24B	41.20B	40.58B
Total Liabilities	82.44B	72.22B	81.51B	77.14B	72.28B
Stockholders Equity	29.08B	27.25B	27.53B	27.66B	27.31B
Cash Flow
Free Cash Flow	-7.28B	-7.41B	-3.66B	-4.06B	-2.02B
Operating Cash Flow	5.36B	5.02B	6.57B	3.70B	4.04B
Investing Cash Flow	-12.97B	-3.18B	-7.21B	-6.75B	-6.25B
Financing Cash Flow	7.59B	-1.77B	595.00M	2.98B	2.37B

Dominion Energy Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 62.57
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For D, the sentiment is Neutral. The current price of 62.57 is below the 20-day moving average (MA) of 63.26, above the 50-day MA of 60.59, and above the 200-day MA of 58.25, indicating a neutral trend. The MACD of 0.70 indicates Positive momentum. The RSI at 51.73 is Neutral, neither overbought nor oversold. The STOCH value of 19.82 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for D.

Dominion Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AEP	80 Outperform	$71.35B	16.71	12.33%	3.25%	7.66%	37.42%
PEG	72 Outperform	$41.87B	18.98	12.76%	3.13%	18.29%	2.40%
DUK	71 Outperform	$102.21B	18.33	9.74%	3.61%	4.80%	14.44%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
EXC	65 Neutral	$50.08B	15.92	9.94%	3.68%	6.07%	15.20%
XEL	65 Neutral	$51.89B	21.48	9.36%	3.09%	3.32%	-2.30%
D	63 Neutral	$55.08B	16.69	10.63%	4.59%	12.72%	4.90%

Dominion Energy Corporate Events

Dominion Energy Adopts 2026 Performance-Based Incentive Plan

On January 30, 2026, Dominion Energy’s Compensation and Talent Development Committee approved the company’s 2026 Annual Incentive Plan, which provides officers with eligibility for an annual performance-based cash award set as a percentage of base salary. Payouts will be tied to the achievement of performance goals selected from those in Dominion Energy’s 2024 Incentive Compensation Plan, with potential funding ranging from zero to double the target amount, underscoring the company’s continued emphasis on pay-for-performance alignment for its leadership team.

The most recent analyst rating on (D) stock is a Buy with a $63.00 price target. To see the full list of analyst forecasts on Dominion Energy stock, see the D Stock Forecast page.

Dominion Energy Updates Offshore Wind Project Costs and Timeline

On January 30, 2026, Dominion Energy reported updated cost and timing guidance for its Coastal Virginia Offshore Wind (CVOW) project after a temporary suspension of work stemming from a December 2025 order from the U.S. Department of the Interior’s Bureau of Ocean Energy Management and the impact of tariffs. The estimated total project cost, including contingency but excluding financing, has risen from about $11.2 billion to approximately $11.5 billion, and full project completion is now expected in early 2027, though first power delivery remains targeted for the first quarter of 2026. Dominion said the project is roughly 71% complete, fully permitted at the state and federal levels, and positioned as a key, bipartisan-backed component of Virginia’s energy strategy, delivering nearly 3 GW to support AI and cyber demand, shipbuilding and military installations, while creating about 2,000 U.S. jobs and $2 billion in economic activity, which underscores both its strategic importance and the cost and schedule risks inherent in large offshore wind developments.

The most recent analyst rating on (D) stock is a Hold with a $69.00 price target. To see the full list of analyst forecasts on Dominion Energy stock, see the D Stock Forecast page.

Dominion Energy Wins Injunction to Resume Offshore Wind

On January 16, 2026, the U.S. District Court for the Eastern District of Virginia granted Dominion Energy and its subsidiary Virginia Electric and Power Company a preliminary injunction, allowing construction work on the Coastal Virginia Offshore Wind (CVOW) project to resume despite a December 22, 2025 federal order that had called for a 90-day suspension. With the injunction in place, Dominion will restart activities on the 176-turbine, 2.6-gigawatt offshore wind project—designed to power up to 660,000 homes—while its legal challenge to the Bureau of Ocean Energy Management’s suspension proceeds, preserving momentum on a flagship asset that is central to the company’s diversified energy strategy and its positioning as a major player in U.S. offshore wind.

The most recent analyst rating on (D) stock is a Hold with a $65.00 price target. To see the full list of analyst forecasts on Dominion Energy stock, see the D Stock Forecast page.

Dominion Energy Challenges Suspension of Coastal Virginia Wind

On December 22, 2025, Dominion Energy responded to a U.S. Department of Interior Bureau of Ocean Energy Management order that immediately imposed a 90-day suspension of all work on the Coastal Virginia Offshore Wind project, in which its subsidiary Virginia Electric and Power Company owns 50% of OSW Project LLC. The company warned that halting the more-than-decade-in-development, 2,600-megawatt offshore wind project, located 27 to 44 miles off Virginia’s coast, risks undermining grid reliability for critical military, data center and civilian infrastructure, could drive up energy costs, and threatens thousands of jobs, while noting the project has longstanding military coordination, enjoys bipartisan support, and is central to meeting surging regional power demand under Virginia’s all-of-the-above energy strategy.

The most recent analyst rating on (D) stock is a Hold with a $64.00 price target. To see the full list of analyst forecasts on Dominion Energy stock, see the D Stock Forecast page.