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Dominion Energy (D)
NYSE:D
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Dominion Energy (D) AI Stock Analysis

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D

Dominion Energy

(NYSE:D)

Rating:75Outperform
Price Target:
$68.00
â–²(16.86% Upside)
Dominion Energy's strong technical position and positive earnings call sentiment are the most significant factors driving the score. While financial performance shows stability, challenges in cash flow and profit margins need attention. The recent corporate event further supports financial stability, contributing positively to the overall score.
Positive Factors
Fundamentals
The core fundamentals of the company’s streamlined, VEPCO-centric profile have improved significantly and placed it in a favorable position to execute its regulated growth strategy.
Valuation
The risk/reward clearly skews positively at this current valuation with a visible runway of sustained growth ahead.
Negative Factors
Political Uncertainty
Continued macro/political uncertainty through the CVOW construction cycle keeps analysts on the sidelines, maintaining a Market Perform rating.
Tariffs and Macroeconomic Pressures
Potential exposure to tariffs and broader macroeconomic pressures could impact both the cost estimate and schedule for CVOW.

Dominion Energy (D) vs. SPDR S&P 500 ETF (SPY)

Dominion Energy Business Overview & Revenue Model

Company DescriptionDominion 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 MoneyDominion Energy generates revenue through several key streams: regulated electricity and natural gas sales to residential, commercial, and industrial customers, which provide a stable income base. The company also earns revenue from its power generation operations, selling electricity generated from both traditional fossil fuel plants and renewable sources like wind and solar. Additionally, Dominion Energy benefits from its investments in natural gas infrastructure, including pipelines and storage facilities, which are essential for transporting gas to various markets. Significant partnerships, such as those with renewable energy developers and utility companies, further enhance its revenue potential. The regulatory framework governing utility rates allows Dominion to recover costs and earn returns on its investments, contributing to its overall financial stability.

Dominion Energy Key Performance Indicators (KPIs)

Any
Any
Revenue by Segment
Revenue by Segment
Breaks down revenue by different business units, highlighting which segments drive growth and profitability, and where there may be challenges or opportunities for expansion.
Chart InsightsDominion Energy's revenue from the 'Virginia' segment shows a robust upward trend, reflecting strong sales growth driven by data center expansion and economic growth, as highlighted in the earnings call. The 'Other' segment, after a period of volatility, has recently turned positive, indicating potential stabilization. However, the 'Gas Distribution' segment has ceased contributing since late 2023, which could signal strategic shifts or operational challenges. The earnings call also noted regulatory progress and potential tariff impacts, which could influence future revenue dynamics.
Data provided by:Main Street Data

Dominion Energy Earnings Call Summary

Earnings Call Date:Aug 01, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Oct 31, 2025
Earnings Call Sentiment Positive
The earnings call demonstrated strong financial performance and significant progress on major projects like the CVOW, alongside continued regulatory successes. However, challenges such as delays in the Charybdis vessel delivery and potential tariff impacts on project costs were noted.
Q2-2025 Updates
Positive Updates
Strong Second Quarter Financial Performance
Second quarter operating earnings were $0.75 per share, including $0.02 from RNG 45Z credits and $0.01 from better-than-normal weather. GAAP results were $0.88 per share. Financial guidance for 2025 operating EPS remains between $3.28 and $3.52.
Progress on Coastal Virginia Offshore Wind (CVOW) Project
The project is 60% complete and on schedule for full completion by the end of 2026. 76% of monopiles and 100% of penpiles have been installed. The project is expected to deliver nearly 3 GW of electricity.
High Sales Driven by Data Center Expansion
Strong sales in service areas, driven by data center expansion and economic growth, with 9 of the top 10 all-time peak days in Virginia occurring this year.
Regulatory Successes in South Carolina
Legislation passed to address future generation needs, including new joint gas resource development and permitting reform.
Employee Safety Improvements
Employee OSHA injury recordable rate for the first half of the year was 0.28, reflecting continued positive safety trends.
Negative Updates
Delay in Charybdis Vessel Delivery
The Charybdis vessel, essential for turbine installation, faced a slight delay in delivery, now expected to complete sea trials and start work in August.
Tariff Impact on CVOW Project Costs
The total impact of tariffs could reach $506 million, with potential increases if EU and Mexico tariffs rise, reflecting a modest quarter charge of $20 million after tax.
Company Guidance
During Dominion Energy's second quarter 2025 earnings call, the company reaffirmed its financial guidance, projecting 2025 operating earnings per share (EPS) between $3.28 and $3.52, with a midpoint of $3.40. The company reported second quarter operating earnings of $0.75 per share, including $0.02 from RNG 45Z credits and $0.01 from better-than-normal weather. GAAP results for the same period were $0.88 per share. Dominion highlighted significant progress on the Coastal Virginia Offshore Wind (CVOW) project, which is 60% complete and on schedule for full completion by the end of 2026. The company also discussed its strong sales performance, noting that 9 of its top 10 peak days in Virginia occurred this year, driven by data center expansion and economic growth. Despite delays in the delivery of the Charybdis installation vessel, Dominion expressed high confidence in meeting project milestones and emphasized its commitment to financial and regulatory targets.

Dominion Energy Financial Statement Overview

Summary
Dominion Energy demonstrates stable revenue growth and operational efficiency, but faces challenges in maintaining profit margins and cash flow. Improved leverage management is a positive sign, yet the company needs to address cash flow issues to enhance financial stability.
Income Statement
75
Positive
Dominion Energy shows a stable revenue growth rate of 2.17% in the TTM period, with a consistent increase over the past few years. The gross profit margin has decreased from 48.34% in 2023 to 37.01% in the TTM, indicating rising costs or pricing pressures. The net profit margin also decreased from 14.69% in 2024 to 10.01% in the TTM, reflecting challenges in maintaining profitability. However, the EBIT and EBITDA margins remain robust, suggesting operational efficiency.
Balance Sheet
65
Positive
The debt-to-equity ratio improved from 1.53 in 2024 to 0.73 in the TTM, indicating better leverage management. However, the return on equity has decreased from 7.79% in 2024 to 5.49% in the TTM, suggesting reduced profitability for shareholders. The equity ratio remains stable, reflecting a balanced asset structure.
Cash Flow
55
Neutral
The free cash flow growth rate is negative at -52.71% in the TTM, indicating cash flow challenges. The operating cash flow to net income ratio is 0.70, showing moderate cash generation relative to net income. The negative free cash flow to net income ratio highlights significant cash outflows, which could pose liquidity risks.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue15.23B14.46B14.39B13.94B11.42B14.17B
Gross Profit7.55B6.92B6.96B6.38B5.41B7.30B
EBITDA7.71B6.71B6.82B6.37B5.39B6.93B
Net Income2.28B2.12B1.99B1.32B3.40B-401.00M
Balance Sheet
Total Assets107.44B102.42B109.03B104.80B99.59B95.91B
Cash, Cash Equivalents and Short-Term Investments344.00M310.00M184.00M119.00M283.00M172.00M
Total Debt46.36B41.75B44.24B41.20B40.58B37.01B
Total Liabilities76.57B72.22B81.51B77.14B72.28B69.44B
Stockholders Equity27.21B27.25B27.53B27.66B27.31B26.12B
Cash Flow
Free Cash Flow-8.12B-7.41B-3.66B-4.06B-2.02B-1.10B
Operating Cash Flow4.61B5.02B6.57B3.70B4.04B5.23B
Investing Cash Flow-10.90B-3.18B-7.21B-6.75B-6.25B-2.92B
Financing Cash Flow6.49B-1.77B595.00M2.98B2.37B-2.33B

Dominion Energy Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price58.19
Price Trends
50DMA
58.40
Negative
100DMA
56.19
Positive
200DMA
54.75
Positive
Market Momentum
MACD
-0.10
Positive
RSI
42.35
Neutral
STOCH
-2.09
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 58.19 is below the 20-day moving average (MA) of 59.87, below the 50-day MA of 58.40, and above the 200-day MA of 54.75, indicating a neutral trend. The MACD of -0.10 indicates Positive momentum. The RSI at 42.35 is Neutral, neither overbought nor oversold. The STOCH value of -2.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for D.

Dominion Energy Risk Analysis

Dominion Energy disclosed 1 risk factors in its most recent earnings report. Dominion Energy reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Dominion Energy Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
$50.17B20.369.29%4.59%7.60%55.99%
74
Outperform
$58.88B16.1313.03%3.44%5.84%36.33%
73
Outperform
$93.99B19.869.60%3.48%4.07%9.94%
73
Outperform
$43.80B16.469.87%3.64%4.46%8.68%
68
Neutral
$42.72B20.0910.65%3.08%1.20%7.99%
67
Neutral
$40.79B20.5412.19%3.03%13.73%19.94%
66
Neutral
$17.25B17.995.54%3.64%6.63%11.55%
* Utilities Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
D
Dominion Energy
58.19
3.68
6.75%
AEP
American Electric Power
108.11
9.68
9.83%
DUK
Duke Energy
120.61
8.17
7.27%
EXC
Exelon
43.43
6.62
17.98%
PEG
Public Service Enterprise
81.12
3.56
4.59%
XEL
Xcel Energy
72.68
11.84
19.46%

Dominion Energy Corporate Events

Private Placements and FinancingBusiness Operations and Strategy
Dominion Energy Secures $1.525 Billion in Notes Sale
Positive
Aug 6, 2025

On August 4, 2025, Dominion Energy, Inc. entered into an underwriting agreement with Citigroup Global Markets Inc., Morgan Stanley & Co. LLC, and Santander US Capital Markets LLC for the sale of $825 million in Series A Junior Subordinated Notes and $700 million in Series B Junior Subordinated Notes, both due in 2056. This financial move is part of the company’s strategy to strengthen its financial position and potentially enhance its market standing, impacting stakeholders by possibly improving the company’s long-term financial stability.

Executive/Board Changes
Dominion Energy Announces Leadership Transition Effective October 2025
Neutral
Jul 1, 2025

On June 25, 2025, Dominion Energy announced the upcoming retirement of Michele L. Cardiff, the Senior Vice President, Controller, and Chief Accounting Officer, effective October 1, 2025. Subsequently, Gary G. Ratliff, Jr. was appointed to succeed her, with his new role commencing on the same date. Mr. Ratliff, who has been with the company in various accounting roles since 2015, will see his annual base salary increased to $290,035. This leadership transition is expected to maintain the company’s operational continuity and uphold its financial management standards.

Executive/Board ChangesBusiness Operations and Strategy
Dominion Energy Updates Bylaws for Officer Appointments
Neutral
Jun 27, 2025

On June 24, 2025, Paul M. Dabbar resigned from the Board of Dominion Energy, Inc. following his confirmation as Deputy Secretary of Commerce, effective June 25, 2025. His departure was not due to any disagreement with the company. Subsequently, on June 26, 2025, Dominion Energy amended its Bylaws to clarify the process for appointing successor officers in the event of a vacancy due to various reasons, enhancing its governance structure.

Executive/Board ChangesBusiness Operations and Strategy
Dominion Energy Appoints Jeffrey Lyash as Independent Director
Neutral
Jun 25, 2025

On June 25, 2025, Dominion Energy appointed Jeffrey J. Lyash as an independent director and member of the Safety, Technology, Nuclear and Operations Committee. Mr. Lyash, who recently retired as President and CEO of the Tennessee Valley Authority, brings extensive experience in the energy sector, which is expected to enhance Dominion Energy’s strategic operations and industry positioning.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 19, 2025