Dominion Energy (D) closed the most recent trading day at $84.15, moving -0.91% from the previous trading session. This change lagged the S&P 500’s daily loss of 0.36%. Elsewhere, the Dow lost 0.65%, while the tech-heavy Nasdaq added 0.15%.
Wall Street will be looking for positivity from D as it approaches its next earnings report date. On that day, D is projected to report earnings of $0.84 per share, which would represent year-over-year growth of 9.09%. Meanwhile, our latest consensus estimate is calling for revenue of $4.33 billion, up 9.12% from the prior-year quarter.
D’s full-year Zacks Consensus Estimates are calling for earnings of $4.33 per share and revenue of $17.69 billion. These results would represent year-over-year changes of +2.12% and +6.74%, respectively.
It is also important to note the recent changes to analyst estimates for D. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.42% higher. D currently has a Zacks Rank of #3 (Hold).
In terms of valuation, D is currently trading at a Forward P/E ratio of 19.61. For comparison, its industry has an average Forward P/E of 17.75, which means D is trading at a premium to the group.
We can also see that D currently has a PEG ratio of 4.15. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company’s expected earnings growth rate into account. D’s industry had an average PEG ratio of 3.57 as of yesterday’s close.
The Utility – Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 94, which puts it in the top 38% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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