Dominion Energy Inc (D) Stock Analysis
Verdict: HOLD
The definitive all-stock merger with NextEra Energy at a $66.8B valuation floors the stock price but caps near-term upside near $67-69.
Investment score: 62/100
Analysis as of
Is Dominion Energy Inc stock worth reviewing? The TradeMates thesis
Dominion Energy has transitioned from a standalone utility turnaround story to an acquisition target for NextEra Energy. The current price reflects the market's high confidence in the deal's closure, leaving roughly 3-4% upside to the analyst consensus high of $69-70. Fundamental risks like high debt ($48.9B) and negative FCF (-$7.3B) are now secondary to regulatory approval risks for the merger.
7-factor investment score
- Valuation: 50/100 (weight 20%)
- Financial Health: 45/100 (weight 15%)
- Technical Momentum: 85/100 (weight 15%)
- Earnings Quality: 75/100 (weight 15%)
- Insider Sentiment: 70/100 (weight 10%)
- Analyst Consensus: 55/100 (weight 10%)
- Risk-Adjusted Return: 60/100 (weight 15%)
Dominion Energy Inc opportunities and risks
What speaks for D
- Strategic Merger with NextEra Energy
What speaks against D
- Regulatory/Antitrust Hurdles
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| D | 19.7x | 3.3x | 13.9x | 49.4% | 16.9% | -12.6% |
| SRE | 28.9x | 4.4x | 15.5x | 30.6% | 15.2% | -9.8% |
| ED | 18.1x | 2.3x | 9.6x | 65.0% | 12.5% | 7.1% |
| PEG | 17.3x | 3.1x | 11.4x | 79.6% | 17.7% | -0.2% |
| WEC | 22.8x | 3.7x | 14.8x | 55.7% | 16.2% | -3.0% |
| DTE | 24.1x | 1.9x | 14.0x | 39.4% | 7.7% | -4.8% |
| Peer median | 22.8x | 3.1x | 14.0x | 55.7% | 15.2% | -3.0% |
Frequently asked questions about Dominion Energy Inc (D)
Is D stock a good investment?
The TradeMates model rates Dominion Energy Inc as HOLD with an investment score of 62/100. Dominion Energy has transitioned from a standalone utility turnaround story to an acquisition target for NextEra Energy. The current price reflects the market's high confidence in the deal's closure, leaving roughly 3-4% upside to the analyst consensus high of $69-70. Fundamental risks like high debt ($48.9B) and negative FCF (-$7.3B) are now secondary to regulatory approval risks for the merger. This is algorithmic model output, not personal investment advice.
Is D stock a buy?
The TradeMates model verdict for D is HOLD with an investment score of 62/100. Treat this as a model signal to review, not a personal buy recommendation.