| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 33 | 24.4x | 17.3x | Bottom tier | |
Growth | 17 | 6.4% | 7.1% | Bottom tier | |
Quality | 34 | 4.2% | 4.5% | Bottom tier | |
Safety | 35 | 5.2x | 2.6x | Bottom tier | |
Capital Return | 69 | 2.97% | 0.06% | Top tier | |
Momentum | 36 | -15.6% | -1.6% | Bottom tier | |
Sentiment | 80 | 10 | 3 | Top tier |
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Sempra operates in utilities and energy infrastructure through Sempra Texas, Sempra California, and Sempra Infrastructure. Its investment thesis centers on expanding utility networks and converting investment in them into earnings supported by regulated rates. Oncor is the centerpiece of expansion in Texas, where activity is tied to rising electricity loads and transmission network upgrades, while the remaining businesses combine California utilities and infrastructure projects, including ECA LNG and Port Arthur LNG. On the 2026-08-06 call, management outlined its strategy to recycle capital from infrastructure into regulated utilities, with a greater focus on Texas.
In quarter 2 of fiscal year 2026, ended 2026-06-30, revenue according to EL7 data was approximately $3.0 billion, net income was $797.0 million, and diluted earnings per share were $1.22. The operating margin calculated by EL7 was 27.8%, and operating cash flow according to EL7 data was approximately $1.3 billion for the same period. For comparison, net income was $473.0 million and diluted earnings per share were $0.71 in quarter 2 of fiscal year 2025, ended 2025-06-30; reliable comparisons for annual revenue growth and year-over-year margin changes are unavailable.
The earnings improvement in quarter 2 of fiscal year 2026, ended 2026-06-30, was driven particularly by Texas. Management explained a $138 million increase in equity earnings at Sempra Texas compared with the same quarter of the previous year, linked to rates, invested capital, and customer growth. However, results included a positive impact of approximately $50 million attributable to quarter 1 of fiscal year 2026, ended 2026-03-31, resulting from the timing of the rate settlement's approval in April 2026. In California, a $24 million improvement in some earnings components was offset by an $11 million decline in others, while Sempra Infrastructure earnings increased by $26 million compared with the same quarter of the previous year, supported partly by lower depreciation on assets classified as held for sale.
Q2 FY2026
Last 12 months to 2026-06-30
When: 2026-11-04
Quarterly net income compared with the $797.0 million threshold
Operating margin calculated by EL7 compared with the 27.8% threshold
The median analyst price target is $96, with a range of $83 to $118 across 5 analysts, a method that prices in growth and earnings expectations and tends to be optimistic by nature. The industry-multiple valuation is $61, with a range of $20 to $102, based on earnings for the last 12 months through 2026-06-30 and a median multiple of 17.2 across 9 companies, measuring Sempra's value if priced like its peers. The ranges of the two methods overlap, but the median analyst price target exceeds the industry-multiple valuation, reflecting greater weight on expected growth versus realized earnings in the industry comparison. EL7's valuation pillar, which measures relative valuation attractiveness, scored 19 out of 100 within the industry and ranked 30 out of 35 according to data for the period ended 2026-06-30. Diverging estimates are also evident in Barclays lowering its target to $90 from $103 on 2026-10-12, versus Morgan Stanley raising its target to $108 from $105 on 2026-07-22.
Figures in the text are as of 2026-10-19; the live price is shown at the top of the page.
On 2026-08-06, Sempra presented Oncor's base five-year capital plan of $47.5 billion and an additional $10 billion in opportunities through 2030. It identified 44 gigawatts of loads within the batch zero process, including projects already connected whose usage is expected to rise to 8 gigawatts. The opportunity lies in expanding the network to serve this demand, while the scale and timing of additional investments depend on ERCOT studies and regulatory approvals.
Operating cash flow according to EL7 data was approximately $5.4 billion for the last 12 months through 2026-06-30, equivalent to 237% of net income of $2.3 billion for the same period. However, free cash flow calculated by EL7 (operating cash flow minus capital expenditures) for the last 12 months was negative $5.2 billion. This means that strong cash generation before investment was insufficient to cover capital expenditures during that period, increasing the importance of funding and capital recycling transactions.
Automated analysis for informational purposes only — not investment advice.
When: Fiscal year 2026
Adjusted earnings per share within the guidance range of $4.80 to $5.30
On the 2026-08-06 call, management targeted selling a 45% stake in SI Partners during quarter 3 of fiscal year 2026. It linked the transaction to the deconsolidation of approximately $9 billion of debt, redirecting capital toward regulated utilities, and avoiding the need to issue common shares under the base plan. These benefits are significant against total debt according to EL7 data of $36.7 billion in quarter 2 of fiscal year 2026, ended 2026-06-30, but remain contingent on completing the transaction.
After exporting its first cargo in July 2026, the facility shut down for maintenance and inspection, and damage was discovered in equipment associated with the mixed refrigerant compressors. On 2026-08-06, management said it was working with the engineering, procurement, and construction contractor and the equipment manufacturer to identify the cause and remediation plan, targeting substantial completion in quarter 4 of fiscal year 2026 and the start of contractual sales shortly afterward. It also clarified that completion of ECA is not a prerequisite for closing the SI Partners transaction, while describing Port Arthur LNG Phase 1 and Phase 2 as on schedule and on budget.
Net income of $797.0 million and diluted earnings per share of $1.22 in quarter 2 of fiscal year 2026, ended 2026-06-30, provide two reference points for performance, allowing for differences between periods. The operating margin calculated by EL7 was 27.8% in that quarter, but its results included a positive impact of approximately $50 million in Texas attributable to the previous quarter. Another expected test is whether adjusted earnings per share guidance of between $4.80 and $5.30 for fiscal year 2026, reaffirmed by management on 2026-08-06, remains in place, while distinguishing these adjusted earnings per share from reported earnings per share.