Sempra (SRE) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-303.0%

-$174.96

vs $86.18 price

Levered DCF

-$188.86

After debt service

Piotroski score

7 / 9

Strong

Altman Z-score

1.06

Distress zone

Rating

C+

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	32.11×	19.76×	15.55×	23.26×	32.89×	9.85×	20.49×	31.39×
P/B	1.82×	1.78×	1.64×	1.79×	1.59×	1.59×	2.11×	1.69×
P/S	4.2×	4.29×	2.98×	3.13×	3.16×	3.27×	3.89×	2.88×
EV / EBITDA	13.67×	15.36×	12.74×	17.49×	20.04×	14.28×	15.49×	17.3×
Gross margin	29.1%	27.2%	23.7%	26.8%	27.9%	28.9%	30.0%	22.1%
Operating margin	23.7%	21.8%	19.4%	22.7%	23.3%	24.1%	25.4%	17.4%
Net margin	13.4%	22.1%	19.5%	13.8%	10.1%	34.6%	20.3%	10.4%
Current ratio	1.59×	0.55×	0.54×	0.6×	0.44×	0.66×	0.36×	0.48×
Debt / equity	1.15×	1.15×	1.08×	1.07×	0.95×	1.03×	1.29×	1.43×
Interest coverage	2.12×	2.17×	2.43×	3.34×	2.57×	2.55×	2.56×	1.98×
Dividend yield	2.9%	2.8%	3.2%	3.0%	3.5%	3.6%	2.7%	3.3%
Payout ratio	89.4%	53.9%	49.7%	68.9%	108.5%	33.8%	51.6%	92.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	5.8%	9.2%	10.7%	7.9%	5.1%	16.8%	11.0%	6.1%
Return on invested capital	2.6%	2.9%	3.4%	3.9%	4.4%	4.0%	3.8%	3.1%
Return on assets	1.7%	3.0%	3.5%	2.7%	1.8%	5.9%	3.3%	1.7%
Free cash flow yield	-10.5%	-6.0%	-4.6%	-8.7%	-2.8%	-5.6%	-1.5%	-0.1%
Earnings yield	3.2%	5.1%	6.5%	4.4%	3.2%	10.6%	5.2%	3.6%
Enterprise value	$93.9B	$89.9B	$77.9B	$77.3B	$65.3B	$60.3B	$67.8B	$53.5B
Net debt / EBITDA	5.28×	5.86×	5.04×	6.46×	7.39×	5.5×	5.87×	7.92×
Cash conversion cycle (days)	19	5	13	31	22	20	17	17