Important note

This AI stock analysis for Dominion Energy is not up to date. Creating and accessing our AI stock Analysis (powered by our data and Chat GPT) is only available for our premium users. Sign up to get access today!

Dominion Energy - AI Stock Analysis

Analysis generated December 4, 2024

Dominion Energy, Inc. is an American power and energy company headquartered in Richmond, Virginia that supplies electricity and natural gas to parts of Virginia, North Carolina, and South Carolina. It was founded in 1983 and has since grown to become a significant player in the utility sector. The company operates through various segments, including regulated electric, regulated gas, and non-regulated operations, providing essential energy resources to millions of customers.

Fundamental Analysis

Analyzing the financial performance of Dominion Energy, the company reported a revenue of $3.94 billion for the last quarter. This represents a 13.05% increase compared to the previous quarter, indicating a positive sign of growth. On a year-over-year basis, the revenue improved by 3.44%, showing steady growth.

The net income for the last quarter was $954 million. Compared to the quarter before, this is a substantial 66.78% increase, and compared to the same quarter last year, it's up by an impressive 507.64%. This indicates significant improvement in profitability and efficiency.

Additionally, the EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) for the last quarter was $1.77 billion, which is a 23.91% increase from the previous quarter and a 4.06% year-over-year increase. This reinforces the company's financial health and operational efficiency.

Dominion Energy's current Price-to-Earnings (P/E) ratio stands at 21.16, which is within a normal range, suggesting the stock price is relatively reasonable given its earnings.

Technical Analysis

Currently trading at $56.27, Dominion Energy's stock price has decreased by 1.23% compared to a month ago. While this might be concerning in the short term, the stock has increased by 27.63% compared to a year ago, indicating a long-term positive trend.

The stock's trend is bearish, with the current SMA10 (Simple Moving Average) at 58.09, which is lower than the previous SMA10 of 58.21. This suggests potential downward price movement. The Relative Strength Index (RSI) stands at 68.2, indicating a neutral condition; neither overbought nor oversold.

Alternative Data Analysis

Let’s explore some alternative data for a more comprehensive outlook on Dominion Energy. According to data from major job boards, Dominion Energy has 80 open positions, a number that has dropped by 19% in the last couple of months. This could indicate attempts to cut costs, which is not a positive indication for a growing company. Employee sentiment toward the business outlook also remains neutral.

Regarding customer acquisition, Dominion Energy’s webpage had an estimated 4.2 million visitors, a 12% decline over the past few months. This could potentially signal a decrement in customer interest. However, on the customer engagement side, their Instagram followers increased by 12% to 15,000 followers, reflecting increasing interest. Conversely, Twitter followers went down by 1% to 66,000 followers, possibly indicating a slight loss of interest.

According to AltIndex’s AI score, which predicts stock price based on fundamental, technical, and alternative data, Dominion Energy scored 35. This is considered a sell signal, indicating bearish expectations from various indicators.

Conclusion and Recommendation

Considering all the data, Dominion Energy demonstrates robust financial fundamentals with significant growth in revenue, net income, and EBITDA. Despite this, the technical analysis depicts a bearish trend in the short term, and several alternative data points reflect mixed signals with declining job postings and webpage visitors, balanced by a rise in Instagram engagement.

In summary, while Dominion Energy’s long-term outlook remains positive due to strong financial performance and profitability growth, caution is advised due to the recent bearish technical indicators and neutral alternative data. It might be prudent for investors to closely monitor the stock's short-term movements and broader market conditions before making a decision.

Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.