SEMPRA Earns High Rating from Guru Strategy Evaluation

SEMPRA (SRE) has received a remarkable 91% rating based on the P/E/Growth Investor model, indicating strong interest from this strategy. The report highlights the company's solid fundamentals and stock valuation positioning it favorably in the Electric Utilities sector.

Date: 10-03-2025

AI Rating: 8

Overview of SEMPRA's Performance

SEMPRA (SRE) is noted as a large-cap growth stock within the Electric Utilities industry and has attained a rating of 91% according to the P/E/Growth Investor model established by famed investor Peter Lynch. This high rating suggests that SRE is trading at a reasonable price relative to its earnings growth, paired with a strong balance sheet.

Of the 22 guru strategies assessed, SRE ranks highest under the P/E/Growth Investor model, reflecting favorable fundamentals and stock valuation. Typically, a score exceeding 90% indicates substantial interest, and a score of 80% or above signifies some level of intrigue from this investment strategy.

Key Metrics Evaluated

In terms of specific metrics evaluated within this model, SEMPRA has passed essential criteria:

Inventory to Sales: PASS
Yield Adjusted P/E to Growth (PEG) Ratio: PASS
Earnings Per Share (EPS): PASS
Total Debt/Equity Ratio: PASS

This demonstrates that SEMPRA is not only generating earnings but is also managing its debt effectively, which signals a strong financial position.

However, the metrics related to Free Cash Flow (FCF) and Net Cash Position have been deemed neutral, suggesting no significant concerns in these areas, yet also indicating areas that may require monitoring moving forward.

Overall, the high rating of SRE is likely to have a positive impact on investor sentiment and could lead to increased market interest in the stock as a solid investment opportunity within the Electric Utilities space.

Stocks: SRE