SRE

Dividends Announcement: Southern California Gas Company (SoCalGas) has declared a quarterly dividend of $0.375 per share for its preferred stock, payable on July 15, 2025, to shareholders recorded by June 10, 2025.

Company Overview: SoCalGas is the largest gas distribution utility in the U.S., serving over 21 million consumers in Central and Southern California, and is recognized for its community leadership and commitment to safe energy delivery.

Insider Trading Activity: Justin Christopher Bird, EVP of $SRE, sold 1,709 shares for approximately $122,210, reducing his holdings to 19,777 shares. In the past six months, there have been 13 insider trades involving $SRE stock, with more sales than purchases.

Analyst Ratings and Institutional Activity: Four firms have issued buy ratings for $SRE, with a median price target of $94.5. Additionally, 563 institutional investors increased their positions in $SRE, while 442 decreased them in the last quarter.

NASDAQ 100 After Hours Performance: The NASDAQ 100 is down by 25.8 points to 19,410.62 with a total after-hours trading volume of 108,649,079 shares.

Most Active Stocks: Notable active stocks include Altria Group (+0.06), NVIDIA Corporation (-0.21), and Amazon.com, Inc. (+0.2), among others, with varying share prices and trading volumes.

Sempra's Stock Analysis: Sempra (SRE) has received a high rating of 91% from Validea's P/E/Growth Investor model, indicating strong interest based on its fundamentals and valuation in the Electric Utilities industry.

Peter Lynch's Investment Philosophy: The report highlights Peter Lynch's successful investment strategies, emphasizing his common-sense approach to stock selection and his notable performance as a mutual fund manager.

Divestment Strategy: Sempra announced plans to sell its natural gas distribution assets in Mexico and a minority stake in Sempra Infrastructure to simplify its portfolio and focus on growth in Texas and California utilities.

LNG Growth Opportunities: The company is pursuing significant liquefied natural gas (LNG) projects, including the expansion of its LNG franchise, which aims to enhance America's position as a global leader in LNG exports while increasing long-term value for stakeholders.

Sempra's Asset Sales: Sempra plans to sell its Ecogas Mexico subsidiary and a minority stake in Sempra Infrastructure Partners to fund a $56 billion five-year capital spending program, focusing on regulated utility investments in Texas and California.

Strategic Business Simplification: The company's CEO stated that these sales aim to simplify the business and reduce reliance on future equity issuances for funding.

Company Overview: The AES Corporation, a diversified power generation and utility company with a market cap of $8.9 billion, focuses on renewable energy, operating in 15 countries and holding stakes in six electric utilities, though its stock has underperformed recently, declining significantly over the past year.

Market Performance: Despite reporting better-than-expected Q4 earnings, AES shares have fallen 27.9% over the past 52 weeks, with analysts maintaining a "Moderate Buy" rating and a mean price target suggesting potential upside from current levels.

SEMPRA Stock Analysis: Sempra (SRE) is rated highly at 91% using the P/E/Growth Investor model based on Peter Lynch's strategy, indicating strong interest due to its favorable valuation and solid fundamentals in the Electric Utilities industry.

About Peter Lynch: Peter Lynch, renowned for his successful management of Fidelity's Magellan Fund, emphasized investing in businesses that are easy to understand, making his investment philosophy accessible to everyday investors through his book "One Up on Wall Street."

Analyst Ratings Overview: Recent evaluations of Sempra by 11 analysts show a mix of bullish and bearish sentiments, with an average price target decrease of 13.98% to $81.64, reflecting adjustments in market expectations.

Company Performance Insights: Sempra demonstrates strong revenue growth at 7.65% and a net margin of 17.7%, but faces challenges with a low return on equity (2.25%), while maintaining a prudent debt management strategy.

Tronox Holdings Insider Purchase: Stephen J. Jones purchased 30,000 shares of TROX at $7.17 each, totaling $215,130, with the stock trading up about 0.5% on Thursday and reaching a high of $7.58 during the session.

Sempra Insider Purchase: Director Pablo Ferrero bought 2,600 shares of SRE at $70.96 each for $184,496, while the stock is currently trading down about 0.6%, offering investors a chance to buy at a lower price of $69.69.

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Insider Trading Disclosure: Sempra CAO Peter Wall sold 8,192 common shares at $70.81 each on March 18, as disclosed in a regulatory filing.

Analyst Downgrades: Sempra Energy has been downgraded to "Hold" by multiple analysts, with price targets being lowered due to anticipated challenges and a rebuilding period expected in 2025.

SoCalGas Contract for Renewable Natural Gas: Southern California Gas Company has signed a contract with Organic Energy Solutions to procure renewable natural gas (RNG) from organic waste, marking the first project approved under California's Senate Bill 1440 aimed at reducing methane emissions and advancing energy decarbonization.

Environmental Impact and Goals: The RNG project is expected to prevent approximately 15,300 tons of greenhouse gases annually and aims to replace 12% of traditional natural gas delivered by SoCalGas by 2030, contributing to California's goal of a 40% reduction in methane emissions by that year.

Insider Trading Activity: Pablo Ferrero, a director at $SRE, purchased 2,600 shares for approximately $184,495, increasing his holdings by about 19.9%. In the past six months, there have been 10 insider trades of $SRE stock, with 6 purchases and 4 sales.

Analyst Ratings and Institutional Activity: Four firms have issued buy ratings for $SRE, while no firms have issued sell ratings. Additionally, 579 institutional investors increased their positions in $SRE, while 494 decreased them in the last quarter.

SDG&E Energy Storage Expansion: San Diego Gas & Electric (SDG&E) announced the California Public Utilities Commission's approval for a 100 MW expansion of the Westside Canal Battery Energy Storage facility, increasing its capacity to 231 MW by June 2025, enhancing energy resilience and supporting California's clean energy goals.

Benefits of the Expansion: The expanded facility will provide essential services such as backup generation, grid stability, energy balancing, and congestion management, while also contributing to lower electricity costs for customers through federal tax credits.

Expansion of Energy Storage Facility: San Diego Gas & Electric (SDG&E) has received approval from the California Public Utilities Commission to expand its Westside Canal Battery Energy Storage facility by adding 100 MW, increasing total capacity to 231 MW, expected to be operational by June 2025.

Benefits and Safety Measures: The expansion aims to enhance energy resiliency, support clean energy goals, and improve grid reliability through services like generation capacity and congestion management, while adhering to strict safety standards.

Market Performance: The S&P 500 closed down 1.39%, now 10.18% off its February high, while the Nasdaq 100 and Russell 2000 also saw significant declines. Utilities are the only sector in positive territory this week, with top performers like Consolidated Edison and Exelon.

Commodity and Company Updates: Gold prices reached $3,000, up 12% over three months, and the VanEck Gold Miners ETF rose 3%. Ulta Beauty's quarterly report exceeded expectations but provided weaker full-year guidance, resulting in a 7% after-hours stock increase despite being significantly below its 52-week high.

Insider Trading Activity: James C Yardley, a director at $SRE, purchased 5,018 shares for approximately $349,955, increasing his holdings in the company. In the past six months, there have been equal numbers of insider purchases and sales of $SRE stock.

Institutional Investor Movements: In the latest quarter, 579 institutional investors increased their positions in $SRE, while 494 reduced theirs, indicating mixed sentiment among large shareholders.

Insider Trading Activity: Michael N Mears, a director at $SRE, purchased 1,000 shares for approximately $67,700, increasing his holdings by 25% to a total of 5,000 shares. In the past six months, there have been seven insider trades, with three purchases and four sales.

Institutional Investor Movements: In the latest quarter, 579 institutional investors increased their positions in $SRE stock while 494 reduced theirs, indicating mixed sentiment among large shareholders.

Insider Buying Activity: Company directors, like Richard J. Mark of Sempra, are making significant stock purchases, indicating confidence in the company's future performance; Mark bought $499.8K worth of shares at an average cost of $69.81 each.

Current Stock Performance: Sempra's shares are trading around $69.23, slightly down from Mark's purchase price, with a 52-week range between $64.89 and $95.77; the company also offers a quarterly dividend of $2.58 per share, yielding approximately 3.7%.