SRE Valuation

Sempra

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81.780

+0.09(0.110%)1D

Overview
Forecast
Valuation
Earnings

SRE Relative Valuation

SRE's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, SRE is overvalued; if below, it's undervalued.

Historical Valuation

Sempra (SRE) is now in the Undervalued zone, suggesting that its current forward PE ratio of 17.65 is considered Undervalued compared with the five-year average of 16.80. The fair price of Sempra (SRE) is between 95.60 to 105.69 according to relative valuation methord. Compared to the current price of 81.78 USD , Sempra is Undervalued By 14.46%.

Relative Value

Fair Zone

95.60-105.69

Current Price：81.78

14.46%

Undervalued

17.39

Trailing

Forward

16.47

EV/EBITDA

Sempra. (SRE) has a current EV/EBITDA of 16.47. The 5-year average EV/EBITDA is 14.01. The thresholds are as follows: Strongly Undervalued below 12.10, Undervalued between 12.10 and 13.05, Fairly Valued between 14.96 and 13.05, Overvalued between 14.96 and 15.91, and Strongly Overvalued above 15.91. The current Forward EV/EBITDA of 16.47 falls within the Strongly Overvalued range.

27.10

EV/EBIT

Sempra. (SRE) has a current EV/EBIT of 27.10. The 5-year average EV/EBIT is 21.91. The thresholds are as follows: Strongly Undervalued below 17.82, Undervalued between 17.82 and 19.87, Fairly Valued between 23.95 and 19.87, Overvalued between 23.95 and 25.99, and Strongly Overvalued above 25.99. The current Forward EV/EBIT of 27.10 falls within the Strongly Overvalued range.

3.83

Sempra. (SRE) has a current PS of 3.83. The 5-year average PS is 3.15. The thresholds are as follows: Strongly Undervalued below 2.49, Undervalued between 2.49 and 2.82, Fairly Valued between 3.48 and 2.82, Overvalued between 3.48 and 3.81, and Strongly Overvalued above 3.81. The current Forward PS of 3.83 falls within the Strongly Overvalued range.

10.04

P/OCF

Sempra. (SRE) has a current P/OCF of 10.04. The 5-year average P/OCF is 9.83. The thresholds are as follows: Strongly Undervalued below 7.47, Undervalued between 7.47 and 8.65, Fairly Valued between 11.02 and 8.65, Overvalued between 11.02 and 12.20, and Strongly Overvalued above 12.20. The current Forward P/OCF of 10.04 falls within the Historic Trend Line -Fairly Valued range.

0.00

P/FCF

Sempra. (SRE) has a current P/FCF of 0.00. The 5-year average P/FCF is -35.73. The thresholds are as follows: Strongly Undervalued below -72.69, Undervalued between -72.69 and -54.21, Fairly Valued between -17.24 and -54.21, Overvalued between -17.24 and 1.24, and Strongly Overvalued above 1.24. The current Forward P/FCF of 0.00 falls within the Overvalued range.

Sempra (SRE) has a current Price-to-Book (P/B) ratio of 1.76. Compared to its 3-year average P/B ratio of 1.74 , the current P/B ratio is approximately 0.86% higher. Relative to its 5-year average P/B ratio of 1.77, the current P/B ratio is about -1.00% higher. Sempra (SRE) has a Forward Free Cash Flow (FCF) yield of approximately -8.08%. Compared to its 3-year average FCF yield of -6.94%, the current FCF yield is approximately 16.51% lower. Relative to its 5-year average FCF yield of -5.58% , the current FCF yield is about 44.76% lower.

1.73

P/B

Median3y

1.74

Median5y

1.77

-8.08

FCF Yield

Median3y

-6.94

Median5y

-5.58

Competitors Valuation Multiple

The average P/S ratio for SRE's competitors is 2.88, providing a benchmark for relative valuation. Sempra Corp (SRE) exhibits a P/S ratio of 3.83, which is 32.91% above the industry average. Given its robust revenue growth of -0.37%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Cheniere Energy Partners LP

Performance Decomposition

Market capitalization of SRE decreased by 0.49% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 14.11 to 19.77.

The secondary factor is the Revenue Growth, contributed -0.37%to the performance.

Overall, the performance of SRE in the past 1 year is driven by P/E Change. Which is more unsustainable.

-0.37%

3.01B → 3.00B

Revenue Growth

-40.20%

28.93 → 17.30

Margin Expansion

40.08%

14.11 → 19.77

P/E Change

-0.49%