SRE

DBA SempraUtilities / Utilities - DiversifiedINTACT

Sempra engages in the regulated utilities business in the United States and Mexico. It operates through three segments: Sempra California, Sempra Texas Utilities, and Sempra Infrastructure. It also invests in and operates electric and gas utilities and other energy infrastructure that provides energy services to customers. The Sempra California segment provides natural gas and electric services to Southern California and part of central California. As of December 31, 2025, it offered electric services to approximately 3.6 million population and natural gas services to approximately 3.3 million population that covers 4,100 square miles. This segment owns and operates a natural gas distribution, transmission, and storage system that supplies natural gas. As of December 31, 2025, it served a population of 21.3 million covering an area of 24,000 square miles. The Sempra Texas Utilities segment engages in the regulated electricity transmission and distribution utility business. As of December 31, 2025, transmission system included approximately 18,418 circuit miles of transmission lines; 1,333 transmission and distribution substations; interconnection to 230 third-party generation facilities totaling 63,670 MW; and distribution system included more than 4.1 million points of delivery and consisted of 127,398 circuit miles of overhead and underground lines. The Sempra Infrastructure segment develops, constructs, operates, and invests in energy infrastructure to help enable the access to cleaner energy in markets in the United States, Mexico, and internationally. The company was formerly known as Sempra Energy and changed its name to Sempra in May 2023. Sempra was incorporated in 1996 and is headquartered in San Diego, California.

Share Price
$83.34
52W: $79.59 - $101.04
DCF Fair Value
$0.00
0% Premium
P/E (TTM)
24.2x
ROIC
21.2%
Operating Margin
28.3%
FCF Yield
-50.8%
Debt / Equity
0.85x
Piotroski Score
6/9
Altman Z-Score
2.15
Market Cap
$54.5B

Price vs. Intrinsic Value Corridor

Fair Value Range

Historical market price overlaid against conservative DCF Fair Value & Benjamin Graham Margin of Safety bands.

Period Return (1Y)
()
Period Range
$ - $
0
Valuation Overlays:0

2-Stage Discounted Cash Flow (DCF) Workbench

Conservative intrinsic value model based on owner cash generation over a 10-year investment horizon. Opens with LocalAlpha's baseline assumptions (matching the fair value shown above) — adjust any input to stress-test.

Current Market Price
$83.34
DCF Fair Value
$0.00
-100% Premium
$100M
$100M$-27,658M (Reported)$50,000M
14.1%
-5%10% (Target)35%
4.5%
0%5%20%
9.0%
6%9% (Standard)15% (High Risk)
2.5%
1% (GDP Floor)2.5% (Inflation)4.0%
$36,700M
-$100B CashBalance Sheet+$150B Debt
10-Yr PV of Cash Flows
$1.1B
PV of Terminal Value
$1.6B
Implied Enterprise Value
$2.7B
Implied Equity Value
$-34.0B
YearYr 1Yr 2Yr 3Yr 4Yr 5Yr 6Yr 7Yr 8Yr 9Yr 10
Projected FCF ($M)$114$130$149$169$193$202$211$221$231$241
Present Value (PV)$105$110$115$120$126$121$116$111$106$102

Benjamin Graham & Buffett Value Models

Classical deep value metrics based on asset backing, normalized earnings power, and owner cash yield.

Graham Number-33.8% Premium
$62.30

Calculated as √(22.5 × EPS × BVPS). The maximum theoretical price a defensive investor should pay based purely on asset book value and current earnings.

EPS: $3.45BVPS: $50.00
Revised Graham Formula+11.3%
$93.93

Formula: V = (EPS × (8.5 + 2g) × 4.4) / Y where g is the conservative 7-10 yr growth rate and Y is AAA Bond Yield.

Buffett Owner Earnings-48.2% Yield
$-40.18 / share

True distributable cash flow: Net Income + D&A - Maintenance CapEx. Reflects the cash Buffett would extract without hurting unit volume.

Total: $-26.3BYield: -48.2%

Reverse DCF: Market Growth Expectation

EXTREMELY LOW BARRIER
0.0% CAGR (Next 10 Yrs)

At the current price of $83.34, the market is assuming the business will compound Free Cash Flow at 0.0% per year for the next decade with a 9% hurdle rate.

Value Investor Verdict
✓ Low market hurdle: Easy for a wide-moat compounder to beat.
Autonomous Thesis Underwriting

Surveil SRE with Mathematical Margin of Safety Rules

Set non-negotiable floor rules for DBA Sempra. If a newly filed quarterly 10-Q breaks your ROIC floor, operating margin boundary, or balance sheet leverage rules, receive an autonomous breach audit within 15 minutes.

Buffett Quality

ROIC > 15% • Margin > 15% • D/E < 0.5x

Margin Floor Guard

Current Margin 28.3% • Floor > 10%

Solvency Guard

Altman-Z > 2.6 • Current Ratio > 1.5x

Frequently Asked Questions: DBA Sempra (SRE) Intrinsic Valuation

Audited fundamentals, DCF intrinsic value sensitivity, and thesis break detection parameters for DBA Sempra.

Based on institutional multi-stage Discounted Cash Flow (DCF) modeling on audited SEC cash flows, DBA Sempra has an estimated DCF intrinsic fair value of $0.00 per share compared to its current market price of $83.34. This represents an estimated 0.0% margin of safety (trading below fair value). Additionally, its classic Benjamin Graham Number stands at $62.30.

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