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D: Earnings Guidance And Modest Buybacks Will Support Steady Future Returns

Update shared on 10 Dec 2025

Fair value Decreased 0.10%
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AnalystConsensusTarget's Fair Value
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1Y
8.1%
7D
-2.8%

Analysts have made a slight downward revision to their price target on Dominion Energy, trimming it by approximately $0.07 per share as they fine tune assumptions around long term revenue growth, profit margins and valuation multiples.

What's in the News

  • Dominion Energy reported that from July 1 to September 30, 2025, it repurchased no additional shares, but has completed a total buyback of 2,476,657 shares for $191.75 million under its November 6, 2020 authorization (Key Developments).
  • The company narrowed its 2025 operating earnings guidance range to $3.33 to $3.48 per share, keeping the midpoint at $3.40 per share and signaling expectations to be at or above that midpoint assuming normal weather for the rest of the year (Key Developments).
  • Dominion Energy reaffirmed its long term operating earnings per share growth target of 5% to 7% annually through 2029, based on the 2025 operating earnings per share midpoint of $3.30 excluding RNG 45Z income (Key Developments).

Valuation Changes

  • Fair value was trimmed slightly from 64.00 to 63.93 per share, reflecting a modest downward adjustment in the intrinsic valuation estimate.
  • The discount rate remained effectively unchanged at about 6.96 percent, indicating no material shift in the perceived risk profile or cost of capital.
  • Revenue growth was raised slightly from approximately 5.15 percent to 5.19 percent, signaling a marginally more optimistic view on long-term top-line expansion.
  • The net profit margin was nudged down slightly from about 19.77 percent to 19.74 percent, incorporating a small reduction in expected long-term profitability.
  • The future P/E was lowered marginally from roughly 18.51 times to 18.49 times, suggesting a very small decrease in the valuation multiple applied to forward earnings.

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Disclaimer

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