What Dominion Energy (D)'s $1.26 Billion Junior Notes Offering Means for Shareholders

• In late September 2025, Dominion Energy completed fixed-income offerings of fixed-to-floating rate junior subordinated notes due in 2056, raising more than US$1.26 billion with features including callability, variable rates, and junior subordinated status.
• This funding move signals Dominion Energy's intent to maintain financial flexibility while advancing major projects and operations amid its evolving business focus.
• We'll examine how this substantial capital raise supports Dominion's focus on supplying power to high-growth data centers and operational expansion.

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Dominion Energy Investment Narrative Recap

To be a Dominion Energy shareholder, you need to believe in the company's long-term ability to supply reliable energy to high-demand sectors like data centers, while managing large-scale infrastructure investments such as the Coastal Virginia Offshore Wind (CVOW) project. The recent US$1.26 billion fixed-income offering should improve Dominion's financial flexibility, but it does not fundamentally change the most important short-term catalyst: achieving regulatory milestones and cost certainty for CVOW. The biggest risk remains potential project cost overruns and delays, which this additional funding does not fully mitigate. A recent corporate announcement most relevant to the fixed-income raise is Dominion's guidance affirmation on August 1, 2025, which projected full-year operating earnings between US$3.28 and US$3.52 per share. This underscores the company's commitment to maintaining operational and earnings stability, while the capital raised supports its ongoing investments and financial discipline as it pursues major regulated projects. However, investors should be aware that if further supply chain or tariff disruptions pressure CVOW costs in the coming quarters, then...

Read the full narrative on Dominion Energy (it's free!)

Dominion Energy's narrative projects $17.8 billion revenue and $3.6 billion earnings by 2028. This requires 5.3% yearly revenue growth and a $1.1 billion earnings increase from $2.5 billion currently.

Uncover how Dominion Energy's forecasts yield a $61.42 fair value, in line with its current price.

Exploring Other Perspectives

Simply Wall St Community members provided three fair value estimates for Dominion Energy, ranging from US$37.75 to US$61.42 per share. With CVOW project costs and regulatory outcomes in focus, these varied forecasts illustrate how opinions on Dominion's future performance differ widely, review the full spectrum of community views to inform your own outlook.

Explore 3 other fair value estimates on Dominion Energy - why the stock might be worth 38% less than the current price!

Build Your Own Dominion Energy Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Dominion Energy research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Dominion Energy research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Dominion Energy's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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