WallStSmart

Duke Energy Corporation (DUK)vsSempra Energy (SRE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Duke Energy Corporation generates 132% more annual revenue ($31.79B vs $13.70B). DUK leads profitability with a 15.6% profit margin vs 13.4%. SRE appears more attractively valued with a PEG of 0.83. DUK earns a higher WallStSmart Score of 59/100 (C).

DUK

Buy

59

out of 100

Grade: C

Growth: 4.0Profit: 7.0Value: 3.3Quality: 3.0
Piotroski: 3/9Altman Z: 0.52

SRE

Buy

56

out of 100

Grade: C

Growth: 2.0Profit: 6.0Value: 4.7Quality: 4.3
Piotroski: 3/9Altman Z: 0.87
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DUKSignificantly Overvalued (-64.7%)

Margin of Safety

-64.7%

Fair Value

$78.65

Current Price

$129.55

$50.90 premium

UndervaluedFair: $78.65Overvalued
SRESignificantly Overvalued (-31.9%)

Margin of Safety

-31.9%

Fair Value

$69.13

Current Price

$92.64

$23.51 premium

UndervaluedFair: $69.13Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DUK3 strengths · Avg: 8.3/10
Market CapQuality
$99.04B9/10

Large-cap with strong market position

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.1%8/10

Strong operational efficiency at 28.1%

SRE4 strengths · Avg: 8.3/10
Market CapQuality
$60.89B9/10

Large-cap with strong market position

PEG RatioValuation
0.838/10

Growing faster than its price suggests

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
27.7%8/10

Strong operational efficiency at 27.7%

Areas to Watch

DUK4 concerns · Avg: 2.5/10
Debt/EquityHealth
1.753/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.692/10

Expensive relative to growth rate

EPS GrowthGrowth
-2.2%2/10

Earnings declined 2.2%

SRE4 concerns · Avg: 3.0/10
P/E RatioValuation
33.9x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
5.2%3/10

ROE of 5.2% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-0.2%2/10

Revenue declined 0.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : DUK

The strongest argument for DUK centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 15.6% and operating margin at 28.1%.

Bull Case : SRE

The strongest argument for SRE centers on Market Cap, PEG Ratio, Price/Book. PEG of 0.83 suggests the stock is reasonably priced for its growth.

Bear Case : DUK

The primary concerns for DUK are Debt/Equity, Piotroski F-Score, PEG Ratio. Debt-to-equity of 1.75 is elevated, increasing financial risk.

Bear Case : SRE

The primary concerns for SRE are P/E Ratio, Return on Equity, Piotroski F-Score.

Key Dynamics to Monitor

DUK profiles as a mature stock while SRE is a declining play — different risk/reward profiles.

SRE carries more volatility with a beta of 0.68 — expect wider price swings.

DUK is growing revenue faster at 8.0% — sustainability is the question.

DUK generates stronger free cash flow (-463M), providing more financial flexibility.

Bottom Line

DUK scores higher overall (59/100 vs 56/100), backed by strong 15.6% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Duke Energy Corporation

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

Duke Energy Corporation is an American electric power and natural gas holding company headquartered in Charlotte, North Carolina.

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Sempra Energy

UTILITIES · UTILITIES - DIVERSIFIED · USA

Sempra Energy is a North American energy infrastructure company based in San Diego, California. Sempra Energy's focus is on electric and natural gas infrastructure. Its operating companies include: Southern California Gas Company (SoCalGas) and San Diego Gas & Electric (SDG&E) in Southern California; Oncor Electric Delivery Company (Oncor) in Texas; Sempra LNG; and IEnova, based in Mexico.

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