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Dominion Energy (D) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Dominion Energy (D - Free Report) closed at $74.50, marking a +1.02% move from the previous day. This change outpaced the S&P 500's 0.82% gain on the day. Elsewhere, the Dow gained 0.79%, while the tech-heavy Nasdaq added 0.79%.

Coming into today, shares of the energy company had gained 4.86% in the past month. In that same time, the Utilities sector gained 3.65%, while the S&P 500 gained 3.94%.

Wall Street will be looking for positivity from D as it approaches its next earnings report date. This is expected to be February 4, 2019. On that day, D is projected to report earnings of $0.94 per share, which would represent year-over-year growth of 3.3%. Our most recent consensus estimate is calling for quarterly revenue of $3.27 billion, up 1.96% from the year-ago period.

D's full-year Zacks Consensus Estimates are calling for earnings of $4.07 per share and revenue of $13.50 billion. These results would represent year-over-year changes of +13.06% and +7.23%, respectively.

Investors might also notice recent changes to analyst estimates for D. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.93% lower. D currently has a Zacks Rank of #3 (Hold).

Investors should also note D's current valuation metrics, including its Forward P/E ratio of 18.1. For comparison, its industry has an average Forward P/E of 18.69, which means D is trading at a discount to the group.

Investors should also note that D has a PEG ratio of 2.99 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Utility - Electric Power was holding an average PEG ratio of 3.46 at yesterday's closing price.

The Utility - Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 100, which puts it in the top 39% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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