Dominion Energy Stock Testing Price Floor – Buy Now?
Dominion Energy (D) stock should be on your watchlist. Here is why – it is currently trading in the support zone ($57.83 – $63.91), levels from which it has bounced meaningfully before. In the last 10 years, Dominion Energy stock received buying interest at this level 6 times and subsequently went on to generate 13.2% in average peak returns.
| Peak Return | Days to Peak Return | |
|---|---|---|
| 4/30/2019 | 3.0% | 55 |
| 8/26/2019 | 19.9% | 191 |
| 3/30/2020 | 14.6% | 231 |
| 1/13/2021 | 2.2% | 26 |
| 2/17/2021 | 12.5% | 184 |
| 12/1/2021 | 26.9% | 128 |
Dominion Energy (D), a leading provider of essential energy services and developer of large-scale clean power initiatives, presents a cautiously uncertain bounce from its support zone. Robust Q3 2025 earnings and reaffirmed guidance, coupled with strong demand from growing data center infrastructure, bolster the case for a rebound. Significant progress on its major offshore wind project also supports long-term growth. However, macroeconomic headwinds impacting the capital-intensive utility sector, rising project costs from tariffs, and ongoing regulatory scrutiny over rate increases and clean energy transition plans introduce uncertainty. While some analysts see slight undervaluation, others note elevated valuation multiples.
Here are some quick data points for Dominion Energy that should further help the decision:
- Revenue Growth: 5.3% LTM and 7.5% last 3 year average.
- Cash Generation: Nearly -53.0% free cash flow margin and 29.7% operating margin LTM.
- Recent Revenue Shocks: The minimum annual revenue growth in last 3 years for D was -2.4%.
- Valuation: D stock trades at a PE multiple of 22.7
| D | S&P Median | |
|---|---|---|
| Sector | Utilities | – |
| Industry | Multi-Utilities | – |
| PE Ratio | 22.7 | 23.5 |
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| LTM* Revenue Growth | 5.3% | 6.1% |
| 3Y Average Annual Revenue Growth | 7.5% | 5.4% |
| Min Annual Revenue Growth Last 3Y | -2.4% | 0.2% |
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| LTM* Operating Margin | 29.7% | 18.8% |
| 3Y Average Operating Margin | 27.0% | 18.2% |
| LTM* Free Cash Flow Margin | -53.0% | 13.5% |
*LTM: Last Twelve Months
For more details on D fundamentals read Buy or Sell D Stock. Nevertheless, you can’t predict what happens to individual stocks, but you can prepare. See how High Quality Portfolio helps you.
What Is Stock-Specific Risk If The Market Crashes?
Stock D isn’t immune to big drops. It fell about 25% in both the Dot-Com Bubble and 2018 Correction, and took a 33% hit during the Covid Pandemic. The Global Financial Crisis hit harder, with a 41% dip, while the Inflation Shock caused its biggest fall at over 52%. Even with solid fundamentals, this stock can still suffer steep losses when the market turns.
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