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FE vs SRE

FE
FirstEnergy Corp.
BEARISH
Price
$49.41
Market Cap
$28.58B
Sector
Utilities
AI Confidence
85%
SRE
Sempra
BEARISH
Price
$97.78
Market Cap
$63.88B
Sector
Utilities
AI Confidence
75%

Valuation

P/E Ratio
FE
28.07
SRE
35.55
Forward P/E
FE
16.77
SRE
17.68
P/B Ratio
FE
2.28
SRE
2.02
P/S Ratio
FE
1.92
SRE
4.66
EV/EBITDA
FE
11.51
SRE
19.79

Profitability

Gross Margin
FE
66.87%
SRE
41.18%
Operating Margin
FE
26.63%
SRE
27.74%
Profit Margin
FE
6.84%
SRE
13.4%
ROE
FE
9.2%
SRE
5.19%
ROA
FE
3.72%
SRE
1.77%

Growth

Revenue Growth
FE
20.7%
SRE
-0.2%
Earnings Growth
FE
--
SRE
-48.2%

Financial Health

Debt/Equity
FE
1.93
SRE
0.83
Current Ratio
FE
0.56
SRE
1.59
Quick Ratio
FE
0.39
SRE
0.09

Dividends

Dividend Yield
FE
3.76%
SRE
2.71%
Payout Ratio
FE
100.0%
SRE
93.82%

AI Verdict

FE BEARISH

FirstEnergy Corp (FE) exhibits significant valuation misalignment, trading at $49.41 despite a Graham Number of $29.28 and an Intrinsic Value of $12.32. While the Piotroski F-Score of 4/9 indicates stable health, the company faces severe liquidity pressure with a current ratio of 0.56 and a high debt-to-equity ratio of 1.93. Most concerning is the 100% dividend payout ratio and the divergence between strong revenue growth (20.7%) and negative YoY EPS growth (-20.9%). The combination of bearish insider sentiment and a weak technical trend suggests the current price is unsustainable.

Strengths
Strong top-line revenue growth (20.7% YoY)
High gross margins (66.87%) typical of regulated utilities
Positive 1-year price performance (+21.6%)
Risks
Unsustainable dividend payout ratio of 100%
Severe valuation premium over Graham and Intrinsic value estimates
Negative YoY EPS growth (-20.9%) despite revenue increases
SRE BEARISH

SRE shows bearish fundamentals based on deterministic rules. Financial strength is strong (F-Score 7/9). Concerns include weak profitability or high valuation.

Strengths
Strong financial trend (Piotroski F-Score: 7/9)
Risks
High valuation with P/E of 35.6
Premium vs Graham Number ($54.73)
Declining revenue (-0.2%)

Compare Another Pair

FE vs SRE: Head-to-Head Comparison

This page compares FirstEnergy Corp. (FE) and Sempra (SRE) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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