Sempra Stock Leads S&P 500 Decliners on Lowered Profit Forecast
Key Takeaways
Energy company Sempra’s (
SRE
) stock was the biggest decliner in the
S&P 500
Tuesday afternoon after its fourth-quarter results and profit
projections
fell short of expectations.
The gas and electric holding company earlier Tuesday reported adjusted
earnings per share (EPS)
of $1.50 on $3.76 billion in revenue, each up
year-over-year
but below analysts’ estimates compiled by Visible Alpha.
Sempra Cites ‘Regulatory Matters,’ Higher Costs for EPS Outlook Cut
Sempra cut its 2025 EPS outlook to $4.30 to $4.70 from the prior range of $4.90 to $5.25 because of “recent and planned regulatory matters and the backdrop of a higher-cost environment.” The new 2025 EPS outlook and projected 2026 range of $4.80 to $5.30 are both well below expectations.
“With the reset of our guidance in 2025, we are setting a new foundation for a decisive decade of growth,” Sempra CEO Jeffrey Martin said.
Sempra shares were recently down 19% at $70.57, their lowest point since last April. The stock, which reached a record high in November, now is trading in negative territory for the last year.
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