Sempra Energy’s valuation
Sempra Energy (SRE), the largest utility stock by market cap in California, is trading at a forward PE ratio above 19x. Sempra Energy’s five-year average historical valuation is ~20x.
PG&E stock is trading at a large discount compared to its peers and its historical average. However, investors might shun PG&E due to uncertainties associated with the company despite the discounted valuation. PG&E hasn’t paid dividends to its shareholders in almost a year. The harsh weakness in PG&E stock and the lack of dividends must be frustrating for PG&E investors. To learn more, read PG&E: Recent Developments and Chart Indicators.