- How Investors May Respond To Dominion Energy (D) Earnings Dip, Dividend Hold And ESG Pay Rebuff
May 12, 2026
In early May 2026, Dominion Energy reported first-quarter 2026 sales of US$5,019 million and net income of US$621 million, modestly below the prior year, while also affirming a quarterly dividend of US$0.6675 per share and filing a US$3.00 billion floating-rate demand notes shelf registration with a dividend reinvestment feature. At the same time, shareholders voted down proposals on tying executive pay more closely to ESG and DEI metrics, mandating an independent chair, and expanding engagement reporting, underscoring continued support for the current governance and compensation framework even as the company emphasizes long-term regulated growth. We’ll now examine how Dominion’s reaffirmed outlook, alongside shareholder rejection of ESG-linked pay changes, may influence its existing investment narrative.
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Dominion Energy Investment Narrative Recap
To own Dominion Energy, I think you need to believe in long-term, regulated utility growth supported by rising power demand and ongoing infrastructure investment, while accepting regulatory and capital cost uncertainty. The latest earnings and AGM outcomes do not materially change the near term focus on executing major projects like Coastal Virginia Offshore Wind or the key risk around securing full and timely cost recovery from regulators.
Among the recent announcements, the US$3.0 billion floating rate demand notes shelf with a dividend reinvestment feature stands out, as it underscores how Dominion is preparing funding capacity for its large capital program. For investors, that financing flexibility sits alongside the reaffirmed operating earnings outlook as an important piece of the story around managing balance sheet pressure while continuing to invest in regulated growth.
Yet behind the reaffirmed outlook, investors still need to be aware of how rising project costs and uncertain regulatory recovery could...
Read the full narrative on Dominion Energy (it's free!)
Dominion Energy's narrative projects $19.7 billion revenue and $3.8 billion earnings by 2029. This requires 6.0% yearly revenue growth and a $0.8 billion earnings increase from $3.0 billion today.
Uncover how Dominion Energy's forecasts yield a $66.35 fair value, a 6% upside to its current price.
Exploring Other PerspectivesD 1-Year Stock Price Chart
Two Simply Wall St Community fair value estimates for Dominion span from about US$66 to US$161 per share, showing how far apart individual views can be. Set against that wide range, ongoing capital intensity and the need for constructive regulation may be just as important for you to consider as headline earnings guidance when comparing these different viewpoints.
Story Continues
Explore 2 other fair value estimates on Dominion Energy - why the stock might be worth just $66.35!
Reach Your Own Conclusion
Don't just follow the ticker - dig into the data and build a conviction that's truly your own.
A great starting point for your Dominion Energy research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision. Our free Dominion Energy research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Dominion Energy's overall financial health at a glance.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include D.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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- Does Dominion Energy (D) Still Offer Value After Its Recent Share Price Rebound?
May 11, 2026
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If you are wondering whether Dominion Energy stock still offers value at around US$61.89, it helps to step back and look at how the price and fundamentals line up. The stock is up 4.5% year to date and 18.1% over the past year, even though it has slipped 1.7% over the last week and 3.6% over the last month, which can change how investors think about both upside and risk. Recent coverage has focused on Dominion Energy's progress as an integrated utility and its ongoing portfolio positioning, which have kept attention on how the business mix supports long term returns for shareholders. At the same time, sector wide discussions about regulated utilities and capital spending have framed how investors judge Dominion Energy's current pricing and future projects. On Simply Wall St's valuation checks, Dominion Energy scores a 4 out of 6, suggesting some measures flag the stock as potentially undervalued while others look more balanced. The sections that follow will walk through those methods before finishing with a broader way to think about what valuation really means for your portfolio.
Dominion Energy delivered 18.1% returns over the last year. See how this stacks up to the rest of the Integrated Utilities industry.
Approach 1: Dominion Energy Discounted Cash Flow (DCF) Analysis
A Discounted Cash Flow, or DCF, model estimates what a stock could be worth by projecting future cash flows and discounting them back to today in dollar terms. For Dominion Energy, the 2 Stage Free Cash Flow to Equity model uses free cash flow projections as the core input.
The latest twelve month free cash flow is a loss of about $8.49b, so the model relies heavily on expectations that cash flows turn positive over time. Analyst based and extrapolated estimates from Simply Wall St show projected free cash flow of $281.5m in 2026, rising through the forecast period to $5.86b by 2030, with further extrapolated figures out to 2035.
When all of these projected cash flows are discounted back, the model arrives at an estimated intrinsic value of about $161.22 per share. Against the current share price of roughly $61.89, this suggests the stock is trading at a discount of about 61.6%, which indicates it may be significantly undervalued according to this DCF view alone.
Result: UNDERVALUED
Our Discounted Cash Flow (DCF) analysis suggests Dominion Energy is undervalued by 61.6%. Track this in your watchlist or portfolio, or discover 49 more high quality undervalued stocks.
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D Discounted Cash Flow as at May 2026
Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Dominion Energy.
Approach 2: Dominion Energy Price vs Earnings
For profitable companies, the P/E ratio is a useful yardstick because it compares what you pay per share with the earnings that support that price. Investors usually accept a higher or lower P/E depending on what they expect for future growth and how much risk they see in those earnings.
Dominion Energy trades on a P/E of about 18.6x. That sits close to the Integrated Utilities industry average of roughly 18.5x and below the peer group average of about 22.1x, so on simple comparisons the stock does not look stretched.
Simply Wall St also calculates a proprietary “Fair Ratio” for the P/E, which combines factors such as earnings growth expectations, profit margins, industry, market cap and company specific risks. This tailored view can be more informative than a basic peer or industry comparison because it adjusts for what makes Dominion Energy different from other utilities. On this framework, the Fair Ratio for Dominion Energy is 25.1x, above the current 18.6x. This points to the stock looking undervalued on a P/E basis.
Result: UNDERVALUEDNYSE:D P/E Ratio as at May 2026
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Upgrade Your Decision Making: Choose your Dominion Energy Narrative
Earlier it was mentioned that there is an even better way to understand valuation, so Narratives on Simply Wall St let you attach a clear story about Dominion Energy to the numbers by connecting your view on its future revenue, earnings and margins to a financial forecast and then to a fair value that you can compare with the current price. On the Community page, millions of investors share Narratives that are updated when new information like earnings or news comes in. You can see, for example, one investor building a Narrative around the higher analyst fair value of about US$69.00 with revenue at roughly US$19.7b, earnings of US$3.8b and a P/E of 20.5x. Another investor might anchor on the lower fair value of about US$59.00 that places more weight on risks such as capital spending, regulation and fossil fuel exposure. By setting up your own Narrative you can quickly see whether your assumed fair value suggests Dominion Energy looks expensive, cheap or roughly in line with where it trades today.
Do you think there's more to the story for Dominion Energy? Head over to our Community to see what others are saying!NYSE:D 1-Year Stock Price Chart
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include D.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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- Dominion Energy (D) Price Target Boosted Following “Solid” Q1 Report
May 11, 2026
Dominion Energy, Inc. (NYSE:D) is included among the 12 Best Electric Utility Stocks to Buy for the Data Center Surge.Dominion Energy (D) Price Target Boosted Following "Solid" Q1 Report
Pixabay/Public Domain
Dominion Energy, Inc. (NYSE:D) provides regulated electricity service to 3.6 million homes and businesses in Virginia, North Carolina, and South Carolina, and regulated natural gas service to 500,000 customers in South Carolina.
On May 4, Barclays analyst Nicholas Campanella boosted the firm’s price target on Dominion Energy, Inc. (NYSE:D) from $66 to $70, while maintaining an ‘Overweight’ rating on the shares. The updated target, which represents an upside potential of over 13% from the current levels, comes following the utility’s “solid” Q1 report.
Dominion Energy, Inc. (NYSE:D) topped profit and revenue estimates in its first quarter, supported by the higher power demand in Virginia. The company caters to the largest cluster of data centers on the planet in Virginia, and it revealed that it had contracted nearly 51 GW of data center capacity as of March, up 2.5 GW from December 2025.
Dominion Energy, Inc. (NYSE:D) reaffirmed its operating earnings forecast of $3.45 to $3.69 per share for full-year 2026. Moreover, the company reiterated its target of an annual earnings growth at the midpoint of its 5% to 7% range, with a bias toward the upper half of the range starting from 2028.
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- Dominion Energy South Carolina Files Comprehensive Settlements of General Electric Rate Case for Approval by Public Service Commission of South Carolina
May 8, 2026
Settlements’ rate request keeps DESC residential customers’ electric rates below national average Significant proposed customer benefits include bill credit, additional assistance for low-income customers, and weatherization projects
CAYCE, S.C., May 08, 2026--(BUSINESS WIRE)--Dominion Energy South Carolina, Inc. (DESC), a wholly owned subsidiary of Dominion Energy, Inc. (NYSE: D), together with other parties of record, today submitted comprehensive settlement agreements in DESC's pending general electric rate case for approval by the Public Service Commission of South Carolina (PSC). With the exception of one party, the settlements include all parties signing, supporting, or not opposing.
Since 2023, DESC has added approximately 23,000 new electric customers to its system and invested $1.4 billion in its electric system to keep it running in a safe, reliable and cost-effective manner.
DESC and intervening parties will present the settlements to the PSC at a hearing scheduled to begin May 12. After a thorough review, DESC expects the PSC to make the final decision and adjust rates as appropriate. If approved by the PSC, the proposed settlements would allow DESC to recover the rising costs of investments needed to provide electric service to an expanding customer base at the level of excellent operational performance customers count on every day while also listening to concerns of customers and other stakeholders.
Key components of the proposed settlements, which require PSC approval, provide significant customer benefits:
Starting July 1, the average monthly bill for a residential customer using 1,000 kilowatt-hours would increase by just under $12, representing a 7.62% adjustment and keeping residential rates below the national average. A total of $6 million funded by shareholders will directly assist customers. This consists of a one-time $3 million refund in the form of a bill credit applied this year for residential customers. Also, an additional $1 million annually for three years will help low-income customers through payment assistance programs and support weatherization projects.
The proposed settlements also support:
An authorized return on equity of 9.99%. A regulatory capital structure equity component of 53.52%. A revenue increase of $207 million, which is about 36% less than the original request of $322 million in January.
There is no change to Dominion Energy's existing financial guidance.
Intervening parties have engaged with DESC for several months to reach the settlement agreements. They include the South Carolina Office of Regulatory Staff, the South Carolina Department of Consumer Affairs, South Carolina Energy Users Committee, Frank Knapp, Jr., Southern Alliance for Clean Energy, South Carolina Coastal Conservation League, Vote Solar, the Sierra Club, Google, LLC, CMC Steel South Carolina, Walmart, AARP, and the U.S. Department of Defense and All Other Federal Executive Agencies.
Story Continues
About Dominion Energy
Dominion Energy (NYSE: D) provides regulated electricity service to 3.6 million homes and businesses in Virginia, North Carolina, and South Carolina, and regulated natural gas service to 500,000 customers in South Carolina; is one of the nation’s leading developers and operators of regulated offshore wind and solar power; and is the largest producer of carbon-free electricity in New England. Through the Dominion Energy Charitable Foundation, as well as EnergyShare and other programs, Dominion Energy contributed more than $40 million in 2025 to community causes. The Foundation supports nonprofit causes that meet basic human needs, protect the environment, promote education, and encourage community vitality. Please visit DominionEnergy.com to learn more.
News Category: South Carolina
View source version on businesswire.com: https://www.businesswire.com/news/home/20260508743744/en/
Contacts
Media Contact:
Rhonda Maree O’Banion, 803-217-9088, rhonda.obanion@dominionenergy.com
Investor Contact:
David McFarland, 804-819-2438, david.m.mcfarland@dominionenergy.com
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- PPL Likely to Beat Q1 Earnings Estimates: How to Play the Stock?
May 7, 2026
PPL Corporation PPL is expected to report first-quarter 2026 results on May 8, before market open. This utility benefits from systematic investment in infrastructure and strong performance from its domestic operations.
The Zacks Consensus Estimate for earnings is pegged at 61 cents per share, indicating a year-over-year increase of 1.67%.Zacks Investment Research
Image Source: Zacks Investment Research
The consensus mark for revenues is pinned at $2.62 billion, indicating growth of 4.65% from the year-ago reported figure.Zacks Investment Research
Image Source: Zacks Investment Research
PPL’s Earnings Surprise History
PPL’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters and missed in the other two, delivering an average surprise of 0.42%.Zacks Investment Research
Image Source: Zacks Investment Research
What Our Quantitative Model Predicts
Our proven model predicts an earnings beat for PPL this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here as you will see below.
Earnings ESP: The company’s Earnings ESP is +0.41%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Currently, PPL carries a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here.
Stocks Worth a Look
Another utility, SOLV Energy Inc. MWH, also has the perfect combination of two factors to register an earnings beat this season. MWH currently has a Zacks Rank #3 and an Earnings ESP of +3.45%.
A couple of stocks from the same industry that reported positive earnings surprise this season are Dominion Energy D and NextEra Energy NEE, among others.
The Zacks Consensus Estimate for 2026 and 2027 earnings per share for Dominion Energy indicates year-over-year growth of 4.94% and 6.21%, respectively. The same for 2026 and 2027 earnings per share for NextEra Energy indicates year-over-year growth of 8.09% and 8.82%, respectively.
Key Factors Influencing PPL’s Q1 Results
PPL Corporation’s first-quarter earnings are expected to have benefited from continued economic development across the service territories, driving incremental demand for its services. Robust demand from data centers in Pennsylvania, coupled with increasing private-sector activity in Kentucky, is likely to have supported the company’s first-quarter revenues and earnings growth.
PPL Corporation’s quarterly performance is likely to have benefited from ongoing cost reduction initiatives and energy efficiency programs that support customers. The company’s first-quarter results are likely to benefit from contributions coming from its organic assets that deliver predictable returns.
The issue of equity units during the first-quarter might further have a dilutive impact on earnings in the first quarter.
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PPL Stock’s Price Performance
In the past three months, the stock has returned 2.5% compared with the industry’s growth of 2.8%.Zacks Investment Research
Image Source: Zacks Investment Research
PPL Stock Trading at a Premium
PPL is trading at a premium relative to the industry, with a forward 12-month price-to-earnings of 18.41X compared with the industry average of 16.29X.Zacks Investment Research
Image Source: Zacks Investment Research
PPL Stock Returns Lower Than Its Industry
Return on equity (“ROE”) is a financial ratio that measures how well a company uses its shareholders’ equity to generate profits.
PPL’s trailing 12-month ROE is 9.29%, lower than the industry average of 11.17%.Zacks Investment Research
Image Source: Zacks Investment Research
Investment Consideration for PPL
PPL Corporation plans to invest nearly $23 billion during the 2026-2029 period, with a strong focus on expanding and upgrading its generation, transmission and distribution infrastructure. These investments have already contributed to improved system reliability, leading to a noticeable decline in customer outages as the company continues to modernize and strengthen its network.
The company also benefits from a constructive regulatory framework, with more than 60% of its planned capital expenditures qualifying for contemporaneous recovery. This mechanism helps reduce the adverse effects of regulatory lag on earnings tied to infrastructure investments.
In addition, PPL has implemented standardized engineering, design and operational practices across its utilities to enhance grid automation and resilience against severe weather events. These initiatives are expected to improve service reliability further while enabling the company to efficiently address increasing customer demand.
Summing Up
PPL Corporation is expected to continue benefiting from increasing demand across its service territories, aided by cost-reduction efforts, energy efficiency initiatives and ongoing infrastructure enhancements that improve operational and customer service efficiency.
The company’s strong liquidity position, continued grid modernization investments and rising load demand from data centers, as well as the broader private sector, are likely to remain major growth drivers.
Yet, considering PPL Corporation’s premium valuation and comparatively lower return on equity, investors may want to remain cautious for the time being.
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- NiSource Q1 Earnings Match Estimates, Revenues Lag, EPS Growth Rate Up
May 6, 2026
NiSource Inc. NI reported first-quarter 2025 operating earnings per share (EPS) of $1.06, which matches the Zacks Consensus Estimate. The bottom line increased 8.2% from the year-ago quarter’s recorded figure.
On a GAAP basis, the company reported an EPS of $1.06 compared with $1 in the prior-year quarter.
NI’s Total Revenues
Operating revenues of $2.37 billion lagged the Zacks Consensus Estimate of $2.42 billion by 2.5%. However, the top line increased 9.3% from the prior-year quarter’s figure of $2.17 billion.
NiSource, Inc Price, Consensus and EPS SurpriseNiSource, Inc Price, Consensus and EPS Surprise
NiSource, Inc price-consensus-eps-surprise-chart | NiSource, Inc Quote
Highlights of NI’s Earnings Release
Total operating expenses amounted to $1.54 billion, up 8.4% from the year-ago quarter’s $1.17 billion. The year-over-year increase in expenses was due to the higher cost of energy and an increase in operation and maintenance expenses.
Operating income totaled $822.9 million, up 10.8% from the year-ago figure of $742.6 million.
Net interest expenses amounted to $191.6 million, up 44.3% from the prior-year quarter’s $132.8 million.
Total gas distribution in Sales and Transportation (excluding weather) was recorded at 124 Million British Thermal Units per day (MMDth), down 1.4% from the prior-year quarter’s 125.8 MMDth.
Total electric sales (excluding weather) were recorded at 3,991.7 gigawatt-hours (GWh), down 0.5% from the prior-year quarter’s 4,011.7 GWh.
NI’s Financial Update
NiSource's cash and cash equivalents as of March 31, 2026, were $71.9 million compared with $110.1 million as of Dec. 31, 2025.
Long-term debts (excluding those due within a year) as of March 31, 2026, were $15.46 billion compared with $15.46 billion as of Dec. 31, 2025.
Net cash flows from operating activities in first-quarter 2026 were $442.3 million compared with $686.4 million in first-quarter 2025.
NI’s total liquidity as of March 31, 2026, was nearly $4.5 billion, which is sufficient to meet near-term obligations.
NI’s 2026 Guidance
The company reaffirmed its 2026 non-GAAP earnings in the range of $2.02-$2.07. The Zacks Consensus Estimate for 2026 earnings per share is pegged at $2.05, which is within the company’s guided range.
NI now expects earnings to witness a CAGR of 9-10% through 2033, up from the previous prediction of 8-9%.
NiSource anticipates a capital expenditure of $28.6 billion for 2026-2030. The consolidated capital expenditure plan includes utility system modernization initiatives and roughly $7.6 billion in strategic data center infrastructure investments.
Story Continues
NI’s Zacks Rank
NiSource currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Releases
Dominion Energy, Inc. D posted first-quarter 2026 operating earnings of 95 cents per share, up 2.2% year over year and ahead of the Zacks Consensus Estimate of 89 cents by 6.7%. Results benefited from favorable weather and renewable natural gas tax credit income. Dominion Energy gained from the continued load momentum tied to data centers, a key demand lever in its regulated footprint.
The quarter’s operating revenues rose 23.2% from the year-ago period to $5.02 billion and beat the consensus mark of $4.28 billion by 17.3%.
NextEra Energy NEE reported first-quarter 2026 results with adjusted earnings per share of $1.09, up 10.1% from 99 cents a year ago. The figure beat the Zacks Consensus Estimate of 98 cents per share by 11.2%.
NEE’s total operating revenues were $6.70 billion, up 7.3% year over year, but lagged the Zacks Consensus Estimate of $7.20 billion by 7%. A key highlight was NextEra Energy Resources’ record renewables and storage origination, which added 4 gigawatts to backlog.
Xcel Energy Inc. XEL reported first-quarter 2026 operating earnings of 91 cents per share, which matched the Zacks Consensus Estimate. The bottom line also surpassed the year-ago quarter’s figure by 8.3%.
Revenues of $4.02 billion missed the Zacks Consensus Estimate of $4.22 billion by 4.8%. However, the figure increased 2.9% from the year-ago quarter’s $3.9 billion.
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- Evergy to Post Q1 Earnings: What's in Store for the Stock This Season?
May 6, 2026
Evergy, Inc. EVRG is scheduled to release first-quarter 2026 results on May 7, before market open. The company delivered a negative earnings surprise of 26.32% in the last reported quarter.
Let us discuss the factors that are likely to be reflected in the upcoming quarterly results.
EVRG’s Q1 Expectations
The Zacks Consensus Estimate for earnings is pegged at 63 cents per share, implying a year-over-year surge of 16.67%.
The consensus estimate for revenues is pinned at $1.41 billion, indicating an increase of 2.82% from the year-ago reported figure.
Factors Likely to Have Impacted EVRG's Q1 Earnings
Evergy is likely to have benefited from economic expansion across its service areas, driving higher demand. Additionally, growing electricity needs from data centers are expected to have provided further support to its first-quarter earnings performance.
Evergy’s quarterly results are expected to reflect the positive impact of continued investments in grid modernization and enhanced service reliability. Earnings are also likely to have been supported by energy efficiency initiatives and ongoing cost optimization efforts.
Evergy is also expected to have benefited by maintaining affordable rates and high-quality services for its customers, which will result in customer and load growth.
What Our Quantitative Model Predicts for EVRG
Our proven model does not conclusively predict an earnings beat for Evergy this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here as you will see below.
Evergy Inc. Price and EPS SurpriseEvergy Inc. Price and EPS Surprise
Evergy Inc. price-eps-surprise | Evergy Inc. Quote
Earnings ESP: The company’s Earnings ESP is 0.00%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: Currently, Evergy has a Zacks Rank #3 (Hold).You can see the complete list of today’s Zacks #1 Rank stocks here.
Stocks to Consider
A couple of companies from the same sector with the right combination of the two factors for an earnings beat this season are PPL Corporation PPL and SOLV Energy Inc. MWH. PPL and MWH currently have a Zacks Rank #3 each. These companies’ Earnings ESP are pegged at +0.41% and +3.45%, respectively.
A stock from the same industry that reported positive earnings surprise this season is Dominion Energy D, among others. The Zacks Consensus Estimate for 2026 and 2027 earnings per share for Dominion Energy indicates year-over-year growth of 4.94% and 6.21%, respectively.
Story Continues
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- All Eyes on Vistra's Q1 Earnings: What Lies Ahead for the Stock?
May 6, 2026
Vistra Corp. VST is expected to deliver an improvement in both top and bottom lines when it reports first-quarter 2026 results on May 7, before market open.
The Zacks Consensus Estimate for VST’s first-quarter revenues is pegged at $5.4 billion, indicating an increase of 38.5% from the year-ago reported figure.Zacks Investment Research
Image Source: Zacks Investment Research
The consensus mark for VST’s first-quarter earnings is pegged at $2.21 per share, indicating a 380.43% increase from the year-ago reported figure.Zacks Investment Research
Image Source: Zacks Investment Research
What the Zacks Model Unveils
Our model predicts an earnings beat for Vistra this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. That is exactly the case here, as you can see below.
You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Earnings ESP: Vistra has an Earnings ESP of +4.79%.
Zacks Rank: VST currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
A couple of companies from the same sector with the right combination of the two factors for an earnings surprise this season are PPL Corporation PPL and SOLV Energy Inc. MWH. PPL and MWH both currently have a Zacks Rank #3. PPL and MWH’s Earnings ESP are pegged at +0.41% and +3.45%, respectively.
A stock from the same industry that reported positive earnings surprise this season is Dominion Energy D, among others. The Zacks Consensus Estimate for 2026 and 2027 earnings per share for Dominion Energy indicates year-over-year growth of 4.94% and 6.21%, respectively.
Factors Likely to Have Shaped VST’s Q1 Earnings
Vistra’s first-quarter results are likely to benefit from rising demand for clean electricity across its footprint, driven by the rapid expansion of U.S. data centers, continued industrial reshoring and ongoing electrification in the Permian Basin. The company’s core markets, including PJM and ERCOT, have been capturing an increasing share of overall load growth. Supported by a diversified generation mix and a high-quality nuclear fleet, the company is well positioned to capitalize on accelerating load growth.
Vistra operates a 22-GW modern combined cycle gas fleet and its nuclear fleet, which have the ability to run at higher utilization rates. This allows the company to efficiently cater to rising demand in its service region. The highly efficient generation fleet is also expected to have contributed to first-quarter earnings.
Vistra’s share repurchase program has boosted shareholder value and supported EPS growth, aiding its first-quarter performance. Since November 2021, the company has bought back 30% of its outstanding shares and plans to continue this approach. As of Feb. 26, 2026, Vistra has nearly $1.8 billion available for share repurchases, which might have further supported earnings growth.
Vistra utilizes a hedging program to reduce the impact of market changes and price fluctuations, nearly 100% of its 2026 generation volume has been hedged. This extensive hedging is likely to have helped to secure its first-quarter generation volumes.
Story Continues
VST’s Price Performance
VST’s shares have gained 4.4% in the past month against the industry’s decline of 0.2%.Zacks Investment Research
Image Source: Zacks Investment Research
VST Stock Trading at a Discount
Vistra is currently valued at a discount compared with its industry on a forward 12-month P/E basis. VST is trading at P/EF12M of 16.32X compared with the industry’s 16.49X.Zacks Investment Research
Image Source: Zacks Investment Research
VST Stock Returns Higher Than the Industry
Return on Equity (“ROE”) is a financial ratio that measures how well a company uses its shareholders’ equity to generate profits. The company's current ROE indicates that it is using shareholders’ funds more efficiently than peers.
Vistra’s trailing 12-month ROE is 81.09%, way higher than the industry average of 11.17%.Zacks Investment Research
Image Source: Zacks Investment Research
Investment Thesis
Vistra is expanding its generation capacity through a mix of organic investments and contributions from strategic acquisitions, with the integrated business model offering a clear competitive edge over non-integrated peers.
Regulatory support resulted in the extension of the license of existing nuclear plants, which will allow Vistra to continue to produce a large volume of emission-free electricity and serve its customers.
Vistra’s ability to generate free cash flow will allow it to increase shareholders' value through buybacks and payment of dividends.
Summing Up
Vistra operates in a market where demand for clean electricity is accelerating. To capture this growth, the company is expanding its clean generation portfolio through a mix of acquisitions and organic development. Vistra’s disciplined hedging strategy, combined with rising electricity demand from data centers, further boosts its prospects.
The stock looks attractive given its cheaper valuation, strong ROE and recent price performance better than the industry.
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PPL Corporation (PPL) : Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).
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- Why Dominion Energy (D) Is Central to Virginia’s Data Center Power Surge
May 5, 2026
Dominion Energy, Inc. (NYSE:D) is one of the utility stocks riding the 2026 “Reliability Shock.”
The latest relevant development came on May 1, 2026, when Dominion Energy, Inc. (NYSE:D) beat Wall Street’s first-quarter profit estimates as higher power demand in Virginia lifted results. Reuters reported that Dominion’s Virginia segment adjusted operating earnings rose 19.4% to $670 million in the quarter, while quarterly revenue increased to $5.02 billion from $4.08 billion a year earlier, topping analysts’ average estimate of $4.51 billion. The company also reported adjusted earnings of $0.95 per share, above the $0.91 per-share estimate, and affirmed its full-year 2026 operating earnings guidance range of $3.45 to $3.69 per share.
The data-center angle is the real reason Dominion fits the reliability-shock theme. Reuters said Dominion had contracted nearly 51 gigawatts of data-center capacity as of March 2026, up 2.5 GW from December. The company’s Virginia utility serves what it calls the world’s largest data-center cluster, with more capacity than the next four largest global clusters combined. That gives Dominion direct exposure to the grid strain created by AI and cloud computing demand, even when customer names are not always publicly disclosed.Why Dominion Energy (D) Is Central to Virginia’s Data Center Power Surge
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Dominion Energy, Inc. (NYSE:D) is a Richmond, Virginia-based utility company serving electric and natural gas customers in Virginia, South Carolina, North Carolina, and other markets.
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READ NEXT: 33 Stocks That Should Double in 3 Years and Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy.
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- A Look At Dominion Energy (D) Valuation After Q1 Beat And Offshore Wind Progress
May 3, 2026
Get insights on thousands of stocks from the global community of over 7 million individual investors at Simply Wall St.
Dominion Energy (D) is back in focus after Q1 2026 results showed revenue of US$5.02b and operating earnings of US$0.95 per share, beating estimates while management reaffirmed full year guidance.
See our latest analysis for Dominion Energy.
The Q1 beat and reaffirmed guidance come after a steady 90 day share price return of 6.51% and a 1 year total shareholder return of 21.64%. This suggests momentum has been building as projects like Coastal Virginia Offshore Wind progress and policy support for storage strengthens.
If Dominion Energy's recent move has you thinking about where power and infrastructure demand could head next, it may be worth scanning for other grid exposed names via the 35 power grid technology and infrastructure stocks
So with Dominion Energy stock up 21.64% over the past year and trading only about 3% below the average analyst price target, is the current valuation still leaving room for upside, or is the market already pricing in future growth?
Most Popular Narrative: 4% Undervalued
Dominion Energy's most followed narrative points to a fair value of about $66.35 per share, a touch above the last close at $63.94. This frames the current setup as modestly undervalued with earnings growth doing a lot of the heavy lifting.
Large-scale investments in regulated renewables, especially the Coastal Virginia Offshore Wind (CVOW) project, position Dominion to benefit from the accelerating energy transition, earning stable regulated returns and expanding rate base, with a positive impact on long-term earnings.
Read the complete narrative.
Curious what kind of revenue glide path and margin profile need to line up to justify that fair value tag, and how long earnings growth is expected to run? The narrative leans on a specific mix of top line assumptions, future profitability, and a projected P/E that together do most of the work behind that price, but the exact numbers may surprise you.
Result: Fair Value of $66.35 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, the picture is not one way; potential CVOW cost overruns and ongoing capital needs could leave earnings and future P/E assumptions exposed if conditions turn less helpful.
Find out about the key risks to this Dominion Energy narrative.
Next Steps
With both risks and rewards in play, it makes sense to look past the headline view and test the numbers yourself while sentiment is still shifting. To weigh those trade offs in one place, take a closer look at the 4 key rewards and 2 important warning signs
Story Continues
Looking for more investment ideas?
If Dominion has sharpened your focus, do not stop here; broaden your watchlist now so you are not looking back wishing you had acted earlier.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include D.
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