Dominion Energy (D) has received a new Hold rating, initiated by Evercore ISI analyst, Nicholas Amicucci.
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Nicholas Amicucci has given his Hold rating due to a combination of factors influencing Dominion Energy’s outlook. One significant consideration is the uncertainty surrounding offshore wind projects in the United States, including Dominion’s Coastal Virginia Offshore Wind (CVOW) project. Although this project is seen as less likely to face scrutiny due to its strategic importance and existing inclusion in the rate base, there remains a minimal risk of regulatory challenges.
Furthermore, while Dominion has demonstrated a strong focus on meeting financial targets and maintaining customer affordability, potential execution risks such as tariffs and component sourcing delays could lead to cost overruns. Despite these near-term concerns, the company’s strategic positioning in data center-heavy regions and its role in supporting AI infrastructure offer long-term growth potential. The valuation approach, which applies a relative valuation multiple, results in a price target of $67, suggesting limited upside from current levels and justifying the Hold rating.
Amicucci covers the Utilities sector, focusing on stocks such as Talen Energy Corp, Centerpoint Energy, and Consolidated Edison. According to TipRanks, Amicucci has an average return of 62.0% and a 94.44% success rate on recommended stocks.
In another report released on September 25, Morgan Stanley also maintained a Hold rating on the stock with a $63.00 price target.