SEMPRA ENERGY vs PG&E Which Performs Better?

Sempra Energy and PG&E Corporation are two prominent players in the energy sector, each offering unique opportunities for investors. While Sempra Energy, with its diverse portfolio of utilities, is considered a more stable and predictable investment option, PG&E's stock has been affected by its bankruptcy proceedings and legal issues. Both companies are focused on providing essential services to consumers, but their financial performance and growth prospects may differ. Investors must carefully consider the risks and potential rewards associated with each stock before making investment decisions.

SEMPRA ENERGY or PG&E?

When comparing SEMPRA ENERGY and PG&E, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between SEMPRA ENERGY and PG&E.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. SEMPRA ENERGY has a dividend yield of 2.78%, while PG&E has a dividend yield of 0.2%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. SEMPRA ENERGY reports a 5-year dividend growth of 0.00% year and a payout ratio of 57.84%. On the other hand, PG&E reports a 5-year dividend growth of 0.00% year and a payout ratio of 3.11%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with SEMPRA ENERGY P/E ratio at 19.26 and PG&E's P/E ratio at 15.29. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. SEMPRA ENERGY P/B ratio is 7.16 while PG&E's P/B ratio is 1.57.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, SEMPRA ENERGY has seen a 5-year revenue growth of 0.22%, while PG&E's is -0.63%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with SEMPRA ENERGY's ROE at 12.32% and PG&E's ROE at 10.63%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $23.35 for SEMPRA ENERGY and $19.70 for PG&E. Over the past year, SEMPRA ENERGY's prices ranged from $22.80 to $25.47, with a yearly change of 11.71%. PG&E's prices fluctuated between $15.94 and $21.72, with a yearly change of 36.26%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.