Sempra (SRE), based in San Diego, California, is a leading energy infrastructure company with operations in natural gas distribution, electricity transmission, and LNG. Valued at a market cap of $54 billion, the company focuses on providing sustainable energy solutions, advancing low-carbon projects, and expanding global energy access, while prioritizing long-term growth, innovation, and environmental stewardship. The company is likely to release its Q4 earnings on Tuesday, Feb 25. 

Ahead of the event, analysts expect Sempra to report a profit of $1.54 per share, up 36.3% from $1.13 per share reported in the year-ago quarter. However, the company has met Wall Street's bottom-line estimates in only one of the past four quarters while missing on three other occasions.

For fiscal 2024, analysts expect Sempra to report an adjusted EPS of $4.77, up 3.5% from $4.61 in fiscal 2023. In fiscal 2025, its adjusted EPS is expected to grow 8% year over year to $5.15.

SRE has gained 15.8% over the past year, lagging behind the S&P 500 Index’s ($SPX) 26.5% gains and the Utilities Select Sector SPDR Fund’s (XLU) 27.7% returns during the same time frame. 

Sempra shares dropped more than 2% on Jan. 19, continuing the downward trend from the previous week, as concerns grew over the potential for the utility companies to be held accountable for the Southern California wildfires.

The consensus opinion on SRE stock is very bullish, with an overall “Strong Buy” rating. Out of the 18 analysts covering the stock, 13 recommend “Strong Buy,” two advise “Moderate Buy,” and three suggest “Hold” rating. 

The mean price target of $95.47 represents a potential upside of 12.1% from current price levels.