It was revealed in a recent SEC filing that Pamela Royal, Board Member at Dominion Energy D made a noteworthy insider purchase on May 8,.
What Happened: In a Form 4 filing on Thursday with the U.S. Securities and Exchange Commission, it was disclosed that Royal bought 3,246 shares of Dominion Energy, amounting to a total of $177,491.
During Friday’s morning session, Dominion Energy shares up by 0.49%, currently priced at $55.27.
Unveiling the Story Behind Dominion Energy
Based in Richmond, Virginia, Dominion Energy is an integrated energy company with over 30 gigawatts of electric generation capacity and more than 90,000 miles of electric transmission and distribution lines. Dominion is constructing a rate-regulated 5.2 GW wind farm off the Virginia Beach coast.
Financial Milestones: Dominion Energy’s Journey
Revenue Growth: Over the 3 months period, Dominion Energy showcased positive performance, achieving a revenue growth rate of 12.22% as of 31 March, 2025. This reflects a substantial increase in the company’s top-line earnings. When compared to others in the Utilities sector, the company excelled with a growth rate higher than the average among peers.
Holistic Profitability Examination:
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Gross Margin: The company sets a benchmark with a high gross margin of 50.54%, reflecting superior cost management and profitability compared to its peers.
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Earnings per Share (EPS): With an EPS below industry norms, Dominion Energy exhibits below-average bottom-line performance with a current EPS of 0.75.
Debt Management: With a high debt-to-equity ratio of 1.67, Dominion Energy faces challenges in effectively managing its debt levels, indicating potential financial strain.
Understanding Financial Valuation:
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Price to Earnings (P/E) Ratio: Dominion Energy’s stock is currently priced at a premium level, as reflected in the higher-than-average P/E ratio of 21.24.
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Price to Sales (P/S) Ratio: A higher-than-average P/S ratio of 3.11 suggests overvaluation in the eyes of investors, considering sales performance.
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EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Dominion Energy’s EV/EBITDA ratio of 12.94 exceeds industry averages, indicating a premium valuation in the market
Market Capitalization Analysis: Above industry benchmarks, the company’s market capitalization emphasizes a noteworthy size, indicative of a strong market presence.
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The Relevance of Insider Transactions
It’s important to note that insider transactions alone should not dictate investment decisions, but they can provide valuable insights.
From a legal standpoint, the term “insider” pertains to any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities as outlined in Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and significant hedge funds. These insiders are mandated to inform the public of their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
A company insider’s new purchase is a indicator of their positive anticipation for a rise in the stock.
While insider sells may not necessarily reflect a bearish view and can be motivated by various factors.
A Deep Dive into Insider Transaction Codes
Investors prefer focusing on transactions that take place in the open market, indicated in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S indicates a sale. Transaction code C indicates the conversion of an option, and transaction code A indicates grant, award or other acquisition of securities from the company.
Check Out The Full List Of Dominion Energy’s Insider Trades.
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This article was generated by Benzinga’s automated content engine and reviewed by an editor.
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