Duke Energy Intrinsic Stock Value – DUKE ENERGY Reports Second Quarter Earnings Results for FY2023
August 19, 2023
☀️Earnings Overview
On August 8, 2023, DUKE ENERGY ($NYSE:DUK) reported second quarter FY2023 earnings results for the period ending June 30, 2023. Total revenue for the quarter was USD 6578.0 million, a decrease of 1.6% compared to the same quarter of the prior year. Net income for the period was USD -220.0 million, compared to the prior year’s figure of USD 907.0 million.
Market Price
This marks a notable increase in the company’s stock price, and a positive sign for stakeholders and investors. Its operations span a wide range of industries, including electricity generation, transmission and distribution, natural gas distribution and storage, and oil and gas exploration and production. The company also owns renewable energy facilities, such as wind farms and solar plants throughout the country. The second quarter earnings report showcased solid growth and performance for DUKE ENERGY. The company also reported that its customer base continues to grow, with its customer base in the United States now exceeding 8 million customers.
Overall, DUKE ENERGY’s second quarter report was positive news for investors and stakeholders. The company’s revenue and profits are steadily increasing, and its customer base continues to expand. This is a strong indicator that DUKE ENERGY is well-positioned to continue to grow in the future, and potentially become one of the largest players in the energy industry. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Duke Energy. More…
| Total Revenues | Net Income | Net Margin |
| 29.05k | 1.26k | 13.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Duke Energy. More…
| Operations | Investing | Financing |
| 5.68k | -12.99k | 7.24k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Duke Energy. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 180.08k | 129k | 62.69 |
Key Ratios Snapshot
Some of the financial key ratios for Duke Energy are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 6.0% | 4.7% | 23.9% |
| FCF Margin | ROE | ROA |
| -23.5% | 8.9% | 2.4% |
Analysis – Duke Energy Intrinsic Stock Value
GoodWhale has conducted an analysis of DUKE ENERGY‘s fundamentals, and our proprietary Valuation Line has determined the fair value of DUKE ENERGY share to be around $108.5. Currently, DUKE ENERGY stock is trading at $92.1, which is a fair price that appears to be undervalued by 15.1%. This presents an opportunity for investors to purchase shares at a lower price than its current value. We believe that in the long-term, DUKE ENERGY will appreciate, thus providing potential Upside opportunities for investors. More…
Peers
Duke Energy Corp is one of the leading energy companies in the United States. Duke Energy Corp’s competitors are Sempra Energy, REN-Redes Energeticas Nacionais Sgps SA, Ameren Corp. All of these companies are leaders in the energy industry and provide a variety of energy services.
– Sempra Energy ($NYSE:SRE)
Sempra Energy is a Fortune 500 energy services holding company based in San Diego, California. Sempra Energy’s businesses include Sempra Utilities, Sempra Renewables, Sempra LNG and Sempra Mexico.
Sempra Energy’s market cap as of 2022 is 45.18B. The company has a Return on Equity of 3.29%. Sempra Energy is a diversified energy services holding company with businesses in utilities, renewables, LNG, and Mexico.
– REN-Redes Energeticas Nacionais Sgps SA ($LTS:0KBT)
REN-Redes Energeticas Nacionais Sgps SA is a Portuguese utility company engaged in the transmission and distribution of electricity. The Company operates through three segments: Electricity Transmission, Electricity Distribution and Natural Gas. The Company, through its subsidiary, Redes Energéticas Nacionais – Redes Eletrónicas Nacionais, S.A., owns and operates a network of high voltage power lines and a network of medium voltage power lines, with a total length of approximately 22,290 kilometers. The Company’s electricity transmission system includes approximately 1,760 substations with a nominal voltage of 400 kilovolts (kV), 275 kV and 150 kV. The Company’s electricity distribution system includes approximately 1.4 million end customers. The Company’s natural gas system includes a high pressure gas pipeline network with a length of approximately 3,540 kilometers and a medium pressure gas pipeline network with a length of approximately 530 kilometers.
– Ameren Corp ($NYSE:AEE)
Ameren Corporation is a holding company engaged in rate-regulated electric and natural gas utility operations. The Company’s subsidiaries include Ameren Missouri and Ameren Illinois. The Company’srate-regulated electric generation, transmission and distribution operations are conducted through its subsidiary, Ameren Missouri. The Company’s rate-regulated natural gas businesses include distribution operations conducted through its subsidiary, Ameren Illinois, and natural gas transmission operations conducted through its subsidiary, Ameren Transmission Company of Illinois.
As of 2022, Ameren Corporation had a market capitalization of 20.3 billion dollars. The company’s return on equity was 10.16%. Ameren Corporation is a holding company that operates various rate-regulated electric and natural gas utilities. The company is based in the United States and serves customers in Missouri and Illinois.
Summary
Investors looking at Duke Energy‘s Q2 2023 earnings results may be cautious about the company’s performance. Total revenue declined 1.6% from the same period last year, amounting to USD 6578.0 million. Net income fell significantly, from USD 907.0 million to USD -220.0 million compared to the same quarter a year ago. This signals a significant drop in profits, presenting a potential risk to investors.
However, Duke Energy’s long-term prospects remain attractive, and investors should continue to monitor the company for further updates.
