Sempra Energy (NYSE:SRE) achieved a new milestone on Friday, reaching a 52-week high of $95.74 per share. The utility company experienced significant trading activity, with approximately 1.5 million shares exchanged, before closing at $95.13, up from the previous close of $92.79. This performance continues to attract attention from analysts and investors alike.
Analysts Weigh In on Sempra Energy’s Performance
Various research analysts have provided insights into Sempra Energy’s stock, reflecting a mix of ratings. Notably, Jefferies Financial Group set a price target of $89.00 and assigned a “hold” rating on October 22, 2023. In contrast, Morgan Stanley set a higher target of $97.00 while giving an “overweight” rating on February 2, 2023. Similarly, Barclays established a $95.00 price objective, also categorizing the stock as “overweight” on February 3, 2023.
Further support came from UBS Group, which reaffirmed an “outperform” rating and set a target price of $100.00 on January 22, 2023. Overall, the consensus among analysts indicates a moderate buy rating, with a collective price target averaging $95.83, according to data from MarketBeat.
Insider Transactions Raise Questions
Recent insider trading at Sempra Energy has sparked interest in the market. Chief Accounting Officer Dyan Z. Wold sold 1,510 shares on November 19, 2023, at an average price of $91.38, totaling approximately $137,983.80. Following this transaction, Wold retained 3,481 shares, valued at around $318,093.78, marking a 30.25% decrease in her holdings.
Additionally, Chief Financial Officer Karen L. Sedgwick sold 7,564 shares on November 24, 2023, at an average price of $92.29, amounting to $698,081.56. This sale reduced her ownership stake by 15.49%, leaving her with 41,280 shares, valued at approximately $3.8 million. Over the last ninety days, corporate insiders have sold a total of 15,074 shares valued at about $1.39 million, while institutional investors hold approximately 89.65% of the stock.
Institutional Interest Remains Strong
Sempra Energy has also seen substantial activity from institutional investors. Vanguard Group Inc. increased its stake by 1.3% in the fourth quarter, now owning 76.73 million shares worth approximately $6.77 billion. Meanwhile, Capital International Investors raised its position by 9.2%, acquiring an additional 4.57 million shares during the third quarter.
Other notable investors include State Street Corp, which lifted its holdings by 5.2%, and Morgan Stanley, which grew its position by 17.0%. Geode Capital Management LLC also added to its stake, bringing its total to 14.30 million shares, valued at approximately $1.26 billion.
Sempra Energy, based in San Diego, operates as an energy infrastructure company, focusing on electricity and natural gas services. Its diverse portfolio includes regulated utility services and non-regulated businesses involved in large-scale energy projects, such as liquefied natural gas (LNG) facilities and electric transmission projects.
As Sempra Energy continues to navigate the market, investors may consider the implications of recent stock performance, analyst ratings, and insider activity before making investment decisions.
