Sempra Energy to Release Q3 Earnings: What's in Store for the Stock?

Sempra Energy SRE is scheduled to release third-quarter 2025 results on Nov. 5, before market open. The company delivered an earnings surprise of 7.2% in the last reported quarter. 

Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.

Factors That Might Have Impacted SRE’s Q3 Performance

Sempra Energy’s third-quarter earnings are expected to have benefited from the implementation of new interim rates and continued strong rate-based growth, trends that were already witnessed in the previous quarters. These factors are likely to have boosted regulated earnings and enhanced the company’s top line. In addition, solid sales expectations, supported by strong demand from customer, are anticipated to have contributed positively to the metric.

Sempra Energy’s ongoing infrastructure investments, particularly in grid modernization, pipeline safety, and clean energy transition projects, are expected to have strengthened system reliability and operational efficiency. Strategic capital spending has likely enhanced service reliability and supported long-term regulatory returns. 

Continued customer growth across the company’s service territories is also likely to have driven higher electricity and natural gas volumes, further bolstering its financial performance during the quarter.

The July–September quarter saw a range of temperature patterns across Sempra Energy’s service areas. Most of the company’s service areas experienced above-normal temperatures, which is likely to have increased electricity demand for cooling purposes and boosted SRE’s top line in the third quarter. 

However, higher operating expenses and increased interest expense might offset some of the positives in the to-be-reported quarter.

SRE’s Q3 Expectations

The Zacks Consensus Estimate for earnings is pegged at 93 cents per share, indicating a year-over-year increase of 4.5%.

The Zacks Consensus Estimate for revenues is pinned at $3.22 billion, implying 16.1% growth year over year.

What Our Quantitative Model Predicts

Our proven model does not predict an earnings beat for Sempra Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here as you will see below.
 

Sempra Energy Price and EPS Surprise

Sempra Energy price-eps-surprise | Sempra Energy Quote

Earnings ESP: The company’s Earnings ESP is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Currently, Sempra Energy carries a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here.

Stocks to Consider

Investors may consider the following players from the same sector, as these have the right combination of elements to post an earnings beat this reporting cycle.

Eversource Energy ES is likely to come up with an earnings beat when it reports third-quarter results on Nov. 4. It has an Earnings ESP of +5.13% and a Zacks Rank #3 at present.

ES’ long-term (three to five years) earnings growth rate is 5.86%. The Zacks Consensus Estimate for earnings is pinned at $1.12 per share, indicating a year-over-year decrease of 0.9%.

Alliant Energy LNT is likely to come up with an earnings beat when it reports third-quarter results on Nov. 6. It has an Earnings ESP of +0.43% and a Zacks Rank #3 at present.

LNT’s long-term earnings growth rate is 6.57%. The Zacks Consensus Estimate for earnings is pinned at $1.17 per share, indicating a year-over-year increase of 1.7%.

Spire SR is likely to come up with an earnings beat when it reports fiscal fourth-quarter results on Nov. 14. It has an Earnings ESP of +8.21% and a Zacks Rank #2 at present.

SR’s long-term earnings growth rate is 6.81%. The Zacks Consensus Estimate for earnings is pinned at a loss of 45 cents per share. 

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This article originally published on Zacks Investment Research (zacks.com).

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