Forensic Analysis · Utilities · as of Sep 24, 2026
Sempra (SRE)
A forensic read on Sempra built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
D · Weak — demands caution
Forensic grade
Grey Zone
Financial health
2.1
Distress distance
Clean
Earnings quality
3
Forensic signals
23.3
P / E (ttm)
5.8%
ROE
$51.7B
Market cap
3.23%
Dividend yield
3.9%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (red flags, auditor quality, say on pay, board independence, going concern, valuation). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Sempra earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads 2.1, placing it in the Grey zone. 3 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
2.3%
FY2025
Return on invested capital.Return on invested capital is 2.3% in the latest fiscal year and slipping across FY2023–FY2025 from 5%. The capital base behind it grew +18% across FY2023–FY2025, from $79.2B to $93.1B, while the return fell 2.6 points, so the dollars added over that window earned less than the 5% the older base was already earning.
+1.7%/yr
FY2023–FY2025
Share-count dilution.Diluted share count changed +3% over the last 2 years to FY2025 (+1.7%/yr). The count is growing: more stock was issued than repurchased over this window, so aggregate results grew faster than their per-share equivalents. That's ~1.7% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2023 has been diluted ~3%.
FCF ($6.0B)
FY2025
Shareholder returns.Returned $1.7B to shareholders (buybacks + dividends) in FY2025, but free cash flow was ($6.0B) after capex — there was no free cash flow to fund the payout from at all, though operating cash flow alone was $4.6B — 36% of that. The entire return is coming from debt or cash reserves, not cash the business itself generated — a harder case than returns merely running ahead of free cash flow, since here there was none to run ahead of.
Key fundamentals
Latest Revenue$13.70B
Revenue Growth YoY+3.9%
Revenue CAGR (2yr)-9.5%
Net Margin13.4%
Free Cash Flow-$6.05B
Return on Equity5.8%
Debt / Equity1.05x
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Sempra's actual 10-K/10-Q/8-K filings?