AZ

A2Z Cust2Mate Solutions

Fundamental data last updated:April 13, 2026

company profile

SECTOR

Technology

industry

Software - Application

Exchange

Nasdaq

County of HQ

United States

Next Earnings Date

05/21/26

Business Summary

Duke Energy operates a regulated electric utility model, generating cash through rate-based returns approved by regulators, which creates predictable revenue streams tied to invested capital. Its moat is rooted in geographic monopoly territories, high infrastructure replacement costs, and regulatory frameworks that limit competition. The business converts large-scale capital investment into steady operating cash flow via allowed returns, which supports dividends and incremental grid expansion. While growth is modest, the durability of demand and embedded infrastructure makes cash generation recurring and structurally defensible, provided the balance sheet remains manageable.

VALUATION

P/E

-

Market Cap ($M USD)

$354

Forward P/E

14.5

PEG

-

PRICE TO SALES

37.2

PRICE TO BOOK

4.6

EV / EBITDA

-8.2

5-Year Average P/E

DIVIDEND

Yield

-

Annual Payout

-

Payout Ratio

-

Consecutive Years of Dividend Growth

0

5-Year Dividend Growth Rate

-

Financial Health & Profitability

Earnings Per Share

-$0.96

Next Year EPS Growth Estimate

$0.55

Next Year Revenue Growth Estimate

187.20%

Return on Equity (ROE)

-48.40%

Operating Margin

-461.40%

Debt-to-Equity

0

Piotroski F-Score

4

Altman Z-Score

21.7

Return on Invested Capital (ROIC)

-78.30%%

Current Ratio

11.4

Quick Ratio

Gainseekers Quantitative Analysis

Summary

Duke Energy trades at 20.9x earnings and 18.4x forward earnings, which is not cheap for a utility growing slowly enough to justify a 2.2 forward PEG. The market is assigning a stability premium despite a weak 4.40% ROE and a deeply concerning 0.7 Altman Z-Score that signals balance sheet fragility. With ROIC at 5.90% and operating margins of 9.50%, this is a low-return enterprise priced as a dependable compounder. The valuation implies safety, but the credit metrics and modest profitability suggest the market may be overestimating financial resilience.

AI Exposure / Tech Reliance

As a regulated electric utility, Duke Energy sits at the backbone of grid infrastructure, which becomes more critical as AI-driven data centers increase electricity demand. Utilities are indirect beneficiaries of electrification and digital expansion, giving them volume stability even without technological innovation. However, adaptation is capital-intensive, and with a 0.6 current ratio, balance sheet flexibility for aggressive modernization appears limited.

The Bull Case

A value or GARP investor could justify ownership based on the stability embedded in a $102,561M market cap regulated utility with predictable revenue and a 1.8 TTM yield supported by a $4.26 payout ratio and 3.20% dividend per share USD. The Piotroski F-Score of 5 indicates middling but not distressed operational health, while a 5.90% ROIC exceeding its 4.40% ROE suggests at least some efficiency in capital deployment within a regulated framework. The 9.50% operating margin in a capital-heavy industry reflects steady cost recovery mechanisms, and low short interest at 2.00% signals limited bearish conviction. For institutions seeking defensive exposure with moderate forward multiple compression from 20.9 to 18.4, the setup offers incremental, bond-like total return potential rather than explosive upside.

The Bear Case

The red flags are structural and difficult to ignore. A 26.60% debt-to-equity ratio combined with a 0.6 current ratio and a 0.7 Altman Z-Score creates a balance sheet profile that lacks flexibility in a rising capital expenditure cycle. The forward PEG of 2.2 suggests investors are paying a premium relative to growth, and the sharp disconnect between EPS of 11.4 and EPS Next Year (Est.) of $6.31 raises serious earnings visibility concerns. With ROE at just 4.40%, shareholders are not being compensated with high returns for the financial risk embedded in the structure.

Market Sentiment & Smart Money

Short Interest %

9.30%

Analyst Consensus

1.67

Average Analyst Price Target

$22.50

Institutional Ownership %

37.70%

1-Year Beta

1.69

Insider Buying % (6 Mo)

17.70%%

Distance to 52-Week High

64.40%%

Distance to 52-Week Low

159.30%%