D - Dominion Energy: Powering The Data Center Capital Of The World

2024-04-05 19:37:47 ET

Summary

• Dominion Energy's stock is trading at low multiples due to low sentiment and the decline in interest in the utilities sector.
• Dominion is well-positioned to meet the growing energy needs in Northern Virginia, particularly in the data center hub of Ashburn.
• The demand for electricity in Dominion's core markets is rapidly increasing due to the growth of data centers, leading to the company's capital investment in power plants.

The Dominion Buy Thesis

There is a tremendous spread between the sentiment on Dominion Energy, Inc. ( D ) and its fundamental forward outlook. The market is approaching D with apprehension and trading it at low multiples while the fundamentals look strongly positive given the rapid growth in energy needs in Northern Virginia ((NOVA)) with D as the only major player positioned to provide that energy. The buildout of sufficient power to fuel the data center boom in NOVA can fuel steady growth for Dominion for the foreseeable future....

For further details see: