DUK Stock Analysis — Duke Energy
Sector: Utilities
AI Verdict
Duke trades at 18.1x next year's earnings for 7.4% growth—about fair for a utility with monopoly protections, but not cheap if growth disappoints.
Competitive Moat
Duke Energy operates regulated electric and gas utilities across the Southeast and Midwest, benefiting from geographic monopolies and rate-setting power that limit competition. The capital-intensive grid infrastructure and regulatory barriers create a durable moat against new entrants.
Summary
Duke trades at 18.1x next year's earnings with steady 7.4% EPS growth expected—rare for a utility this size.
Where It Stands
The stock is up 8.21% over the past year, sits at a neutral RSI of 51.7, and trades at a forward P/E of 18.1x versus the 18x utility sector median.
Key Metrics
- RSI: 51.7 — Neutral
- Trailing P/E: 19.4x
- Forward P/E: 18.1x
- PEG Ratio: 2.28
- Earnings Growth: +0.1%
- Revenue Growth: +0.1%
- Market Cap: $98.8B
- Dividend Yield: 0.03%
- 1-Year Return: 8.21%
- 52-Week High: $134.49
- 52-Week Low: $113.90
Analyst Consensus
14 Buy · 13 Hold · 1 Sell (28 analysts)
Bull Case
You're getting 7.4% forward EPS growth at a 18.1x forward P/E, which is a fair deal for a regulated utility with a $98.8B market cap and monopoly-like stability.
Bear Case
If the P/E multiple drops from 18.1x to the sector median of 18x, that's only a 0.6% downside, but the 2.28 PEG ratio says you're paying up for growth that's not especially fast.
Catalyst to Watch
Watch for upcoming regulatory rate case outcomes—approval for higher rates would support the current valuation, while pushback could pressure the forward P/E.