Dominion Energy (D) Stock Forecast & Price Target

Dominion Energy is well positioned by its scale as an integrated utility with over 31 gigawatts of electric generation capacity and more than 91,000 miles of transmission and distribution lines, which supports recurring, rate-regulated cash flow. Its major offshore wind buildout off the Virginia Beach coast adds long-duration growth and capital investment visibility, while the company’s regulated framework helps reduce earnings volatility relative to merchant power peers. The investment case is further supported by a constructive operating backdrop in which demand growth, infrastructure modernization, and utility reliability needs can sustain returns over time.

Dominion Energy is burdened by an overlevered balance sheet, with net debt/EBITDA still at 11.5x and leverage only modestly improved after asset sales, while liquidity remains limited at $178 million and debt maturities still loom in 2026E and 2027E. Its valuation fundamentals also appear weak, as NAVPU declined to $49.23, the average cap rate stayed at 6.29%, and leasing momentum in Q3/26 is tracking well below forecast, increasing the risk that NOI growth and occupancy expectations prove too optimistic. On top of that, the offshore wind project and Virginia regulatory relationships remain uncertain, and the dividend is described as 15%-20% too high, raising the odds of a future cut or other capital allocation pressure.