Be Careful Of Sempra's Negative Free Cash Flow Yield, Share Dilution, And High Valuation

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About: Sempra Energy (SRE)
by: Nikolaos Sismanis
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Nikolaos Sismanis
Long only, Growth, growth at reasonable price, long-term horizon
Summary

Sempra Energy has been running on a negative free cash flow yield.

The company relies its expansion on stock dilution and debt offerings.

Investors should take a second look at the company's underlying financials.

Tuesday was an unfortunate day for investors as the Dow plunged more than 450 points as Wall Street continued its rough start to the fourth quarter. Indices and stocks closed red all across the board