Hennessy Equity and Income Fund on Dominion Energy, Inc.
Thesis
Hennessy initiated Dominion Energy in January because its predominantly regulated utility model provides stable earnings and predictable cash flow. Asset sales, debt reduction and the addition of a partner to the offshore-wind project have improved financial flexibility and balance-sheet stability since 2022. Long-term electricity demand from expanding data centers and AI usage in Virginia should support growth while the regulated service territories and dividend provide defensive characteristics.
“Over the long term, Dominion should benefit from growing power demand as data centers and AI usage expand in Virginia.”