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Duke Energy Corporation 5.625% logo

Duke Energy Corporation 5.625%

DUKB
48
Regulated Electric · Utilities
Price
$23.02
+0.05 (+0.24%)
Market Cap
$17.91B
Exchange
New York Stock Exchange
Winston Score
48
Winston is serious
Mixed quality — meaningful strengths and weaknesses.

Share count rising — dilution

+1.0% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 769.0M (2021) → 777.0M (2025)

Duke Energy is one of the largest electric utility companies in the United States. It generates and delivers electricity and natural gas to homes, businesses, and industries across the Carolinas, Florida, Indiana, Ohio, and Kentucky. The company owns power plants that run on natural gas, nuclear energy, coal, and renewable sources like solar and wind.

Duke Energy makes money by charging customers for the electricity and gas they use, with rates set and approved by state regulators. This regulated model means revenue is relatively stable and predictable, since regulators allow Duke to earn a set return on its infrastructure investments. The ticker DUKB refers specifically to a preferred share or debt security rather than common stock, meaning holders receive fixed interest or dividend payments. The main risk Duke faces is rising capital costs as it spends heavily to upgrade aging infrastructure and expand renewable energy capacity to meet clean energy goals.

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+11.3% YoY

YoY Growth Rate

Steady revenue growth

EPS Growth

+11.9% YoY

YoY Growth Rate

Steady EPS growth

R&D Spend

$0/ year

0.0% of revenue

Below sector average (1%)

Research and development spending

Insider Activity

0.2%ownership

Relatively low insider ownership

Cash Runway

~3 months

$2.5B cash & investments

Quarterly Free Cash Flow

↓ Burn rate worsening

Short runway — potential dilution ahead through share issuance

Cash watch

Duke Energy Corporation 5.625% has less than a year of cash at its current burn rate. Growth investors should watch for potential share dilution from future fundraising — that directly reduces your ownership.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

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Quality

Gross Margin
48.8%
Healthy — 48.8% gross margin
Operating Margin
29.7%
Excellent — 29.7% operating margin
ROCE
1.9%
Weak — 1.9% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
+8.7%
Steady sales growth (8.7% YoY)
EPS YoY
+8.8%
Earnings growing (8.8% YoY)

Single-digit earnings growth — steady but not exciting.

EPS Consistency
6/8 quarters
Earnings grew in most of the last 8 quarters

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Cash Flow

Cash Conversion
226%
Turns 226% of profit into real cash
FCF Margin
-27.2%
Burning cash (-27.2%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

Debt / Equity
1.66
Elevated debt (1.66)
Interest Cover
2.42x
Tight — interest eats into profit (2.4x)

Interest coverage between 1 and 3. Profits cover interest, but with little room to spare.

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Valuation

P/E Ratio (TTM)
3.5x
Attractive valuation — P/E 3.5

P/E under 10. The price tag is small relative to last year's profit.

P/E vs Forward
+0.5
GROWING
Earnings roughly flat

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Dividends

Dividend Yield
3.41%
Moderate income — 3.41% yield

Standard yield zone for stable dividend payers. A meaningful piece of total return.

Dividend Growth
+0.0%
Dividend flat

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