Pinnacle West Capital (NYSE:PNW) Posts Quarterly Earnings Results, Beats Expectations By $0.35 EPS

Pinnacle West Capital (NYSE:PNW) posted its quarterly earnings data on Monday. The utilities provider reported $3.39 earnings per share for the quarter, beating the consensus estimate of $3.04 by $0.35, Briefing.com reports. The firm had revenue of $1.82 billion for the quarter, compared to analysts’ expectations of $1.78 billion. Pinnacle West Capital had a net margin of 10.96% and a return on equity of 8.45%. The business’s quarterly revenue was up 2.9% on a year-over-year basis. During the same quarter last year, the company posted $3.37 EPS. Pinnacle West Capital updated its FY 2026 guidance to 4.550-4.750 EPS and its FY 2025 guidance to 4.900-5.100 EPS.

Pinnacle West Capital Stock Performance

PNW stock traded up $0.44 during midday trading on Monday, reaching $88.96. 573,274 shares of the company’s stock traded hands, compared to its average volume of 1,139,342. Pinnacle West Capital has a 52-week low of $81.47 and a 52-week high of $96.50. The stock has a market cap of $10.62 billion, a P/E ratio of 18.40, a PEG ratio of 9.23 and a beta of 0.46. The company has a current ratio of 0.52, a quick ratio of 0.37 and a debt-to-equity ratio of 1.25. The stock’s 50-day moving average is $89.56 and its 200 day moving average is $90.69.

Pinnacle West Capital Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, December 1st. Stockholders of record on Monday, November 3rd will be issued a dividend of $0.91 per share. The ex-dividend date of this dividend is Monday, November 3rd. This is a positive change from Pinnacle West Capital’s previous quarterly dividend of $0.90. This represents a $3.64 annualized dividend and a dividend yield of 4.1%. Pinnacle West Capital’s dividend payout ratio is presently 75.05%.

Analyst Upgrades and Downgrades

PNW has been the topic of a number of analyst reports. Mizuho cut shares of Pinnacle West Capital from an “outperform” rating to a “neutral” rating and reduced their price target for the company from $102.00 to $90.00 in a research report on Tuesday, September 9th. Argus reduced their price target on shares of Pinnacle West Capital from $98.00 to $95.00 and set a “buy” rating on the stock in a research report on Tuesday, September 30th. BMO Capital Markets reiterated a “market perform” rating and set a $99.00 price target on shares of Pinnacle West Capital in a research report on Monday, October 20th. Wells Fargo & Company upgraded shares of Pinnacle West Capital to a “hold” rating in a research report on Tuesday, October 28th. Finally, KeyCorp reduced their price target on shares of Pinnacle West Capital from $100.00 to $97.00 and set an “overweight” rating on the stock in a research report on Wednesday, October 15th. Six research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $96.69.

Insider Activity at Pinnacle West Capital

In related news, EVP Jacob Tetlow sold 6,496 shares of the firm’s stock in a transaction on Monday, August 11th. The shares were sold at an average price of $92.37, for a total transaction of $600,035.52. Following the completion of the transaction, the executive vice president directly owned 56 shares of the company’s stock, valued at approximately $5,172.72. This trade represents a 99.15% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. 0.23% of the stock is owned by insiders.

Hedge Funds Weigh In On Pinnacle West Capital

A number of institutional investors and hedge funds have recently made changes to their positions in PNW. Treasurer of the State of North Carolina lifted its holdings in Pinnacle West Capital by 129.4% during the 2nd quarter. Treasurer of the State of North Carolina now owns 384,629 shares of the utilities provider’s stock valued at $34,413,000 after buying an additional 216,984 shares in the last quarter. Cubist Systematic Strategies LLC raised its holdings in shares of Pinnacle West Capital by 104.0% in the 2nd quarter. Cubist Systematic Strategies LLC now owns 250,858 shares of the utilities provider’s stock valued at $22,444,000 after purchasing an additional 127,863 shares in the last quarter. Alliancebernstein L.P. raised its holdings in shares of Pinnacle West Capital by 38.1% in the 2nd quarter. Alliancebernstein L.P. now owns 265,447 shares of the utilities provider’s stock valued at $23,750,000 after purchasing an additional 73,213 shares in the last quarter. HRT Financial LP raised its holdings in shares of Pinnacle West Capital by 329.0% in the 2nd quarter. HRT Financial LP now owns 76,841 shares of the utilities provider’s stock valued at $6,874,000 after purchasing an additional 58,929 shares in the last quarter. Finally, Brevan Howard Capital Management LP bought a new stake in shares of Pinnacle West Capital in the 2nd quarter valued at about $4,472,000. 91.51% of the stock is owned by hedge funds and other institutional investors.

Pinnacle West Capital Company Profile

Pinnacle West Capital Corporation, through its subsidiary, provides retail and wholesale electric services primarily in the state of Arizona. The company engages in the generation, transmission, and distribution of electricity using coal, nuclear, gas, oil, and solar generating facilities. Its transmission facilities include overhead lines and underground lines; and distribution facilities consist of overhead lines and underground primary cables.