Pinnacle West Capital (NYSE:PNW) Hits New 12-Month High After Better-Than-Expected Earnings

Shares of Pinnacle West Capital Co. (NYSE:PNW) reached a new 52-week high on Wednesday following a better than expected earnings announcement. The stock traded as high as $92.07 and last traded at $92.01, with a volume of 710783 shares. The stock had previously closed at $86.71.

The utilities provider reported $3.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.35 by $0.02. Pinnacle West Capital had a return on equity of 9.75% and a net margin of 12.65%. The company had revenue of $1.77 billion during the quarter, compared to analysts’ expectations of $1.68 billion.

Pinnacle West Capital Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, December 2nd. Stockholders of record on Monday, November 4th will be paid a $0.895 dividend. This is a positive change from Pinnacle West Capital’s previous quarterly dividend of $0.88. This represents a $3.58 dividend on an annualized basis and a dividend yield of 3.90%. The ex-dividend date of this dividend is Monday, November 4th. Pinnacle West Capital’s dividend payout ratio is currently 67.80%.

Analyst Ratings Changes

Several equities research analysts recently commented on PNW shares. Morgan Stanley boosted their target price on Pinnacle West Capital from $78.00 to $83.00 and gave the stock an “equal weight” rating in a report on Wednesday, September 25th. Jefferies Financial Group began coverage on Pinnacle West Capital in a research note on Thursday, September 19th. They issued a “buy” rating and a $104.00 price objective on the stock. StockNews.com raised Pinnacle West Capital from a “sell” rating to a “hold” rating in a report on Monday, August 5th. Finally, Wells Fargo & Company boosted their price target on shares of Pinnacle West Capital from $90.00 to $92.00 and gave the stock an “equal weight” rating in a research report on Thursday. Seven equities research analysts have rated the stock with a hold rating and six have given a buy rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $80.96.

Institutional Investors Weigh In On Pinnacle West Capital

Several hedge funds have recently made changes to their positions in the company. Capital Research Global Investors boosted its holdings in shares of Pinnacle West Capital by 97.5% during the first quarter. Capital Research Global Investors now owns 12,851,930 shares of the utilities provider’s stock worth $960,425,000 after purchasing an additional 6,344,121 shares during the period. Barrow Hanley Mewhinney & Strauss LLC boosted its stake in shares of Pinnacle West Capital by 24.6% during the 2nd quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 6,985,619 shares of the utilities provider’s stock valued at $533,562,000 after buying an additional 1,379,368 shares during the period. Lazard Asset Management LLC grew its holdings in shares of Pinnacle West Capital by 72.7% during the 1st quarter. Lazard Asset Management LLC now owns 6,719,397 shares of the utilities provider’s stock valued at $502,139,000 after acquiring an additional 2,828,450 shares in the last quarter. Zimmer Partners LP acquired a new position in shares of Pinnacle West Capital in the first quarter worth $198,409,000. Finally, Bank of New York Mellon Corp raised its holdings in shares of Pinnacle West Capital by 3.9% during the second quarter. Bank of New York Mellon Corp now owns 1,159,942 shares of the utilities provider’s stock worth $88,596,000 after acquiring an additional 44,029 shares in the last quarter. Hedge funds and other institutional investors own 91.51% of the company’s stock.

Pinnacle West Capital Trading Up 2.9 %

The business has a 50-day moving average of $88.43 and a 200-day moving average of $82.73. The company has a quick ratio of 0.48, a current ratio of 0.66 and a debt-to-equity ratio of 1.28. The stock has a market cap of $10.43 billion, a price-to-earnings ratio of 17.39, a PEG ratio of 2.13 and a beta of 0.52.

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.