Pinnacle West Capital (NYSE:PNW) Sets New 1-Year High After Strong Earnings

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

The utilities provider reported $3.37 earnings per share for the quarter, beating analysts’ consensus estimates 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 for the quarter, compared to analysts’ expectations of $1.68 billion.

Pinnacle West Capital Increases Dividend

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

Analyst Ratings Changes

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

Institutional Investors Weigh In On Pinnacle West Capital

Institutional investors and hedge funds have recently bought and sold shares of the stock. Blue Trust Inc. lifted its stake in Pinnacle West Capital by 377.9% in the 2nd quarter. Blue Trust Inc. now owns 368 shares of the utilities provider’s stock valued at $28,000 after buying an additional 291 shares in the last quarter. Cape Investment Advisory Inc. purchased a new stake in Pinnacle West Capital in the 1st quarter valued at approximately $30,000. Venturi Wealth Management LLC raised its holdings in Pinnacle West Capital by 124.6% in the 3rd quarter. Venturi Wealth Management LLC now owns 429 shares of the utilities provider’s stock valued at $38,000 after acquiring an additional 238 shares during the last quarter. Prospera Private Wealth LLC acquired a new position in Pinnacle West Capital in the 3rd quarter valued at $43,000. Finally, Ashton Thomas Private Wealth LLC acquired a new position in Pinnacle West Capital in the 2nd quarter valued at $52,000. Hedge funds and other institutional investors own 91.51% of the company’s stock.

Pinnacle West Capital Price Performance

The company has a fifty day simple moving average of $88.43 and a two-hundred day simple moving average of $82.73. The company has a debt-to-equity ratio of 1.28, a quick ratio of 0.48 and a current ratio of 0.66. The company has a market capitalization of $10.43 billion, a price-to-earnings ratio of 17.39, a P/E/G ratio of 2.13 and a beta of 0.52.

About Pinnacle West Capital

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.