Pinnacle West Capital (NYSE:PNW) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a note issued to investors on Wednesday.
According to Zacks, “Pinnacle West Capital is well positioned to gain from the ongoing economic improvement in its service territories. Better economic prospects, increase in the customer count and higher customer spending are expected to drive results. The company is also expanding its renewable generation portfolio. In last twelve months, shares of Pinnacle West Capital Corporation have lost wider than the industry's decline. However, Pinnacle West Capital is subject to comprehensive regulations by federal, state and local regulatory agencies. In addition, its operations are subject to fluctuations in commodity price, as well as operational risks and hazards. “
Several other research analysts also recently issued reports on PNW. SunTrust Banks reiterated a “hold” rating and set a $79.00 price target on shares of Pinnacle West Capital in a report on Tuesday, March 6th. Morgan Stanley reiterated a “hold” rating and set a $84.00 price target (up from $80.00) on shares of Pinnacle West Capital in a report on Monday, February 26th. Bank of America set a $81.00 price target on shares of Pinnacle West Capital and gave the stock a “sell” rating in a report on Monday, February 26th. Royal Bank of Canada upgraded shares of Pinnacle West Capital from a “sector perform” rating to an “outperform” rating in a report on Thursday, March 8th. Finally, UBS Group assumed coverage on shares of Pinnacle West Capital in a report on Friday, February 2nd. They set a “neutral” rating and a $81.00 price target for the company. One equities research analyst has rated the stock with a sell rating, eleven have given a hold rating and two have given a buy rating to the company’s stock. Pinnacle West Capital has an average rating of “Hold” and a consensus price target of $83.91.
Pinnacle West Capital (NYSE:PNW) last announced its quarterly earnings data on Friday, February 23rd. The utilities provider reported $0.19 EPS for the quarter, beating the consensus estimate of $0.10 by $0.09. Pinnacle West Capital had a net margin of 13.70% and a return on equity of 9.59%. The business had revenue of $759.65 million during the quarter, compared to the consensus estimate of $773.12 million. During the same period in the previous year, the business earned $0.47 earnings per share. The company’s revenue was up 2.8% on a year-over-year basis. equities analysts expect that Pinnacle West Capital will post 4.46 earnings per share for the current year.
In related news, CEO Donald E. Brandt sold 39,083 shares of the stock in a transaction on Thursday, March 1st. The stock was sold at an average price of $77.23, for a total value of $3,018,380.09. Following the completion of the sale, the chief executive officer now directly owns 88,741 shares in the company, valued at $6,853,467.43. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP David P. Falck sold 4,500 shares of the stock in a transaction on Thursday, December 14th. The shares were sold at an average price of $89.07, for a total value of $400,815.00. Following the completion of the sale, the executive vice president now owns 40,838 shares of the company’s stock, valued at $3,637,440.66. The disclosure for this sale can be found here. Insiders sold 70,465 shares of company stock valued at $5,538,254 over the last 90 days. 0.70% of the stock is currently owned by company insiders.
A number of hedge funds and other institutional investors have recently bought and sold shares of PNW. Renaissance Technologies LLC increased its holdings in Pinnacle West Capital by 803.8% in the fourth quarter. Renaissance Technologies LLC now owns 776,400 shares of the utilities provider’s stock valued at $66,134,000 after purchasing an additional 690,500 shares during the period. Boston Partners increased its holdings in Pinnacle West Capital by 24.3% in the fourth quarter. Boston Partners now owns 3,511,585 shares of the utilities provider’s stock valued at $299,117,000 after purchasing an additional 687,119 shares during the period. TIAA CREF Investment Management LLC increased its holdings in Pinnacle West Capital by 151.2% in the fourth quarter. TIAA CREF Investment Management LLC now owns 824,565 shares of the utilities provider’s stock valued at $70,236,000 after purchasing an additional 496,328 shares during the period. Two Sigma Advisers LP increased its holdings in Pinnacle West Capital by 397.6% in the fourth quarter. Two Sigma Advisers LP now owns 509,783 shares of the utilities provider’s stock valued at $43,423,000 after purchasing an additional 407,325 shares during the period. Finally, Zimmer Partners LP acquired a new stake in Pinnacle West Capital in the fourth quarter valued at $26,619,000. Institutional investors and hedge funds own 82.65% of the company’s stock.
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About Pinnacle West Capital
Pinnacle West Capital Corporation is a holding company that operates through its subsidiaries. The Company operates through regulated electricity segment, which consists of traditional regulated retail and wholesale electricity businesses and related activities, and includes electricity generation, transmission and distribution.
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