Royal Bank of Canada Increases Stock Position in Pinnacle West Capital Corporation $PNW

Key Points

• Royal Bank of Canada increased its stake in Pinnacle West Capital Corporation by 22.5%, now owning about 0.17% of the company, valued at approximately $18.86 million.
• In recent analyst reports, Mizuho downgraded Pinnacle West from an "outperform" to a "neutral" rating, while several others adjusted target prices, indicating varied market sentiment around the stock.
• Pinnacle West announced a quarterly dividend of $0.895 per share, leading to a 4.1% dividend yield and a dividend payout ratio of 73.81%.

Royal Bank of Canada lifted its holdings in shares of Pinnacle West Capital Corporation (NYSE:PNW - Free Report) by 22.5% during the 1st quarter, according to its most recent disclosure with the SEC. The institutional investor owned 197,948 shares of the utilities provider's stock after purchasing an additional 36,343 shares during the quarter. Royal Bank of Canada owned about 0.17% of Pinnacle West Capital worth $18,855,000 as of its most recent filing with the SEC.

Other hedge funds have also made changes to their positions in the company. Wealth Enhancement Advisory Services LLC lifted its position in shares of Pinnacle West Capital by 26.2% during the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 29,775 shares of the utilities provider's stock worth $2,524,000 after purchasing an additional 6,183 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. lifted its position in shares of Pinnacle West Capital by 12.0% during the first quarter. Mirae Asset Global Investments Co. Ltd. now owns 13,127 shares of the utilities provider's stock worth $1,236,000 after purchasing an additional 1,411 shares in the last quarter. Stratos Wealth Partners LTD. lifted its position in shares of Pinnacle West Capital by 26.2% during the first quarter. Stratos Wealth Partners LTD. now owns 5,546 shares of the utilities provider's stock worth $528,000 after purchasing an additional 1,150 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. increased its stake in shares of Pinnacle West Capital by 8.5% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 4,650 shares of the utilities provider's stock worth $443,000 after buying an additional 366 shares during the period. Finally, Amalgamated Bank increased its stake in shares of Pinnacle West Capital by 1.7% during the first quarter. Amalgamated Bank now owns 22,300 shares of the utilities provider's stock worth $2,124,000 after buying an additional 372 shares during the period. Institutional investors and hedge funds own 91.51% of the company's stock.

Pinnacle West Capital Stock Down 0.8%

Pinnacle West Capital stock traded down $0.68 during mid-day trading on Monday, hitting $87.51. The company had a trading volume of 849,112 shares, compared to its average volume of 856,007. The stock has a market cap of $10.45 billion, a price-to-earnings ratio of 18.04, a PEG ratio of 9.11 and a beta of 0.45. Pinnacle West Capital Corporation has a 1 year low of $81.47 and a 1 year high of $96.50. The company has a quick ratio of 0.37, a current ratio of 0.52 and a debt-to-equity ratio of 1.25. The business has a fifty day moving average of $90.69 and a 200 day moving average of $91.33.

Pinnacle West Capital (NYSE:PNW - Get Free Report) last announced its quarterly earnings results on Wednesday, August 6th. The utilities provider reported $1.58 EPS for the quarter, meeting the consensus estimate of $1.58. The company had revenue of $1.36 billion for the quarter, compared to analyst estimates of $1.35 billion. Pinnacle West Capital had a net margin of 10.96% and a return on equity of 8.45%. The firm's revenue was up 3.8% on a year-over-year basis. During the same period in the prior year, the firm posted $1.76 earnings per share. On average, sell-side analysts expect that Pinnacle West Capital Corporation will post 5.13 earnings per share for the current fiscal year.

Pinnacle West Capital Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 2nd. Shareholders of record on Friday, August 1st were paid a $0.895 dividend. This represents a $3.58 annualized dividend and a yield of 4.1%. The ex-dividend date was Friday, August 1st. Pinnacle West Capital's dividend payout ratio is currently 73.81%.

Analysts Set New Price Targets

A number of analysts recently weighed in on the stock. BMO Capital Markets upped their target price on shares of Pinnacle West Capital from $96.00 to $98.00 and gave the stock a "market perform" rating in a research note on Thursday, August 7th. Barclays cut their target price on shares of Pinnacle West Capital from $94.00 to $93.00 and set an "equal weight" rating on the stock in a research note on Wednesday, August 13th. Morgan Stanley set a $89.00 target price on shares of Pinnacle West Capital and gave the stock an "outperform" rating in a research note on Thursday, August 21st. UBS Group cut their target price on shares of Pinnacle West Capital from $98.00 to $95.00 and set a "neutral" rating on the stock in a research note on Friday. Finally, KeyCorp cut their target price on shares of Pinnacle West Capital from $101.00 to $100.00 and set an "overweight" rating on the stock in a research note on Wednesday, July 16th. Four research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $96.20.

Insider Buying and Selling

In other Pinnacle West Capital news, EVP Jacob Tetlow sold 6,496 shares of the stock in a transaction that occurred on Monday, August 11th. The shares were sold at an average price of $92.37, for a total value of $600,035.52. Following the transaction, the executive vice president directly owned 56 shares in the company, valued at $5,172.72. This represents a 99.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.23% of the stock is owned by corporate insiders.

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.