Pinnacle West Capital Corporation $PNW Shares Purchased by Adage Capital Partners GP L.L.C.

Key Points

• Adage Capital Partners GP L.L.C. increased its stake in Pinnacle West Capital Corporation by 15.4%, owning approximately 543,783 shares valued at $51.8 million following the addition of 72,600 shares.
• The company announced a quarterly dividend of $0.895, providing an annualized yield of 4.0% and reflecting a payout ratio of 73.81%.
• Analysts have mixed ratings on Pinnacle West with four giving a Buy rating and six a Hold rating, setting a consensus target price of $97.22.

Adage Capital Partners GP L.L.C. increased its holdings in shares of Pinnacle West Capital Corporation (NYSE:PNW - Free Report) by 15.4% in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 543,783 shares of the utilities provider's stock after purchasing an additional 72,600 shares during the period. Adage Capital Partners GP L.L.C. owned approximately 0.46% of Pinnacle West Capital worth $51,795,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other institutional investors have also modified their holdings of PNW. Exchange Traded Concepts LLC boosted its holdings in Pinnacle West Capital by 1.3% in the first quarter. Exchange Traded Concepts LLC now owns 9,724 shares of the utilities provider's stock worth $926,000 after purchasing an additional 125 shares during the period. Allworth Financial LP raised its holdings in Pinnacle West Capital by 19.1% during the 1st quarter. Allworth Financial LP now owns 780 shares of the utilities provider's stock worth $74,000 after buying an additional 125 shares during the period. AE Wealth Management LLC increased its holdings in shares of Pinnacle West Capital by 4.9% in the 1st quarter. AE Wealth Management LLC now owns 2,929 shares of the utilities provider's stock valued at $279,000 after purchasing an additional 137 shares during the period. IFP Advisors Inc increased its holdings in Pinnacle West Capital by 4.0% in the first quarter. IFP Advisors Inc now owns 4,062 shares of the utilities provider's stock worth $387,000 after buying an additional 156 shares during the last quarter. Finally, Probity Advisors Inc. increased its holdings in Pinnacle West Capital by 2.6% in the first quarter. Probity Advisors Inc. now owns 6,214 shares of the utilities provider's stock worth $592,000 after buying an additional 158 shares during the last quarter. Institutional investors and hedge funds own 91.51% of the company's stock.

Insider Activity at Pinnacle West Capital

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

Pinnacle West Capital Stock Down 1.3%

Pinnacle West Capital stock traded down $1.17 during trading on Monday, hitting $87.83. 862,529 shares of the company were exchanged, compared to its average volume of 1,148,205. The company has a market capitalization of $10.49 billion, a P/E ratio of 18.11, a PEG ratio of 9.19 and a beta of 0.45. 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 business's 50 day moving average is $90.98 and its 200 day moving average is $91.51. Pinnacle West Capital Corporation has a 52 week low of $81.47 and a 52 week high of $96.50.

Pinnacle West Capital (NYSE:PNW - Get Free Report) last issued its quarterly earnings data on Wednesday, August 6th. The utilities provider reported $1.58 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $1.58. Pinnacle West Capital had a return on equity of 8.45% and a net margin of 10.96%.The business had revenue of $1.36 billion for the quarter, compared to analysts' expectations of $1.35 billion. During the same quarter in the prior year, the firm posted $1.76 EPS. The firm's quarterly revenue was up 3.8% on a year-over-year basis. Analysts predict that Pinnacle West Capital Corporation will post 5.13 earnings per share for the current year.

Pinnacle West Capital Dividend Announcement

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

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on PNW shares. Barclays reduced their price objective on Pinnacle West Capital from $94.00 to $93.00 and set an "equal weight" rating for the company in a research report on Wednesday, August 13th. BMO Capital Markets boosted their target price on Pinnacle West Capital from $96.00 to $98.00 and gave the stock a "market perform" rating in a research report on Thursday, August 7th. Morgan Stanley set a $89.00 price objective on shares of Pinnacle West Capital and gave the stock an "outperform" rating in a research report on Thursday, August 21st. UBS Group reiterated a "neutral" rating and set a $98.00 price objective (up previously from $96.00) on shares of Pinnacle West Capital in a research note on Friday, July 11th. Finally, KeyCorp dropped their price target on 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 investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. According to MarketBeat, Pinnacle West Capital presently has a consensus rating of "Hold" and a consensus target price of $97.22.

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.