Pinnacle West Capital (NYSE:PNW) Lowered to "Neutral" Rating by Mizuho

Key Points

• Pinnacle West Capital has been downgraded by Mizuho from an "outperform" rating to a "neutral" rating, with a new target price of $90.00, down from $102.00.
• The stock currently has an average rating of "Hold", with a consensus target price of $96.50, following recent adjustments from various analysts.
• In the latest financial results, Pinnacle West Capital reported an EPS of $1.58, matching analysts' estimates, with a revenue of $1.36 billion, which was slightly above expectations.

Mizuho downgraded shares of Pinnacle West Capital (NYSE:PNW - Free Report) from an outperform rating to a neutral rating in a research note issued to investors on Tuesday morning, Marketbeat.com reports. They currently have $90.00 price objective on the utilities provider's stock, down from their previous price objective of $102.00.

A number of other research firms have also issued reports on PNW. KeyCorp lowered their price target on Pinnacle West Capital from $101.00 to $100.00 and set an "overweight" rating on the stock in a report on Wednesday, July 16th. Barclays lowered their price target on Pinnacle West Capital from $94.00 to $93.00 and set an "equal weight" rating on the stock in a report on Wednesday, August 13th. BMO Capital Markets raised their price target on Pinnacle West Capital from $96.00 to $98.00 and gave the stock a "market perform" rating in a report on Thursday, August 7th. Morgan Stanley set a $89.00 price target on Pinnacle West Capital and gave the stock an "outperform" rating in a report on Thursday, August 21st. Finally, UBS Group reissued a "neutral" rating and set a $98.00 price target (up previously from $96.00) on shares of Pinnacle West Capital in a report on Friday, July 11th. Four research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Hold" and an average price target of $96.20.

Pinnacle West Capital Stock Performance

Shares of PNW traded down $0.18 during midday trading on Tuesday, reaching $88.19. 758,982 shares of the stock were exchanged, compared to its average volume of 891,215. The business's 50-day moving average price is $90.74 and its 200 day moving average price is $91.36. The company has a debt-to-equity ratio of 1.25, a current ratio of 0.52 and a quick ratio of 0.37. Pinnacle West Capital has a twelve month low of $81.47 and a twelve month high of $96.50. The company has a market capitalization of $10.53 billion, a price-to-earnings ratio of 18.18, a PEG ratio of 9.13 and a beta of 0.45.

Pinnacle West Capital (NYSE:PNW - Get Free Report) last posted its earnings results on Wednesday, August 6th. The utilities provider reported $1.58 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 previous year, the firm earned $1.76 earnings per share. The business's revenue was up 3.8% compared to the same quarter last year. On average, sell-side analysts expect that Pinnacle West Capital will post 5.13 EPS for the current fiscal year.

Pinnacle West Capital Dividend Announcement

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

Insiders Place Their Bets

In other Pinnacle West Capital news, EVP Jacob Tetlow sold 6,496 shares of Pinnacle West Capital stock in a transaction that occurred 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 sale, the executive vice president owned 56 shares of the company's stock, valued at approximately $5,172.72. The trade was a 99.15% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 0.23% of the company's stock.

Institutional Investors Weigh In On Pinnacle West Capital

A number of institutional investors have recently added to or reduced their stakes in PNW. ATLAS Infrastructure Partners UK Ltd. boosted its holdings in Pinnacle West Capital by 230.5% in the 1st quarter. ATLAS Infrastructure Partners UK Ltd. now owns 2,793,546 shares of the utilities provider's stock valued at $266,085,000 after purchasing an additional 1,948,416 shares in the last quarter. Norges Bank acquired a new stake in shares of Pinnacle West Capital during the 2nd quarter valued at approximately $114,384,000. Nuveen LLC acquired a new stake in shares of Pinnacle West Capital during the 1st quarter valued at approximately $99,364,000. Merewether Investment Management LP acquired a new stake in shares of Pinnacle West Capital during the 4th quarter valued at approximately $69,233,000. Finally, Two Sigma Advisers LP lifted its position in shares of Pinnacle West Capital by 462.8% during the 4th quarter. Two Sigma Advisers LP now owns 912,900 shares of the utilities provider's stock valued at $77,387,000 after acquiring an additional 750,700 shares during the period. Hedge funds and other institutional investors own 91.51% of the company's stock.

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.