Pinnacle West Capital Corp (PNW)

In November 2025, Pinnacle West reported strong Q3 results, exceeding forecasts, raising its 2025 EPS guidance, and increasing its long-term sales growth target. In August 2025, the company reported lower Q2 results due to milder weather, though APS experienced customer and sales growth. In October 2025, Pinnacle West increased its dividend to $0.91 per share. In December 2025, UBS maintained a "Neutral" recommendation for PNW. As of January 13, 2026, the stock has shown a gain and holds buy signals from moving averages.

Demand for Pinnacle West's electricity is highly seasonal, influenced by weather conditions in Arizona. Cooling Degree-Days from May to October and Heating Degree-Days from November to April significantly impact demand. Summer heat drives increased electricity sales, while milder weather can reduce earnings. Demand is also influenced by customer growth, the economy, and technological advancements.

Pinnacle West Capital Corp. operates in the Electric Utilities industry, generating, transmitting, and distributing electricity. The company uses a diverse energy portfolio, including nuclear, natural gas, coal, oil, and solar, and co-owns the Palo Verde Generating Station. Pinnacle West aims to provide 100% carbon-free electricity by 2050.

Pinnacle West primarily serves Arizona, providing electricity to approximately 1.4 million customers across 11 counties through APS. The Palo Verde Generating Station supplies power to over 4 million homes and businesses across four states in the Southwest. The company also develops and operates electric transmission infrastructure throughout the western United States.

Pinnacle West has maintained a positive brand reputation, recognized for customer growth, financial health, and commitment to sustainability. The company aims for 100% carbon-free electricity by 2050, investing in solar and battery storage. MarketBeat ranked PNW higher than 68% of companies in the utilities sector. Analyst commentary highlights customer growth and infrastructure investments, but some note concerns about a high P/E ratio and mediocre ROE.

Institutional investors predominantly own Pinnacle West Capital Corp., holding over 90% of the company's shares. Major shareholders include Capital Research Global Investors, Vanguard Group Inc, and BlackRock, Inc. Insider ownership is relatively low, with insiders generally being net sellers.