PG&E Reports Strong Quarterly Earnings, Surpassing Expectations

On Thursday, PG&E (NYSE:PCG - Get Free Report) announced its earnings for the recent quarter. The utility company reported earnings per share (EPS) of $0.37, exceeding analysts' average forecast of $0.32 by $0.05. This positive performance is underpinned by a net margin of 10.22% and a return on equity of 11.76%. During this quarter, PG&E generated revenue amounting to $5.94 billion. This figure came in lower than the expected revenue of $6.58 billion.

When looking back at the same quarter last year, PG&E reported an EPS of $0.24. The company’s revenue did see a year-over-year increase of 0.9%, indicating some growth despite missing the revenue estimate for the quarter.

Stock Performance

PG&E's stock (PCG) showed a small increase during Friday's midday trading, rising by $0.25 to reach $20.61. A total of 7,134,513 shares changed hands, which is below the stock's average volume of 13,775,833 shares. At this time, PG&E boasts a market capitalization of $53.90 billion. Its price-to-earnings (P/E) ratio stands at 15.96, alongside a price/earnings growth (PEG) ratio of 1.53. The stock has a beta of 1.03, indicating it moves in line with the market. Currently, the 50-day simple moving average for the stock is $20.01, while the 200-day simple moving average is $18.71. Over the past year, PG&E's stock has had a low of $15.94 and a high of $20.93. Additionally, the company has a quick ratio of 0.86, a current ratio of 0.90, and a debt-to-equity ratio of 1.99.

Dividend Information

PG&E also made a recent announcement regarding a quarterly dividend payment. This dividend was paid on Tuesday, October 15th, to stockholders who were on record as of Monday, September 30th. Each shareholder received a dividend of $0.01 per share, which translates to an annualized dividend of $0.04 and a yield of 0.19%. The ex-dividend date was also recorded on September 30th. Currently, PG&E's dividend payout ratio is at 3.13%.

Changes in Analyst Ratings

Recently, several equity analysts have updated their ratings and price targets for PG&E. Barclays increased their target price from $24.00 to $25.00, assigning the stock an "overweight" rating in their analysis dated October 21st. In another report published on October 14th, Jefferies Financial Group began coverage on PG&E, giving it a "buy" rating along with a target price of $24.00. Similarly, UBS Group raised its price target from $24.00 to $26.00, maintaining a "buy" rating in a report dated September 3rd. Morgan Stanley adjusted their target price from $19.00 to $20.00 while keeping an "equal weight" rating on September 25th. Lastly, Wells Fargo & Company also lifted their price target from $21.00 to $22.00, rating PG&E as "overweight" as of July 26th. Overall, two investment analysts rated the stock as a hold, while nine have issued buy ratings. Current consensus among analysts leans towards a "Moderate Buy" rating with an average target price of $22.80.

Insider Transactions

In other news, VP Stephanie N. Williams sold 38,601 shares on August 15th, at an average price of $18.32, totaling approximately $707,170.32. Post-transaction, she retains ownership of 19,114 shares, valued around $350,168.48, marking a slight reduction in her holdings. This insider transaction was disclosed in a document filed with the Securities & Exchange Commission. Overall, company insiders own about 0.15% of PG&E's stock.

Company Overview

PG&E Corporation, through its subsidiary Pacific Gas and Electric Company, is engaged in the sale and delivery of electricity and natural gas primarily in northern and central California. The company generates electricity from a diverse range of sources, including nuclear, hydroelectric, fossil fuel, fuel cell, and photovoltaic methods.

This comprehensive update provides a clear picture of PG&E’s recent performance and market position, reflecting its ongoing efforts in the utility sector.

Earnings, Stocks, Utilities