- Pinnacle West Capital reported second-quarter EPS of $1.58, missing both the previous year’s figure of $1.76 and analysts’ estimate of $1.60.
- The company’s operating revenue for the quarter was $1.36 billion, marking a 3.8% increase from the previous year, aligning with the estimate.
- Operating expenses rose by 5.6% year-over-year, reaching $1.05 billion.
- Interest expense for the quarter was $102.0 million, a 4.2% increase compared to the previous year but below the estimate of $110.9 million.
- Pinnacle West Capital maintains its full-year EPS forecast between $4.40 and $4.60, with analysts estimating $4.55.
- Analyst recommendations for the company’s stock include 6 buys, 10 holds, and 1 sell.
Pinnacle West Capital on Smartkarma
Analyst coverage of Pinnacle West Capital on Smartkarma reveals positive sentiments towards the company’s strategic growth initiatives and resilience amidst challenges. According to Baptista Research, in their report titled “Pinnacle West Capital: Strategic Transmission & Generation Expansion To Up Their Game!”, the company’s first quarter 2025 financial results showcased a mix of growth initiatives despite facing hurdles from historical investments. Pinnacle West’s subsidiary Arizona Public Service (APS) is focused on addressing regulatory lag and driving future growth, highlighted by significant industrial investments and attracting high-load factor customers like Taiwan Semiconductor Manufacturing Company (TSMC).
In another report by Baptista Research, titled “Pinnacle West Capital Corporation: Stakeholder Collaboration & Strategic Partnerships to Leverage Emerging Opportunities In Utility Sector!”, the analysts commend the company for its resilience and strategic progress. Pinnacle West’s recent earnings displayed positive outcomes, with a focus on stakeholder collaboration and strategic partnerships to navigate challenges. The approval of a policy statement on formula rates by the Arizona Corporation Commission signals a step towards reducing regulatory lag and supporting Pinnacle West’s growth in Arizona’s utility sector.
A look at Pinnacle West Capital Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
According to Smartkarma Smart Scores, Pinnacle West Capital Corporation is positioned well for the long term. With strong scores of 4 in both Value and Dividend factors, the company shows promise in terms of being undervalued and providing attractive dividend returns. Although Growth, Resilience, and Momentum scores are slightly lower at 3, Pinnacle West Capital still demonstrates stability and potential for steady performance.
Pinnacle West Capital Corporation, a utility holding company that supplies electric services in Arizona, also engages in real estate development activities in the western United States. With a solid foundation in place and favorable Smart Scores, the company appears to have a positive outlook for the future, offering a blend of value, dividends, and resilience in its operations.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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