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Pinnacle West Capital

DB:PWC
Snowflake Description

Established dividend payer with limited growth.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
PWC
DB
$9B
Market Cap
  1. Home
  2. DE
  3. Utilities
Company description

Pinnacle West Capital Corporation, through its subsidiary, Arizona Public Service Company, provides retail and wholesale electric services primarily in the state of Arizona. The last earnings update was 39 days ago. More info.


Add to Portfolio Compare Print
  • Pinnacle West Capital has significant price volatility in the past 3 months.
PWC Share Price and Events
7 Day Returns
18.5%
DB:PWC
7.9%
Europe Electric Utilities
9.9%
DE Market
1 Year Returns
-16.5%
DB:PWC
-1.3%
Europe Electric Utilities
-17.5%
DE Market
PWC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Pinnacle West Capital (PWC) 18.5% -16.1% -10.8% -16.5% -9.7% 19.8%
Europe Electric Utilities 7.9% -16.2% -12.7% -1.3% 21% -1.3%
DE Market 9.9% -16.6% -24.8% -17.5% -24.5% -28.1%
1 Year Return vs Industry and Market
  • PWC underperformed the Electric Utilities industry which returned -1.3% over the past year.
  • PWC outperformed the Market in Germany which returned -17.5% over the past year.
Price Volatility
PWC
Industry
5yr Volatility vs Market

Value

 Is Pinnacle West Capital undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Pinnacle West Capital to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Pinnacle West Capital.

DB:PWC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Dividend Discount Model
Dividend Per Share Company Filings (2019-12-31) in USD $ 3.4123286666667
Payout Ratio Company Filings (2019-12-31) 6044.3%
Discount Rate (Cost of Equity) See below 4%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:PWC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 5.4%
Electric Utilities Unlevered Beta Simply Wall St/ S&P Global 0.25
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.254 (1 + (1- 21%) (65.96%))
0.589
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.39% + (0.8 * 5.44%)
3.96%

Discounted Cash Flow Calculation for DB:PWC using Dividend Discount Model Model

The calculations below outline how an intrinsic value for Pinnacle West Capital is arrived at by discounting future dividends to their present value. This approach is used for finance firms where free cash flow is difficult to estimate (e.g. Banks/ Insurance firms).

If the firm does not pay the majority of its earnings out as a dividend this method will often arrive at a value significantly lower than the share price.

See our documentation to learn about this calculation.

DB:PWC Gordon Growth Model
Calculation Result
Value per share = Expected dividends per share / (Discount Rate - Perpetual growth rate)
= $3.41 / (3.96% - -0.39%)
$63.47
DB:PWC Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:PWC represents 0.89969x of NYSE:PNW
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.89969x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 78.41 x 0.89969
€70.54
Value per share (EUR) From above. €70.54
Current discount Discount to share price of €70.50
= -1 x (€70.50 - €70.54) / €70.54
0.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Pinnacle West Capital is available for.
Intrinsic value
0%
Share price is €70.5 vs Future cash flow value of €70.54
Current Discount Checks
For Pinnacle West Capital to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Pinnacle West Capital's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Pinnacle West Capital's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Pinnacle West Capital's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Pinnacle West Capital's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:PWC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in USD $4.79
NYSE:PNW Share Price ** NYSE (2020-03-31) in USD $78.36
Europe Electric Utilities Industry PE Ratio Median Figure of 76 Publicly-Listed Electric Utilities Companies 10.21x
Germany Market PE Ratio Median Figure of 399 Publicly-Listed Companies 16.31x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Pinnacle West Capital.

DB:PWC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:PNW Share Price ÷ EPS (both in USD)

= 78.36 ÷ 4.79

16.37x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Pinnacle West Capital is overvalued based on earnings compared to the Europe Electric Utilities industry average.
  • Pinnacle West Capital is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does Pinnacle West Capital's expected growth come at a high price?
Raw Data
DB:PWC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 16.37x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts
5.8%per year
Europe Electric Utilities Industry PEG Ratio Median Figure of 37 Publicly-Listed Electric Utilities Companies 1.63x
Germany Market PEG Ratio Median Figure of 255 Publicly-Listed Companies 1.18x

*Line of best fit is calculated by linear regression .

DB:PWC PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 16.37x ÷ 5.8%

2.84x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Pinnacle West Capital is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Pinnacle West Capital's assets?
Raw Data
DB:PWC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in USD $48.30
NYSE:PNW Share Price * NYSE (2020-03-31) in USD $78.36
Europe Electric Utilities Industry PB Ratio Median Figure of 87 Publicly-Listed Electric Utilities Companies 0.76x
Germany Market PB Ratio Median Figure of 571 Publicly-Listed Companies 1.43x
DB:PWC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:PNW Share Price ÷ Book Value per Share (both in USD)

= 78.36 ÷ 48.30

1.62x

* Primary Listing of Pinnacle West Capital.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Pinnacle West Capital is overvalued based on assets compared to the Europe Electric Utilities industry average.
X
Value checks
We assess Pinnacle West Capital's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Electric Utilities industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Electric Utilities industry average (and greater than 0)? (1 check)
  5. Pinnacle West Capital has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Pinnacle West Capital expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
5.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Pinnacle West Capital expected to grow at an attractive rate?
  • Pinnacle West Capital's earnings growth is expected to exceed the low risk savings rate of -0.4%.
Growth vs Market Checks
  • Pinnacle West Capital's earnings growth is positive but not above the Germany market average.
  • Pinnacle West Capital's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:PWC Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:PWC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 11 Analysts 5.8%
DB:PWC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 11 Analysts 4.5%
Europe Electric Utilities Industry Earnings Growth Rate Market Cap Weighted Average 9.5%
Europe Electric Utilities Industry Revenue Growth Rate Market Cap Weighted Average 3.9%
Germany Market Earnings Growth Rate Market Cap Weighted Average 14.4%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:PWC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:PWC Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-12-31 4,159 1,583 722 1
2023-12-31 4,150 1,468 680 2
2022-12-31 4,044 1,386 626 5
2021-12-31 3,891 1,315 590 8
2020-12-31 3,644 1,256 550 11
2020-03-31
DB:PWC Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-12-31 3,471 957 538
2019-09-30 3,557 1,152 500
2019-06-30 3,634 1,227 503
2019-03-31 3,739 1,284 526
2018-12-31 3,691 1,277 511
2018-09-30 3,695 1,306 507
2018-06-30 3,610 1,223 468
2018-03-31 3,580 1,145 468
2017-12-31 3,565 1,118 488
2017-09-30 3,545 1,030 520
2017-06-30 3,528 891 507
2017-03-31 3,499 1,019 461

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Pinnacle West Capital's earnings are expected to grow by 5.8% yearly, however this is not considered high growth (20% yearly).
  • Pinnacle West Capital's revenue is expected to grow by 4.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:PWC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below

All data from Pinnacle West Capital Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:PWC Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-12-31 6.16 6.16 6.16 1.00
2023-12-31 5.83 5.88 5.74 4.00
2022-12-31 5.38 5.51 5.15 8.00
2021-12-31 5.17 5.43 5.05 10.00
2020-12-31 4.87 5.06 4.83 11.00
2020-03-31
DB:PWC Past Financials Data
Date (Data in USD Millions) EPS *
2019-12-31 4.79
2019-09-30 4.45
2019-06-30 4.48
2019-03-31 4.69
2018-12-31 4.56
2018-09-30 4.52
2018-06-30 4.18
2018-03-31 4.19
2017-12-31 4.37
2017-09-30 4.65
2017-06-30 4.54
2017-03-31 4.13

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Pinnacle West Capital is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Pinnacle West Capital's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Pinnacle West Capital has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Pinnacle West Capital performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Pinnacle West Capital's growth in the last year to its industry (Electric Utilities).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Pinnacle West Capital's year on year earnings growth rate has been positive over the past 5 years.
  • Pinnacle West Capital's 1-year earnings growth is less than its 5-year average (5.3% vs 6.1%)
  • Pinnacle West Capital's earnings growth has not exceeded the Europe Electric Utilities industry average in the past year (5.3% vs 7.2%).
Earnings and Revenue History
Pinnacle West Capital's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Pinnacle West Capital Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:PWC Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 3,471.21 538.32 -22.99
2019-09-30 3,557.19 500.42 101.18
2019-06-30 3,634.44 503.15 -36.41
2019-03-31 3,739.06 525.74 -42.05
2018-12-31 3,691.25 511.05 -49.79
2018-09-30 3,694.53 506.60 -42.38
2018-06-30 3,609.82 467.66 -36.46
2018-03-31 3,580.28 468.37 -31.43
2017-12-31 3,565.30 488.46 -24.66
2017-09-30 3,544.84 520.07 -19.60
2017-06-30 3,528.44 507.03 -13.07
2017-03-31 3,499.24 460.89 -6.10
2016-12-31 3,498.68 442.03 -20.37
2016-09-30 3,493.91 429.91
2016-06-30 3,526.14 423.99
2016-03-31 3,501.39 425.59
2015-12-31 3,495.44 437.26
2015-09-30 3,487.46 401.55
2015-06-30 3,460.98 388.40
2015-03-31 3,476.60 397.95
2014-12-31 3,491.63 397.60
2014-09-30 3,464.94 416.45
2014-06-30 3,444.67 398.65
2014-03-31 3,454.23 397.40
2013-12-31 3,454.63 406.07
2013-09-30 3,447.99 408.68
2013-06-30 3,405.07 427.35

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Pinnacle West Capital has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Pinnacle West Capital used its assets more efficiently than the Europe Electric Utilities industry average last year based on Return on Assets.
  • Pinnacle West Capital's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Pinnacle West Capital's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Electric Utilities industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Pinnacle West Capital has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Pinnacle West Capital's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Pinnacle West Capital's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Pinnacle West Capital's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Pinnacle West Capital's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Pinnacle West Capital's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Pinnacle West Capital Company Filings, last reported 3 months ago.

DB:PWC Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 5,553.19 5,747.23 10.28
2019-09-30 5,681.71 5,492.37 29.85
2019-06-30 5,357.24 5,569.25 1.65
2019-03-31 5,381.73 5,380.16 6.11
2018-12-31 5,348.71 5,214.63 5.77
2018-09-30 5,485.86 5,215.56 64.99
2018-06-30 5,159.43 5,407.77 3.84
2018-03-31 5,153.67 5,242.43 15.44
2017-12-31 5,135.73 4,967.11 13.89
2017-09-30 5,277.61 4,829.45 10.67
2017-06-30 4,990.08 4,881.52 4.95
2017-03-31 4,965.94 4,606.19 3.03
2016-12-31 4,935.91 4,323.99 8.88
2016-09-30 4,992.14 4,279.54 48.27
2016-06-30 4,719.18 4,255.56 43.04
2016-03-31 4,740.41 4,082.41 14.48
2015-12-31 4,719.46 3,819.97 39.49
2015-09-30 4,791.32 3,725.78 13.01
2015-06-30 4,525.64 3,826.08 13.56
2015-03-31 4,553.01 3,709.39 11.66
2014-12-31 4,519.10 3,537.54 7.60
2014-09-30 4,644.01 3,425.79 10.47
2014-06-30 4,381.86 3,545.00 9.16
2014-03-31 4,377.70 3,595.54 103.42
2013-12-31 4,340.46 3,490.01 9.53
2013-09-30 4,421.43 3,386.80 135.46
2013-06-30 4,169.24 3,449.40 27.80
  • Pinnacle West Capital's level of debt (103.5%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (78.3% vs 103.5% today).
  • Debt is not well covered by operating cash flow (16.6%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 3.1x coverage).
X
Financial health checks
We assess Pinnacle West Capital's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Pinnacle West Capital has a total score of 1/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Pinnacle West Capital's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.99%
Current annual income from Pinnacle West Capital dividends. Estimated to be 4.35% next year.
If you bought €2,000 of Pinnacle West Capital shares you are expected to receive €80 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Pinnacle West Capital's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.68%).
  • Pinnacle West Capital's dividend is below the markets top 25% of dividend payers in Germany (4.97%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:PWC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 11 Analyst Estimates (S&P Global) See Below
Europe Electric Utilities Industry Average Dividend Yield Market Cap Weighted Average of 50 Stocks 4.8%
Germany Market Average Dividend Yield Market Cap Weighted Average of 323 Stocks 3.8%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.9%
Germany Bottom 25% Dividend Yield 25th Percentile 1.7%
Germany Top 25% Dividend Yield 75th Percentile 5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:PWC Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2024-12-31 4.19 1.00
2023-12-31 3.80 3.00
2022-12-31 3.59 6.00
2021-12-31 3.36 9.00
2020-12-31 3.18 11.00
2020-03-31
DB:PWC Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-12-19 3.130 3.498
2019-10-23 3.130 3.543
2019-06-19 2.950 3.121
2019-04-17 2.950 3.093
2018-12-19 2.950 3.264
2018-10-18 2.950 3.376
2018-06-20 2.780 3.456
2018-04-18 2.780 3.580
2017-12-20 2.780 3.516
2017-10-18 2.780 3.114
2017-06-21 2.620 3.000
2017-04-19 2.620 3.035
2016-12-21 2.620 3.261
2016-10-20 2.620 3.496
2016-06-22 2.500 3.239
2016-04-21 2.500 3.380
2015-12-16 2.500 3.644
2015-10-21 2.500 3.956
2015-06-17 2.380 3.892
2015-04-22 2.380 3.974
2014-12-17 2.380 3.596
2014-06-19 2.270 3.922
2014-04-23 2.270 4.117
2013-12-18 2.270 4.218
2013-10-24 2.270 4.151
2013-06-19 2.180 3.907
2013-04-18 2.180 3.721
2012-12-19 2.180 3.976
2012-10-18 2.180 4.260
2012-06-20 2.100 3.988
2012-04-18 2.100 4.280
2012-01-18 2.100 4.434
2011-10-19 2.100 4.510
2011-06-24 2.100 4.872
2011-04-20 2.100 4.762
2011-01-19 2.100 4.979
2010-10-20 2.100 5.082
2010-06-22 2.100 5.306
2010-04-21 2.100 5.795
2010-01-21 2.100 5.652
2009-10-21 2.100 5.945
2009-07-22 2.100 6.421
2009-04-22 2.100 7.387

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Pinnacle West Capital's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.6x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.5x coverage).
X
Income/ dividend checks
We assess Pinnacle West Capital's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Pinnacle West Capital afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Pinnacle West Capital has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Pinnacle West Capital's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Jeff Guldner
COMPENSATION $2,229,524
AGE 53
TENURE AS CEO 0.3 years
CEO Bio

Mr. Jeffrey B. Guldner, also known as Jeff, has been Chairman and Chief Executive Officer of Arizona Public Service Company since November 15, 2019. He served as the President of Arizona Public Service Company since December 19, 2018 until January 8, 2020 and served as its Executive Vice President of Public Policy until 2018. He serves as President, Chief Executive Officer and Chairman of the Board at Pinnacle West Capital Corporation since November 15, 2019. Mr. Guldner had been Executive Vice President of Public Policy at Pinnacle West Capital Corporation since 2017 and was its General Counsel since May 17, 2017 until August 13, 2018 until November 15, 2019 and serves as its Director since August 20, 2019. Mr. Guldner served as Senior Vice President of Public Policy at Arizona Public Service Co. from 2014 to May 17, 2017. Mr. Guldner served as a Senior Vice President of Customers & Regulation at Arizona Public Service Co. (APS) from June 2012 to 2014 and served as its Vice President of Rates & Regulation from 2007 to June 2012. Mr. Guldner joined APS in 2004. Active in a variety of business and cultural organizations throughout Arizona, he Chairs the East Valley Partnership and serves on the boards of the Greater Phoenix Economic Council and the Arizona Theatre Company. He was a Chair of the Edison Electric Institute’s Executive Advisory Council for Energy Delivery. Prior to joining APS in 2004, he was a Partner in the Phoenix office of Snell & Wilmer LLP, where he practiced public utility, telecommunications and energy law. Guldner was a surface warfare officer in the United States Navy and an assistant professor of naval history at the University of Washington. Guldner received his undergraduate degree from the University of Iowa in 1987. He graduated magna cum laude from the Arizona State University College of Law in 1996. He has completed executive education courses in nuclear reactor technology at MIT and advanced management at Columbia Business School.

CEO Compensation
  • Insufficient data for Jeff to compare compensation growth.
  • Jeff's remuneration is lower than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Pinnacle West Capital management team in years:

0.2
Average Tenure
53
Average Age
  • The average tenure for the Pinnacle West Capital management team is less than 2 years, this suggests a new team.
Management Team

Jeff Guldner

TITLE
Chairman
COMPENSATION
$2M
AGE
53
TENURE
0.3 yrs

Jim Hatfield

TITLE
Executive VP
COMPENSATION
$3M
AGE
61
TENURE
0.2 yrs

Bob Bement

TITLE
Executive VP & Special Advisor to the CEO of Arizona Public Service Company
COMPENSATION
$3M
AGE
63
TENURE
0.2 yrs

Daniel Froetscher

TITLE
President & COO of Arizona Public Service Company
COMPENSATION
$2M
AGE
57
TENURE
0.2 yrs

Ted Geisler

TITLE
Senior VP & CFO
AGE
40
TENURE
0.2 yrs

Beth Blankenship

TITLE
VP, Controller & Chief Accounting Officer
AGE
47
TENURE
0.7 yrs

Stefanie Layton

TITLE
Director of Investor Relations

Bob Smith

TITLE
Senior VP & General Counsel
AGE
49
TENURE
1.6 yrs

Jack Cadogan

TITLE
Senior VP of Site Ops
TENURE
3.7 yrs

Diane Wood

TITLE
Assistant VP
Board of Directors Tenure

Average tenure and age of the Pinnacle West Capital board of directors in years:

9.7
Average Tenure
70.5
Average Age
  • The tenure for the Pinnacle West Capital board of directors is about average.
Board of Directors

Jeff Guldner

TITLE
Chairman
COMPENSATION
$2M
AGE
53
TENURE
0.3 yrs

Bruce Nordstrom

TITLE
Independent Director
COMPENSATION
$298K
AGE
69
TENURE
20.2 yrs

Kathy Munro

TITLE
Lead Director
COMPENSATION
$282K
AGE
70

Humberto Lopez

TITLE
Independent Director
COMPENSATION
$360K
AGE
73
TENURE
25.2 yrs

Michael Gallagher

TITLE
Independent Director
COMPENSATION
$340K
AGE
74
TENURE
21.2 yrs

Denis Cortese

TITLE
Independent Director
COMPENSATION
$223K
AGE
75
TENURE
10.2 yrs

Dale Klein

TITLE
Independent Director
COMPENSATION
$223K
AGE
72
TENURE
9.7 yrs

Rick Fox

TITLE
Independent Director
COMPENSATION
$242K
AGE
71
TENURE
6 yrs

David Wagener

TITLE
Independent Director
COMPENSATION
$223K
AGE
64
TENURE
6 yrs

Paula Sims

TITLE
Independent Director
COMPENSATION
$225K
AGE
57
TENURE
3.4 yrs
Who owns this company?
Recent Insider Trading
  • Pinnacle West Capital individual insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
09. Mar 20 Sell Bruce Nordstrom Individual 05. Mar 20 05. Mar 20 -4,742 €88.32 €-418,805
28. Feb 20 Sell Daniel Froetscher Individual 26. Feb 20 26. Feb 20 -2,500 €90.26 €-225,642
27. Feb 20 Sell Lee Nickloy Individual 25. Feb 20 25. Feb 20 -1,628 €92.48 €-150,559
27. Feb 20 Sell James Hatfield Individual 25. Feb 20 25. Feb 20 -20,000 €92.39 €-1,826,191
15. Nov 19 Sell Barbara Lockwood Individual 13. Nov 19 13. Nov 19 -1,750 €78.33 €-137,077
15. May 19 Sell Michael Gallagher Individual 13. May 19 13. May 19 -5,000 €85.38 €-426,899
07. May 19 Sell Denis Cortese Individual 03. May 19 03. May 19 -3,014 €84.09 €-253,438
X
Management checks
We assess Pinnacle West Capital's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Pinnacle West Capital has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Pinnacle West Capital Corporation, through its subsidiary, Arizona Public Service Company, provides retail and wholesale electric services primarily in the state of Arizona. The company generates, transmits, and distributes electricity using coal, nuclear, gas, oil, and solar generating facilities. Its transmission facilities consist of approximately 6,192 pole miles of overhead lines and approximately 49 miles of underground lines; and distribution facilities comprise approximately 11,191 miles of overhead lines and approximately 22,092 miles of underground primary cable. The company serves approximately 1.3 million customers. It owns or leases approximately 6,316 megawatts of regulated generation capacity. The company was incorporated in 1985 and is headquartered in Phoenix, Arizona.

Details
Name: Pinnacle West Capital Corporation
PWC
Exchange: DB
Founded: 1985
$7,986,067,966
112,439,441
Website: http://www.pinnaclewest.com
Address: Pinnacle West Capital Corporation
400 North 5th Street,
PO Box 53999,
Phoenix,
Arizona, 85072-3999,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE PNW Common Stock New York Stock Exchange US USD 02. Jan 1968
DB PWC Common Stock Deutsche Boerse AG DE EUR 02. Jan 1968
LSE 0KIT Common Stock London Stock Exchange GB USD 02. Jan 1968
BOVESPA P1NW34 BDR EACH 2 REPR 1 COM Bolsa de Valores de Sao Paulo BR BRL 27. Jan 2020
Number of employees
Current staff
Staff numbers
6,210
Pinnacle West Capital employees.
Industry
Electric Utilities
Utilities
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/03/31 20:44
End of day share price update: 2020/03/31 00:00
Last estimates confirmation: 2020/03/27
Last earnings filing: 2020/02/21
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.