Scotiabank Rates Pinnacle West Capital (PNW) Sector Outperform

On September 29, 2026, Scotiabank reiterated its Sector Outperform rating on Pinnacle West Capital Corporation (NYSE: PNW) with a new price target of $104.00. This update reflects a positive outlook for the company as it continues to operate in the regulated electric utilities sector. The previous target was not available, marking this as a fresh perspective from Scotiabank.

Other Institutional Activity in Pinnacle West Capital

Capital Research Global Investors holds 16,494,147 shares of Pinnacle West, valued at about $1.7 billion, having increased its stake by 57,528 shares. Blackrock Inc. owns 11,782,896 shares worth approximately $1.2 billion, with a slight increase of 14,123 shares. Vanguard Capital Management LLC has 7,897,426 shares valued at around $815.6 million after adding 95,958 shares. State Street Corporation increased its holdings by 105,740 shares, ending with 7,016,843 shares worth about $724.6 million. However, Barrow, Hanley Mewhinney & Strauss, LLC reduced its position by 424,938 shares, bringing its total to 6,575,681 shares valued at approximately $679.1 million.

Pinnacle West Capital Corporation Stock Up 10.0%

Pinnacle West shares closed at $94.21 before the rating update. The stock has traded between $85.91 and $111.16 in the past year. With a P/E ratio of 17.9, it offers a moderate valuation in the utilities sector. The company's current price is above its 50-day moving average of approximately $100.50, suggesting some recent strength in its performance.

Recent Earnings

For the fiscal year, Pinnacle West reported revenue of approximately $5.55 billion, reflecting a revenue growth rate of 7.1%. The company achieved an EPS of $5.21 and a net margin of 11.5%. The next earnings report is scheduled for November 3, 2026.

Dividend

Pinnacle West Capital pays an annual dividend of $3.64, which equates to a yield of 3.86%. The dividend payout ratio is around 69.6%, indicating a sustainable approach to returning value to shareholders.

Insider Buying and Selling at Pinnacle West Capital Corporation

Recent insider transactions include Elizabeth A. Blankenship, an officer, who sold 980 shares at an average price of $99.16 on August 10, 2026, totaling $97,182. Jose Luis Esparza Jr., a divisional officer, sold 1,800 shares at $102.01 on August 7, 2026, valued at $183,618. Jacob Tetlow, the Chief Operating Officer, sold 6,567 shares on May 13, 2026, for a total value of $650,133. Additionally, he sold 6,496 shares at $92.37 on August 11, 2025, totaling $600,036.

Analysts Set New Price Targets

On October 5, 2026, Jefferies maintained a Buy rating on Pinnacle West with a price target of $109.00, lowered from a previous target of $129.00. Truist Securities also maintained a Hold rating with a target of $99.00, down from $101.00. Barclays kept an Equal-Weight rating with a target of $94.00, reduced from $108.00. The consensus from analysts indicates a Hold recommendation with a mean price target of $105.46, based on 13 opinions.

About Pinnacle West Capital Corporation

Pinnacle West Capital Corporation is a utility company based in Phoenix, Arizona. It provides retail and wholesale electric services, generating electricity through various sources, including nuclear, gas, oil, coal, and solar. The company's operations are crucial in supporting the energy needs of Arizona residents.

Bottom Line

Investors should keep an eye on Pinnacle West's upcoming earnings report on November 3, 2026, and further updates from analysts. The recent 13F filings reflect past positions and may not represent current holdings. Scotiabank's reiteration of its rating suggests confidence in the company's future performance.