Pinnacle West Capital Corp
NYSE:PNW
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Pinnacle West Capital Corp
NYSE:PNW
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US |
Intrinsic Value
The intrinsic value of Pinnacle West Capital Corp (PNW) under the Base Case is 94.72 USD per share.
Compared with the current market price of 106.48 USD, the stock appears
Overvalued by 11% .
The intrinsic value is calculated using the DCF method. The model assumes net margin rises from 12% last year to 14% by 2031, above its five-year average of 12%. Revenue grows about 6% a year over the next five years, below its five-year pace of 8%.
Do our valuations actually work? See backtest results .
Cheap or expensive for this stock?
This block shows whether today’s valuation is cheap or expensive compared with the stock’s own history, and what happened after similar valuations in the past.
We compare the gap between the stock’s price and our estimated value over time.
- Undervalued can still be historically expensive. The stock may trade below our estimated value, but usually offer an even bigger discount.
- Overvalued can still be historically cheap. The stock may trade above our estimated value, but usually carry an even higher premium.
Market expectations can differ from our model, which may not fully capture everything affecting the price. That is why some stocks regularly trade above our estimated value and others below it.
The scale and chart show how today’s valuation compares with the past. The cards summarize past returns and waiting times until the stock stopped being cheap or expensive. This can happen because the price changed, our estimated value changed, or both.
Only completed periods are included. These are past results, not forecasts. The usual historical range does not necessarily mean fair value.
Fundamental Analysis
What Pinnacle West Capital Does
Pinnacle West Capital is the holding company for Arizona Public Service, the main electric utility serving much of Arizona. Its core business is simple: generate, buy, transmit, and deliver electricity to homes, businesses, and industrial customers across its service area. It also owns and maintains the power lines, substations, and other equipment needed to keep the grid running.
- Headquarters
- United States of America US
- Employees
- 94
- IPO date
- Aug 28, 1961
Pinnacle West Capital has no economic moat
Regulator-reviewed rates and customers’ ability to supply some of their own power limit how much APS can protect its profits through its local utility position. Electricity itself is a standard product, and adding customers does not make it more valuable or harder for alternatives to match.
Read the full moat analysis
Revenue & Expenses Breakdown
Pinnacle West Capital Corp
Earnings Waterfall
Pinnacle West Capital Corp
The intrinsic value for Pinnacle West Capital Corp (PNW) under the Base Case is 94.72 USD.
Compared with the current market price of 106.48 USD, the stock appears Overvalued by 11% .