PG&E Corporation (PCG), headquartered in Oakland, California, is a leading provider of energy services in the U.S. With a market cap of $51.19 billion, PG&E plays a crucial role in delivering electricity and natural gas to millions of customers across Northern and Central California. PG&E invests in renewable energy and innovative technologies and is committed to sustainability and environmental responsibility.
Companies valued at $10 billion or more are generally considered "large-caps," and PG&E Corporation fits this criterion perfectly, signifying its substantial size, stability, and influence in the energy sector. With a strong commitment to sustainability and innovation, PCG continually advances the energy industry, focusing on renewable energy sources and cutting-edge technologies.
PCG shares are trading 6.2% below their 52-week high of $18.95, which they hit on May 22. PCG has seen a 10.7% gain over the last three months compared to the marginal gain seen in the Dow Jones Industrial Average Index ($DOWI) during the same period.
In the long term, PCG declined 1.4% YTD. However, the shares have gained 2.2% over the past 52 weeks. In comparison, the Dow is up 3% in 2024 and 13.2% over the past year.
To confirm the recent bullish price trend, PCG has been trading above its 200-day and 50-day moving average since mid-April.
High interest rates and regulatory pressure on customer bills have impacted PCG's price performance over the past year. Additionally, scrutiny of safety practices, wildfire-related costs, and management issues have further dampened investor confidence despite the company's better-than-expected Q1 earnings. Following the earnings release, PCG shares experienced a marginal gain.
Highlighting the contrast in performance, one of PCG's industry participants, Edison International (EIX), has underperformed PCG, with a 1.9% gain on a YTD basis.
Analysts are optimistic about PCG's prospects, given its recent outperformance compared to DOWI. The stock has a consensus rating of "Strong Buy" from 13 analysts in coverage. The mean price target of $20.71 reflects a 16.5% premium over current levels.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
