PG&E (PCG) AI Stock Analysis

• Market Cap: $35.76B
• Dividend Yield: 0.61%
• Average Volume (3M): 22.72M
• Price to Earnings (P/E): 13.9
• Beta (1Y): 0.32
• Revenue Growth: -0.27%
• EPS Growth: -7.65%
• Country: US
• Employees: 28,410
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 0.50
• Shares Outstanding: 2,197,910,400
• 10 Day Avg. Volume: 21,763,234
• 30 Day Avg. Volume: 22,716,174
• PEG Ratio: 2.68
• Price to Book (P/B): 1.43
• Price to Sales (P/S): 1.77
• P/FCF Ratio: -18.51
• Enterprise Value/Market Cap: 2.66
• Enterprise Value/Revenue: 3.85
• Enterprise Value/Gross Profit: 13.41
• Enterprise Value/Ebitda: 10.14
• 1Y Price Target: $21.45
• Price Target Upside: 31.35% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11
• EPS Forecast (FY): 1.5
• Revenue Forecast (FY): $25.52B

• Rating: 73 Outperform
• Price Target: $18.50 ▲(13.29% Upside)

PG&E's strong earnings call and positive technical indicators are the most significant factors driving the score. Financial performance is solid but hampered by cash flow issues. Valuation is reasonable, and the absence of notable corporate events keeps the focus on operational and strategic execution.

Positive Factors

Wildfire Risk Mitigation

PG&E's success in reducing wildfire risks by undergrounding power lines and lowering ignitions enhances safety and reliability, crucial for long-term operational stability.

Earnings Guidance

Improved earnings guidance reflects strong financial management and growth prospects, supporting investor confidence and future capital investments.

Operational Efficiency

Consistent operational cost reductions enhance profitability and competitiveness, allowing PG&E to reinvest in infrastructure and sustainability initiatives.

Negative Factors

Cash Flow Challenges

Persistent cash flow issues could limit PG&E's ability to fund capital projects and manage debt, impacting long-term financial health and growth capacity.

Data Center Pipeline Attrition

Attrition in the data center pipeline may slow growth in a key segment, affecting revenue diversification and future earnings potential.

Pending Regulatory Decisions

Uncertainty around regulatory outcomes could impact PG&E's financial planning and cost structure, posing risks to future profitability and strategic initiatives.

PG&E Business Overview & Revenue Model

Company Description

Pacific Gas and Electric Company (PG&E) is a publicly traded utility company based in California, primarily engaged in the transmission and distribution of electricity and natural gas. Serving millions of customers across Northern and Central California, PG&E operates within the energy sector, focusing on providing reliable energy services, including renewable energy solutions, energy efficiency programs, and infrastructure improvements. The company is also involved in various initiatives aimed at enhancing sustainability and reducing carbon emissions.

How the Company Makes Money

PG&E generates revenue primarily through the sale of electricity and natural gas to residential, commercial, and industrial customers. The company operates under a regulated utility model, where its rates are approved by the California Public Utilities Commission (CPUC). This regulatory framework allows PG&E to recover costs associated with infrastructure investments, maintenance, and operational expenses through rate adjustments. Key revenue streams include standard electricity and gas service charges, as well as additional fees for services such as energy efficiency programs and renewable energy initiatives. PG&E also benefits from partnerships with renewable energy developers, which contribute to its growing portfolio of clean energy resources, and various state and federal programs that incentivize energy efficiency and renewable energy adoption.

PG&E Financial Statement Overview

Summary

PG&E shows solid revenue growth and operational efficiency, with a strong income statement and improved leverage on the balance sheet. However, cash flow challenges persist, requiring attention to sustain growth.

Income Statement

PG&E's income statement shows a steady revenue growth with a TTM growth rate of 1.26%. The company maintains healthy margins with a gross profit margin of 28.69% and a net profit margin of 10.93% in the TTM period. EBIT and EBITDA margins are strong at 19.98% and 37.93%, respectively, indicating operational efficiency. However, the gross profit margin has decreased from the previous year, suggesting potential cost pressures.

Balance Sheet

The balance sheet reflects a significant reduction in debt, with a TTM debt-to-equity ratio of 0.05, down from 1.94 the previous year, indicating improved financial stability. Return on equity is moderate at 8.73%, showing decent profitability. The equity ratio is not explicitly calculated but appears stable given the equity and asset figures. Overall, the balance sheet shows improved leverage but still requires careful management of equity and assets.

Cash Flow

Cash flow analysis reveals challenges, with negative free cash flow in the TTM period. Despite a 27.99% growth in free cash flow, the free cash flow to net income ratio remains negative, indicating cash flow issues. The operating cash flow to net income ratio is 0.58, suggesting moderate cash generation from operations. While there is improvement, cash flow management remains a critical area for PG&E.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	24.76B	24.42B	24.43B	21.68B	20.64B	18.47B
Gross Profit	7.10B	9.16B	4.00B	2.68B	2.14B	2.01B
EBITDA	9.39B	9.94B	7.85B	6.73B	6.27B	4.20B
Net Income	2.71B	2.51B	2.26B	1.81B	-88.00M	-1.30B
Balance Sheet
Total Assets	138.25B	133.66B	125.70B	118.64B	103.33B	97.86B
Cash, Cash Equivalents and Short-Term Investments	772.00M	940.00M	635.00M	734.00M	291.00M	484.00M
Total Debt	59.79B	58.34B	57.73B	53.54B	46.17B	42.60B
Total Liabilities	106.02B	103.26B	100.41B	95.57B	82.10B	76.60B
Stockholders Equity	31.98B	30.15B	25.04B	22.82B	20.97B	21.00B
Cash Flow
Free Cash Flow	-2.77B	-2.33B	-4.97B	-5.86B	-5.43B	-26.82B
Operating Cash Flow	8.69B	8.04B	4.75B	3.72B	2.26B	-19.13B
Investing Cash Flow	-12.41B	-11.38B	-9.16B	-10.21B	-6.91B	-7.75B
Financing Cash Flow	3.26B	3.62B	4.40B	7.13B	4.32B	25.93B

PG&E Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.33
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PCG, the sentiment is Positive. The current price of 16.33 is above the 20-day moving average (MA) of 16.27, above the 50-day MA of 15.66, and above the 200-day MA of 15.66, indicating a bullish trend. The MACD of 0.12 indicates Positive momentum. The RSI at 56.02 is Neutral, neither overbought nor oversold. The STOCH value of 63.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PCG.

PG&E Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DUK	75 Outperform	$96.25B	20.24	9.60%	3.39%	4.07%	9.94%
PCG	73 Outperform	$35.76B	13.87	9.21%	0.61%	-0.27%	-7.65%
AEP	72 Outperform	$64.10B	17.52	12.85%	3.20%	7.66%	37.42%
FE	72 Outperform	$26.39B	19.85	10.54%	3.84%	7.64%	48.61%
SO	69 Neutral	$100.65B	22.72	13.06%	2.99%	9.40%	-6.05%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
DTE	65 Neutral	$27.83B	20.07	11.64%	3.25%	19.42%	-9.68%

PG&E Corporate Events

PG&E Reports Strong Q3 2025 Earnings and Positive Outlook

Pacific Gas & Electric Co. (PG&E), a major energy provider in Northern and Central California, is a key player in the utility sector, known for its extensive service area and focus on safety and sustainability.

PG&E Earnings Call Highlights Strong Performance and Future Growth

Pacific Gas & Electric Co. (PG&E) recently held its earnings call, which revealed a strong performance marked by improvements in earnings guidance and significant achievements in wildfire risk mitigation. The company also made progress in cost reductions. However, concerns were raised about attrition in the data center pipeline and pending regulatory decisions that could impact future earnings.

PG&E to Discuss Investment Plan in Upcoming Call

PG&E Corporation announced it will hold a conference call on September 29, 2025, to update investors on its extended investment plan through 2030. This update is significant for stakeholders as it outlines the company’s future financial strategies and potential impacts on its operations and market positioning.

The most recent analyst rating on (PCG) stock is a Hold with a $19.50 price target. To see the full list of analyst forecasts on PG&E stock, see the PCG Stock Forecast page.

PG&E Secures $500 Million Term Loan Agreement

On September 24, 2025, PG&E entered into a $500 million Term Loan Credit Agreement with Wells Fargo Bank and other financial institutions, with a maturity date of September 23, 2026. The loan is secured by a first mortgage bond and includes covenants limiting certain financial activities, requiring PG&E to maintain a specific debt-to-capitalization ratio. The agreement outlines conditions for default, including immediate payment requirements in cases of insolvency or bankruptcy, potentially impacting PG&E’s financial stability and operational flexibility.

The most recent analyst rating on (PCG) stock is a Hold with a $20.00 price target. To see the full list of analyst forecasts on PG&E stock, see the PCG Stock Forecast page.

PG&E Reaffirms 2025 Financial Guidance Amid Challenges

On September 15, 2025, PG&E Corporation reaffirmed its financial guidance, projecting 2025 non-GAAP Core Earnings Per Share (EPS) between $1.48 and $1.52, and at least 9% growth in non-GAAP Core EPS from 2026 to 2028. The company also anticipates a compound annual rate base growth of 10% from 2023 to 2028, with its common equity issuance plan for 2024-2028 already completed. This announcement underscores PG&E’s commitment to financial stability and growth, despite ongoing challenges related to wildfire liabilities and regulatory scrutiny.

The most recent analyst rating on (PCG) stock is a Hold with a $19.00 price target. To see the full list of analyst forecasts on PG&E stock, see the PCG Stock Forecast page.

PG&E Earnings Call: Optimism Amid Challenges

Pacific Gas & Electric Co. (PG&E) recently held its earnings call, reflecting a cautiously optimistic outlook. The company showcased strong performance metrics and strategic growth initiatives, particularly in data centers and customer affordability. However, significant concerns were raised about legislative and regulatory uncertainties, especially related to wildfire risk management and potential financial impacts.

PG&E Reports Steady Q2 Earnings and Strategic Progress

Pacific Gas & Electric Co. (PG&E) is a major energy provider in Northern and Central California, serving millions of customers with electricity and natural gas across a vast service area. The company is known for its focus on safety and sustainability in energy delivery.

PG&E Reports Steady Q2 2025 Financial Results

On July 31, 2025, PG&E Corporation reported its second-quarter financial results, maintaining GAAP earnings of $0.24 per share and non-GAAP core earnings of $0.31 per share, consistent with the same period in 2024. The company updated its 2025 GAAP earnings guidance to $1.26 to $1.32 per share and reaffirmed its non-GAAP core earnings guidance at $1.48 to $1.52 per share. PG&E is making operational progress with safety and infrastructure improvements, including a significant reduction in methane emissions and advancements in wildfire safety measures. The company is on track to meet its financial and operational targets for 2025, with a focus on delivering affordable and resilient energy.

The most recent analyst rating on (PCG) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on PG&E stock, see the PCG Stock Forecast page.