Utilities · Multi-Utilities · US stock · price as of 22 Oct 2026
Key indicators
Price
$106.61
52-week range
$86.18 – $111.16
Market cap
$13.3B
P/E (trailing)
20.2×
EV / EBITDA
11.5×
Free-cash-flow yield
−6.6%
Dividend yield
3.4%
Revenue (last 12 months)
$5.6B
Revenue growth (3y a year)
7.3%
Operating margin
20.5%
Return on invested capital
3.8%
Net debt / EBITDA
7.7×
Fair value
Fair value (average of valid models)$98.07 middle half of models $81 – $100
Versus priceFair−8% to fair value
P/E multiple
$103.70
P/B multiple
$94.66
P/S multiple
$101.33
EV/EBITDA multiple
$95.66
EV/EBIT multiple
$88.27
EV/revenue multiple
$86.07
5-year DCF, EBITDA exit
$66.05
5-year DCF, revenue exit
$65.00
Dividend discount, stable
$200.75
Earnings power value
$79.16
Model uncertainty
High
X-Ray Score
40/ 100 · Medium confidence · ahead of 13% of sector peers
Valuation25
Growth61
Profitability41
Financial health32
Dividends55
Five-year price chart navy: price · brown: 200-day average · blue band: fair value range
Executive summary
Pinnacle West Capital is the holding company for Arizona Public Service, a regulated electric utility that serves homes, businesses and industrial customers across much of Arizona. The utility generates power from natural gas, nuclear, solar and other sources, and it operates the transmission and distribution lines that deliver it. Its rates are set by the Arizona Corporation Commission and federal regulators.
Revenue comes from regulated charges paid by customers for electricity, which depend on rates approved by regulators and on usage. The last twelve months produced $5.6 billion, and revenue has grown at 7.3% a year across the last three years. The operating margin is 20.5%, and the business earns a profit of 4% on the capital invested in it. It carries net debt of 7.7 times EBITDA. The company pays a dividend with a yield of 3.4%.
StocksXray gives Pinnacle West Capital Corp an X-Ray Score of 40 out of 100 (medium confidence), ahead of 13% of the S&P 500 stocks in its sector. Its strongest lens is growth (61) and its weakest is valuation (25).
Our fair value (the average of the valid models) is $98.07 (range $80.89 to $99.91). At $106.61 the stock trades 9% above that value, so the label is "Fair" with high model uncertainty. Fair value is a range, not a price target.
XStocksXray
Pinnacle West Capital Corp (PNW)
Valuation history multiples at each fiscal year-end price; the last column uses today's price and the last twelve months
FY2021
FY2022
FY2023
FY2024
FY2025
Now
Price
$57.46
$64.93
$64.16
$79.21
$86.28
$106.61
Market cap
$6.5B
$7.4B
$7.3B
$9.2B
$10.5B
$13.3B
P/E
10.5×
15.2×
14.5×
15.1×
17.1×
20.2×
EV / revenue
3.6×
3.6×
3.5×
3.7×
4.0×
4.4×
EV / EBITDA
9.1×
10.0×
9.8×
9.5×
10.4×
11.6×
Price / free cash flow
–
–
–
–
–
–
Free-cash-flow yield
−9.4%
−6.3%
−8.7%
−6.9%
−7.8%
−6.6%
Price / book
1.1×
1.2×
1.2×
1.4×
1.5×
1.9×
Dividend yield
5.85%
5.28%
5.44%
4.48%
4.18%
3.41%
Fundamentals checklist ● 2 Good · ● 3 Average · ● 9 Bad · each check graded against the sector
Cash quality
Earnings backed by cash−3.4%Average
Free-cash-flow yield−6.6%Bad
Risk models
Altman Z score0.6×Bad
Piotroski F-Score5 of 9Bad
Growth
EPS growth (3y)5.8%Average
Revenue growth (3y)7.3%Good
Growth consistency100%Good
Balance sheet
Current ratio0.6×Bad
Net debt / EBITDA7.7×Bad
Interest cover2.5×Average
Valuation
Fair value vs price0.9×Bad
EBIT / EV yield3.8%Bad
Profitability
Return on invested capital3.8%Bad
Operating margin20.5%Bad
XStocksXray
Pinnacle West Capital Corp (PNW)
Financials US$ millions, from SEC filings; last column is the last twelve months
Income statement
FY21
FY22
FY23
FY24
FY25
LTM
Revenue
3,804
4,324
4,696
5,125
5,340
5,554
Gross profit
–
–
–
–
–
–
Operating income
805
732
825
1,012
1,068
1,140
Net income
636
501
519
626
632
651
Diluted EPS ($)
5.47
4.26
4.41
5.24
5.05
5.29
Free cash flow
-613
-466
-639
-639
-820
-879
Gross margin
–
–
–
–
–
–
Operating margin
21.2%
16.9%
17.6%
19.7%
20.0%
20.5%
Net margin
16.7%
11.6%
11.0%
12.2%
11.8%
11.7%
Balance sheet
FY21
FY22
FY23
FY24
FY25
LTM
Total assets
22,003
22,723
24,661
26,103
30,032
32,577
Cash
10
5
5
4
7
9
Total debt
7,206
8,082
9,025
9,427
10,563
11,369
Equity
5,906
6,049
6,178
6,754
7,046
7,035
Dividend per share ($)
3.36
3.43
3.49
3.55
3.61
–
Revenue and net income US$ billions: navy revenue, teal net income
Every number comes from SEC filings, end-of-day prices and the StocksXray models described on the methodology page. The X-Ray Score ranks each metric against the company's own sector. Fair value is the average of up to 15 valuation models, most of them anchored to the company's own multiples, so it stays near the price and should be read as a range, not a point. Analyst ratings, price targets and earnings-call summaries are not part of this report. Educational research, not financial advice; read the disclaimer.
