Valued at a market cap of $47.7 billion, PG&E Corporation (PCG) is the parent company of Pacific Gas and Electric Company, California's largest regulated electric and gas utility. Its utility serves approximately 16 million Californians across a 70,000-square-mile service area spanning Northern and Central California.
Shares of the Oakland, California-based company have outpaced the broader market over the past 52 weeks. PCG stock has increased nearly 28% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 16.2%. Moreover, shares of the company are up 11.4% on a YTD basis, compared to SPX's 8.2% gain.
Looking closer, shares of the utility holding company have also outperformed the State Street Utilities Select Sector SPDR ETF's (XLU) nearly 8% return over the past 52 weeks and a 6.9% YTD rise.
PG&E Corporation reported better-than-expected Q2 2026 adjusted EPS of $0.40 on Jul. 23, driven by higher customer rates following a favorable rate case decision and stronger electricity demand from AI data centers. The company also highlighted an expanding data center pipeline of more than 12 GW, with individual projects capped at 1.5 GW, and continuing its wildfire mitigation plan to complete more than 1,900 miles of underground power lines and over 2,000 miles of strengthened poles and covered power lines by the end of 2027. However, the stock fell 3.2% on the day as wildfire fund expenses increased 15.5% to $126 million.
For the fiscal year ending in December 2026, analysts expect PCG's adjusted EPS to grow 10% year-over-year to $1.65. The company's earnings surprise history is promising. It beat or met the consensus estimates in the last four quarters.
Among the 18 analysts covering the stock, the consensus rating is a “Strong Buy.” That’s based on 13 “Strong Buy” ratings and five “Holds.”
On Jul. 25, Barclays analyst Nicholas Campanella maintained a “Buy” rating on PG&E Corporation and reiterated a $23 price target on the stock.
The mean price target of $22.75 represents a 28% premium to PCG’s current price levels. The Street-high price target of $28 suggests a 57.6% potential upside.
