PG&E Corporation ($PCG) Confident Investor Rating: Poor

Company name PG&E Corporation
Stock ticker PCG
Live stock price [stckqut]PCG[/stckqut]
P/E compared to competitors Fair

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Poor
EPS growth Poor
P/E growth Fair
EBIT growth Poor

ANALYSIS

Confident Investor Rating Poor
Target stock price (TWCA growth scenario) $26.16
Target stock price (averages with growth) $26.34
Target stock price (averages with no growth) $23.9
Target stock price (manual assumptions) $31.73

The following company description is from Google Finance: http://www.google.com/finance?q=pcg

PG&E Corporation is a holding company that conducts its business through Pacific Gas and Electric Company (Utility). The Utility’s revenues are generated mainly through the sale and delivery of electricity and natural gas to customers. The Utility served approximately 5.2 million electricity distribution customers and approximately 4.4 million natural gas distribution customers at December 31, 2012. The Utility’s rates for electricity and natural gas utility services are based on its costs of providing service (cost-of-service ratemaking). The Utility is regulated primarily by the California Public Utilities Commission (CPUC) and the Federal Energy Regulatory Commission (FERC). In addition, the Nuclear Regulatory Commission (NRC) oversees the licensing, construction, operation, and decommissioning of the Utility’s nuclear generation facilities. During the year ended December 31, 2012, the Company delivered 76,205 gigawatts per hour of Actual Electricity.

 

Confident Investor comments: At this price and at this time, I do not think that a Confident Investor can confidently invest in this stock.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor.

 

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.