California-based PG&E Corporation (PCG) is a major regulated electric and natural gas utility holding company that serves a large portion of Northern and Central California. Valued at $36 billion by market cap, it operates primarily through its subsidiary, Pacific Gas and Electric Company, delivering electricity and gas to millions of residential, commercial, and industrial customers.
Shares of this leading gas and electricity provider have underperformed the broader market over the past year. PCG has declined 5.9% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 29.1%. In 2026, PCG stock is up 1.2%, compared to the SPX’s 4.3% rise on a YTD basis.
Narrowing the focus, PCG has also underperformed the State Street Utilities Select Sector SPDR Fund (XLU). The exchange-traded fund has gained 17.6% over the past year and 8.3% on a YTD basis.
On Apr. 23, PG&E Corp released its FY2026 Q1 results, and its shares dipped 1.3% in the next trading session. Its revenue reached $6.88 billion, reflecting a 15% year-over-year growth driven by higher approved rates and increased electricity demand. The company also posted non-GAAP EPS of $0.43, up 30.3% from the prior year-quarter, indicating improved underlying profitability. Its shares declined after earnings as investors focused on rising costs, high capital spending, and ongoing wildfire-related risks, which overshadowed otherwise solid results and raised concerns about future profitability.
For the current fiscal year, ended in December 2025, analysts expect PCG’s EPS to grow 10.3% to $1.50 on a diluted basis. The company’s earnings surprise history is mixed. It beat or matched the consensus estimate in two of the last four quarters while missing the forecast on two other occasions.
Among the 18 analysts covering PCG stock, the consensus is a “Strong Buy.” That’s based on 13 “Strong Buy” ratings and five “Holds.”
This configuration is more bullish than a month ago, when 12 analysts suggested a “Strong Buy” suggestion for the stock.
On Apr. 21, Truist Financial analyst Richard Sunderland initiated coverage of PG&E Corporation with a “Buy” rating and a $23 price target, as part of a broader launch covering 20 power and utilities stocks. The firm sees vertically integrated electric utilities as key beneficiaries of rising power demand, especially from data centers, and expects them to play a central role in infrastructure buildout, supporting long-term growth across the sector.
The mean price target of $23 represents a 41.5% premium to PCG’s current price levels. The Street-high price target of $28 suggests an ambitious upside potential of 72.2%.
On the date of publication, Kritika Sarmah 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.
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