Pinnacle West Capital Corporation

PNW
Utilities
$107.82
3.36%Overvalued

Pinnacle West Capital Corporation (PNW) is a Utilities company that currently yields 3.36% — historically overvalued based on 10 years of dividend yield history. The Weiss valuation model places the undervaluation threshold at $65.79 and the overvaluation threshold at $89.73. Pinnacle West Capital Corporation holds a quality score of 40/100 (Average), reflecting 14 consecutive years of dividend growth with a 67% payout ratio. The 5-year dividend CAGR stands at 2.5%.

PNW Dividend Yield History — Weiss Valuation

Underval. $65.79Overval. $89.73

Distance to undervalued

Entry price is stretched

Needs 39.0% downside to reach the Weiss buy zone

Undervaluation starts near $65.79, where the annual dividend would imply roughly 5.51% yield. That is 2.15% above today's yield.

Buy-zone price

$65.79

Target yield

5.51%

Research checklist

What to clear before buying the yield

Updated Jul 9, 2026

Dividend durability

14Y

Long dividend history supports a deeper look.

Earnings payout

67%

Earnings coverage leaves room for noise.

Cash payout

N/A

Confirm cash conversion and one-off effects.

Dividend growth

2.5%

Lower growth changes the return trade-off.

What changed

What changed since the last update

2026-07-082026-07-09

No major change in signal, yield, price, quality, or payout since the last update.

Why Now?

Pinnacle West Capital Corporation is trading near its historical overvaluation band.

Current yield 3.4% vs historical max 6.8% (50% of maximum).

14 consecutive years without a dividend cut.

Reasonable payout ratio of 67%.

What matters now

Read the signal before the headline yield

Valuation is the brake here: the yield is compressed versus its own history.

The 40/100 quality score says the headline yield needs extra skepticism.

Start by checking whether payout coverage and business durability still support the dividend.

PNW Dividend Income Projection — DRIP Compounder

Dividend Compounder (DRIP)

$

Year 1 Income

$345

Year 10 Income

$603

Yield on Cost

6.29%

Total Income

$4,605

Assumes dividends reinvested at current price. Simplified model — for illustrative purposes only.

Track actual vs. projected

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More research

Full price history & technical analysis

TradingView ↗

Fundamentals, valuation & analyst ratings

FinViz ↗

Moat rating & analyst fair value

Morningstar ↗

Track dividends received & tax reports

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PNW Dividend Quality Score

Quality Score

40/ 100

Average

Payout Ratio12/25
Dividend Streak20/25
Growth (CAGR 5Y)8/20
Yield vs History0/15
FCF Coverage0/15

Key Metrics

Current Price$107.82
Annual Dividend$3.63
Current Yield3.36%
Yield — Max (10Y)6.79%
Yield — Min (10Y)4.10%
Undervalued Below$65.79
Overvalued Above$89.73
Payout Ratio67.35%
CAGR Dividend 5Y2.5%
CAGR Dividend 10Y4.1%
Years No Cut14y

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14
consecutive years of dividend growth