Categories LATEST, Other Industries

PG&E (PCG) stock slips to record low after wildfire spurs selloff

After facing severe criticism from regulators for its alleged involvement in the latest California wildfire, electricity transmission company PG&E Corp. (NYSE: PCG) witnessed a sharp decline in its market value on Friday. The stock closed the day’s session at an all-time low of $5.

Market sentiment was further dented by a statement from Citigroup (C), saying the latest wildfire might add to the financial woes of the company, which is on the brink of bankruptcy. The sell rating on PG&E, with a price target of $5, makes it a high-risk stock.

Earlier, the management filed an incident report with the California Public Utilities Commission in connection with the fire that occurred in Sonoma County. The statement said that a transmission tower operated by the company malfunctioned near the affected area. However, it has not been confirmed whether the accident was caused by the faulty equipment. If the company’s role is proven, the stock might become worthless.

Also read: AT&T Q3 2019 earnings preview

According to the company, the area will experience power outage in the coming days, affecting nearly half a million California residents. PG&E was involved in wildfire incidents many times in the past and each time the stock suffered heavy losses in the selloff that followed.

The shares, which have been in a downward spiral for more than two years, lost about 74% since the beginning of the year.

Listen to publicly listed companies’ earnings conference calls along with the edited closed caption text 

Most Popular

FDX Earnings: FedEx Q1 adjusted earnings drop; revenue up 5%

Cargo giant FedEx Corporation (NYSE: FDX) Thursday reported a decline in first-quarter adjusted earnings, despite an increase in revenues. The company also provided guidance for fiscal 2023. Net income, adjusted

Key highlights from Darden Restaurants (DRI) Q1 2023 earnings results

Darden Restaurants, Inc. (NYSE:DRI) reported first quarter 2023 earnings results. Total sales increased 6.1% year-over-year to $2.4 billion, driven by blended same-restaurant sales growth of 4.2%. Net earnings amounted to

ACN Earnings: Key quarterly highlights from Accenture’s Q4 2022 financial results

Accenture (NYSE: ACN) reported fourth quarter 2022 earnings results today. Total revenues were $15.4 billion, up 15% year-over-year in US dollars and up 22.4% in local currency. Net income attributable

Add Comment
Viewing Highlight