PCG

PG&E is set to report Q3 2026 results on October 22, with projected sales of $6.59 billion (up 5.4% YoY) but earnings expected to decline 16% to 42 cents per share. Growing electricity demand from EV adoption, data centers, and building electrification should support growth, while lower operating expenses may help offset earnings pressure. The company's negative Earnings ESP (-1.21%) and Zacks Rank #4 suggest limited likelihood of an earnings beat.

The article examines three S&P 500 stocks down over 80% from their all-time highs: Nike, PayPal, and PG&E. While deeply discounted valuations might attract contrarian investors, the author recommends caution. Nike faces persistent competitive pressures and declining consumer value perception.

PayPal, despite a 82% decline, maintains solid fundamentals with 5% revenue growth and a 45% market share in online payments, making it potentially worth buying. PG&E remains burdened by wildfire liability concerns and uncertain government policy protection, making it a risky bet.

PG&E Corporation (PCG), California's largest regulated electric and gas utility, is highlighted as a stock to watch with a #3 (Hold) Zacks Rank and a B VGM Score. The company features an attractive Value Style Score of A with a forward P/E ratio of 7.96. One analyst revised earnings estimates upward in the last 60 days, with the Zacks Consensus Estimate at $1.65 per share and an average earnings surprise of +8%.