PCG Stock Slumps As Wildfire Legislation Rattles Outlook

Fitch downgraded PG&E's outlook to Negative from Stable, citing wildfire liability concerns and lack of regulatory progress in California. The company plans to cut 2027 capital expenditures by $2 billion. Fitch warns of future downgrades if wildfire costs are not better socialized. PCG shares may be affected by these developments.

Pacific Gas & Electric Co. (PCG) stock fell 3.01% on September 15, 2026, due to regulatory and wildfire liability concerns. The company reported $5.9B in quarterly revenue, $0.33 EPS, and a P/E ratio of 10. Analysts downgraded PCG, citing unresolved wildfire liabilities and reduced price targets. PCG deferred $2B in planned spending and initiated a strategic review. The stock has seen significant volatility, trading between $13.10 and $13.25.

PG&E (PCG) and Edison International (EIX) shares fell over 20% after California's wildfire legislation failed to provide expected financial protections. Analysts downgraded both stocks, citing exposure to wildfire liabilities. PCG hit a 52-week low, while EIX saw its biggest single-day drop in 25 years. BMO, Mizuho, and Wells Fargo lowered price targets and ratings for both companies.

PG&E (PCG) plans to defer $2B of its 2027 capital plan to reduce high-cost borrowing, citing financial pressures from California's wildfire liability framework. The utility aims to maintain safety, affordability, and reliability while navigating financial risks. PG&E has previously filed for bankruptcy twice, most recently in 2019 due to wildfire liabilities.

Morningstar upgraded five US-listed stocks to 5-star ratings, indicating undervaluation. The stocks are PG&E (PCG), Edison International (EIX), Aurora Innovation (AUR), Pentair (PNR), and PVH (PVH). PG&E and Edison saw significant weekly declines, while Aurora rose. All trade below their fair value estimates, with discounts ranging from 30% to 47%.

PG&E (PCG) stock is trading at $14.26, down 0.28% premarket. The company plans to cut $2B in 2027 capital spending, reducing debt but slowing growth. PG&E trades at about 7.9x its 2027 core earnings forecast. The company is reviewing its structure and financing due to California's wildfire-liability policy.