5 Utility Dividend Stocks with Over 3% Yield

4. Pinnacle West Capital Corporation (NYSE:PNW)

Number of Hedge Fund Holders: 30  

Forward Dividend Yield: 4.40% 

Pinnacle West Capital Corporation (NYSE:PNW) provides retail and wholesale electric services. On February 25, the firm posted its results for the fourth quarter of 2021, reporting earnings per share of $0.24, beating estimates by $0.21. Revenue over the period was $798 million, up nearly 8% year-on-year and beating expectations by $139 million. In its guidance for the 2022 fiscal year, the firm said it expects consolidated earnings to be around $4.10 per share against consensus estimates of $3.96 per share. 

Pinnacle West has a 28-year run of making dividend payments and a ten-year streak of annual dividend increases. On April 4, RBC Capital analyst Shelby Tucker maintained a ‘Sector Perform’ rating on Pinnacle West Capital Corporation (NYSE:PNW) and raised the firm’s price target on it to $80 from $76, noting that the fundamental setup for the firm in Arizona remained attractive with strong customer growth. 

Among the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Citadel Investment Group is a leading shareholder in Pinnacle West Capital Corporation (NYSE:PNW) with 707,064 shares worth more than $49 million.