Bears continued to pound PCG stock on December 19, 2019. Bearish options flow was detected in the stock on December 19, 2019.

Just like on December 18, 2019, we have an unusually large block order coming off the dark pool in after-hours trading:

The put buying and dark pool trades began to pick up after it was reported that California Governor Gavin Newsom is demanding a clause allowing for a state takeover in PG&E’s plan to pay Northern California wildfire victims and exit bankruptcy, which is a “major sticking point” in the ongoing negotiations between the utility and the governor, according to Bloomberg.

On December 19, 2019, the California Public Utilities Commission ruled that profit margins will remain the same at the state’s major utilities, denying the companies the higher shareholder returns they had sought.

Pacific Gas & Electric, Southern California Edison and San Diego Gas & Electric had argued that higher profits were necessary to keep attracting sufficient capital to fund their operations. They pointed to the billions of dollars in wildfire liabilities that prompted PG&E to file for bankruptcy protection, saying that investors may need larger returns to justify funding the companies, which provide electricity to a majority of Californians.

In a unanimous vote, the utilities commission rejected those arguments.

finviz dynamic chart for  pcg
close

Don’t miss these catalysts!

We don’t spam! Read our privacy policy for more info.