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How to buy PNM Resources stock

Own PNM Resources stock in just a few minutes.

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PNM Resources, Inc is an utilities—regulated electric business based in the US. PNM Resources shares (PNM) are listed on the NYSE and all prices are listed in US Dollars. PNM Resources employs 1,668 staff and has a trailing 12-month revenue of around USD$1.5 billion.

How to buy shares in PNM Resources

  1. Compare share trading platforms. If you're a beginner, look for a platform with low commissions, expert ratings and investment tools to track your portfolio. Narrow down top brands with our comparison table.
  2. Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and bank information. Fund your account with a bank transfer, credit card or debit card.
  3. Search for PNM Resources. Find the stock by name or ticker symbol: PNM. Research its history to confirm it's a solid investment against your financial goals.
  4. Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until PNM Resources reaches your desired price. To spread out your purchase, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
  5. Decide on how many to buy. Weigh your budget against a diversified portfolio that can minimize risk through the market's ups and downs. You may be able to buy a fractional share of PNM Resources, depending on your broker.
  6. Check in on your investment. Congratulations, you own a part of PNM Resources. Optimize your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.

PNM Resources share price

Use our graph to track the performance of PNM stocks over time.

PNM Resources shares at a glance

Information last updated 2020-11-25.
52-week range USD$26.5245 - USD$54.9884
50-day moving average USD$48.1519
200-day moving average USD$42.7332
Wall St. target price USD$50.07
PE ratio 20.0571
Dividend yield USD$1.23 (2.51%)
Earnings per share (TTM) USD$2.45

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The value of any investment can go up or down depending on news, trends and market conditions. We are not investment advisers, so do your own due diligence to understand the risks before you invest.

Is it a good time to buy PNM Resources stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.

This chart is not advice or a guarantee of success. Rather, it gauges the real-time recommendations of three popular technical indicators: moving averages, oscillators and pivots. Finder is not responsible for how your stock performs.

Is PNM Resources under- or over-valued?

Valuing PNM Resources stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of PNM Resources's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.

PNM Resources's P/E ratio

PNM Resources's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 20x. In other words, PNM Resources shares trade at around 20x recent earnings.

That's relatively low compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.

PNM Resources's PEG ratio

PNM Resources's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 4.0655. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.

The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into PNM Resources's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.

PNM Resources's EBITDA

PNM Resources's EBITDA (earnings before interest, taxes, depreciation and amortisation) is USD$630.5 million.

The EBITDA is a measure of a PNM Resources's overall financial performance and is widely used to measure a its profitability.

PNM Resources financials

Revenue TTM USD$1.5 billion
Operating margin TTM 21.29%
Gross profit TTM USD$832.4 million
Return on assets TTM 2.69%
Return on equity TTM 11.76%
Profit margin 12.99%
Book value $22.263
Market capitalisation USD$3.9 billion

TTM: trailing 12 months

Shorting PNM Resources shares

There are currently 5.2 million PNM Resources shares held short by investors – that's known as PNM Resources's "short interest". This figure is 34% up from 3.9 million last month.

There are a few different ways that this level of interest in shorting PNM Resources shares can be evaluated.

PNM Resources's "short interest ratio" (SIR)

PNM Resources's "short interest ratio" (SIR) is the quantity of PNM Resources shares currently shorted divided by the average quantity of PNM Resources shares traded daily (recently around 3.5 million). PNM Resources's SIR currently stands at 1.49. In other words for every 100,000 PNM Resources shares traded daily on the market, roughly 1490 shares are currently held short.

However PNM Resources's short interest can also be evaluated against the total number of PNM Resources shares, or, against the total number of tradable PNM Resources shares (the shares that aren't held by "insiders" or major long-term shareholders – also known as the "float"). In this case PNM Resources's short interest could be expressed as 0.07% of the outstanding shares (for every 100,000 PNM Resources shares in existence, roughly 70 shares are currently held short) or 0.0869% of the tradable shares (for every 100,000 tradable PNM Resources shares, roughly 87 shares are currently held short).

Such a low SIR usually points to an optimistic outlook for the share price, with fewer people currently willing to bet against PNM Resources.

Find out more about how you can short PNM Resources stock.

PNM Resources share dividends

49%

Dividend payout ratio: 49.4% of net profits

Recently PNM Resources has paid out, on average, around 49.4% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 2.51% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), PNM Resources shareholders could enjoy a 2.51% return on their shares, in the form of dividend payments. In PNM Resources's case, that would currently equate to about $1.23 per share.

While PNM Resources's payout ratio might seem fairly standard, it's worth remembering that PNM Resources may be investing much of the rest of its net profits in future growth.

PNM Resources's most recent dividend payout was on 13 November 2020. The latest dividend was paid out to all shareholders who bought their shares by 30 October 2020 (the "ex-dividend date").

Have PNM Resources's shares ever split?

PNM Resources's shares were split on a 3:2 basis on 14 June 2004. So if you had owned 2 shares the day before before the split, the next day you'd have owned 3 shares. This wouldn't directly have changed the overall worth of your PNM Resources shares – just the quantity. However, indirectly, the new 33.3% lower share price could have impacted the market appetite for PNM Resources shares which in turn could have impacted PNM Resources's share price.

PNM Resources share price volatility

Over the last 12 months, PNM Resources's shares have ranged in value from as little as $26.5245 up to $54.9884. A popular way to gauge a stock's volatility is its "beta".

PNM.US volatility(beta: 0.57)Avg. volatility(beta: 1.00)LowHigh

Beta is a measure of a share's volatility in relation to the market. The market (NYSE average) beta is 1, while PNM Resources's is 0.5744. This would suggest that PNM Resources's shares are less volatile than average (for this exchange).

PNM Resources overview

PNM Resources, Inc., through its subsidiaries, engages in the energy and energy-related businesses in the United States. It operates through Public Service Company of New Mexico (PNM) and Texas-New Mexico Power Company (TNMP) segments. The PNM segment is primarily involved in the generation, transmission, and distribution of electricity. It generates electricity using coal, natural gas and oil, nuclear fuel, solar, wind, and geothermal energy sources. As of December 31, 2018, this segment had owned or leased facilities with a total net generation capacity of 2,102 megawatts; and owned 3,206 miles of electric transmission lines, 6,067 miles of distribution overhead lines, 5,885 miles of underground distribution lines, and 255 substations. It also owns and leases office and other equipment, office space, vehicles, and real estate. The TNMP segment provides regulated transmission and distribution services. As of December 31, 2018, this segment owned 997 miles of overhead electric transmission lines, 7,151 miles of overhead distribution lines, 1,260 miles of underground distribution lines, and 122 substations. It also owns and leases vehicles, service facilities, and office locations throughout its service territory. The company serves approximately 782,000 residential, commercial, and industrial customers, as well as end-users of electricity in New Mexico and Texas. PNM Resources, Inc. was founded in 1917 and is headquartered in Albuquerque, New Mexico.

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