Investors in the company lost roughly $4.1 billion in the four days after the current blaze in Sonoma County broke out on October 23, according to the Wall Street Journal. Shares rebounded late last week, but are still about 85% lower than their 52 week highs, poking around the mid single digits while hedge funds and equity investors try to analyze numerous bankruptcy outcomes that the company might face.
The company's market cap has been cut to about $3.4 billion from highs of $37 billion in 2017. Bond prices have fallen as much as 12.5%, which is the biggest decline since it was determined that PG&E equipment set off the campfire in Northern California last November.
The volatility has made it difficult for hedge funds to profit from what is being called the "first major bankruptcy induced by climate change".
Stephen Byrd, head of utilities research at Morgan Stanley said: "Climate change has had a big impact on investing in California utilities, and the risk of fires is here to stay."