The firm citied valuation, structural improvements that have taken hold, and the belief the company will be able to put the San Bruno pipeline explosion behind it, as its reasons for the upgrade.
Credit Suisse raised its price target on the stock to $51 from $50.
Additionally, PG&E released its 2014 second quarter earnings report on Thursday, which showed a decline in net income to $267 million, or 57 cents per share, compared to $328 million, or 74 cents per share for the 2013 second quarter.
Revenue increased to $3.95 billion for the quarter, but missed the Wall Street consensus estimate of $4.03 billion.
Shares of PG&E are lower by -0.07% to $46.64 at the start of trading this morning.
TheStreet Ratings team rates PG&E CORP as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate PG&E CORP (PCG) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had sub par growth in net income."