(PPL) PPL - Overview
Sector: Utilities | Industry: Utilities - Regulated Electric | Exchange: NYSE (USA) | Market Cap: 26.520m USD | Total Return: 7.8% in 12m
Industry Rotation: +13.2
Avg Turnover: 275M
EPS Trend: 80.0%
Qual. Beats: 0
Rev. Trend: 72.8%
Qual. Beats: 1
Warnings
High Debt while negative Cash Flow
Altman Z'' 0.71 < 1.0 - financial distress zone
Tailwinds
No distinct edge detected
PPL Corporation is an energy utility holding company providing electricity and natural gas services to 3.6 million customers across Pennsylvania, Kentucky, Virginia, and Rhode Island. The company operates through three primary regulated segments, managing a diverse infrastructure that includes electricity transmission, distribution, and a generation portfolio powered by coal, natural gas, hydro, and solar assets.
Operating as a regulated utility, PPL functions within a framework where state commissions set rates, providing a predictable revenue model often characterized by high capital intensity and geographical monopolies. Investors monitoring utility stocks should evaluate how shifting regulatory environments and decarbonization goals impact long-term infrastructure investments. You can further analyze these regulatory trends and valuation metrics on ValueRay.
- Multi-year capital investment plan drives rate base growth and earnings expansion
- Regulatory approval of rate cases determines recovery of infrastructure spending costs
- Decarbonization shift increases capital requirements for coal-to-gas generation transition in Kentucky
- Fluctuations in interest rates impact debt financing costs for utility infrastructure projects
- Integration of Rhode Island utility assets influences operational efficiency and margin targets
| Net Income: 1.22b TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.04 > 0.02 and ΔFCF/TA -2.47 > 1.0 |
| NWC/Revenue: 0.15% < 20% (prev -8.44%; Δ 8.59% < -1%) |
| CFO/TA 0.06 > 3% & CFO 2.67b > Net Income 1.22b |
| Net Debt (18.99b) to EBITDA (3.77b): 5.04 < 3 |
| Current Ratio: 1.00 > 1.5 & < 3 |
| Outstanding Shares: last quarter (757.2m) vs 12m ago 2.13% < -2% |
| Gross Margin: 35.20% > 18% (prev 0.41%; Δ 3.48k% > 0.5%) |
| Asset Turnover: 21.14% > 50% (prev 20.72%; Δ 0.42% > 0%) |
| Interest Coverage Ratio: 2.75 > 6 (EBITDA TTM 3.77b / Interest Expense TTM 841.0m) |
| A: 0.00 (Total Current Assets 4.32b - Total Current Liabilities 4.31b) / Total Assets 46.30b |
| B: 0.07 (Retained Earnings 3.44b / Total Assets 46.30b) |
| C: 0.05 (EBIT TTM 2.31b / Avg Total Assets 44.06b) |
| D: 0.10 (Book Value of Equity 3.25b / Total Liabilities 31.29b) |
| Altman-Z'' = 0.71 = B |
| DSRI: 1.08 (Receivables 1.84b/1.58b, Revenue 9.31b/8.66b) |
| GMI: 1.17 (GM 35.20% / 41.06%) |
| AQI: 0.93 (AQ_t 0.11 / AQ_t-1 0.12) |
| SGI: 1.08 (Revenue 9.31b / 8.66b) |
| TATA: -0.03 (NI 1.22b - CFO 2.67b) / TA 46.30b) |
| Beneish M = -2.83 (Cap -4..+1) = A |
Over the past week, the price has changed by +1.09%, over one month by -5.34%, over three months by -2.20% and over the past year by +7.80%.
- StrongBuy: 8
- Buy: 4
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 41.5 | 14.8% |
P/E Forward = 17.8891
P/S = 2.848
P/B = 1.7473
P/EG = 1.3551
Revenue TTM = 9.31b USD
EBIT TTM = 2.31b USD
EBITDA TTM = 3.77b USD
Long Term Debt = 19.02b USD (from longTermDebt, last quarter)
Short Term Debt = 1.21b USD (from shortTermDebt, last quarter)
Debt = 20.24b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 18.99b USD (calculated: Debt 20.24b - CCE 1.25b)
Enterprise Value = 45.51b USD (26.52b + Debt 20.24b - CCE 1.25b)
Interest Coverage Ratio = 2.75 (Ebit TTM 2.31b / Interest Expense TTM 841.0m)
EV/FCF = -28.06x (Enterprise Value 45.51b / FCF TTM -1.62b)
FCF Yield = -3.56% (FCF TTM -1.62b / Enterprise Value 45.51b)
FCF Margin = -17.42% (FCF TTM -1.62b / Revenue TTM 9.31b)
Net Margin = 13.09% (Net Income TTM 1.22b / Revenue TTM 9.31b)
Gross Margin = 35.20% ((Revenue TTM 9.31b - Cost of Revenue TTM 6.04b) / Revenue TTM)
Gross Margin QoQ = 30.99% (prev 25.81%)
Tobins Q-Ratio = 0.98 (Enterprise Value 45.51b / Total Assets 46.30b)
Interest Expense / Debt = 1.10% (Interest Expense 223.0m / Debt 20.24b)
Taxrate = 19.29% (108.0m / 560.0m)
NOPAT = 1.87b (EBIT 2.31b * (1 - 19.29%))
Current Ratio = 1.00 (Total Current Assets 4.32b / Total Current Liabilities 4.31b)
Debt / Equity = 1.35 (Debt 20.24b / totalStockholderEquity, last quarter 15.02b)
Debt / EBITDA = 5.04 (Net Debt 18.99b / EBITDA 3.77b)
Debt / FCF = -11.71 (negative FCF - burning cash) (Net Debt 18.99b / FCF TTM -1.62b)
Total Stockholder Equity = 14.65b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.77% (Net Income 1.22b / Total Assets 46.30b)
RoE = 8.32% (Net Income TTM 1.22b / Total Stockholder Equity 14.65b)
RoCE = 6.87% (EBIT 2.31b / Capital Employed (Equity 14.65b + L.T.Debt 19.02b))
RoIC = 4.45% (NOPAT 1.87b / Invested Capital 41.96b)
WACC = 3.66% (E(26.52b)/V(46.76b) * Re(5.78%) + D(20.24b)/V(46.76b) * Rd(1.10%) * (1-Tc(0.19)))
Discount Rate = 5.78% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.92%
Shares (quarterly) Correlation: 100.00 | Cagr: 1.11%
[DCF] Fair Price = unknown (Cash Flow -1.62b)
EPS Correlation: 80.05 | EPS CAGR: 6.28% | SUE: 0.32 | # QB: 0
Revenue Correlation: 72.82 | Revenue CAGR: 3.33% | SUE: 1.89 | # QB: 1
EPS current Quarter (2026-06-30): EPS=0.36 | Chg30d=+1.94% | Revisions=-27% | Analysts=12
EPS next Quarter (2026-09-30): EPS=0.51 | Chg30d=+0.44% | Revisions=-9% | Analysts=11
EPS current Year (2026-12-31): EPS=1.95 | Chg30d=+0.04% | Revisions=+11% | GrowthEPS=+7.7% | GrowthRev=+6.9%
EPS next Year (2027-12-31): EPS=2.12 | Chg30d=-0.01% | Revisions=+20% | GrowthEPS=+8.6% | GrowthRev=+5.5%
[Analyst] Revisions Ratio: -27%