Preformed Line Products Company (PLPC) AI Stock Analysis

• Market Cap: $1.31B
• Dividend Yield: 0.35%
• Average Volume (3M): 126.27K
• Price to Earnings (P/E): 28.8
• Beta (1Y): 0.79
• Revenue Growth: 15.93%
• EPS Growth: 12.72%
• Country: US
• Employees: 3,401
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 1.72
• Shares Outstanding: 4,896,855
• 10 Day Avg. Volume: 134,170
• 30 Day Avg. Volume: 126,274
• PEG Ratio: -5.59
• Price to Book (P/B): 2.14
• Price to Sales (P/S): 1.52
• P/FCF Ratio: 30.50
• Enterprise Value/Market Cap: 0.97
• Enterprise Value/Revenue: 1.90
• Enterprise Value/Gross Profit: 6.11
• Enterprise Value/Ebitda: 18.97
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 10.17
• Revenue Forecast (FY): $770.00M

• Rating: 71 Outperform
• Price Target: $293.00 ▲(42.97% Upside)
• Action: Upgraded Date: 03/11/26
• Date: Action: Upgraded 03/11/26

The score is driven primarily by strong financial stability (notably low leverage) and an overall uptrend in the stock’s price. These positives are tempered by post-2023 margin and cash-flow softness, plus a relatively high P/E and minimal dividend yield; corporate updates are constructive but highlight ongoing tariff-related cost headwinds.

Positive Factors

Low leverage / strong balance sheet

A sharply de-levered balance sheet with very low debt and growing equity provides durable financial flexibility. This supports capital investment, dividend increases, and capacity expansion without reliance on costly external financing, strengthening resilience over cycles.

Robust backlog and shareholder discipline

A materially larger backlog signals multi-period demand visibility, while a first-time dividend increase since listing reflects strong liquidity and capital allocation discipline. Together they underpin recurring revenue and shareholder-aligned cash deployment over the medium term.

Strategic product/tech partnership

A multi-year alliance to develop robotic installation systems extends the product roadmap and creates a competitive edge in installation efficiency and safety. This structural innovation can improve long-term differentiation and support higher win rates on utility modernization projects.

Negative Factors

Margin pressure and profit normalization

Declining margins despite revenue growth indicate rising costs or mix shifts that compress earnings power. If structural cost pressures persist, sustained margin normalization could limit reinvestment capacity and reduce free cash available for long-term growth and payouts.

Weaker and volatile free cash flow

Volatile free cash flow and weaker cash conversion reduce the predictability of internally funded investments and dividends. Over several quarters this can constrain the ability to fund capacity expansion and absorb cost shocks without tapping external capital.

Tariff and inventory cost headwinds

Ongoing tariff exposure and inventory-cost acceleration are structural risks to gross margins and earnings quality. Persistent trade-related input cost volatility can force higher prices, weigh on contract competitiveness, and require sustained productivity or sourcing changes to restore margins.

Preformed Line Products Company Business Overview & Revenue Model

Company Description

Preformed Line Products Company, together with its subsidiaries, designs and manufactures products and systems that are used in the construction and maintenance of overhead, ground-mounted, and underground networks for the energy, telecommunication, cable operator, information, and other industries. The company offers formed wire products to support, protect, terminate, and secure power conductor and communication cables, as well as to control cable dynamics; and hardware products to support and protect transmission conductors, spacers, spacer-dampers, stockbridge dampers, corona suppression devices, and various compression fittings for dead-end applications. It also provides protective closures to protect fixed line communication networks, such as copper cable or fiber optic cable from moisture, environmental hazards, and other contaminants; and hardware assemblies, pole line hardware, resale products, underground connectors, solar hardware systems, guy markers, tree guards, fiber optic cable markers, pedestal markers, and urethane products that are used by energy, renewable energy, communications, cable, and special industries for various applications. The company serves public and private energy utilities and communication companies, cable operators, financial institutions, governmental agencies, contractors and subcontractors, distributors, and value-added resellers in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. It markets its products through a direct sales force, as well as through manufacturing representatives. The company was incorporated in 1947 and is headquartered in Mayfield, Ohio.

How the Company Makes Money

PLPC makes money primarily by selling manufactured, engineered hardware and connectivity/accessory products used to build, upgrade, protect, and maintain electric and communications networks. Revenue is generated through (1) product sales to utilities, telecom carriers, broadband providers, and their contractors/distributors—covering items such as line hardware and accessories for transmission/distribution, cable protection and motion/vibration control, connectors, and fiber optic closure/connectivity solutions; (2) project- and program-driven demand tied to new network builds, storm restoration, grid hardening, reliability upgrades, and fiber-to-the-home/backhaul expansions, where PLPC supplies standardized catalog products as well as application-specific engineered solutions; and (3) aftermarket/replacement and maintenance purchasing cycles, where installed networks require ongoing repair, reinforcement, and component replacement. Earnings are influenced by the company’s ability to win utility/telecom specifications and approvals (getting products qualified for use), maintain long-term customer relationships, and leverage its manufacturing footprint and distribution channels to fulfill recurring and large-batch orders. Specific partnership details are null.

Preformed Line Products Company Financial Statement Overview

Summary

Strong, de-levered balance sheet (very low debt and expanding equity) supports stability, but profitability has cooled since the 2023 peak and free cash flow/cash conversion have weakened and become more volatile in 2024–2025.

Income Statement

Revenue has grown over the long term (2020–2025), with a strong rebound in 2025 after a softer 2024. Profitability is solid with gross margins generally in the low-to-mid 30% range, but earnings power has cooled from the 2023 peak: net margin and EBITDA margin fell meaningfully in 2024 and again in 2025. Net income in 2025 was slightly below 2024 despite higher revenue, pointing to margin pressure.

Balance Sheet

The balance sheet is a clear strength: leverage has been reduced sharply over time, with very low debt relative to equity in 2025 (down from moderate leverage in 2022–2023). Equity has steadily expanded, supporting a larger asset base and improving financial flexibility. Returns on equity remain positive but have stepped down from the very strong 2022–2023 levels, suggesting profitability normalization even as leverage improved.

Cash Flow

Cash generation is generally positive, with operating cash flow and free cash flow positive in most years and a strong recovery after the weak 2022 year (when free cash flow was negative). However, free cash flow has been volatile and declined in 2024 and again in 2025, and 2025 free cash flow covers a notably smaller portion of net income than in prior years, signaling weaker cash conversion recently despite higher sales.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	669.34M	593.71M	669.68M	637.02M	517.42M
Gross Profit	210.47M	189.81M	234.85M	215.18M	166.24M
EBITDA	78.06M	71.94M	103.75M	93.14M	63.70M
Net Income	35.28M	37.09M	63.33M	54.40M	35.73M
Balance Sheet
Total Assets	653.62M	573.88M	603.15M	568.48M	489.02M
Cash, Cash Equivalents and Short-Term Investments	83.39M	57.24M	53.61M	37.24M	36.41M
Total Debt	47.89M	37.19M	71.81M	98.17M	69.73M
Total Liabilities	178.10M	151.55M	187.00M	209.85M	172.92M
Stockholders Equity	475.52M	422.31M	416.16M	358.64M	316.12M
Cash Flow
Free Cash Flow	33.34M	52.83M	72.31M	-14.45M	15.21M
Operating Cash Flow	73.47M	67.48M	107.64M	26.15M	33.60M
Investing Cash Flow	-43.38M	-12.36M	-44.79M	-46.76M	-18.24M
Financing Cash Flow	-9.23M	-47.80M	-48.92M	22.54M	-23.23M

Preformed Line Products Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 204.94
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PLPC, the sentiment is Positive. The current price of 204.94 is below the 20-day moving average (MA) of 259.89, below the 50-day MA of 248.92, and above the 200-day MA of 201.58, indicating a bullish trend. The MACD of -0.70 indicates Positive momentum. The RSI at 55.08 is Neutral, neither overbought nor oversold. The STOCH value of 53.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PLPC.

Preformed Line Products Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
POWL	81 Outperform	$6.26B	23.32	30.64%	0.32%	9.08%	19.86%
ENS	77 Outperform	$5.98B	15.10	16.61%	0.67%	6.17%	20.86%
NVT	77 Outperform	$17.97B	34.65	19.60%	0.84%	5.31%	5.76%
AEIS	74 Outperform	$11.89B	53.05	11.51%	0.18%	17.18%	235.76%
PLPC	71 Outperform	$1.31B	28.81	7.68%	0.35%	15.93%	12.72%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ATKR	55 Neutral	$2.02B	36.07	-3.28%	2.02%	-10.98%	-103.99%

Preformed Line Products Company Corporate Events

Preformed Line Products Posts Q4 Sales Growth Amid Tariffs

Preformed Line Products reported on March 4, 2026, that fourth‑quarter 2025 net sales rose 4% year over year to $173.1 million, driven by strength in U.S. energy and communications markets and growth in Asia‑Pacific, including contributions from the JAP Telecom acquisition. However, quarterly net income declined to $8.4 million as U.S. tariff pressures and LIFO inventory cost acceleration offset the benefits of higher volumes, pricing gains and favorable currency movements.

For full‑year 2025, net sales increased 13% to $669.3 million and adjusted diluted EPS climbed 16% to $8.70, even as reported net income slipped due to a pension termination charge and ongoing tariff‑related cost headwinds. A 22% jump in backlog to $232.8 million and a 5% dividend increase underscore strong demand and capital discipline, while management signaled continued investment in new products, facility modernization and capacity expansion in Poland and Spain to support long‑term growth despite trade‑related cost pressures.

The most recent analyst rating on (PLPC) stock is a Buy with a $249.00 price target. To see the full list of analyst forecasts on Preformed Line Products Company stock, see the PLPC Stock Forecast page.

Preformed Line Products Increases Quarterly Dividend by 5%

On December 11, 2025, Preformed Line Products announced a 5% increase in its quarterly cash dividend, marking the first rise since its NASDAQ listing in 2001. This decision reflects the company’s strong liquidity and commitment to shareholder returns, highlighting management’s confidence in sustained cash flow and strategic growth potential.

The most recent analyst rating on (PLPC) stock is a Buy with a $249.00 price target. To see the full list of analyst forecasts on Preformed Line Products Company stock, see the PLPC Stock Forecast page.