Ppl Corp. (PPL)
NYSE:PPL
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PPL
(NYSE:PPL)
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Rating:67Neutral
Price Target:
$42.00
▲(7.64% Upside)
Action:ReiteratedDate:02/27/26
The score is driven primarily by solid but not top-tier financial quality: improving earnings and revenue are offset by rising leverage and uneven cash flows. Technicals are supportive with the stock trading above major moving averages, while valuation is only moderate given the ~24 P/E and a ~2.85% dividend yield. The latest earnings call adds a positive catalyst via raised multi-year growth visibility and stronger capex/rate-base plans, partially tempered by financing and regulatory risks.
Positive Factors
Material Multi-year CapEx & Rate Base Growth
A $23B 2026–2029 capex plan driving an estimated ~10.3% rate-base CAGR provides durable, regulated earning power. Expanding rate base in a regulated framework supports predictable revenue and underpins the company’s multi-year EPS targets and long-term cash-generating profile.
Negative Factors
Rising Leverage
Leverage increasing to roughly 1.24x by 2025 reduces balance-sheet flexibility and raises interest burden sensitivity. With sizable upcoming capex, higher leverage constrains financial optionality, limits buffer for shocks, and can pressure credit metrics and future rate-case positioning.
Read all positive and negative factors
Positive Factors
Negative Factors
Material Multi-year CapEx & Rate Base Growth
A $23B 2026–2029 capex plan driving an estimated ~10.3% rate-base CAGR provides durable, regulated earning power. Expanding rate base in a regulated framework supports predictable revenue and underpins the company’s multi-year EPS targets and long-term cash-generating profile.
Read all positive factors
PPL (PPL) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$29.08B
Dividend Yield3.13%
Average Volume (3M)6.48M
Price to Earnings (P/E)21.9
Beta (1Y)0.16
Revenue Growth6.85%
EPS Growth32.89%
CountryUS
Employees6,653
SectorUtilities
Sector Strength65
IndustryRegulated Electric
Share Statistics
EPS (TTM)0.41
Shares Outstanding752,165,100
10 Day Avg. Volume6,481,104
30 Day Avg. Volume6,478,731
Financial Highlights & Ratios
PEG Ratio0.66
Price to Book (P/B)1.74
Price to Sales (P/S)2.87
P/FCF Ratio-18.50
Enterprise Value/Market Cap1.63
Enterprise Value/Revenue5.24
Enterprise Value/Gross Profit13.41
Enterprise Value/Ebitda12.85
Forecast
1Y Price Target
$42.83Price Target Upside9.76% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering14
EPS Forecast (FY)1.95
Revenue Forecast (FY)$9.61B
PPL Business Overview & Revenue Model
Company Description
PPL Corporation, a utility holding company, delivers electricity and natural gas in the United States and the United Kingdom. The company operates through two segments: Kentucky Regulated and Pennsylvania Regulated. It serves approximately 429,000...
How the Company Makes Money
PPL generates revenue through several key streams: regulated utility operations, which involve the transmission and distribution of electricity to consumers; wholesale power generation, where PPL sells electricity produced from its power plants to...
PPL Key Performance Indicators (KPIs)
Any
Revenue by Geography
Breaks down revenue across different regions, revealing where the company is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Breaks down revenue across different regions, revealing where the company is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Data provided by:
The Fly
The FlyPPL Earnings Call Summary
Earnings Call Date:Feb 20, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 08, 2026
Earnings Call Sentiment Positive
The call presented multiple strong execution and growth positives — solid 2025 earnings beat vs prior year, clear 2026 guidance with continued multi-year EPS targets, accelerated and enlarged capital plan to support material rate base growth, substantial data center pipeline growth (25.2 GW in PA, up 23%), meaningful O&M savings achieved ahead of plan, improved credit metrics, and a modest dividend increase. Offsetting items include elevated weather-driven investment needs, higher interest expense and depreciation weighing on near-term results, Rhode Island one-time pressures, energy supply cost inflation impacting customer affordability (up ~200% since 2020), remaining equity issuance (~$2B) and regulatory nuances in Kentucky. On balance the call emphasized disciplined financial policy, strong execution, clear upside pathways (transmission, generation, and JV opportunities), and manageable near-term risks, supporting a positive outlook.Positive Updates
Strong Ongoing Earnings Growth
2025 ongoing earnings of $1.81 per share, up 7.1% year-over-year; GAAP earnings $1.59 per share (2025) vs $1.20 in 2024. 2026 ongoing earnings guidance of $1.90–$1.98 (midpoint $1.94), representing ~7.2% growth from 2025.
Negative Updates
Rising Weather-Driven Costs and Industry Reliability Pressure
Management noted industry-wide trend of worsening T&D performance due to more frequent and severe storms/extreme weather, driving higher capital investment requirements to harden the grid and restore power more quickly.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong Ongoing Earnings Growth
2025 ongoing earnings of $1.81 per share, up 7.1% year-over-year; GAAP earnings $1.59 per share (2025) vs $1.20 in 2024. 2026 ongoing earnings guidance of $1.90–$1.98 (midpoint $1.94), representing ~7.2% growth from 2025.
Read all positive updates
Company Guidance
PPL issued 2026 ongoing earnings guidance of $1.90–$1.98 per share (midpoint $1.94, +7.2% vs. 2025 ongoing $1.81) and extended its 6%–8% annual EPS growth target through at least 2029 with EPS CAGR expected near the top of that range; the company plans $23.0 billion of capital investment from 2026–2029 (up from $20.0 billion prior) supporting ~10.3% rate base CAGR, with roughly 50% funded by operations (net of dividends), ~40% by debt and total equity needs of ~$3.0 billion (≈$1.0 billion executed in 2025, ≈$2.0 billion remaining), while maintaining 16%–18% FFO/debt and holding company debt <25%. 2025 highlights include ongoing EPS $1.81 (GAAP $1.59), $4.4 billion of CapEx executed and ~$170 million of run‑rate O&M savings (ahead of the $175 million 2026 target) with O&M growth guided to ~1% annually; regulatory and project metrics include a Kentucky revenue increase of ≈$233 million with allowed ROEs of 9.775%/9.675% (up 35/32.5 bps), PA advanced-stage data center pipeline of ~25.2 GW (up 23%) with ≥10 GW expected under ESAs by end of Q1 and ~5 GW under construction, a Kentucky pipeline >9 GW (≈8 GW data centers, 4 GW highly active, 500 MW under construction) with probability‑weighted demand ~2.8 GW, a nearly $2.0 billion increase in transmission spend (≈$1.3B PA data centers, $0.7B KY hardening), an $0.8B increase in distribution spend, RI ISR filings of ≈$350M, a declared quarterly dividend of $0.285 (annualized $1.14) with dividend growth target 4%–6% and a payout ratio target of 50%–60%, and a continued focus on upside from competitive transmission, additional T&D, Kentucky generation and the Blackstone JV.PPL Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
63
Positive
Cash Flow
52
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 9.04B | 8.46B | 8.31B | 7.90B | 5.78B |
| Gross Profit | 3.53B | 3.39B | 3.28B | 2.89B | 2.71B |
| EBITDA | 3.68B | 3.21B | 2.92B | 2.66B | 2.56B |
| Net Income | 1.18B | 888.00M | 740.00M | 756.00M | -1.48B |
Balance Sheet | |||||
| Total Assets | 45.24B | 41.07B | 39.24B | 37.84B | 33.22B |
| Cash, Cash Equivalents and Short-Term Investments | 1.09B | 306.00M | 331.00M | 356.00M | 3.57B |
| Total Debt | 19.35B | 16.81B | 15.60B | 14.23B | 11.21B |
| Total Liabilities | 30.36B | 26.99B | 25.30B | 23.92B | 19.50B |
| Stockholders Equity | 14.88B | 14.08B | 13.93B | 13.91B | 13.72B |
Cash Flow | |||||
| Free Cash Flow | -1.40B | -465.00M | -632.00M | -425.00M | 297.00M |
| Operating Cash Flow | 2.63B | 2.34B | 1.76B | 1.73B | 2.27B |
| Investing Cash Flow | -4.00B | -2.82B | -2.38B | -5.65B | 7.96B |
| Financing Cash Flow | 2.12B | 435.00M | 650.00M | 709.00M | -7.39B |
PPL Technical Analysis
Positive
39.02
Price Trends
37.84
Positive
36.39
Positive
36.01
Positive
Market Momentum
0.50
Negative
56.93
Neutral
47.50
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PPL, the sentiment is Positive. The current price of 39.02 is above the 20-day moving average (MA) of 38.46, above the 50-day MA of 37.84, and above the 200-day MA of 36.01, indicating a bullish trend. The MACD of 0.50 indicates Negative momentum. The RSI at 56.93 is Neutral, neither overbought nor oversold. The STOCH value of 47.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PPL.
PPL Risk Analysis
PPL disclosed 27 risk factors in its most recent earnings report. PPL reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
PPL Peers Comparison
UnderperformOutperform
Sector (66)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
67 Neutral | $29.08B | 21.95 | 8.16% | 3.13% | 6.85% | 32.89% | |
67 Neutral | $30.79B | 18.55 | 11.48% | 2.86% | 15.43% | 21.50% | |
66 Neutral | $17.65B | 18.10 | 5.60% | 3.62% | 6.62% | 11.55% | |
64 Neutral | $28.31B | 15.71 | 8.04% | 3.94% | 11.30% | -1.99% | |
63 Neutral | $23.09B | ― | 11.24% | 3.10% | 13.31% | 6.97% | |
61 Neutral | $30.59B | 18.26 | 12.16% | 3.45% | 23.80% | 3.95% | |
56 Neutral | $25.83B | 14.75 | 10.71% | 4.54% | 13.83% | 97.95% |
* Utilities Sector Average
PPL
PPL
38.66
3.28
9.29%
AEE
Ameren
111.29
14.84
15.39%
CMS
CMS Energy
74.73
3.24
4.54%
DTE
DTE Energy
147.03
14.47
10.91%
FE
FirstEnergy
48.94
7.74
18.78%
ES
Eversource Energy
68.72
11.87
20.89%
PPL Corporate Events
Business Operations and StrategyPrivate Placements and Financing
PPL Completes Corporate Unit Offering to Raise Capital
Positive
Feb 26, 2026
On February 23, 2026, PPL Corporation and PPL Capital Funding entered into an underwriting agreement for an equity unit offering, and on February 26, 2026 they completed the sale of 23,000,000 corporate units, including the full exercise of the un...
Financial Disclosures
PPL Schedules Webcast to Review 2025 Financial Results
Neutral
Feb 20, 2026
On February 20, 2026, at 11:00 a.m. Eastern, PPL’s senior management will host a teleconference and webcast with financial analysts to review the company’s financial results for the year ended December 31, 2025, and to address other bu...
Business Operations and StrategyRegulatory Filings and Compliance
PPL wins approval for LG&E and KU rate increases
Positive
Feb 17, 2026
On February 16, 2026, the Kentucky Public Service Commission approved with modifications LGE and KU’s requests for higher base rates, authorizing annual electricity revenue increases of $59 million for LGE and $128 million for KU and a $46 m...
Business Operations and StrategyPrivate Placements and Financing
PPL Extends Revolving Credit Facilities to Bolster Liquidity
Positive
Jan 30, 2026
On January 29, 2026, PPL Capital Funding, Inc., with PPL Corporation as guarantor and The Narragansett Electric Company as a designated borrower, amended a $1.5 billion revolving credit facility with Wells Fargo and a syndicate of lenders, extendi...
Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance
PPL Settles Portion of Ongoing Multi-Year Equity Program
Neutral
Dec 29, 2025
On February 14, 2025, PPL Corporation entered into an Equity Distribution Agreement and related master forward confirmations with a syndicate of major banks to facilitate the offering and sale of its common stock through forward sale agreements, t...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.