PPL CORP (PPL) Stock Fundamental Analysis
USA - NYSE:PPL - US69351T1060 - Common Stock
36.71 USD
+0.16 (+0.44%)
Overall PPL gets a fundamental rating of 3 out of 10. We evaluated PPL against 47 industry peers in the Electric Utilities industry. PPL has a medium profitability rating, but doesn't score so well on its financial health evaluation. While showing a medium growth rate, PPL is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
PPL had positive earnings in the past year.
PPL had a positive operating cash flow in the past year.
Of the past 5 years PPL 4 years were profitable.
Each year in the past 5 years PPL had a positive operating cash flow.
1.2 Ratios
The Return On Assets of PPL (2.49%) is worse than 65.96% of its industry peers.
PPL's Return On Equity of 7.58% is on the low side compared to the rest of the industry. PPL is outperformed by 78.72% of its industry peers.
With a Return On Invested Capital value of 4.07%, PPL perfoms like the industry average, outperforming 42.55% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for PPL is in line with the industry average of 5.02%.
The 3 year average ROIC (3.44%) for PPL is below the current ROIC(4.07%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.49% | ||
| ROE | 7.58% | ||
| ROIC | 4.07% |
ROA(3y)2.01%
ROA(5y)0.93%
ROE(3y)5.68%
ROE(5y)3.45%
ROIC(3y)3.44%
ROIC(5y)4.12%
1.3 Margins
PPL has a Profit Margin of 12.16%. This is comparable to the rest of the industry: PPL outperforms 42.55% of its industry peers.
In the last couple of years the Profit Margin of PPL has declined.
With a Operating Margin value of 22.61%, PPL perfoms like the industry average, outperforming 57.45% of the companies in the same industry.
PPL's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 78.67%, PPL is in the better half of the industry, outperforming 74.47% of the companies in the same industry.
In the last couple of years the Gross Margin of PPL has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.61% | ||
| PM (TTM) | 12.16% | ||
| GM | 78.67% |
OM growth 3Y-6.63%
OM growth 5Y-10.87%
PM growth 3YN/A
PM growth 5Y-14.16%
GM growth 3Y-2.69%
GM growth 5Y-2.44%
2. Health
2.1 Basic Checks
PPL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PPL has about the same amout of shares outstanding than it did 1 year ago.
PPL has less shares outstanding than it did 5 years ago.
The debt/assets ratio for PPL is higher compared to a year ago.
2.2 Solvency
PPL has an Altman-Z score of 0.98. This is a bad value and indicates that PPL is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.98, PPL is in line with its industry, outperforming 57.45% of the companies in the same industry.
A Debt/Equity ratio of 1.22 is on the high side and indicates that PPL has dependencies on debt financing.
With a Debt to Equity ratio value of 1.22, PPL perfoms like the industry average, outperforming 59.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.98 |
ROIC/WACC0.61
WACC6.69%
2.3 Liquidity
A Current Ratio of 0.77 indicates that PPL may have some problems paying its short term obligations.
PPL has a Current ratio (0.77) which is comparable to the rest of the industry.
PPL has a Quick Ratio of 0.77. This is a bad value and indicates that PPL is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of PPL (0.66) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
The earnings per share for PPL have decreased by 0.00% in the last year.
The Earnings Per Share has been decreasing by -7.34% on average over the past years.
Looking at the last year, PPL shows a quite strong growth in Revenue. The Revenue has grown by 8.42% in the last year.
PPL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.72% yearly.
EPS 1Y (TTM)0%
EPS 3Y16.96%
EPS 5Y-7.34%
EPS Q2Q%14.29%
Revenue 1Y (TTM)8.42%
Revenue growth 3Y13.53%
Revenue growth 5Y1.72%
Sales Q2Q%8.37%
3.2 Future
The Earnings Per Share is expected to grow by 7.93% on average over the next years.
Based on estimates for the next years, PPL will show a small growth in Revenue. The Revenue will grow by 6.29% on average per year.
EPS Next Y8.81%
EPS Next 2Y8.38%
EPS Next 3Y8.14%
EPS Next 5Y7.93%
Revenue Next Year7.73%
Revenue Next 2Y6.2%
Revenue Next 3Y6.02%
Revenue Next 5Y6.29%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.10, the valuation of PPL can be described as rather expensive.
Based on the Price/Earnings ratio, PPL is valued a bit more expensive than the industry average as 65.96% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Earnings ratio of 25.91, PPL is valued at the same level.
Based on the Price/Forward Earnings ratio of 18.60, the valuation of PPL can be described as rather expensive.
PPL's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 34.57. PPL is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.1 | ||
| Fwd PE | 18.6 |
4.2 Price Multiples
65.96% of the companies in the same industry are cheaper than PPL, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.96 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PPL does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.39
PEG (5Y)N/A
EPS Next 2Y8.38%
EPS Next 3Y8.14%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.96%, PPL has a reasonable but not impressive dividend return.
PPL's Dividend Yield is comparable with the industry average which is at 3.22.
PPL's Dividend Yield is a higher than the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.96% |
5.2 History
The dividend of PPL decreases each year by -8.78%.
PPL has been paying a dividend for at least 10 years, so it has a reliable track record.
PPL has decreased its dividend recently.
Dividend Growth(5Y)-8.78%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
71.70% of the earnings are spent on dividend by PPL. This is not a sustainable payout ratio.
DP71.7%
EPS Next 2Y8.38%
EPS Next 3Y8.14%
NYSE:PPL (11/14/2025, 2:32:02 PM)
36.71
+0.16 (+0.44%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners84.53%
Inst Owner Change-1.02%
Ins Owners0.12%
Ins Owner Change-2.49%
Market Cap27.15B
Revenue(TTM)8.98B
Net Income(TTM)1.09B
Analysts79.05
Price Target41.45 (12.91%)
Short Float %4.74%
Short Ratio7.05
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.96% |
Yearly Dividend1.01
Dividend Growth(5Y)-8.78%
DP71.7%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-6.86%
Min EPS beat(2)-17.1%
Max EPS beat(2)3.37%
EPS beat(4)2
Avg EPS beat(4)-3.55%
Min EPS beat(4)-17.1%
Max EPS beat(4)9.51%
EPS beat(8)5
Avg EPS beat(8)0.94%
EPS beat(12)7
Avg EPS beat(12)0.18%
EPS beat(16)9
Avg EPS beat(16)-1.87%
Revenue beat(2)2
Avg Revenue beat(2)0.99%
Min Revenue beat(2)0.95%
Max Revenue beat(2)1.04%
Revenue beat(4)4
Avg Revenue beat(4)8.62%
Min Revenue beat(4)0.95%
Max Revenue beat(4)25.58%
Revenue beat(8)8
Avg Revenue beat(8)8.91%
Revenue beat(12)12
Avg Revenue beat(12)15.8%
Revenue beat(16)13
Avg Revenue beat(16)10.22%
PT rev (1m)6.8%
PT rev (3m)6.47%
EPS NQ rev (1m)-2.1%
EPS NQ rev (3m)-1.27%
EPS NY rev (1m)-0.28%
EPS NY rev (3m)-0.46%
Revenue NQ rev (1m)0.96%
Revenue NQ rev (3m)2.07%
Revenue NY rev (1m)1.35%
Revenue NY rev (3m)0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.1 | ||
| Fwd PE | 18.6 | ||
| P/S | 3.02 | ||
| P/FCF | N/A | ||
| P/OCF | 10.47 | ||
| P/B | 1.88 | ||
| P/tB | 2.29 | ||
| EV/EBITDA | 12.96 |
EPS(TTM)1.74
EY4.74%
EPS(NY)1.97
Fwd EY5.38%
FCF(TTM)-1.54
FCFYN/A
OCF(TTM)3.5
OCFY9.55%
SpS12.14
BVpS19.49
TBVpS16.03
PEG (NY)2.39
PEG (5Y)N/A
Graham Number27.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.49% | ||
| ROE | 7.58% | ||
| ROCE | 5.17% | ||
| ROIC | 4.07% | ||
| ROICexc | 4.18% | ||
| ROICexgc | 4.48% | ||
| OM | 22.61% | ||
| PM (TTM) | 12.16% | ||
| GM | 78.67% | ||
| FCFM | N/A |
ROA(3y)2.01%
ROA(5y)0.93%
ROE(3y)5.68%
ROE(5y)3.45%
ROIC(3y)3.44%
ROIC(5y)4.12%
ROICexc(3y)3.47%
ROICexc(5y)4.26%
ROICexgc(3y)3.73%
ROICexgc(5y)4.49%
ROCE(3y)4.4%
ROCE(5y)5.28%
ROICexgc growth 3Y-3.74%
ROICexgc growth 5Y-8.32%
ROICexc growth 3Y-4.73%
ROICexc growth 5Y-7.76%
OM growth 3Y-6.63%
OM growth 5Y-10.87%
PM growth 3YN/A
PM growth 5Y-14.16%
GM growth 3Y-2.69%
GM growth 5Y-2.44%
F-Score5
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.13 | ||
| Cap/Depr | 268.4% | ||
| Cap/Sales | 41.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 75.81% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 0.98 |
F-Score5
WACC6.69%
ROIC/WACC0.61
Cap/Depr(3y)186.84%
Cap/Depr(5y)195.12%
Cap/Sales(3y)29.72%
Cap/Sales(5y)33.2%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y16.96%
EPS 5Y-7.34%
EPS Q2Q%14.29%
EPS Next Y8.81%
EPS Next 2Y8.38%
EPS Next 3Y8.14%
EPS Next 5Y7.93%
Revenue 1Y (TTM)8.42%
Revenue growth 3Y13.53%
Revenue growth 5Y1.72%
Sales Q2Q%8.37%
Revenue Next Year7.73%
Revenue Next 2Y6.2%
Revenue Next 3Y6.02%
Revenue Next 5Y6.29%
EBIT growth 1Y15.8%
EBIT growth 3Y6%
EBIT growth 5Y-9.33%
EBIT Next Year77.91%
EBIT Next 3Y28.61%
EBIT Next 5Y19.8%
FCF growth 1Y-121.01%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y38.83%
OCF growth 3Y-2.87%
OCF growth 5Y-0.73%
PPL CORP / PPL FAQ
What is the ChartMill fundamental rating of PPL CORP (PPL) stock?
ChartMill assigns a fundamental rating of 3 / 10 to PPL.
What is the valuation status for PPL stock?
ChartMill assigns a valuation rating of 1 / 10 to PPL CORP (PPL). This can be considered as Overvalued.
Can you provide the profitability details for PPL CORP?
PPL CORP (PPL) has a profitability rating of 4 / 10.
How financially healthy is PPL CORP?
The financial health rating of PPL CORP (PPL) is 2 / 10.
Can you provide the expected EPS growth for PPL stock?
The Earnings per Share (EPS) of PPL CORP (PPL) is expected to grow by 8.81% in the next year.