PEMBINA PIPELINE CORP (PPL.CA) Stock Fundamental Analysis
Canada - TSX:PPL - CA7063271034 - Common Stock
54.4 CAD
+0.37 (+0.68%)
We assign a fundamental rating of 5 out of 10 to PPL. PPL was compared to 212 industry peers in the Oil, Gas & Consumable Fuels industry. PPL scores excellent on profitability, but there are concerns on its financial health. PPL has a correct valuation and a medium growth rate. Finally PPL also has an excellent dividend rating.
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.
PPL had positive earnings in 4 of the past 5 years.
In the past 5 years PPL always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.60%, PPL is in the better half of the industry, outperforming 76.89% of the companies in the same industry.
The Return On Equity of PPL (9.59%) is better than 75.47% of its industry peers.
PPL has a Return On Invested Capital of 7.22%. This is amongst the best in the industry. PPL outperforms 82.55% of its industry peers.
PPL had an Average Return On Invested Capital over the past 3 years of 6.98%. This is in line with the industry average of 6.73%.
The 3 year average ROIC (6.98%) for PPL is below the current ROIC(7.22%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.6% | ||
| ROE | 9.59% | ||
| ROIC | 7.22% |
ROA(3y)6.29%
ROA(5y)4.17%
ROE(3y)12.77%
ROE(5y)8.56%
ROIC(3y)6.98%
ROIC(5y)6.78%
1.3 Margins
PPL has a Profit Margin of 20.35%. This is amongst the best in the industry. PPL outperforms 80.19% of its industry peers.
In the last couple of years the Profit Margin of PPL has grown nicely.
With an excellent Operating Margin value of 36.59%, PPL belongs to the best of the industry, outperforming 86.32% of the companies in the same industry.
In the last couple of years the Operating Margin of PPL has grown nicely.
PPL's Gross Margin of 42.32% is fine compared to the rest of the industry. PPL outperforms 66.04% of its industry peers.
PPL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.59% | ||
| PM (TTM) | 20.35% | ||
| GM | 42.32% |
OM growth 3Y9.34%
OM growth 5Y5.89%
PM growth 3Y22.34%
PM growth 5Y4.14%
GM growth 3Y13.54%
GM growth 5Y5.86%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PPL is destroying value.
The number of shares outstanding for PPL has been reduced compared to 1 year ago.
The number of shares outstanding for PPL has been increased compared to 5 years ago.
PPL has a worse debt/assets ratio than last year.
2.2 Solvency
PPL has an Altman-Z score of 1.38. This is a bad value and indicates that PPL is not financially healthy and even has some risk of bankruptcy.
PPL's Altman-Z score of 1.38 is fine compared to the rest of the industry. PPL outperforms 62.74% of its industry peers.
PPL has a debt to FCF ratio of 5.21. This is a neutral value as PPL would need 5.21 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 5.21, PPL is doing good in the industry, outperforming 76.89% of the companies in the same industry.
A Debt/Equity ratio of 0.71 indicates that PPL is somewhat dependend on debt financing.
PPL's Debt to Equity ratio of 0.71 is in line compared to the rest of the industry. PPL outperforms 41.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 5.21 | ||
| Altman-Z | 1.38 |
ROIC/WACC0.97
WACC7.43%
2.3 Liquidity
A Current Ratio of 0.53 indicates that PPL may have some problems paying its short term obligations.
PPL has a Current ratio of 0.53. This is in the lower half of the industry: PPL underperforms 74.06% of its industry peers.
PPL has a Quick Ratio of 0.53. 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 (0.41) is worse than 77.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
The earnings per share for PPL have decreased strongly by -14.66% in the last year.
PPL shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.52% yearly.
The Revenue has been growing slightly by 3.96% in the past year.
The Revenue has been growing slightly by 0.42% on average over the past years.
EPS 1Y (TTM)-14.66%
EPS 3Y14.66%
EPS 5Y-0.52%
EPS Q2Q%-27.05%
Revenue 1Y (TTM)3.96%
Revenue growth 3Y-5.05%
Revenue growth 5Y0.42%
Sales Q2Q%-0.42%
3.2 Future
Based on estimates for the next years, PPL will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.45% on average per year.
Based on estimates for the next years, PPL will show a small growth in Revenue. The Revenue will grow by 2.27% on average per year.
EPS Next Y-1.51%
EPS Next 2Y1.6%
EPS Next 3Y2.54%
EPS Next 5Y10.45%
Revenue Next Year7.08%
Revenue Next 2Y7.39%
Revenue Next 3Y5.66%
Revenue Next 5Y2.27%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 19.36, the valuation of PPL can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of PPL indicates a somewhat cheap valuation: PPL is cheaper than 61.32% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.51, PPL is valued a bit cheaper.
The Price/Forward Earnings ratio is 17.57, which indicates a rather expensive current valuation of PPL.
The rest of the industry has a similar Price/Forward Earnings ratio as PPL.
PPL is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 34.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.36 | ||
| Fwd PE | 17.57 |
4.2 Price Multiples
PPL's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, PPL is valued a bit cheaper than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.39 | ||
| EV/EBITDA | 11.43 |
4.3 Compensation for Growth
The excellent profitability rating of PPL may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.6%
EPS Next 3Y2.54%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.36%, PPL is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.31, PPL pays a better dividend. On top of this PPL pays more dividend than 81.13% of the companies listed in the same industry.
PPL's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.36% |
5.2 History
The dividend of PPL has a limited annual growth rate of 2.11%.
PPL has been paying a dividend for at least 10 years, so it has a reliable track record.
PPL has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)2.11%
Div Incr Years3
Div Non Decr Years26
5.3 Sustainability
108.16% of the earnings are spent on dividend by PPL. This is not a sustainable payout ratio.
PPL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP108.16%
EPS Next 2Y1.6%
EPS Next 3Y2.54%
TSX:PPL (11/18/2025, 7:00:00 PM)
54.4
+0.37 (+0.68%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners63.71%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap31.60B
Revenue(TTM)8.01B
Net Income(TTM)1.63B
Analysts76.36
Price Target60.9 (11.95%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.36% |
Yearly Dividend2.78
Dividend Growth(5Y)2.11%
DP108.16%
Div Incr Years3
Div Non Decr Years26
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-16.64%
Min EPS beat(2)-32.7%
Max EPS beat(2)-0.58%
EPS beat(4)1
Avg EPS beat(4)-6.62%
Min EPS beat(4)-32.7%
Max EPS beat(4)8.17%
EPS beat(8)2
Avg EPS beat(8)-0.85%
EPS beat(12)3
Avg EPS beat(12)-7.04%
EPS beat(16)5
Avg EPS beat(16)12.26%
Revenue beat(2)0
Avg Revenue beat(2)-9.19%
Min Revenue beat(2)-11.59%
Max Revenue beat(2)-6.79%
Revenue beat(4)2
Avg Revenue beat(4)5.01%
Min Revenue beat(4)-11.59%
Max Revenue beat(4)34.95%
Revenue beat(8)2
Avg Revenue beat(8)-4.77%
Revenue beat(12)4
Avg Revenue beat(12)-3.19%
Revenue beat(16)8
Avg Revenue beat(16)3.5%
PT rev (1m)1.2%
PT rev (3m)-0.59%
EPS NQ rev (1m)-0.4%
EPS NQ rev (3m)0.73%
EPS NY rev (1m)-0.81%
EPS NY rev (3m)-5.77%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.46%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)1.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.36 | ||
| Fwd PE | 17.57 | ||
| P/S | 3.95 | ||
| P/FCF | 12.39 | ||
| P/OCF | 9.46 | ||
| P/B | 1.86 | ||
| P/tB | 2.98 | ||
| EV/EBITDA | 11.43 |
EPS(TTM)2.81
EY5.17%
EPS(NY)3.1
Fwd EY5.69%
FCF(TTM)4.39
FCFY8.07%
OCF(TTM)5.75
OCFY10.58%
SpS13.79
BVpS29.27
TBVpS18.24
PEG (NY)N/A
PEG (5Y)N/A
Graham Number43.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.6% | ||
| ROE | 9.59% | ||
| ROCE | 8.9% | ||
| ROIC | 7.22% | ||
| ROICexc | 7.25% | ||
| ROICexgc | 9.01% | ||
| OM | 36.59% | ||
| PM (TTM) | 20.35% | ||
| GM | 42.32% | ||
| FCFM | 31.85% |
ROA(3y)6.29%
ROA(5y)4.17%
ROE(3y)12.77%
ROE(5y)8.56%
ROIC(3y)6.98%
ROIC(5y)6.78%
ROICexc(3y)7.01%
ROICexc(5y)6.8%
ROICexgc(3y)9.56%
ROICexgc(5y)9.04%
ROCE(3y)8.61%
ROCE(5y)8.36%
ROICexgc growth 3Y-1.14%
ROICexgc growth 5Y4.96%
ROICexc growth 3Y-0.45%
ROICexc growth 5Y5.18%
OM growth 3Y9.34%
OM growth 5Y5.89%
PM growth 3Y22.34%
PM growth 5Y4.14%
GM growth 3Y13.54%
GM growth 5Y5.86%
F-Score7
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 5.21 | ||
| Debt/EBITDA | 3.11 | ||
| Cap/Depr | 81.88% | ||
| Cap/Sales | 9.88% | ||
| Interest Coverage | 4.82 | ||
| Cash Conversion | 85.76% | ||
| Profit Quality | 156.5% | ||
| Current Ratio | 0.53 | ||
| Quick Ratio | 0.41 | ||
| Altman-Z | 1.38 |
F-Score7
WACC7.43%
ROIC/WACC0.97
Cap/Depr(3y)96.92%
Cap/Depr(5y)105.76%
Cap/Sales(3y)9.24%
Cap/Sales(5y)10.39%
Profit Quality(3y)112.05%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-14.66%
EPS 3Y14.66%
EPS 5Y-0.52%
EPS Q2Q%-27.05%
EPS Next Y-1.51%
EPS Next 2Y1.6%
EPS Next 3Y2.54%
EPS Next 5Y10.45%
Revenue 1Y (TTM)3.96%
Revenue growth 3Y-5.05%
Revenue growth 5Y0.42%
Sales Q2Q%-0.42%
Revenue Next Year7.08%
Revenue Next 2Y7.39%
Revenue Next 3Y5.66%
Revenue Next 5Y2.27%
EBIT growth 1Y8.96%
EBIT growth 3Y3.82%
EBIT growth 5Y6.33%
EBIT Next Year34.71%
EBIT Next 3Y12.48%
EBIT Next 5Y9.79%
FCF growth 1Y22.29%
FCF growth 3Y4.28%
FCF growth 5Y20.56%
OCF growth 1Y25.73%
OCF growth 3Y6.64%
OCF growth 5Y4.89%
PEMBINA PIPELINE CORP / PPL.CA FAQ
What is the ChartMill fundamental rating of PEMBINA PIPELINE CORP (PPL.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to PPL.CA.
What is the valuation status for PPL stock?
ChartMill assigns a valuation rating of 4 / 10 to PEMBINA PIPELINE CORP (PPL.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for PEMBINA PIPELINE CORP?
PEMBINA PIPELINE CORP (PPL.CA) has a profitability rating of 8 / 10.
How financially healthy is PEMBINA PIPELINE CORP?
The financial health rating of PEMBINA PIPELINE CORP (PPL.CA) is 3 / 10.
Can you provide the expected EPS growth for PPL stock?
The Earnings per Share (EPS) of PEMBINA PIPELINE CORP (PPL.CA) is expected to decline by -1.51% in the next year.