PPL CORP (PPL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PPL - US69351T1060 - Common Stock
36.63 USD
-0.55 (-1.48%)
36.63 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to PPL. PPL was compared to 46 industry peers in the Electric Utilities industry. While PPL is still in line with the averages on profitability rating, there are concerns on its financial health. PPL is quite expensive at the moment. It does show a decent growth rate.
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.
- PPL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 2.49%, PPL is doing worse than 63.04% of the companies in the same industry.
- PPL's Return On Equity of 7.58% is on the low side compared to the rest of the industry. PPL is outperformed by 80.43% of its industry peers.
- PPL has a Return On Invested Capital (4.07%) which is in line with its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for PPL is in line with the industry average of 4.58%.
- The last Return On Invested Capital (4.07%) for PPL is above the 3 year average (3.44%), which is a sign of increasing profitability.
| 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
- Looking at the Profit Margin, with a value of 12.16%, PPL is in line with its industry, outperforming 41.30% of the companies in the same industry.
- In the last couple of years the Profit Margin of PPL has declined.
- Looking at the Operating Margin, with a value of 22.61%, PPL is in line with its industry, outperforming 56.52% of the companies in the same industry.
- In the last couple of years the Operating Margin of PPL has declined.
- PPL's Gross Margin of 78.67% is fine compared to the rest of the industry. PPL outperforms 73.91% of its industry peers.
- 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
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PPL is destroying value.
- Compared to 1 year ago, PPL has about the same amount of shares outstanding.
- The number of shares outstanding for PPL has been reduced 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 0.99. 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 0.99, PPL is in the better half of the industry, outperforming 63.04% of the companies in the same industry.
- PPL has a Debt/Equity ratio of 1.22. This is a high value indicating a heavy dependency on external financing.
- Looking at the Debt to Equity ratio, with a value of 1.22, PPL is in the better half of the industry, outperforming 67.39% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.99 |
ROIC/WACC0.6
WACC6.8%
2.3 Liquidity
- PPL has a Current 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.
- PPL has a Current ratio (0.77) which is in line with its industry peers.
- 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.
- PPL has a Quick ratio of 0.66. This is comparable to the rest of the industry: PPL outperforms 52.17% of its industry peers.
| 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.
- The Revenue has been growing slightly by 1.72% on average over the past years.
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
- PPL is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.93% yearly.
- The Revenue is expected to grow by 6.32% on average over the next years.
EPS Next Y8.98%
EPS Next 2Y8.34%
EPS Next 3Y8.18%
EPS Next 5Y7.93%
Revenue Next Year10.49%
Revenue Next 2Y7.85%
Revenue Next 3Y6.83%
Revenue Next 5Y6.32%
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 21.05, the valuation of PPL can be described as rather expensive.
- 69.57% of the companies in the same industry are cheaper than PPL, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.32, PPL is valued a bit cheaper.
- A Price/Forward Earnings ratio of 18.58 indicates a rather expensive valuation of PPL.
- The rest of the industry has a similar Price/Forward Earnings ratio as PPL.
- The average S&P500 Price/Forward Earnings ratio is at 24.32. PPL is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.05 | ||
| Fwd PE | 18.58 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, PPL is valued a bit more expensive than the industry average as 69.57% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 13.1 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)2.35
PEG (5Y)N/A
EPS Next 2Y8.34%
EPS Next 3Y8.18%
5. Dividend
5.1 Amount
- PPL has a Yearly Dividend Yield of 3.05%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 2.93, PPL has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.83, PPL pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.05% |
5.2 History
- The dividend of PPL decreases each year by -8.78%.
- PPL has paid a dividend for at least 10 years, which is 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
- PPL pays out 71.70% of its income as dividend. This is not a sustainable payout ratio.
DP71.7%
EPS Next 2Y8.34%
EPS Next 3Y8.18%
36.63
-0.55 (-1.48%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)11-05 2025-11-05/bmo
Earnings (Next)02-11 2026-02-11/amc
Inst Owners90.31%
Inst Owner Change0.11%
Ins Owners0.12%
Ins Owner Change-4.29%
Market Cap27.10B
Revenue(TTM)8.98B
Net Income(TTM)1.09B
Analysts79.05
Price Target40.98 (11.88%)
Short Float %4.86%
Short Ratio5.5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.05% |
Yearly Dividend1.01
Dividend Growth(5Y)-8.78%
DP71.7%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
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)-0.79%
PT rev (3m)5.61%
EPS NQ rev (1m)-0.22%
EPS NQ rev (3m)6.67%
EPS NY rev (1m)0.01%
EPS NY rev (3m)-0.13%
Revenue NQ rev (1m)-0.25%
Revenue NQ rev (3m)7.6%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)3.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.05 | ||
| Fwd PE | 18.58 | ||
| P/S | 3.02 | ||
| P/FCF | N/A | ||
| P/OCF | 10.45 | ||
| P/B | 1.88 | ||
| P/tB | 2.29 | ||
| EV/EBITDA | 13.1 |
EPS(TTM)1.74
EY4.75%
EPS(NY)1.97
Fwd EY5.38%
FCF(TTM)-1.54
FCFYN/A
OCF(TTM)3.5
OCFY9.57%
SpS12.14
BVpS19.48
TBVpS16.02
PEG (NY)2.35
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 | 0.99 |
F-Score5
WACC6.8%
ROIC/WACC0.6
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 Y8.98%
EPS Next 2Y8.34%
EPS Next 3Y8.18%
EPS Next 5Y7.93%
Revenue 1Y (TTM)8.42%
Revenue growth 3Y13.53%
Revenue growth 5Y1.72%
Sales Q2Q%8.37%
Revenue Next Year10.49%
Revenue Next 2Y7.85%
Revenue Next 3Y6.83%
Revenue Next 5Y6.32%
EBIT growth 1Y15.8%
EBIT growth 3Y6%
EBIT growth 5Y-9.33%
EBIT Next Year74.57%
EBIT Next 3Y28.87%
EBIT Next 5Y19.84%
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 of PPL CORP (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.
What are the PE and PB ratios of PPL CORP (PPL) stock?
The Price/Earnings (PE) ratio for PPL CORP (PPL) is 21.05 and the Price/Book (PB) ratio is 1.88.
Can you provide the financial health for PPL stock?
The financial health rating of PPL CORP (PPL) is 2 / 10.