0.39%
4.41%
6.46%
9.66%
28.98%
13.09%
-7.31%

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 electric and 333,000 natural gas customers in Louisville and adjacent areas in Kentucky; 538,000 electric customers in central, southeastern, and western Kentucky; and 28,000 electric customers in five counties in southwestern Virginia.


The company also provides electric services to approximately 1.4 million customers in Pennsylvania; and generates electricity from coal, gas, hydro, and solar sources in Kentucky; and sells wholesale electricity to two municipalities in Kentucky.PPL Corporation was founded in 1920 and is headquartered in Allentown, Pennsylvania.

Market Data

Last Price 33.6
Change Percentage 0.39%
Open 33.54
Previous Close 33.47
Market Cap ( Millions) 24796
Volume 4422750
Year High 35.15
Year Low 25.35
M A 50 33.05
M A 200 30.94

Financial Ratios

FCF Yield -2.64%
Dividend Yield 3.07%
ROE 5.87%
Debt / Equity 117.09%
Net Debt / EBIDTA 516.11%
Price To Book 1.76
Price Earnings Ratio 30.08
Price To FCF -37.86
Price To sales 2.99
EV / EBITDA 13.18

Business Breakdown

Expected Mid-Term Growth

Segment nΒ°1 -> Kentucky Regulated

Expected Growth : 4 %

What the company do ?

Kentucky Regulated, a segment of PPL Corporation, provides electricity transmission and distribution services to customers in Kentucky.

Why we expect these perspectives ?

Kentucky Regulated's 4% growth is driven by increasing electricity demand, favorable weather patterns, and a strong economy. Additionally, PPL Corporation's investments in grid modernization and renewable energy sources contribute to the segment's growth. Furthermore, the company's focus on operational efficiency and cost management also support its growth momentum.

Segment nΒ°2 -> Pennsylvania Regulated

Expected Growth : 5 %

What the company do ?

Pennsylvania Regulated, a segment of PPL Corporation, provides electricity transmission and distribution services to customers in Pennsylvania.

Why we expect these perspectives ?

Pennsylvania Regulated segment of PPL Corporation is driven by a 5% growth rate, attributed to increasing electricity demand, infrastructure investments, and favorable regulatory environment. Additionally, the segment benefits from a rate base growth of 6.5%, driven by transmission and distribution capital expenditures, as well as a strong track record of cost management and operational efficiency.

Segment nΒ°3 -> Rhode Island Regulated

Expected Growth : 3 %

What the company do ?

Rhode Island Regulated, a segment of PPL Corporation, provides electricity transmission and distribution services to customers in Rhode Island.

Why we expect these perspectives ?

Rhode Island Regulated segment's 3% growth is driven by increasing electricity demand, favorable weather patterns, and infrastructure investments. Additionally, PPL Corporation's focus on grid modernization, renewable energy integration, and customer-centric initiatives contribute to the segment's growth.

Segment nΒ°4 -> Corporate and Other

Expected Growth : 2 %

What the company do ?

Corporate and Other from PPL Corporation refers to the company's headquarters and other miscellaneous operations that don't fit into its regulated utility or competitive energy businesses.

Why we expect these perspectives ?

PPL Corporation's Corporate and Other segment growth is driven by strategic investments in renewable energy, expansion of energy storage capabilities, and cost savings initiatives. Additionally, the company's focus on grid modernization and infrastructure upgrades contributes to its 2% growth. These efforts enhance operational efficiency, reduce costs, and position the company for long-term success.

Ppl Corporation Products

Product Range What is it ?
Electricity Generation PPL Corporation generates electricity through its power plants, using a diverse mix of fuels including coal, natural gas, and renewable energy sources.
Electricity Transmission PPL Corporation owns and operates a vast network of high-voltage transmission lines, substations, and switchyards that transport electricity from power plants to the grid.
Electricity Distribution PPL Corporation distributes electricity to customers through its network of power lines, substations, and distribution transformers.
Natural Gas Distribution PPL Corporation distributes natural gas to customers through its network of pipelines, providing a clean and efficient source of energy.
Renewable Energy PPL Corporation invests in renewable energy sources, such as wind and solar power, to reduce its carbon footprint and provide clean energy to customers.

PPL Corporation's Porter Forces

The threat of substitutes for PPL Corporation is moderate due to the availability of alternative energy sources such as wind and solar power.

The bargaining power of customers for PPL Corporation is low due to the lack of alternative energy providers in the region.

The bargaining power of suppliers for PPL Corporation is moderate due to the presence of multiple fuel suppliers and the company's ability to negotiate prices.

The threat of new entrants for PPL Corporation is low due to the high barriers to entry in the energy industry, including regulatory hurdles and high capital requirements.

The intensity of rivalry for PPL Corporation is high due to the presence of multiple energy providers in the region, leading to intense competition for market share.

Capital Structure

Value
Debt Weight 52.86%
Debt Cost 5.30%
Equity Weight 47.14%
Equity Cost 8.04%
WACC 6.59%
Leverage 112.14%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
AEE Ameren Corporation, together with its subsidiaries, operates as a public utility holding company in the United States. It operates through four segments: Ameren Missouri, Ameren Illinois Electric Distribution, Ameren Illinois …
LNT Alliant Energy Corporation operates as a utility holding company that provides regulated electricity and natural gas services. It operates through three segments: Utility Electric Operations, Utility Gas Operations, and Utility …
CMS CMS Energy Corporation operates as an energy company primarily in Michigan. The company operates through three segments: Electric Utility; Gas Utility; and Enterprises. The Electric Utility segment is involved in …
CNP CenterPoint Energy, Inc. operates as a public utility holding company in the United States. The company operates through Electric and Natural Gas segments. The Electric segment includes electric transmission and …
PNW Pinnacle West Capital Corporation, through its subsidiary, Arizona Public Service Company, provides retail and wholesale electric services primarily in the state of Arizona. The company engages in the generation, transmission, …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
33.6$
Current Price
33.6$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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