PPL
PPL Corporation, a utility holding company, delivers electricity and natural gas in the United States and the United Kingdom. The last earnings update was 44 days ago. More info.
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PPL Share Price and Events
7 Day Returns
1 Year Returns
PPL Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| PPL (PPL) | 1.4% | 5.1% | -3.9% | 16.1% | -19.4% | -9.2% |
| US Electric Utilities | 0.7% | 4.2% | 3.9% | 21.1% | 17.9% | 38.6% |
| US Market | 0.5% | 0.2% | 1.1% | 0.8% | 37.4% | 37.5% |
1 Year Return vs Industry and Market
- PPL underperformed the Electric Utilities industry which returned 21.1% over the past year.
- PPL outperformed the Market in United States of America which returned 0.8% over the past year.
Value
Is PPL undervalued based on future cash flows and its price relative to the stock market?
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
PPL
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for PPL.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 12 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 7.5% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Electric Utilities Unlevered Beta | Simply Wall St/ S&P Global | 0.28 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.28 (1 + (1- 21%) (101%)) |
0.667 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
0.8 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.8 * 5.96%) |
7.5% |
Discounted Cash Flow Calculation for NYSE:PPL using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for PPL is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 7.5%) |
|
|---|---|---|---|
| 2019 | -456.00 | Analyst x2 | -424.19 |
| 2020 | 712.00 | Analyst x2 | 616.14 |
| 2021 | 443.00 | Analyst x1 | 356.62 |
| 2022 | 302.09 | Est @ -31.81% | 226.22 |
| 2023 | 237.30 | Est @ -21.45% | 165.31 |
| 2024 | 203.62 | Est @ -14.19% | 131.95 |
| 2025 | 185.05 | Est @ -9.12% | 111.56 |
| 2026 | 174.76 | Est @ -5.56% | 98.00 |
| 2027 | 169.39 | Est @ -3.07% | 88.36 |
| 2028 | 167.13 | Est @ -1.33% | 81.10 |
| Present value of next 10 years cash flows | $1,451.07 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $167.13 × (1 + 2.73%) ÷ (7.5% – 2.73%) |
$3,600.87 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $3,600.87 ÷ (1 + 7.5%)10 |
$1,747.44 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $1,451.07 + $1,747.44 |
$3,198.51 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $3,198.51 / 721.74 |
$4.43 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $4.43 |
| Current discount | Discount to share price of
$31.45
= -1 x ($31.45 - $4.43) / $4.43 |
-609.7% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
- The current share price of PPL is above its future cash flow value.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for PPL's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
PPL's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2019-03-31) in USD | $2.59 |
| NYSE:PPL Share Price ** | NYSE (2019-06-14) in USD | $31.45 |
| United States of America Electric Utilities Industry PE Ratio | Median Figure of 26 Publicly-Listed Electric Utilities Companies | 22.61x |
| United States of America Market PE Ratio | Median Figure of 3,091 Publicly-Listed Companies | 17.68x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of PPL.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:PPL Share Price ÷ EPS (both in USD) = 31.45 ÷ 2.59 |
12.15x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- PPL is good value based on earnings compared to the US Electric Utilities industry average.
- PPL is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does
PPL's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 12.15x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts |
5.4%per year |
| United States of America Electric Utilities Industry PEG Ratio | Median Figure of 22 Publicly-Listed Electric Utilities Companies | 3.23x |
| United States of America Market PEG Ratio | Median Figure of 2,125 Publicly-Listed Companies | 1.52x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 12.15x ÷ 5.4% |
2.27x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- PPL is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
PPL's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2019-03-31) in USD | $16.87 |
| NYSE:PPL Share Price * | NYSE (2019-06-14) in USD | $31.45 |
| United States of America Electric Utilities Industry PB Ratio | Median Figure of 29 Publicly-Listed Electric Utilities Companies | 2.18x |
| United States of America Market PB Ratio | Median Figure of 5,244 Publicly-Listed Companies | 1.79x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:PPL Share Price ÷ Book Value per Share (both in USD) = 31.45 ÷ 16.87 |
1.86x |
* Primary Listing of PPL.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- PPL is good value based on assets compared to the US Electric Utilities industry average.
Value checks
We assess PPL's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Electric Utilities industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Electric Utilities industry average (and greater than 0)? (1 check) PPL has a total score of 3/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
Future Performance
How is PPL expected to perform in the next 1 to 3 years based on estimates from 12 analysts?
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- PPL's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- PPL's earnings growth is positive but not above the United States of America market average.
- PPL's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:PPL Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts | 5.4% |
| NYSE:PPL Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 12 Analysts | 2.9% |
| United States of America Electric Utilities Industry Earnings Growth Rate | Market Cap Weighted Average | 8% |
| United States of America Electric Utilities Industry Revenue Growth Rate | Market Cap Weighted Average | 2.4% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 13.9% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.3% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 12 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2022-12-31 | 8,786 | 4,094 | 2,176 | 1 |
| 2021-12-31 | 8,424 | 3,516 | 1,984 | 9 |
| 2020-12-31 | 8,329 | 3,335 | 1,911 | 12 |
| 2019-12-31 | 7,994 | 2,984 | 1,771 | 12 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2019-03-31 | 7,738 | 2,729 | 1,840 |
| 2018-12-31 | 7,785 | 2,821 | 1,825 |
| 2018-09-30 | 7,772 | 2,917 | 1,488 |
| 2018-06-30 | 7,745 | 2,996 | 1,398 |
| 2018-03-31 | 7,622 | 2,892 | 1,175 |
| 2017-12-31 | 7,447 | 2,461 | 1,126 |
| 2017-09-30 | 7,353 | 2,414 | 1,511 |
| 2017-06-30 | 7,397 | 2,510 | 1,629 |
| 2017-03-31 | 7,457 | 2,468 | 1,819 |
| 2016-12-31 | 7,517 | 2,890 | 1,896 |
| 2016-09-30 | 7,465 | 2,814 | 1,841 |
| 2016-06-30 | 7,454 | 2,472 | 1,762 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 12 Analyst Estimates (S&P Global) | See Below |
All data from PPL Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2022-12-31 | 2.85 | 2.85 | 2.85 | 1.00 |
| 2021-12-31 | 2.59 | 2.74 | 2.45 | 4.00 |
| 2020-12-31 | 2.54 | 2.59 | 2.50 | 5.00 |
| 2019-12-31 | 2.40 | 2.44 | 2.34 | 6.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2019-03-31 | 2.59 |
| 2018-12-31 | 2.59 |
| 2018-09-30 | 2.14 |
| 2018-06-30 | 2.02 |
| 2018-03-31 | 1.71 |
| 2017-12-31 | 1.64 |
| 2017-09-30 | 2.21 |
| 2017-06-30 | 2.39 |
| 2017-03-31 | 2.68 |
| 2016-12-31 | 2.80 |
| 2016-09-30 | 2.72 |
| 2016-06-30 | 2.61 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess PPL's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
PPL has a total score of 1/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
Past Performance
How has PPL performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- PPL's year on year earnings growth rate has been positive over the past 5 years.
- PPL's 1-year earnings growth exceeds its 5-year average (56.6% vs 5.4%)
- PPL's earnings growth has exceeded the US Electric Utilities industry average in the past year (56.6% vs 9.7%).
Earnings and Revenue History
All data from PPL Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2019-03-31 | 7,738.00 | 1,840.00 | -269.00 | |
| 2018-12-31 | 7,785.00 | 1,825.00 | -257.00 | |
| 2018-09-30 | 7,772.00 | 1,488.00 | -72.00 | |
| 2018-06-30 | 7,745.00 | 1,398.00 | -52.00 | |
| 2018-03-31 | 7,622.00 | 1,175.00 | -197.00 | |
| 2017-12-31 | 7,447.00 | 1,126.00 | -167.00 | |
| 2017-09-30 | 7,353.00 | 1,511.00 | -123.00 | |
| 2017-06-30 | 7,397.00 | 1,629.00 | -82.00 | |
| 2017-03-31 | 7,457.00 | 1,819.00 | -38.00 | |
| 2016-12-31 | 7,517.00 | 1,896.00 | -112.00 | |
| 2016-09-30 | 7,465.00 | 1,841.00 | ||
| 2016-06-30 | 7,454.00 | 1,762.00 | ||
| 2016-03-31 | 7,450.00 | 1,529.00 | ||
| 2015-12-31 | 7,669.00 | 1,601.00 | ||
| 2015-09-30 | 7,835.00 | 1,597.00 | ||
| 2015-06-30 | 7,836.00 | 1,612.00 | ||
| 2015-03-31 | 7,904.00 | 1,592.00 | ||
| 2014-12-31 | 7,852.00 | 1,428.00 | ||
| 2014-09-30 | 8,725.00 | 922.00 | ||
| 2014-06-30 | 9,920.00 | 915.00 | ||
| 2014-03-31 | 11,442.00 | 1,066.00 | ||
| 2013-12-31 | 7,263.00 | 1,362.00 | ||
| 2013-09-30 | 12,124.00 | 1,544.00 | ||
| 2013-06-30 | 11,453.00 | 1,496.00 | ||
| 2013-03-31 | 10,631.00 | 1,391.00 | ||
| 2012-12-31 | 12,132.00 | 1,472.00 | ||
| 2012-09-30 | 13,282.00 | 1,618.00 | ||
| 2012-06-30 | 13,999.00 | 1,708.00 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- PPL has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- PPL used its assets more efficiently than the US Electric Utilities industry average last year based on Return on Assets.
- PPL's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess PPL's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Electric Utilities industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
PPL has a total score of 4/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
Health
How is PPL's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up PPL's finances.
The net worth of a company is the difference between its assets and liabilities.
- PPL's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
- PPL's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is not covered by short term assets, assets are 0.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from PPL Company Filings, last reported 2 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2019-03-31 | 12,172.00 | 22,925.00 | 518.00 |
| 2018-12-31 | 11,657.00 | 22,121.00 | 621.00 |
| 2018-09-30 | 11,783.00 | 21,894.00 | 842.00 |
| 2018-06-30 | 11,240.00 | 22,377.00 | 852.00 |
| 2018-03-31 | 11,176.00 | 22,017.00 | 629.00 |
| 2017-12-31 | 10,761.00 | 21,375.00 | 485.00 |
| 2017-09-30 | 10,692.00 | 20,874.00 | 676.00 |
| 2017-06-30 | 10,490.00 | 20,672.00 | 467.00 |
| 2017-03-31 | 10,109.00 | 20,146.00 | 409.00 |
| 2016-12-31 | 9,899.00 | 19,358.00 | 341.00 |
| 2016-09-30 | 9,975.00 | 19,282.00 | 416.00 |
| 2016-06-30 | 10,325.00 | 20,160.00 | 492.00 |
| 2016-03-31 | 9,762.00 | 19,998.00 | 814.00 |
| 2015-12-31 | 9,919.00 | 20,117.00 | 838.00 |
| 2015-09-30 | 10,222.00 | 19,926.00 | 982.00 |
| 2015-06-30 | 9,941.00 | 19,391.00 | 846.00 |
| 2015-03-31 | 14,036.00 | 22,221.00 | 1,470.00 |
| 2014-12-31 | 13,628.00 | 19,130.00 | 1,521.00 |
| 2014-09-30 | 13,974.00 | 22,010.00 | 1,188.00 |
| 2014-06-30 | 13,735.00 | 22,069.00 | 1,269.00 |
| 2014-03-31 | 12,717.00 | 22,530.00 | 1,263.00 |
| 2013-12-31 | 12,466.00 | 21,730.00 | 1,184.00 |
| 2013-09-30 | 12,362.00 | 20,484.00 | 1,291.00 |
| 2013-06-30 | 10,954.00 | 20,950.00 | 841.00 |
| 2013-03-31 | 10,542.00 | 20,786.00 | 877.00 |
| 2012-12-31 | 10,498.00 | 20,222.00 | 901.00 |
| 2012-09-30 | 11,232.00 | 19,633.00 | 946.00 |
| 2012-06-30 | 10,980.00 | 19,676.00 | 981.00 |
- PPL's level of debt (187.6%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has increased over the past 5 years (177% vs 187.6% today).
- Debt is not well covered by operating cash flow (12%, less than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 3.2x coverage).
Financial health checks
We assess PPL's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) PPL has a total score of 1/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
Dividends
What is PPL's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
PPL
shares you are expected to receive
$105
in your first year as a dividend.
Dividend Amount
- PPL's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.47%).
- PPL's dividend is above the markets top 25% of dividend payers in United States of America (3.71%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 12 Analyst Estimates (S&P Global) | See Below |
| United States of America Electric Utilities Industry Average Dividend Yield | Market Cap Weighted Average of 27 Stocks | 3.3% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2011 Stocks | 2.5% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.5% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.7% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2022-12-31 | ||
| 2021-12-31 | 1.71 | 8.00 |
| 2020-12-31 | 1.69 | 12.00 |
| 2019-12-31 | 1.66 | 11.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-05-14 | 1.650 | 5.407 |
| 2019-05-02 | 1.650 | 5.342 |
| 2019-02-14 | 1.650 | 5.202 |
| 2018-11-16 | 1.640 | 5.458 |
| 2018-08-24 | 1.640 | 5.416 |
| 2018-05-16 | 1.640 | 5.840 |
| 2018-02-22 | 1.640 | 5.836 |
| 2017-11-17 | 1.580 | 4.890 |
| 2017-08-25 | 1.580 | 4.159 |
| 2017-05-17 | 1.580 | 4.067 |
| 2017-05-04 | 1.580 | 4.095 |
| 2017-02-17 | 1.580 | 4.244 |
| 2017-02-01 | 1.580 | 4.456 |
| 2016-11-18 | 1.520 | 4.467 |
| 2016-08-26 | 1.520 | 4.478 |
| 2016-05-25 | 1.520 | 4.066 |
| 2016-04-29 | 1.520 | 3.976 |
| 2016-04-28 | 1.520 | 4.058 |
| 2016-02-19 | 1.520 | 4.138 |
| 2016-02-04 | 1.520 | 4.205 |
| 2015-11-20 | 1.510 | 4.452 |
| 2015-10-30 | 1.510 | 4.467 |
| 2015-10-29 | 1.510 | 4.429 |
| 2015-08-03 | 1.510 | 4.695 |
| 2015-05-20 | 1.490 | 4.777 |
| 2015-02-27 | 1.490 | 4.442 |
| 2014-11-21 | 1.490 | 4.199 |
| 2014-08-22 | 1.490 | 4.361 |
| 2014-05-21 | 1.490 | 4.389 |
| 2014-02-06 | 1.490 | 4.568 |
| 2013-11-22 | 1.470 | 4.903 |
| 2013-08-23 | 1.470 | 4.823 |
| 2013-05-15 | 1.470 | 4.821 |
| 2013-02-14 | 1.470 | 4.691 |
| 2012-08-27 | 1.440 | 4.936 |
| 2012-05-16 | 1.440 | 5.098 |
| 2012-02-10 | 1.440 | 5.181 |
| 2011-11-18 | 1.400 | 4.890 |
| 2011-08-26 | 1.400 | 4.857 |
| 2011-05-18 | 1.400 | 5.090 |
| 2011-02-25 | 1.400 | 5.363 |
| 2010-11-19 | 1.400 | 5.455 |
| 2010-08-30 | 1.400 | 5.173 |
| 2010-05-19 | 1.400 | 5.373 |
| 2010-02-26 | 1.400 | 5.104 |
| 2009-11-20 | 1.380 | 4.466 |
| 2009-08-28 | 1.380 | 4.594 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been stable in the past 10 years.
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
PPL's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are covered by earnings (1.6x coverage).
- Dividends after 3 years are expected to be covered by earnings (1.5x coverage).
Income/ dividend checks
We assess PPL's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can PPL afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) PPL has a total score of 6/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | $11,338,785 |
| AGE | 61 |
| TENURE AS CEO | 7.6 years |
CEO Bio
Mr. William H. Spence, also known as Bill, has been the Chief Executive Officer and President of PPL Corporation since 2011 and its Chairman of the Board from April 1, 2012. Mr. Spence served as the Chief Operating Officer of PPL Maine, LLC. He served as the President of PPL Generation from June 2008 to March 5, 2012. He served as the Chief Operating Officer of PPL Corporation from July 22, 2011 to November 2011 and Talen Energy Marketing, LLC. He was President of Talen Generation, LLC until March 5, 2012. He served as an Executive Vice President of Talen Energy Marketing, LLC. He was Chief Operating Officer of Talen Energy Supply, LLC since June 26, 2006 and served as its Unit President since January 2, 2007. He served as Executive Vice President of Talen Energy Supply, LLC since June 26, 2006. He was Manager of Talen Energy Supply, LLC until June 1, 2015. Mr. Spence had 19 years of service with Pepco Holdings, Inc. and its heritage companies, Delmarva Power and Conectiv, where he held a number of senior management positions. He served as an Executive Vice President of PPL Corporation, PPL EnergyPlus, LLC and PPL Energy Supply, LLC from June 2006 to July 22, 2011. He served as the Chief Nuclear Officer of PPL Generation from 2008 to July 8, 2009. He served as the President of PPL Electric Utilities Corporation from January 2007 to March 2007 and its Principal Executive Officer. He served as the Senior Vice President of Pepco Holdings, Inc. since August 2002 and Senior Vice President of its subsidiary, Conectiv, LLC from September 2000 to June 2006. He served as the President and Chief Operating Officer at Conectiv Energy Holding Company from August 2002 to June 2006. He served as a Manager of Atlantic City Electric Transition Funding LLC. From July 1998 to September 2000, he served as the Vice President and General Manager of Conectiv, LLC. He has been a Director of PPL Electric Utilities Corporation since 2006 and serves as its Chairman. He has been a Director of PPL Corporation since 2016. Mr. Spence has been Independent Director of Wpz Gp Llc at Williams Partners L.P. since 2016. He has been Independent Director at The Williams Companies, Inc. since August 29, 2016. He served as Director of PPL WEM Limited until July 31,2017. He serves as a Director of PPL Energy Supply, LLC, Electric Power Research Institute, Inc., Louisville Gas and Electric Company, Kentucky Utilities Company, Inc. and LG&E and KU Energy LLC. He served as Director of PPL Energy Supply, LLC until June 1, 2015. Mr. Spence is a Graduate of the Executive Development Program at the University of Pennsylvania and the Nuclear Technology Program of the Massachusetts Institute of Technology. He holds a Bachelor's Degree in Petroleum and Natural Gas Engineering from Penn State University and a Master's Degree in Business Administration from Bentley College in Waltham, Mass.
CEO Compensation
- Bill's compensation has been consistent with company performance over the past year, both up more than 20%.
- Bill's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the PPL management team in years:
- The tenure for the PPL management team is about average.
Management Team
Bill Spence
Chairman
$11M
61
7.6 yrs
Vincent Sorgi
Executive VP & CFO
$3M
46
5 yrs
Joanne Raphael
Executive VP
$3M
58
4 yrs
Paul Thompson
Chairman
$3M
60
1.3 yrs
Greg Dudkin
President of PPL Electric Utilities Corporation
$3M
60
7.3 yrs
Mark Brooks
VP & Chief Information Security Officer
0.5 yrs
Joe Bergstein
Vice President of Investor Relations and Corporate Development & Planning
47
10.4 yrs
Steve Phillips
VP & Global Chief Compliance Officer
1.4 yrs
Tom Lynch
VP & Chief Human Resources Officer of PPL Services
62
3.4 yrs
Tadd Henninger
VP & Treasurer
42
1.4 yrs
Board of Directors Tenure
Average tenure and age of the PPL board of directors in years:
- The tenure for the PPL board of directors is about average.
Board of Directors
Paul Thompson
Chairman
$3M
60
1.3 yrs
Craig Rogerson
Independent Director
$270K
61
13.8 yrs
Bill Spence
Chairman
$11M
61
7.2 yrs
Natica Von Althann
Independent Director
$274K
67
9.5 yrs
Steve Elliott
Director
$285K
71
8.4 yrs
John Conway
Independent Lead Director
$280K
73
8.1 yrs
Keith Williamson
Independent Director
$250K
66
13.8 yrs
Raja Madabhushi
Independent Director
$250K
56
7.9 yrs
Armando Zagalo de Lima
Independent Director
$250K
59
4.9 yrs
Phoebe Wood
Independent Director
$248K
65
1.4 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
Management checks
We assess PPL's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) PPL has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
News
Simply Wall St News
Is PPL Corporation's (NYSE:PPL) 15% ROE Better Than Average?
The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for PPL: 15% = US$1.8b ÷ US$12b (Based on the trailing twelve months to March 2019.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … A company that can achieve a high return on equity without debt could be considered a high quality business. … If you would prefer check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
Simply Wall St - – Full articleIs PPL Corporation's (NYSE:PPL) CEO Overpaid Relative To Its Peers?
According to our data, PPL Corporation has a market capitalization of US$22b, and pays its CEO total annual compensation worth US$11m. … NYSE:PPL CEO Compensation, May 28th 2019 Is PPL Corporation Growing? … PPL Corporation has reduced its earnings per share by an average of 5.3% a year, over the last three years (measured with a line of best fit).
Simply Wall St - – Full articlePPL Corporation (NYSE:PPL) Should Be In Your Dividend Portfolio, Here's Why
It is a stock that pays a consistent, reliable and competitive dividend over a long period of time, and is expected to continue to pay in the same manner many years to come. … More specifically: Its annual yield is among the top 25% of dividend payers It consistently pays out dividend without missing a payment or significantly cutting payout Its dividend per share amount has increased over the past It can afford to pay the current rate of dividends from its earnings It is able to continue to payout at the current rate in the future High Yield And Dependable PPL currently yields 5.4%, which is high for Electric Utilities stocks. … NYSE:PPL Historical Dividend Yield, May 17th 2019 If dividend is a key criteria in your investment consideration, then you need to make sure the dividend stock you're eyeing out is reliable in its payments.
Simply Wall St - – Full articleCan We See Significant Institutional Ownership On The PPL Corporation (NYSE:PPL) Share Register?
Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … We'd expect to see both institutions and retail investors owning a portion of the company. … institutions are noticeable on the share registry.
Simply Wall St - – Full articleDid Changing Sentiment Drive PPL's (NYSE:PPL) Share Price Down By 16%?
We regret to report that long term PPL Corporation (NYSE:PPL) shareholders have had that experience, with the share price dropping 16% in three years, versus a market return of about 48%. … Unhappily, the share price slid 3.3% in the last week. … During the unfortunate three years of share price decline, PPL actually saw its earnings per share (EPS) improve by 2.7% per year.
Simply Wall St - – Full articleShould You Like PPL Corporation’s (NYSE:PPL) High Return On Capital Employed?
Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … What is Return On Capital Employed (ROCE)? … ROCE measures the amount of pre-tax profits a company can generate from the capital employed in its business.
Simply Wall St - – Full articleDoes PPL Corporation (NYSE:PPL) Have A Good P/E Ratio?
This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … We'll show how you can use PPL Corporation's (NYSE:PPL) P/E ratio to inform your assessment of the investment opportunity. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
Simply Wall St - – Full articlePPL Corporation (NYSE:PPL): Should The Future Outlook Worry You?
Based on PPL Corporation's (NYSE:PPL) earnings update in December 2018, … the consensus outlook from analysts appear … as a -2.5% fall in profits is expected in the upcoming year
Simply Wall St - – Full articleWhat Should You Know About PPL Corporation's (NYSE:PPL) Growth?
PPL Corporation's (NYSE:PPL) most recent earnings announcement in December 2018a … indicated … business
Simply Wall St - – Full articleIs PPL Corporation's (NYSE:PPL) 16% Better Than Average?
With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Our data shows PPL has a return on equity of 16% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleCompany Info
Description
PPL Corporation, a utility holding company, delivers electricity and natural gas in the United States and the United Kingdom. The company operates through three segments: U.K. Regulated, Kentucky Regulated, and Pennsylvania Regulated. It serves approximately 414,000 electric and 328,000 natural gas customers in Louisville and adjacent areas in Kentucky; 527,000 electric customers in central, southeastern, and western Kentucky; and 28,000 electric customers in 5 counties in southwestern Virginia. The company also provides electric delivery services to approximately 1.4 million customers in Pennsylvania; operates electricity distribution networks in the United Kingdom; generates electricity from coal, gas, hydro, and solar sources in Kentucky; and sells wholesale electricity to 10 municipalities in Kentucky. PPL Corporation was founded in 1920 and is headquartered in Allentown, Pennsylvania.
Details
| Name: | PPL Corporation |
| PPL | |
| Exchange: | NYSE |
| Founded: | 1920 |
| $22,698,795,397 | |
| 721,742,302 | |
| Website: | http://www.pplweb.com |
| Address: |
PPL Corporation Two North Ninth Street, Allentown, Pennsylvania, 18101, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | PPL | Common Stock | New York Stock Exchange | US | USD | 02. Jan 1968 | |
| DB | PP9 | Common Stock | Deutsche Boerse AG | DE | EUR | 02. Jan 1968 | |
| LSE | 0KEJ | Common Stock | London Stock Exchange | GB | USD | 02. Jan 1968 |
Number of employees
Current staff
Industry
| Electric Utilities | |
| Utilities |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/06/15 23:43 |
| End of day share price update: | 2019/06/14 00:00 |
| Last estimates confirmation: | 2019/06/14 |
| Last earnings filing: | 2019/05/02 |
| Last earnings reported: | 2019/03/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
