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PPL Corporation
S&P 500
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$25.4B
Market Cap
22.0
P/E
2.46
PEG
5.4%
ROCE
8.2%
ROE
1.24
D/E
23.6%
OPM
-11.3%
% from 52W High
32
α RS
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🌏 Global Investor Returns
Currency-adjusted total returns for PPL including FX impact
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Ratio Health
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Average
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About

PPL Corporation provides electricity and natural gas to approximately 3.6 million customers in the United States.

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Manager Shares Value % of Fund Period
Steve Cohen Point72 Asset Management 5.66M $216.2M 0.28% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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In-line quarter Investor Presentation One-Pager? Q2 2026
Net Income
$230M
+26% YoY
Ongoing EPS
$0.33
+$0.01 YoY
What Went Right
  • Q2 ongoing EPS of $0.33 was up YoY, and FY2026 guidance was reaffirmed at $1.90-$1.98 with a $1.94 midpoint.
  • Pennsylvania rate case settled: $275M increase, less than 4% average customer impact, and a two-year stay-out provision.
  • PPL Electric data center pipeline grew by 3.5 GW to 31.8 GW, with over 11 GW under ESAs, 6.5 GW under construction, and two data centers taking service.
  • Invitium Energy has more than 5 GW accepted in the PJM queue and 5 GW of turbine reservations, representing $12.5B-$15B of potential JV investment.
  • Kentucky probability-weighted load forecast more than doubled to 3.7 GW by 2032, supporting a possible CPCN filing by year-end.
What to Watch
  • Kentucky KPSC reconsideration decision is still pending, with management requesting a decision by August 14 and citing flaws in the original order.
  • Rhode Island rates are not effective until September 1 and remain subject to the commission decision after public meetings in August.
  • PJM/FERC policy uncertainty, including RBP and Connect and Manage rules, plus local community scrutiny, could affect project timing and economics.
  • Q2 results were partly offset by higher depreciation, interest expense, operating costs, and unfavourable weather-related volumes in Kentucky.
Management Guidance
  • FY2026 ongoing EPS reaffirmed at $1.90-$1.98, midpoint $1.94.
  • 2026 capital investment plan of approximately $5B; $2.3B deployed in H1.
  • Long-term EPS growth of 6%-8% through at least 2029, near top end; dividend growth of 4%-6%; FFO-to-debt of 16%-18%.
  • $23B capital plan through 2029 supports average annual rate base growth of more than 10%.
  • Invitium Energy expects one or more commercial agreements by year-end, but contributions are not included in current guidance.
Investor Lens
The investment thesis is stronger after this call. PPL is executing its base plan — delivering in-line Q2 EPS and constructive PA/RI rate outcomes — while layering on visible upside from Invitium Energy and Kentucky generation. Large-load tariffs protect existing customers, and the data-center pipeline continues to convert from agreements to construction and service. The 6%-8% EPS growth target remains intact, with an additional $10B-$12B of potential incremental capital through 2032.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Q2 ongoing EPS $0.33, FY26 guidance reaffirmed at $1.94 midpoint.
Revenue
Not discussed in the call. Management focused on EPS and segment earnings rather than disclosed revenue.
Profitability
Q2 GAAP net income was $230 million, up from $183 million a year ago; ongoing EPS rose to $0.33 from $0.32. Special items of $0.03 per share were excluded, mainly IT transformation and system integration costs.
Margins
Operating margin was not explicitly disclosed. Cost drivers cited include higher depreciation and interest expense across segments, higher operating costs in Kentucky, and lower weather-driven sales volumes.
Balance Sheet
PPL completed its 2026 financing needs in the quarter with well-subscribed debt offerings at PPL Electric and Rhode Island Energy. The company reaffirmed its FFO-to-debt target of 16%-18% and deployed $2.3B of capital in H1, roughly 30% higher year over year.
Key Risks
Key risks include the pending Kentucky reconsideration decision, Rhode Island rate case timing, PJM/FERC policy uncertainty, and the timing of Invitium ESSA execution before construction begins.
Outlook
FY2026 EPS guidance is reaffirmed at $1.90-$1.98 with a $1.94 midpoint. Management expects stronger H2 results as Pennsylvania rates are effective July 1 and Rhode Island rates are expected effective September 1.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-08-07
Q2 2026 ongoing earnings rose to $0.33 per share, with full-year guidance reaffirmed and strong second-half growth expected. Regulatory wins, robust data center demand, and progress on the Invitium JV support a positive long-term outlook and significant capital investment opportunities.
Q1 2026 Q1 2026 2026-05-08
Q1 2026 saw strong EPS growth, reaffirmed guidance, and robust capital investment plans. Regulatory settlements, surging data center demand, and innovative partnerships are driving long-term growth, while disciplined capital allocation and a strong balance sheet support future opportunities.
Q4 2025 Q4 2025 2026-02-20
Delivered 7.1% EPS growth in 2025, met financial targets, and increased capital investments to $23B through 2029. Extended 6%-8% annual EPS growth target, raised dividend, and advanced major data center and generation projects, positioning for strong, predictable growth.
Q3 2025 Q3 2025 2025-11-05
Q3 2025 ongoing EPS rose to $0.48, with strong growth in all segments and narrowed 2025 guidance to $1.78–$1.84. Major infrastructure investments and robust data center demand are driving long-term growth, while regulatory and customer affordability initiatives remain key priorities.
Q2 2025 Q2 2025 2025-07-31
Q2 2025 ongoing EPS was $0.32, down $0.06 year-over-year, but guidance for at least $1.81 EPS in 2025 is reaffirmed. Major infrastructure investments and a new JV with Blackstone target surging data center demand, while regulatory and rate case activity intensifies.
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This comprehensive investment analysis was conducted using The Finmagine™ Stock Analysis & Ranking Methodology, a proprietary framework that systematically evaluates stocks across five critical dimensions: Financial Health, Growth Prospects, Competitive Positioning, Management Quality, and Valuation.

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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This analysis does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a licensed financial advisor or an SEC-registered investment adviser before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

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Conflict of Interest Disclosure:
The author and/or analyst may currently hold or have previously held positions in the securities discussed. Any such positions are not intended to influence the objectivity or independence of the analysis. This research is produced independently and is not sponsored, endorsed, or commissioned by any company or institution.

Information Sources:
The analysis is based on publicly available information including SEC filings (10-K, 10-Q), annual reports, management commentary, and publicly available financial data. Information is believed to be accurate as of the date of publication but may be subject to change without notice. Readers are encouraged to independently verify all information before acting upon it.

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