Data last refreshed 16 days ago — analysis may not reflect the latest market data

PPLPPL

US

NEUTRAL

$36.14

P/E

22.20

PEG

1.05

FCF Yield

Rev Growth YoY

-58.8% YoY

Gross Margin

Health Score

5/10

D/E Ratio

1.30

Confidence

LOW


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Business Snapshot

PPL is a utility holding company primarily serving customers in Pennsylvania, Kentucky, Virginia, and Rhode Island through its regulated electric and natural gas distribution businesses. The company operates in the highly regulated utility sector, where it maintains a competitive position as a regional incumbent with rate-regulated operations that provide revenue stability. Market cap and TTM revenue figures are not available in the payload for assessing financial scale. A key defining characteristic of PPL is its regulated business model, which provides relatively predictable earnings subject to periodic rate case determinations by state utility commissions.

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Financial Health

Net margin stands at 21.7%, indicating solid profitability after expenses relative to revenue. The balance sheet shows a debt/equity ratio of 1.3x, which is manageable for a regulated utility that typically carries higher leverage due to capital-intensive infrastructure spending...

Risk Assessment

  • REVENUE DECELERATION — Revenue declined 58.8% year-over-year, a severe contraction that raises fundamental questions about the business trajectory.
  • DEBT / LIQUIDITY — Current ratio of 0.86x is below 1.0x, indicating current liabilities exceed current assets and potential short-term liquidity strain.
  • VALUATION — Price/Sales of 6.84x is elevated, particularly against a backdrop of sharply declining revenue, implying the market is pricing sales at a premium that may not be sustainable.
  • EARNINGS QUALITY — Earnings beat estimates in only 2 of the last 4 quarters, representing mixed management guidance reliability.
  • FCF / CASH BURN — Free cash flow data is unavailable, preventing an assessment of whether the dividend is fully covered by operating cash generation, a critical factor for utility investors....

Net margin stands at 21.7%, indicating solid profitability after expenses relative to revenue. The balance sheet shows a debt/equity ratio of 1.3x, which is manageable for a regulated utility that typically carries higher leverage due to capital-intensive infrastructure spending. However, the current ratio of 0.86x suggests potential short-term liquidity pressure, as current liabilities exceed current assets by a meaningful margin. Free cash flow data is unavailable, preventing a direct assessment of cash generation or dividend coverage capacity. Return on equity of 8.3% is reasonable but not exceptional for the utility sector. Overall financial health is adequate but carries some liquidity risk that warrants monitoring, particularly regarding the company's ability to self-fund capital investments or maintain dividend growth.

- REVENUE DECELERATION — Revenue declined 58.8% year-over-year, a severe contraction that raises fundamental questions about the business trajectory. - DEBT / LIQUIDITY — Current ratio of 0.86x is below 1.0x, indicating current liabilities exceed current assets and potential short-term liquidity strain. - VALUATION — Price/Sales of 6.84x is elevated, particularly against a backdrop of sharply declining revenue, implying the market is pricing sales at a premium that may not be sustainable. - EARNINGS QUALITY — Earnings beat estimates in only 2 of the last 4 quarters, representing mixed management guidance reliability. - FCF / CASH BURN — Free cash flow data is unavailable, preventing an assessment of whether the dividend is fully covered by operating cash generation, a critical factor for utility investors.

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Full 8-section analysis includes:

Financial Health
Growth Momentum
Valuation Snapshot
Risk Flags
Sentiment & News
Technical Snapshot
Full Verdict with Confidence Rating
Last updated 399 hours ago · Data sourced from FMP & Finnhub · Not financial advice