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PPL to Post Q2 Earnings: What's in Cards for the Stock?

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PPL Corporation (PPL - Free Report) is set to release second-quarter 2021 results on Aug 5, before market open. The company witnessed a negative earnings surprise of 17.6% in the trailing four quarters, on average.

Let’s discuss the factors that are likely to get reflected in the upcoming quarterly results.

Factors to Consider

With the rollout of vaccines and reopening of the economy, the utility’s demand from the commercial and industrial group is likely to have slightly improved in the June quarter. Stable residential demand is likely to have boosted earnings in the same period.

The expected higher debt financing expenses are likely to have offset some of the positives in the to-be-reported quarter.

Estimate

The Zacks Consensus Estimate for second-quarter earnings is pegged at 23 cents, indicating a decrease of 58.18% from the year-ago quarter’s reported figure.

Earnings Whispers

Our proven model doesn’t predict an earnings beat for PPL Corp. this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that’s not the case here. You can see the complete list of today’s Zacks #1 Rank stocks here.

Earnings ESP: PPL Corp. has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Currently, PPL Corp. carries a Zacks Rank #5 (Strong Sell).

Stocks to Consider

Here are some companies worth considering from the same industry, which according to our model, have the right combination of elements to beat on earnings in the upcoming releases.

CenterPoint Energy, Inc. (CNP - Free Report) is set to release second-quarter 2021 results on Aug 5. It has an Earnings ESP of +0.68% and a Zacks Rank #3, currently.

Duke Energy (DUK - Free Report) is set to release second-quarter 2021 results on Aug 5. It has an Earnings ESP of +0.15% and a Zacks Rank #2 at present.

NRG Energy, Inc. (NRG - Free Report) is set to release second-quarter 2021 results on Aug 5. It has an Earnings ESP of +32.84% and is presently Zacks #3 Ranked.