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PPL (PPL) Gains As Market Dips: What You Should Know

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PPL (PPL - Free Report) closed at $30 in the latest trading session, marking a +0.13% move from the prior day. This change outpaced the S&P 500's 1.42% loss on the day. Elsewhere, the Dow lost 0.49%, while the tech-heavy Nasdaq lost 0.47%.

Heading into today, shares of the energy and utility holding company had gained 2.36% over the past month, outpacing the Utilities sector's gain of 1.1% and the S&P 500's gain of 0.39% in that time.

Investors will be hoping for strength from PPL as it approaches its next earnings release. On that day, PPL is projected to report earnings of $0.31 per share, which would represent a year-over-year decline of 47.46%.

It is also important to note the recent changes to analyst estimates for PPL. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. PPL currently has a Zacks Rank of #3 (Hold).

Digging into valuation, PPL currently has a Forward P/E ratio of 19.62. For comparison, its industry has an average Forward P/E of 18.27, which means PPL is trading at a premium to the group.

The Utility - Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 172, which puts it in the bottom 33% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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