Back to top

Image: Bigstock

PPL (PPL) Stock Drops Despite Market Gains: Important Facts to Note

Read MoreHide Full Article

In the latest trading session, PPL (PPL - Free Report) closed at $37.44, marking a -3.16% move from the previous day. This change lagged the S&P 500's daily gain of 1.02%. At the same time, the Dow added 1.62%, and the tech-heavy Nasdaq gained 0.89%.

Shares of the energy and utility holding company witnessed a gain of 0.76% over the previous month, trailing the performance of the Utilities sector with its gain of 0.95%, and the S&P 500's gain of 12.23%.

Investors will be eagerly watching for the performance of PPL in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on May 8, 2026. It is anticipated that the company will report an EPS of $0.61, marking a 1.67% rise compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $2.62 billion, indicating a 4.65% growth compared to the corresponding quarter of the prior year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.95 per share and revenue of $9.52 billion. These totals would mark changes of +7.73% and +5.29%, respectively, from last year.

Investors should also take note of any recent adjustments to analyst estimates for PPL. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.32% lower. Right now, PPL possesses a Zacks Rank of #3 (Hold).

In terms of valuation, PPL is presently being traded at a Forward P/E ratio of 19.85. This denotes a premium relative to the industry average Forward P/E of 17.78.

We can additionally observe that PPL currently boasts a PEG ratio of 2.64. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Utility - Electric Power industry was having an average PEG ratio of 2.74.

The Utility - Electric Power industry is part of the Utilities sector. Currently, this industry holds a Zacks Industry Rank of 90, positioning it in the top 37% 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.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.

Zacks' 7 Best Strong Buy Stocks (New Research Report)

Valued at $99, click below to receive our just-released report predicting the 7 stocks that will soar highest in the coming month.

Click Here, It's Really Free

Published in