Back to top

Image: Bigstock

Why the Market Dipped But PPL (PPL) Gained Today

Read MoreHide Full Article

PPL (PPL - Free Report) closed the most recent trading day at $36.10, moving +1.95% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.14%. Meanwhile, the Dow lost 0.01%, and the Nasdaq, a tech-heavy index, lost 0.57%.

Prior to today's trading, shares of the energy and utility holding company had lost 2.42% lagged the Utilities sector's gain of 0.68% and the S&P 500's gain of 0.25%.

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 August 7, 2026. The company's upcoming EPS is projected at $0.35, signifying a 9.38% increase compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $2.18 billion, indicating a 7.5% increase compared to the same quarter of the previous year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.94 per share and revenue of $9.78 billion. These totals would mark changes of +7.18% and +8.21%, respectively, from last year.

Investors should also note any recent changes to analyst estimates for PPL. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.22% downward. PPL presently features a Zacks Rank of #4 (Sell).

In terms of valuation, PPL is currently trading at a Forward P/E ratio of 18.21. This indicates a premium in contrast to its industry's Forward P/E of 18.02.

One should further note that PPL currently holds a PEG ratio of 2.42. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Utility - Electric Power industry stood at 2.66 at the close of the market yesterday.

The Utility - Electric Power industry is part of the Utilities sector. At present, this industry carries a Zacks Industry Rank of 102, placing it within the top 42% of over 250 industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.

Published in