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PPL Corporation (PPL) Fair Value & Analysis

Utilities · US · Market cap $27.4B · ISIN US69351T1060

What is PPL Corporation really worth?

PC PPL Corporation logo PPL Corporation PPL · US
Price$35.11
Fair Value$22.98
Upside−34.6%
Quality48/100

Below-average quality, and trading another 53% above our fair value of $22.98.

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Strengths

Solidly profitable · 13.1% net margin

Risks

!Expensive Growth (revenue 5y +10.6 %/yr)
!Moderate debt · negative free cash flow
!Trails peers (5/14)
!Moderate moat 58/100

For context

·3.14% dividend yield
Evidence: High Range $16.55 – $31.00

Fair value as of: Sep 3, 2026

From 15 valuation models · updated yesterday

Share price −0.2% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price sits above even our optimistic bull case ($31.00). The favourable scenario is already priced in.
  • Solid but not exceptional quality (48/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range ($16.55 to $31.00) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

$39.49 $20.59 Fair Value $22.98 Jun 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 3, 2026.

How to read this chart

60‑month range $20.59 – $39.49 · fair‑value band $16.55 – $31.00 · the $35.11 price screens above the $22.98 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 3, 2026.

Full chart & analysis →

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Analysis

PPL Corporation (PPL) currently trades at $35.11, while our model-based Fair Value estimate is $22.98, implying the stock looks roughly 52.8% overvalued today. The Quality Score stands at 48/100 (below-average quality), in the Utilities sector. Bull case: the Multiples group reads highest at a median of $24.78 per share, and 0 of the 15 models we run sit above the $35.11 price. Bear case: the Economic Profit group reads lowest at $4.71, and 15 of the 15 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, PPL Corporation generated revenue of $9.3B at a net margin of 13.1%. Revenue grew 10.8% year over year. It earns a return on equity of 8.3%. Net debt stands at $18.3B. Fundamentals as of Sep 3, 2026

Our scenario range runs from $16.55 (bear case) to $31.00 (bull case); at $35.11, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 12% below its 52-week high and 8% above its 52-week low, currently below its 200-day average. For context, the median of 10 Utilities peers we cover trades at −37% fair-value upside, at −35%, PPL screens cheaper than that median.

Fair Value models

This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly $0.3581 per share, which is 1.6 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income best evidence $16.58 $17.80 $19.85 76
Gordon GGM $9.69 $16.89 $25.82 67
Growth-Adj P/E $16.27 $23.24 $30.22 67
All 15 models by family
Earnings-Based
Graham-Dodd $10.67 $25.33 $32.64 65
PEG = 1.0 $4.40 $6.28 $8.16 57
EPV $0.8200 $4.71 $8.10 66
Dividend Discount
Gordon GGM $9.69 $16.89 $25.82 67
DDM Multi-Stage $9.69 $14.40 $19.59 66
Multiples
P/E Multiple $21.19 $28.26 $35.32 63
P/S Multiple $20.01 $26.69 $33.36 58
P/B Multiple $20.01 $26.69 $33.36 55
EV/EBIT $9.40 $20.02 $30.64 62
EV/EBITDA $12.97 $24.78 $36.60 64
EV/Revenue $7.58 $16.59 50
Asset-Based
NCAV (Graham) $9.89 $13.25 $19.78 54
Economic Profit
Residual Income best evidence $16.58 $17.80 $19.85 76
ROIC Compounder $0.8200 $4.71 $8.10 66
Growth Earnings
Growth-Adj P/E $16.27 $23.24 $30.22 67

Widest divergence: Multiples ($24.78) versus Economic Profit ($4.71). Highest evidence: Residual Income (76).

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Key figures & financial health

P/E ratio 21.5
P/S ratio 2.81 P/E × margin
EPS (TTM) $1.63 price ÷ EPS = P/E 21.5
Dividend yield 3.1% payout 67.7%
Net margin 13.1% FY2025
Return on equity 8.3% TTM
More key figures
Profitability
Return on assets (EBIT) 4.2% avg 5y
Operating margin 27.2% TTM
Growth
Revenue (TTM) $9.3B TTM
Revenue growth (YoY) +10.8% 3y avg +4.6%
EPS growth (YoY) +7.3%
Balance sheet & cash flow
Free cash flow −$1.4B FY2025
Net debt $18.3B FY2025

Figures from reported company fundamentals · as of Sep 3, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 48/100

Of which business quality 44 · Market factors (momentum, volatility) 53

Profitability 29
Margins and returns on capital today
Quality Growth 52
Are margins and returns improving?
Cashflow 49
Earnings quality: real cash, not paper profit
Fin. Strength 21
Balance sheet, leverage, solvency risk
Investment 53
Disciplined investing over empire-building
Low Volatility 93
Calm price path (market factor)
Momentum 38
Price trend over the last 3–12 months (market factor)
52W Momentum 34
Distance to the 52-week high (market factor)
Net Issuance 76
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

PPL Corporation provides electricity and natural gas to approximately 3.6 million customers in the United States. It operates in three segments: Kentucky Regulated, Pennsylvania Regulated, and Rhode Island Regulated.

Full company description

PPL Corporation provides electricity and natural gas to approximately 3.6 million customers in the United States. It operates in three segments: Kentucky Regulated, Pennsylvania Regulated, and Rhode Island Regulated. The company engages in the transmission and distribution of electricity in eastern and central Pennsylvania; generation, transmission, distribution, and sale of electricity in Kentucky, Virginia, and Rhode Island; distribution and sale of natural gas in Kentucky and Rhode Island; sale of wholesale electricity in Kentucky; and generation of electricity from power plants in Kentucky. It generates electricity from coal, gas, hydro, and solar sources. The company was formerly known as PP&L Resources, Inc. and changed its name to PPL Corporation in 2000. PPL Corporation was founded in 1920 and is headquartered in Allentown, Pennsylvania.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

PPL Corporation reported revenue of $9.0B in FY2025 versus $5.8B in FY2021, a compound +11.8%/yr. Reported net income was $1.2B in FY2025.

Growth Quality 49/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
$9.0B
Latest YoY
+6.9%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+4.6%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+10.6%
Avg. revenue growth/yr (40Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+3.9%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years, EBIT basis) plus dividend yield: value created per share and year.
+9.9% (6.8 + 3.1)
Revenue +11.8%/yr
FY21 $5.8B
FY22 $7.9B
FY23 $8.3B
FY24 $8.5B
FY25 $9.0B
Net income
FY21 −$1.5B
FY22 $756M
FY23 $740M
FY24 $888M
FY25 $1.2B
Character of growth · EPS growth decomposed (2014-2025) −5.7 % p.a.
Revenue per share +0.2 %

of which total revenue +1.3 % · buybacks/dilution −1.1 %

EBIT margin −6.1 %
Tax rate +1.4 %
Residual (interest, one-offs) −1.2 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

PPL screens 53% overvalued. Compare with NextEra Energy, Inc →

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Cite: Fair Value Calculator (2026). "PPL Corporation Fair Value". https://www.fairvalue-calculator.com/stock/PPL

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Utilities - Regulated Electric · 153 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 48 · Above median
Fair Value upside −35% · Below median
Return on equity (TTM) 8% · Below median
Return on assets 3% · Below median
Net margin (TTM) 13% · Above median
Operating margin (TTM) 27% · Top 25%
Revenue growth 11% · Above median
Dividend yield (TTM) 3.1% · Below median
Debt / equity 1.21× · Higher than median

Valuation Multiples vs Utilities - Regulated Electric median · lower = cheaper

P/E (TTM) 21.5× · Pricier than median
P/B 1.84× · Pricier than median
P/S (TTM) 2.94× · Pricier than median
EV/EBITDA 12.1× · Pricier than median
PEG 1.39× · Cheaper than 75% of peers

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 0
FUTURE54 · sector 32
PAST33 · sector 39
HEALTH40 · sector 52
DIVIDEND63 · sector 65

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Utilities - Regulated Electric stocks, each showing price versus our Fair Value estimate (as of Sep 3, 2026).

Stock Price Fair Value vs Fair Value
NextEra Energy, Inc NEE $83.47 $32.94 −61%
The Southern Company SO $88.25 $58.81 −33%
Duke Energy Corporation DUK $120.25 $74.89 −38%
National Grid plc NGG $80.68 $63.94 −21%
American Electric Power Company AEP $122.96 $77.23 −37%
Dominion Energy, Inc D $66.01 $46.34 −30%
Entergy Corporation ETR $105.75 $52.92 −50%
Xcel Energy Inc XEL $76.34 $44.61 −42%
Exelon Corporation EXC $43.96 $37.60 −14%
Endesa, S.A ELE €42.30 €25.72 −39%

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Frequently asked questions

Is PPL Corporation (PPL) overvalued or undervalued?
As of Sep 3, 2026, our model estimates a fair value of $22.98 versus a price of $35.11, about −35% upside (overvalued).
What is the fair value of PPL?
Our model-based fair value for PPL Corporation is $22.98 (as of Sep 3, 2026), built from audited fundamentals. The current price: $35.11.
What is the quality score of PPL?
PPL Corporation has a Quality Score of 48/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of PPL Corporation (PPL)?
PPL Corporation reported trailing-twelve-month revenue of about $9.3B (latest available figure, as of Sep 3, 2026).
What is the net profit margin of PPL?
The net profit margin of PPL Corporation is about 13.1%, meaning it keeps roughly 13.1% of revenue as net income. Based on the latest reported figures.
Does PPL Corporation pay a dividend?
PPL Corporation currently shows a dividend yield of about 3.14% relative to its recent price (as of Sep 3, 2026).
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