PPL Valuation
| PPL Stock | USD 34.45 0.40 1.15% |
At this time, the company appears to be overvalued. PPL Corporation holds a recent Real Value of $31.41 per share. The prevailing price of the company is $34.45. Our model determines the value of PPL Corporation from inspecting the company fundamentals such as return on equity of 0.0586, and Operating Margin of 0.22 % as well as reviewing its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that PPL's price fluctuation is very steady at this time. Calculation of the real value of PPL Corporation is based on 3 months time horizon. Increasing PPL's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the PPL stock is determined by what a typical buyer is willing to pay for full or partial control of PPL Corporation. Since PPL is currently traded on the exchange, buyers and sellers on that exchange determine the market value of PPL Stock. However, PPL's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 34.45 | Real 31.41 | Hype 34.52 | Naive 34.99 |
The intrinsic value of PPL's stock can be calculated using various methods such as discounted cash flow or dividend analysis. That value may differ from its market price, which is determined by factors such as investor sentiment, market trends, headlines, and other external factors that may influence PPL's stock price.
Estimating the potential upside or downside of PPL Corporation helps investors to forecast how PPL stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of PPL more accurately as focusing exclusively on PPL's fundamentals will not take into account other important factors: PPL Total Value Analysis
PPL Corporation is at this time projected to have company total value of 41.38 B with market capitalization of 25.42 B, debt of 15.69 B, and cash on hands of 356 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the PPL fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
41.38 B | 25.42 B | 15.69 B | 356 M |
PPL Investor Information
About 79.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 1.8. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. PPL Corporation has Price/Earnings To Growth (PEG) ratio of 1.13. The entity last dividend was issued on the 10th of December 2024. The firm had 10000:9314 split on the 2nd of June 2015. Based on the analysis of PPL's profitability, liquidity, and operating efficiency, PPL Corporation is not in a good financial situation at this time. It has a very high probability of going through financial hardship in December.PPL Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. PPL has an asset utilization ratio of 21.18 percent. This suggests that the Company is making $0.21 for each dollar of assets. An increasing asset utilization means that PPL Corporation is more efficient with each dollar of assets it utilizes for everyday operations.PPL Ownership Allocation
PPL owns a total of 737.97 Million outstanding shares. The majority of PPL Corporation outstanding shares are owned by third-party entities. These institutional holders are usually referred to as non-private investors looking to secure positions in PPL Corporation to benefit from reduced commissions. Therefore, institutional investors are subject to a different set of regulations than regular investors in PPL. Please pay attention to any change in the institutional holdings of PPL Corporation as this could imply that something significant has changed or is about to change at the company. Please note that on January 9, 2020, Senator Pat Toomey of US Senate acquired $15k to $50k worth of PPL Corporation's common stock.PPL Profitability Analysis
The company reported the last year's revenue of 8.31 B. Total Income to common stockholders was 740 M with profit before taxes, overhead, and interest of 2.89 B.PPL Past Distributions to stockholders
About PPL Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of PPL Corporation. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of PPL Corporation based exclusively on its fundamental and basic technical indicators. By analyzing PPL's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of PPL's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of PPL. We calculate exposure to PPL's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of PPL's related companies.PPL Corporation, a utility holding company, delivers electricity and natural gas in the United States and the United Kingdom. PPL Corporation was founded in 1920 and is headquartered in Allentown, Pennsylvania. PPL Corp operates under UtilitiesRegulated Electric classification in the United States and is traded on New York Stock Exchange. It employs 5607 people.
A single share of PPL represents a small ownership stake in the entity. As a stockholder of PPL, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
PPL Dividends Analysis For Valuation
There are various types of dividends PPL can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of PPL shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from PPL Corporation directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When PPL pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of PPL by the value of the dividends paid out.
PPL Growth Indicators
Investing in growth stocks can be very risky. If the company such as PPL does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 738.2 M | |
| Quarterly Earnings Growth Y O Y | -0.069 | |
| Forward Price Earnings | 18.9394 |
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in PPL Corporation. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in american community survey. You can also try the Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.
Is Electric Utilities space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of PPL. If investors know PPL will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about PPL listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of PPL Corporation is measured differently than its book value, which is the value of PPL that is recorded on the company's balance sheet. Investors also form their own opinion of PPL's value that differs from its market value or its book value, called intrinsic value, which is PPL's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because PPL's market value can be influenced by many factors that don't directly affect PPL's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between PPL's value and its price as these two are different measures arrived at by different means. Investors typically determine if PPL is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, PPL's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.