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PPL

DB:PP9
Snowflake Description

6 star dividend payer and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
PP9
DB
$20B
Market Cap
  1. Home
  2. DE
  3. Utilities
Company description

PPL Corporation, a utility holding company, delivers electricity and natural gas in the United States and the United Kingdom. The last earnings update was 46 days ago. More info.


Add to Portfolio Compare Print
  • PPL has significant price volatility in the past 3 months.
PP9 Share Price and Events
7 Day Returns
23.8%
DB:PP9
7.9%
Europe Electric Utilities
9.9%
DE Market
1 Year Returns
-17.2%
DB:PP9
-1.3%
Europe Electric Utilities
-17.5%
DE Market
PP9 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
PPL (PP9) 23.8% -16.1% -27% -17.2% -32.7% -25.7%
Europe Electric Utilities 7.9% -16.2% -12.7% -1.3% 21% -1.3%
DE Market 9.9% -16.6% -24.8% -17.5% -24.5% -28.1%
1 Year Return vs Industry and Market
  • PP9 underperformed the Electric Utilities industry which returned -1.3% over the past year.
  • PP9 matched the Germany Market (-17.5%) over the past year.
Price Volatility
PP9
Industry
5yr Volatility vs Market

PP9 Value

 Is PPL undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of PPL to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for PPL.

DB:PP9 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 9 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 4%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:PP9
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 5.4%
Electric Utilities Unlevered Beta Simply Wall St/ S&P Global 0.25
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.254 (1 + (1- 21%) (117.17%))
0.658
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.39% + (0.8 * 5.44%)
3.96%

Discounted Cash Flow Calculation for DB:PP9 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for PPL is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:PP9 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 3.96%)
2020 -512.00 Analyst x1 -492.49
2021 1,409.00 Analyst x1 1,303.65
2022 2,129.81 Est @ 51.16% 1,895.47
2023 2,890.02 Est @ 35.69% 2,474.01
2024 3,608.72 Est @ 24.87% 2,971.53
2025 4,232.70 Est @ 17.29% 3,352.51
2026 4,740.06 Est @ 11.99% 3,611.28
2027 5,132.23 Est @ 8.27% 3,761.05
2028 5,423.46 Est @ 5.67% 3,823.01
2029 5,632.55 Est @ 3.86% 3,819.08
Present value of next 10 years cash flows $26,519.00
DB:PP9 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $5,632.55 × (1 + -0.39%) ÷ (3.96% – -0.39%)
$128,919.54
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $128,919.54 ÷ (1 + 3.96%)10
$87,412.29
DB:PP9 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $26,519.00 + $87,412.29
$113,931.29
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $113,931.29 / 767.81
$148.38
DB:PP9 Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:PP9 represents 0.94226x of NYSE:PPL
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.94226x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 148.38 x 0.94226
€139.82
Value per share (EUR) From above. €139.82
Current discount Discount to share price of €23.26
= -1 x (€23.26 - €139.82) / €139.82
83.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price PPL is available for.
Intrinsic value
>50%
Share price is €23.26 vs Future cash flow value of €139.82
Current Discount Checks
For PPL to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • PPL's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • PPL's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for PPL's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are PPL's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:PP9 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in USD $2.40
NYSE:PPL Share Price ** NYSE (2020-03-31) in USD $24.68
Europe Electric Utilities Industry PE Ratio Median Figure of 76 Publicly-Listed Electric Utilities Companies 10.21x
Germany Market PE Ratio Median Figure of 399 Publicly-Listed Companies 16.31x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of PPL.

DB:PP9 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:PPL Share Price ÷ EPS (both in USD)

= 24.68 ÷ 2.40

10.3x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • PPL is overvalued based on earnings compared to the Europe Electric Utilities industry average.
  • PPL is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does PPL's expected growth come at a high price?
Raw Data
DB:PP9 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 10.3x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts
3.1%per year
Europe Electric Utilities Industry PEG Ratio Median Figure of 37 Publicly-Listed Electric Utilities Companies 1.63x
Germany Market PEG Ratio Median Figure of 255 Publicly-Listed Companies 1.18x

*Line of best fit is calculated by linear regression .

DB:PP9 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 10.3x ÷ 3.1%

3.28x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • PPL is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on PPL's assets?
Raw Data
DB:PP9 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in USD $16.93
NYSE:PPL Share Price * NYSE (2020-03-31) in USD $24.68
Europe Electric Utilities Industry PB Ratio Median Figure of 87 Publicly-Listed Electric Utilities Companies 0.76x
Germany Market PB Ratio Median Figure of 571 Publicly-Listed Companies 1.43x
DB:PP9 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:PPL Share Price ÷ Book Value per Share (both in USD)

= 24.68 ÷ 16.93

1.46x

* Primary Listing of PPL.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • PPL is overvalued based on assets compared to the Europe Electric Utilities industry average.
X
Value checks
We assess PPL's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Electric Utilities industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Electric Utilities industry average (and greater than 0)? (1 check)
  5. PPL has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

PP9 Future Performance

 How is PPL expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
3.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is PPL expected to grow at an attractive rate?
  • PPL's earnings growth is expected to exceed the low risk savings rate of -0.4%.
Growth vs Market Checks
  • PPL's earnings growth is positive but not above the Germany market average.
  • PPL's revenue growth is positive but not above the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:PP9 Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:PP9 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts 3.1%
DB:PP9 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 9 Analysts 3.3%
Europe Electric Utilities Industry Earnings Growth Rate Market Cap Weighted Average 9.5%
Europe Electric Utilities Industry Revenue Growth Rate Market Cap Weighted Average 3.9%
Germany Market Earnings Growth Rate Market Cap Weighted Average 14.4%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:PP9 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:PP9 Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 4,157
2022-12-31 8,518 3,966 1
2021-12-31 8,331 3,455 1,859 9
2020-12-31 8,196 3,407 1,866 7
2020-03-31
DB:PP9 Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-12-31 7,769 2,427 1,745
2019-09-30 7,754 2,499 1,795
2019-06-30 7,693 2,566 1,765
2019-03-31 7,738 2,729 1,840
2018-12-31 7,785 2,821 1,825
2018-09-30 7,772 2,917 1,488
2018-06-30 7,745 2,996 1,398
2018-03-31 7,622 2,892 1,175
2017-12-31 7,447 2,461 1,126
2017-09-30 7,353 2,414 1,511
2017-06-30 7,397 2,510 1,629
2017-03-31 7,457 2,468 1,819

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • PPL's earnings are expected to grow by 3.1% yearly, however this is not considered high growth (20% yearly).
  • PPL's revenue is expected to grow by 3.3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:PP9 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below

All data from PPL Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:PP9 Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 2.43 2.49 2.35 4.00
2020-12-31 2.45 2.51 2.39 4.00
2020-03-31
DB:PP9 Past Financials Data
Date (Data in USD Millions) EPS *
2019-12-31 2.40
2019-09-30 2.49
2019-06-30 2.46
2019-03-31 2.59
2018-12-31 2.59
2018-09-30 2.14
2018-06-30 2.02
2018-03-31 1.71
2017-12-31 1.64
2017-09-30 2.21
2017-06-30 2.39
2017-03-31 2.68

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • PPL is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess PPL's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
PPL has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

PP9 Past Performance

  How has PPL performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare PPL's growth in the last year to its industry (Electric Utilities).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • PPL's year on year earnings growth rate has been positive over the past 5 years.
  • PPL's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • PPL's 1-year earnings growth is negative, it can't be compared to the Europe Electric Utilities industry average.
Earnings and Revenue History
PPL's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from PPL Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:PP9 Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 7,769.00 1,745.00 -316.00
2019-09-30 7,754.00 1,795.00 -299.00
2019-06-30 7,693.00 1,765.00 -283.00
2019-03-31 7,738.00 1,840.00 -269.00
2018-12-31 7,785.00 1,825.00 -257.00
2018-09-30 7,772.00 1,488.00 -239.00
2018-06-30 7,745.00 1,398.00 -219.00
2018-03-31 7,622.00 1,175.00 -197.00
2017-12-31 7,447.00 1,126.00 -167.00
2017-09-30 7,353.00 1,511.00 -123.00
2017-06-30 7,397.00 1,629.00 -82.00
2017-03-31 7,457.00 1,819.00 -38.00
2016-12-31 7,517.00 1,896.00 -112.00
2016-09-30 7,465.00 1,841.00
2016-06-30 7,454.00 1,762.00
2016-03-31 7,450.00 1,529.00
2015-12-31 7,669.00 1,601.00
2015-09-30 7,835.00 1,597.00
2015-06-30 7,836.00 1,612.00
2015-03-31 7,904.00 1,592.00
2014-12-31 7,852.00 1,428.00
2014-09-30 8,725.00 922.00
2014-06-30 9,920.00 915.00
2014-03-31 11,442.00 1,066.00
2013-12-31 7,263.00 1,362.00
2013-09-30 12,124.00 1,544.00
2013-06-30 11,453.00 1,496.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • PPL has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • PPL used its assets more efficiently than the Europe Electric Utilities industry average last year based on Return on Assets.
  • PPL's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess PPL's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Electric Utilities industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
PPL has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

PP9 Health

 How is PPL's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up PPL's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • PPL's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • PPL's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of PPL's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from PPL Company Filings, last reported 3 months ago.

DB:PP9 Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 12,991.00 23,133.00 815.00
2019-09-30 11,902.00 23,028.00 670.00
2019-06-30 11,983.00 22,838.00 406.00
2019-03-31 12,172.00 22,835.00 518.00
2018-12-31 11,657.00 22,121.00 621.00
2018-09-30 11,783.00 21,894.00 842.00
2018-06-30 11,240.00 22,377.00 852.00
2018-03-31 11,176.00 22,017.00 629.00
2017-12-31 10,761.00 21,375.00 485.00
2017-09-30 10,692.00 20,874.00 676.00
2017-06-30 10,490.00 20,672.00 467.00
2017-03-31 10,109.00 20,146.00 409.00
2016-12-31 9,899.00 19,358.00 341.00
2016-09-30 9,975.00 19,282.00 416.00
2016-06-30 10,325.00 20,160.00 492.00
2016-03-31 9,762.00 19,998.00 814.00
2015-12-31 9,919.00 20,117.00 838.00
2015-09-30 10,222.00 19,926.00 982.00
2015-06-30 9,941.00 19,391.00 846.00
2015-03-31 14,036.00 22,221.00 1,470.00
2014-12-31 13,628.00 19,130.00 1,521.00
2014-09-30 13,974.00 22,010.00 1,188.00
2014-06-30 13,735.00 22,069.00 1,269.00
2014-03-31 12,717.00 22,530.00 1,263.00
2013-12-31 12,466.00 21,730.00 1,184.00
2013-09-30 12,362.00 20,484.00 1,291.00
2013-06-30 10,954.00 20,950.00 841.00
  • PPL's level of debt (178.1%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (140.6% vs 178.1% today).
  • Debt is not well covered by operating cash flow (10.5%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 3.2x coverage).
X
Financial health checks
We assess PPL's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. PPL has a total score of 1/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

PP9 Dividends

 What is PPL's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
6.73%
Current annual income from PPL dividends. Estimated to be 6.82% next year.
If you bought €2,000 of PPL shares you are expected to receive €135 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • PPL's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.68%).
  • PPL's dividend is above the markets top 25% of dividend payers in Germany (4.97%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:PP9 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
Europe Electric Utilities Industry Average Dividend Yield Market Cap Weighted Average of 50 Stocks 4.8%
Germany Market Average Dividend Yield Market Cap Weighted Average of 323 Stocks 3.8%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.9%
Germany Bottom 25% Dividend Yield 25th Percentile 1.7%
Germany Top 25% Dividend Yield 75th Percentile 5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:PP9 Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31 1.72 3.00
2021-12-31 1.69 9.00
2020-12-31 1.66 7.00
2020-03-31
DB:PP9 Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2020-02-14 1.660 5.994
2019-11-22 1.650 4.656
2019-08-23 1.650 5.203
2019-05-14 1.650 5.438
2019-05-02 1.650 5.342
2019-02-14 1.650 5.202
2018-11-16 1.640 5.458
2018-08-24 1.640 5.416
2018-05-16 1.640 5.840
2018-02-22 1.640 5.836
2017-11-17 1.580 4.890
2017-08-25 1.580 4.159
2017-05-17 1.580 4.067
2017-05-04 1.580 4.095
2017-02-17 1.580 4.244
2017-02-01 1.580 4.456
2016-11-18 1.520 4.467
2016-08-26 1.520 4.478
2016-05-25 1.520 4.066
2016-04-29 1.520 3.976
2016-04-28 1.520 4.058
2016-02-19 1.520 4.138
2016-02-04 1.520 4.205
2015-11-20 1.510 4.452
2015-10-30 1.510 4.467
2015-10-29 1.510 4.429
2015-08-03 1.510 4.695
2015-05-20 1.490 4.777
2015-02-27 1.490 4.442
2014-11-21 1.490 4.199
2014-08-22 1.490 4.361
2014-05-21 1.490 4.389
2014-02-06 1.490 4.568
2013-11-22 1.470 4.903
2013-08-23 1.470 4.823
2013-05-15 1.470 4.821
2013-02-14 1.470 4.691
2012-08-27 1.440 4.936
2012-05-16 1.440 5.098
2012-02-10 1.440 5.181
2011-11-18 1.400 4.890
2011-08-26 1.400 4.857
2011-05-18 1.400 5.090
2011-02-25 1.400 5.363
2010-11-19 1.400 5.455
2010-08-30 1.400 5.173
2010-05-19 1.400 5.373
2010-02-26 1.400 5.104
2009-11-20 1.380 4.466
2009-08-28 1.380 4.594
2009-05-20 1.380 4.354

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of PPL's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.5x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.5x coverage).
X
Income/ dividend checks
We assess PPL's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can PPL afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. PPL has a total score of 6/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

PP9 Management

 What is the CEO of PPL's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Bill Spence
COMPENSATION $11,338,785
AGE 62
TENURE AS CEO 8.3 years
CEO Bio

Mr. William H. Spence, also known as Bill, has been the Chief Executive Officer of PPL Corporation since 2011 and its Chairman of the Board from April 1, 2012. He served as President at PPL Corporation since 2011 until June 2019. Mr. Spence served as the Chief Operating Officer of PPL Maine, LLC. He served as the President of PPL Generation from June 2008 to March 5, 2012. He served as the Chief Operating Officer of PPL Corporation from July 22, 2011 to November 2011 and Talen Energy Marketing, LLC. He was President of Talen Generation, LLC until March 5, 2012. He served as an Executive Vice President of Talen Energy Marketing, LLC. He was Chief Operating Officer of Talen Energy Supply, LLC since June 26, 2006 and served as its Unit President since January 2, 2007. He served as Executive Vice President of Talen Energy Supply, LLC since June 26, 2006. He was Manager of Talen Energy Supply, LLC until June 1, 2015. Mr. Spence had 19 years of service with Pepco Holdings, Inc. and its heritage companies, Delmarva Power and Conectiv, where he held a number of senior management positions. He served as an Executive Vice President of PPL Corporation, PPL EnergyPlus, LLC and PPL Energy Supply, LLC from June 2006 to July 22, 2011. He served as the Chief Nuclear Officer of PPL Generation from 2008 to July 8, 2009. He served as the President of PPL Electric Utilities Corporation from January 2007 to March 2007 and its Principal Executive Officer. He served as the Senior Vice President of Pepco Holdings, Inc. since August 2002 and Senior Vice President of its subsidiary, Conectiv, LLC from September 2000 to June 2006. He served as the President and Chief Operating Officer at Conectiv Energy Holding Company from August 2002 to June 2006. He served as a Manager of Atlantic City Electric Transition Funding LLC. From July 1998 to September 2000, he served as the Vice President and General Manager of Conectiv, LLC. He has been a Director of PPL Electric Utilities Corporation since 2006 and serves as its Chairman. He has been a Director of PPL Corporation since 2016. Mr. Spence has been Independent Director of Wpz Gp Llc at Williams Partners L.P. since 2016. He has been Independent Director at The Williams Companies, Inc. since August 29, 2016. He served as Director of PPL WEM Limited until July 31,2017. He serves as a Director of PPL Energy Supply, LLC, Electric Power Research Institute, Inc., Louisville Gas and Electric Company, Kentucky Utilities Company, Inc. and LG&E and KU Energy LLC. He served as Director of PPL Energy Supply, LLC until June 1, 2015. Mr. Spence is a Graduate of the Executive Development Program at the University of Pennsylvania and the Nuclear Technology Program of the Massachusetts Institute of Technology. He holds a Bachelor's Degree in Petroleum and Natural Gas Engineering from Penn State University and a Master's Degree in Business Administration from Bentley College in Waltham, Mass.

CEO Compensation
  • Bill's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Bill's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the PPL management team in years:

2.1
Average Tenure
61
Average Age
  • The tenure for the PPL management team is about average.
Management Team

Bill Spence

TITLE
Non-Executive Chairman
COMPENSATION
$11M
AGE
62
TENURE
8.3 yrs

Vince Sorgi

TITLE
President & COO
COMPENSATION
$3M
AGE
47
TENURE
0.7 yrs

Joanne Raphael

TITLE
Executive VP
COMPENSATION
$3M
AGE
59
TENURE
4.7 yrs

Paul Thompson

TITLE
Chairman
COMPENSATION
$3M
AGE
61
TENURE
2 yrs

Greg Dudkin

TITLE
President of PPL Electric Utilities Corporation
COMPENSATION
$3M
AGE
61
TENURE
8 yrs

Joe Bergstein

TITLE
Senior VP & CFO
AGE
48
TENURE
0.7 yrs

Mark Brooks

TITLE
VP & Chief Information Security Officer
TENURE
1.3 yrs

Andy Ludwig

TITLE
Vice President of Investor Relations
TENURE
0.7 yrs

Steve Phillips

TITLE
VP & Global Chief Compliance Officer
TENURE
2.2 yrs

Tom Lynch

TITLE
VP & Chief Human Resources Officer of PPL Services
AGE
63
TENURE
4.2 yrs
Board of Directors Tenure

Average tenure and age of the PPL board of directors in years:

8.8
Average Tenure
64
Average Age
  • The tenure for the PPL board of directors is about average.
Board of Directors

Paul Thompson

TITLE
Chairman
COMPENSATION
$3M
AGE
61
TENURE
2 yrs

Craig Rogerson

TITLE
Independent Director
COMPENSATION
$270K
AGE
62
TENURE
14.4 yrs

Bill Spence

TITLE
Non-Executive Chairman
COMPENSATION
$11M
AGE
62
TENURE
7.8 yrs

Natica Von Althann

TITLE
Independent Director
COMPENSATION
$274K
AGE
68
TENURE
10.3 yrs

Steve Elliott

TITLE
Independent Director
COMPENSATION
$285K
AGE
72
TENURE
9.2 yrs

John Conway

TITLE
Independent Lead Director
COMPENSATION
$280K
AGE
74
TENURE
8.8 yrs

Keith Williamson

TITLE
Independent Director
COMPENSATION
$250K
AGE
67
TENURE
14.4 yrs

Raja Madabhushi

TITLE
Independent Director
COMPENSATION
$250K
AGE
57
TENURE
8.7 yrs

Armando Zagalo de Lima

TITLE
Independent Director
COMPENSATION
$250K
AGE
60
TENURE
5.7 yrs

Phoebe Wood

TITLE
Independent Director
COMPENSATION
$248K
AGE
66
TENURE
2.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess PPL's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. PPL has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

PP9 News

Simply Wall St News

PP9 Company Info

Description

PPL Corporation, a utility holding company, delivers electricity and natural gas in the United States and the United Kingdom. The company operates through three segments: U.K. Regulated, Kentucky Regulated, and Pennsylvania Regulated. It serves approximately 418,000 electric and 329,000 natural gas customers in Louisville and adjacent areas in Kentucky; 530,000 electric customers in central, southeastern, and western Kentucky; and 28,000 electric customers in 5 counties in southwestern Virginia. The company also provides electric delivery services to approximately 1.4 million customers in Pennsylvania; operates electricity distribution networks in the United Kingdom; generates electricity from coal, gas, hydro, and solar sources in Kentucky; and sells wholesale electricity to 2 municipalities in Kentucky. PPL Corporation was founded in 1920 and is headquartered in Allentown, Pennsylvania.

Details
Name: PPL Corporation
PP9
Exchange: DB
Founded: 1920
$18,047,689,599
767,813,625
Website: http://www.pplweb.com
Address: PPL Corporation
Two North Ninth Street,
Allentown,
Pennsylvania, 18101-1179,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE PPL Common Stock New York Stock Exchange US USD 02. Jan 1968
DB PP9 Common Stock Deutsche Boerse AG DE EUR 02. Jan 1968
LSE 0KEJ Common Stock London Stock Exchange GB USD 02. Jan 1968
ETLX PP9 Common Stock Eurotlx IT EUR 02. Jan 1968
BOVESPA P1PL34 BDR EACH REPR 1 COM Bolsa de Valores de Sao Paulo BR BRL 30. Dec 2019
Number of employees
Current staff
Staff numbers
12,280
PPL employees.
Industry
Electric Utilities
Utilities
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/03/31 22:13
End of day share price update: 2020/03/31 00:00
Last estimates confirmation: 2020/03/27
Last earnings filing: 2020/02/14
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.