PPL (NYSE:PPL) Releases Quarterly Earnings Results, Misses Estimates By $0.01 EPS

Key Points

• PPL reported quarterly EPS of $0.33, $0.01 below consensus, while revenue of $2.11 billion also missed estimates near $2.19 billion. Revenue nevertheless increased 4.2% year over year, and EPS rose from $0.32 in the prior-year quarter.
• Management reaffirmed 2026 EPS guidance of $1.90–$1.98 and plans approximately $5 billion in capital investment. PPL cited Pennsylvania and Rhode Island rate increases, ongoing rate-base growth, and accelerating data-center demand, including 32 GW of signed Pennsylvania agreements.
• PPL’s quarterly dividend remains $0.285 per share, equal to a 3.2% annualized yield, while analysts maintain a “Moderate Buy” consensus with an average price target of $41.67.

PPL (NYSE:PPL - Get Free Report) announced its quarterly earnings results on Friday. The utilities provider reported $0.33 earnings per share for the quarter, missing the consensus estimate of $0.34 by ($0.01), FiscalAI reports. PPL had a net margin of 13.09% and a return on equity of 9.41%. The firm had revenue of $2.11 billion for the quarter, compared to analyst estimates of $2.19 billion. During the same period in the previous year, the firm posted $0.32 EPS. The company's revenue was up 4.2% compared to the same quarter last year. PPL updated its FY 2026 guidance to 1.900-1.980 EPS.

Here are the key takeaways from PPL's conference call:

• PPL reaffirmed its 2026 earnings outlook of $1.90–$1.98 per share, with stronger second-half results expected following Pennsylvania and Rhode Island rate increases.
• The company plans approximately $5 billion of 2026 capital investment and continues to target more than 10% average annual rate-base growth through 2029, alongside 6%–8% annual EPS growth.
• Data-center demand continues to accelerate, with about 32 GW of signed agreements in Pennsylvania, including more than 11 GW under financially binding electric service agreements; PPL said two facilities began taking service during the quarter.
• Invitium Energy, PPL’s joint venture with Blackstone, has more than 5 GW of combined-cycle gas generation accepted into the PJM queue and is targeting one or more commercial agreements by year-end, potentially adding significant investment and earnings upside beyond the current plan.
• Kentucky’s probability-weighted expected load growth increased to 3.7 GW by 2032, making an additional generation CPCN filing likely by year-end; potential resources could represent $3.5 billion–$4 billion of incremental investment, though the precise mix and regulatory outcome remain uncertain.

PPL Trading Up 2.5%

Shares of PPL stock traded up $0.85 on Friday, reaching $35.47. The company had a trading volume of 10,658,512 shares, compared to its average volume of 8,797,979. The firm's 50 day moving average price is $35.81 and its two-hundred day moving average price is $36.84. The company has a debt-to-equity ratio of 1.27, a quick ratio of 0.88 and a current ratio of 1.00. PPL has a 52-week low of $33.17 and a 52-week high of $40.10. The firm has a market cap of $26.69 billion, a PE ratio of 21.63, a PEG ratio of 2.39 and a beta of 0.57.

PPL Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, July 1st. Stockholders of record on Wednesday, June 10th were paid a $0.285 dividend. This represents a $1.14 dividend on an annualized basis and a dividend yield of 3.2%. The ex-dividend date of this dividend was Wednesday, June 10th. PPL's payout ratio is 69.51%.

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on PPL shares. Barclays increased their price target on shares of PPL from $39.00 to $41.00 and gave the company an "overweight" rating in a research note on Tuesday, July 14th. BTIG Research reaffirmed a "buy" rating on shares of PPL in a research report on Thursday, June 4th. Mizuho upgraded PPL to a "hold" rating in a report on Friday, July 3rd. Weiss Ratings lowered PPL from a "buy (b+)" rating to a "buy (b)" rating in a research report on Thursday, June 18th. Finally, Morgan Stanley reissued an "overweight" rating on shares of PPL in a research note on Wednesday, July 22nd. Ten equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat.com, PPL has an average rating of "Moderate Buy" and an average target price of $41.67.

More PPL News

Here are the key news stories impacting PPL this week:

• Positive Sentiment: PPL reported second-quarter ongoing EPS of $0.33, up from $0.32 a year earlier, while revenue rose 4.2% to $2.11 billion. Management also reaffirmed its 2026 EPS guidance of $1.90–$1.98, broadly in line with the $1.95 analyst consensus. PPL Corporation Delivers Solid Second-Quarter 2026 Earnings
• Positive Sentiment: Management pointed to continued power-demand growth, including expanding data-center demand, as well as new rates, clean-energy investment and other initiatives supporting its long-term growth outlook. What to Expect From These 2 Utility Stocks This Season?
• Neutral Sentiment: Reported GAAP EPS was $0.30, while ongoing EPS was $0.33. The company’s net margin was 13.09% and return on equity was 9.41%, indicating steady profitability but limited upside from the quarter alone. PPL Posts Strong Q2 Results
• Negative Sentiment: Higher costs pressured results: ongoing EPS of $0.33 missed estimates ranging from $0.34 to $0.35, and revenue of $2.11 billion fell short of expectations near $2.19–$2.21 billion. PPL Q2 Earnings Miss Estimates on Higher Costs
• Negative Sentiment: Analyst commentary cautions that PPL’s slower dividend growth and premium valuation could limit further upside, particularly after the stock’s underperformance over the past year. PPL Corporation’s Slower Dividend Growth Limits Upside

Insider Buying and Selling

In related news, Director Kristen Robinson sold 37,107 shares of the stock in a transaction dated Wednesday, July 15th. The stock was sold at an average price of $25.05, for a total transaction of $929,530.35. Following the transaction, the director owned 222,897 shares of the company's stock, valued at approximately $5,583,569.85. This represents a 14.27% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Ashley F. Johnson sold 34,993 shares of the firm's stock in a transaction dated Thursday, July 23rd. The shares were sold at an average price of $22.08, for a total value of $772,645.44. Following the transaction, the chief financial officer owned 561,482 shares of the company's stock, valued at $12,397,522.56. This trade represents a 5.87% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 0.34% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Arkadios Wealth Advisors increased its stake in PPL by 28.2% during the 4th quarter. Arkadios Wealth Advisors now owns 12,144 shares of the utilities provider's stock worth $425,000 after buying an additional 2,668 shares during the period. Pinebridge Investments LLC purchased a new position in PPL in the 4th quarter valued at approximately $1,060,000. Williams Jones Wealth Management LLC. grew its position in shares of PPL by 3.2% during the third quarter. Williams Jones Wealth Management LLC. now owns 29,947 shares of the utilities provider's stock worth $1,113,000 after buying an additional 925 shares in the last quarter. Horizon Investments LLC increased its stake in shares of PPL by 2.2% during the third quarter. Horizon Investments LLC now owns 24,991 shares of the utilities provider's stock worth $929,000 after buying an additional 540 shares during the period. Finally, Parallel Advisors LLC raised its holdings in PPL by 3.8% in the third quarter. Parallel Advisors LLC now owns 9,325 shares of the utilities provider's stock valued at $347,000 after acquiring an additional 341 shares in the last quarter. Hedge funds and other institutional investors own 76.99% of the company's stock.

About PPL

PPL Corporation is an energy company that owns and operates electric transmission and distribution infrastructure and provides related customer services. The company's core business centers on delivering electricity to residential, commercial and industrial customers through regulated utility operations, maintaining grid reliability, responding to outages and managing customer billing and account services.

PPL's activities include construction and maintenance of distribution and transmission lines, meter and grid management, and programs to support energy efficiency and the interconnection of distributed resources.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source