PPL gains -0.56

This report will summarize PPL. I will summarize the rationale of why PPL stakeholders should not be insulted by the new pull down. Is the company valuation justified? Here I will also cover PPL prospective on valuation to give you a better outlook on taking a position in this stock. What is PPL Target Price Odds to finish over Current Price? Out from normal probability distribution, the odds of PPL to move above current price in 30 days from now is about 7.62%. The PPL Corporation probability density function shows the probability of PPL Stock to fall within a particular range of prices over 30 days . Considering 30-days investment horizon, PPL has beta of 0.2048 . This implies as returns on market go up, PPL average returns are expected to increase less than the benchmark. However during bear market, the loss on holding PPL Corporation will be expected to be much smaller as well. Additionally, the company has an alpha of 0.2066 implying that it can potentially generate 0.2066% excess return over Russell 2000 after adjusting for the inherited market risk (beta).
Published over a year ago
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Reviewed by Raphi Shpitalnik

PPL has 23.13 B in debt with debt to equity (D/E) ratio of 194.3 . This implies that the firm may be unable to create cash to meet all of its financial commitments. The firm dividends can provide a clue to current valuation of the stock. The entity one year expected dividend income is about $0.82 per share. Lets now take a look at PPL Profit Margin. Based on latest financial disclosure PPL Corporation has Profit Margin of 23.17%. This is 160.63% higher than that of the Utilities sector, and 262.6% higher than that of Utilities - Regulated Electric industry, The Profit Margin for all stocks is 1924.41% lower than the entity.
We determine the current worth of PPL Corporation using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. 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 related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of PPL's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. 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, relevant financial multiples and ratios, and then comparing them to PPL's related companies.

PPL Corporation Investment Alerts

PPL investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring PPL Corporation performance across your portfolios.Please check all investment alerts for PPL

PPL Valuation Ratios as Compared to Competition

Our valuation model uses many indicators to compare PPL value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across PPL competition to find correlations between indicators driving the intrinsic value of PPL.

PPL Gross Profit

PPL Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing PPL previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show PPL Gross Profit growth over the last 10 years. Please check PPL's gross profit and other fundamental indicators for more details.

Going after PPL Financials

PPL operates its asset almost 4.44 pct., realizing $0.0444 for each dollar of asset held by the company. An accumulating assets utilization implies the company is being more competent with each dollar of asset it holds. In other words assets utilization of PPL shows how competent it operates for each dollar spent on its asset. The latest bullish price patterns experienced by current PPL Corporation shareholders may encourage investors to take a closer look at the company as it closed today at a share price of 33.59 on 3837807.000 in trading volume. The company directors and management have been very successful with rebalancing the company components at opportune times to take advantage of market volatility in October. The stock standard deviation of daily returns for 30 days (very short) investing horizon is currently 1.0166. The below-average Stock volatility is a good sign for a longer term investment options and for buy-and-hold investors. PPL preserves 16.48  of book value per share. PPL is trading at 33.62. This is 0.56% down. Today highest was 33.96. PPL Investments Current is considerably stable at the moment. Moreover, PPL Tangible Assets Book Value per Share is considerably stable at the moment.
All in all, our concluding Buy/Hold/Sell recommendation on the business is Buy. We believe PPL is undervalued with below average odds of financial turmoil for the next two years.

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Editorial Staff

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of PPL Corporation. Please refer to our Terms of Use for any information regarding our disclosure principles.

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