PPL Corporation (PPLC) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-163.2%

-$22.71

vs $35.92 price

Levered DCF

-$44.05

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

1.15

Distress zone

Rating

C+

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	21.89×	27.05×	27.1×	28.65×	-15.58×	14.76×	15.01×	10.94×
P/B	1.74×	1.7×	1.43×	1.55×	1.67×	1.62×	2.01×	1.71×
P/S	2.87×	2.83×	2.4×	2.72×	3.97×	3.96×	4.67×	2.56×
EV / EBITDA	11.95×	12.6×	12.05×	13.3×	11.94×	13.9×	18.99×	9.36×
Gross margin	39.1%	40.1%	39.4%	36.5%	46.9%	50.9%	47.5%	54.7%
Operating margin	23.6%	20.6%	19.6%	17.4%	24.6%	29.0%	27.2%	36.6%
Net margin	13.1%	10.5%	8.9%	9.6%	-25.6%	26.8%	31.2%	23.5%
Current ratio	0.86×	0.86×	0.88×	0.75×	2.16×	1.39×	0.56×	0.53×
Debt / equity	1.3×	1.19×	1.12×	1.02×	0.82×	1.19×	1.77×	1.89×
Interest coverage	2.64×	2.36×	2.45×	2.68×	1.55×	2.5×	2.46×	2.96×
Dividend yield	3.1%	3.1%	3.5%	3.7%	5.6%	5.9%	4.6%	5.7%
Payout ratio	67.2%	84.1%	95.1%	104.1%	-86.4%	86.8%	68.3%	62.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	7.9%	6.3%	5.3%	5.4%	-10.8%	11.0%	13.4%	15.7%
Return on invested capital	4.1%	3.6%	3.5%	3.0%	0.2%	3.0%	2.8%	5.6%
Return on assets	2.6%	2.2%	1.9%	2.0%	-4.5%	3.1%	3.8%	4.2%
Free cash flow yield	-5.4%	-1.9%	-3.2%	-2.0%	1.3%	2.2%	-2.5%	-2.1%
Earnings yield	4.6%	3.7%	3.7%	3.5%	-6.5%	6.8%	6.7%	9.2%
Enterprise value	$44.2B	$40.4B	$35.2B	$35.4B	$30.6B	$37.1B	$48.4B	$41.4B
Net debt / EBITDA	4.94×	5.14×	5.22×	5.21×	2.98×	5.78×	8.73×	4.84×
Cash conversion cycle (days)	5	13	29	12	14	0	7	-17