PPL (PPL) Suffers a Larger Drop Than the General Market: Key Insights

PPL (PPL) closed at $35.70 in the latest trading session, marking a -1.73% move from the prior day. The stock's change was less than the S&P 500's daily loss of 1.52%. At the same time, the Dow lost 2.19%, and the tech-heavy Nasdaq lost 1.74%.

The stock of energy and utility holding company has fallen by 0.06% in the past month, leading the Utilities sector's loss of 1.87% and undershooting the S&P 500's gain of 1.92%.

The upcoming earnings release of PPL will be of great interest to investors. The company's earnings report is expected on August 7, 2026. On that day, PPL is projected to report earnings of $0.35 per share, which would represent year-over-year growth of 9.38%. Meanwhile, the latest consensus estimate predicts the revenue to be $2.18 billion, indicating a 7.5% increase compared to the same quarter of the previous year.

PPL's full-year Zacks Consensus Estimates are calling for earnings of $1.94 per share and revenue of $9.78 billion. These results would represent year-over-year changes of +7.18% and +8.21%, respectively.

Investors should also take note of any recent adjustments to analyst estimates for PPL. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 0.23% fall in the Zacks Consensus EPS estimate. As of now, PPL holds a Zacks Rank of #4 (Sell).

In terms of valuation, PPL is presently being traded at a Forward P/E ratio of 18.69. This valuation marks a premium compared to its industry average Forward P/E of 18.38.

Investors should also note that PPL has a PEG ratio of 2.48 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Utility - Electric Power stocks are, on average, holding a PEG ratio of 2.73 based on yesterday's closing prices.

The Utility - Electric Power industry is part of the Utilities sector. With its current Zacks Industry Rank of 168, this industry ranks in the bottom 32% of all industries, numbering over 250.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

Zacks' Research Chief Names "Stock Most Likely to Double"

Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.

This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research