Core Viewpoint - PPL Corporation has shown a mixed performance in the stock market, with a 2.5% increase in shares over the last three months, underperforming the Zacks Utility-Electric Power industry's 5.2% rally, while maintaining strong financial discipline and efficient execution of plans [1][2]. Price Performance - PPL shares have gained 2.5% in the last three months compared to the Zacks Utility-Electric Power industry's 5.2% increase [1]. - The average trading volume for PPL in the last three months was approximately 5.83 million shares per day, significantly higher than DTE Energy's 1.56 million shares [5]. Factors Supporting PPL Stock - PPL's service areas in Pennsylvania and Kentucky are seeing increased demand from data centers, with projected new requests reaching 50 gigawatts (GW) in Pennsylvania and 6 GW in Kentucky between 2026 and 2034 [7]. - The company plans to invest $20 billion from 2025 to 2028 to meet rising demand and improve service quality, with over 60% of this investment benefiting from "contemporaneous recovery" to minimize regulatory lag [8]. - PPL aims to reduce expenses by at least $175 million by 2026 compared to 2021 levels, which is expected to strengthen profit margins [9]. - PPL plans to invest over $8 billion in electric and gas distribution infrastructure between 2025 and 2028 to enhance system reliability [10]. Earnings Estimates - PPL expects earnings per share (EPS) of $1.75-$1.87 for 2025, with the Zacks Consensus Estimate currently at $1.82 per share [11]. - The Zacks Consensus Estimate indicates year-over-year EPS increases of 7.5% for 2025 and 8.26% for 2026 [11]. Earnings Surprise History - PPL has outperformed the Zacks Consensus Estimate in three of the last four quarters, with an average earnings surprise of 8.84% [12]. Capital Return Program - PPL continues to return value to shareholders through dividends, with a current annual dividend of $1.09 and projected growth of 6-8% per year through 2027 [14]. - The targeted dividend payout ratio is expected to be in the range of 60-65% [15]. Valuation and Performance Metrics - PPL is currently valued at a premium compared to its industry on a forward 12-month P/E basis [17]. - PPL's trailing 12-month return on equity (ROE) is 9.14%, lower than the industry average of 10.05% [19]. Strategic Outlook - PPL's investments in clean energy generation and infrastructure are expected to support reliable service, aided by efficient operational management and a supportive regulatory environment [21].

For Immediate ReleasesChicago, IL – April 15, 2025 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include PPL Corp. (PPL) , Xcel Energy (XEL) and American Electric Power (AEP) Here are highlights from Tuesday’s Analyst Blog:PPL Corp. shares have rallied 9.4% in the last six months against the Zacks Utility-Electric Power indu ...