PPL (NYSE:PPL) Trading 2.2% Higher – Still a Buy?

PPL Co. (NYSE:PPL)’s stock price shot up 2.2% during mid-day trading on Friday . The company traded as high as $35.69 and last traded at $35.75. 813,998 shares changed hands during mid-day trading, a decline of 82% from the average session volume of 4,458,177 shares. The stock had previously closed at $34.98.

Analysts Set New Price Targets

Several equities research analysts have weighed in on the company. BMO Capital Markets initiated coverage on PPL in a research note on Wednesday, December 11th. They set an “outperform” rating and a $36.00 target price for the company. Morgan Stanley increased their target price on shares of PPL from $35.00 to $38.00 and gave the stock an “overweight” rating in a report on Thursday, March 20th. Citigroup raised PPL from a “hold” rating to a “strong-buy” rating in a report on Monday, March 10th. Jefferies Financial Group lowered their target price on PPL from $39.00 to $38.00 and set a “buy” rating for the company in a report on Tuesday, December 17th. Finally, UBS Group lifted their price target on PPL from $35.00 to $36.00 and gave the company a “neutral” rating in a research note on Friday, March 21st. Four investment analysts have rated the stock with a hold rating, seven have given a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $35.27.

PPL Stock Performance

The stock has a fifty day simple moving average of $34.18 and a two-hundred day simple moving average of $33.26. The company has a debt-to-equity ratio of 1.13, a quick ratio of 0.71 and a current ratio of 0.86. The stock has a market capitalization of $26.54 billion, a price-to-earnings ratio of 29.70, a P/E/G ratio of 2.77 and a beta of 0.76.

PPL (NYSE:PPL) last announced its earnings results on Thursday, February 13th. The utilities provider reported $0.34 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.37 by ($0.03). PPL had a net margin of 10.49% and a return on equity of 8.88%. The company had revenue of $2.21 billion for the quarter, compared to analysts’ expectations of $2.09 billion. Analysts forecast that PPL Co. will post 1.83 earnings per share for the current fiscal year.

PPL Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, April 1st. Investors of record on Monday, March 10th will be paid a $0.2725 dividend. This is a boost from PPL’s previous quarterly dividend of $0.26. This represents a $1.09 dividend on an annualized basis and a yield of 3.03%. The ex-dividend date is Monday, March 10th. PPL’s payout ratio is currently 90.08%.

Insider Activity

In other PPL news, COO David J. Bonenberger sold 981 shares of the company’s stock in a transaction that occurred on Tuesday, January 28th. The stock was sold at an average price of $33.48, for a total transaction of $32,843.88. Following the transaction, the chief operating officer now owns 45,414 shares in the company, valued at approximately $1,520,460.72. This represents a 2.11 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider John R. Crockett III sold 1,589 shares of the stock in a transaction dated Monday, January 27th. The stock was sold at an average price of $33.12, for a total transaction of $52,627.68. Following the completion of the transaction, the insider now owns 10,845 shares of the company’s stock, valued at approximately $359,186.40. The trade was a 12.78 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 5,140 shares of company stock worth $173,005. 0.22% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On PPL

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Summit Securities Group LLC purchased a new stake in PPL in the fourth quarter worth approximately $26,000. Kentucky Trust Co bought a new position in shares of PPL during the 4th quarter valued at approximately $32,000. Lee Danner & Bass Inc. purchased a new stake in shares of PPL in the fourth quarter worth $32,000. Rosenberg Matthew Hamilton increased its stake in PPL by 1,092.2% in the 4th quarter. Rosenberg Matthew Hamilton now owns 1,216 shares of the utilities provider’s stock worth $39,000 after buying an additional 1,114 shares in the last quarter. Finally, Larson Financial Group LLC grew its position in shares of PPL by 84.5% during the fourth quarter. Larson Financial Group LLC now owns 1,264 shares of the utilities provider’s stock worth $41,000 after purchasing an additional 579 shares in the last quarter. 76.99% of the stock is owned by institutional investors.

PPL Company Profile

PPL Corporation, an energy company, focuses on providing electricity and natural gas to approximately 3.6 million customers in the United States. It operates through three segments: Kentucky Regulated, Pennsylvania Regulated, and Rhode Island Regulated. The company delivers electricity to customers in Pennsylvania, Kentucky, Virginia, and Rhode Island; delivers natural gas to customers in Kentucky and Rhode Island; and generates electricity from power plants in Kentucky.