PPL Readies to Report Q1 Earnings: What’s in the Offing?


PPL Corporation


PPL

is set to release

first-quarter 2022

results on May 5 before market open. It witnessed a negative earnings surprise of 26.7% in the last reported quarter.

Let’s see how things have shaped up before the upcoming earnings announcement.

Factors to Consider

The ongoing economic development in PPL Corporation’s service territories and a reduction in the long-term debt balance are likely to have reduced capital servicing costs and boosted margins in the first quarter. The $1 billion repurchase completed in 2021 by PPL is likely to have a positive impact on its earnings.

PPL Corporation’s first-quarter results are likely to reflect the new rates implemented in its service territories.

First-quarter results are likely to be adversely impacted by the lower peak transmission demand in Pennsylvania and higher operation and maintenance expenses.

Expectation

The Zacks Consensus Estimate for first-quarter earnings is pegged at 40 cents per share, indicating a rise of 42.9% from the year-ago quarter’s reported figure.

The Zacks Consensus Estimate for first-quarter revenues is pegged at $1.6 billion, indicating a rise of 6.7% from the year-ago quarter’s reported figure.

What the Quantitative Model Predicts

Our proven model doesn’t conclusively predict an earnings beat for PPL Corporation this time. The combination of a positive

Earnings ESP

and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. However, that is not the case here as you will see below.


Earnings ESP

: PPL has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our

Earnings ESP Filter

.


Zacks Rank

: Currently, PPL Corporation carries a Zacks Rank #3. You can see


the complete list of today’s Zacks #1 Rank stocks here


.

Stocks to Consider

Investors can consider the following players from the same sector that have the right combination of elements to beat earnings in this reporting cycle.


MGE Energy


MGEE

is likely to come up with an earnings beat when it reports first-quarter results on May 5 before market open. MGE Energy has an Earnings ESP of +3.63% and carries a Zacks Rank #2 at present. MGEE’s long-term earnings growth is projected at 6.1%.


Dominion Energy


D

is likely to come up with an earnings beat when it reports first-quarter results on May 5 before market open. Dominion Energy has an Earnings ESP of +0.42% and carries a Zacks Rank #3 at present. D’s long-term earnings growth is projected at 6.1%.


BCE Inc.


BCE

is likely to come up with an earnings beat when it reports first-quarter results on May 5 before market open. BCE has an Earnings ESP of +3.14% and carries a Zacks Rank #3 at present. BCE’s long-term earnings growth is projected at 4.5%.

Stay on top of upcoming earnings announcements with the

Zacks Earnings Calendar

.


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