PPL Settlement Approved; Transparency and Rate Case Timing in Focus

Research evidence excerpt

PPL Settlement Approved; Transparency and Rate Case Timing in Focus

June 4, 2026 | 20:08 ET~

PPL Corporation

PPL-NYSE Rating Price: Jun-4 Target ↓ Total Rtn Utilities, Power & Renewables

Outperform $35.16 $39.00 14%

James M. Thalacker Analyst

james.thalacker@bmo.com (347) 668-8970

Edward M DeArias, CFA VP Associate

PPL Settlement Approved; Transparency and Rate edward.dearias@bmo.com (347) 274-1556

Holly Rohlfs Senior AssociateCase Timing in Focus

holly.rohlfs@bmo.com (332) 274-9870

Bottom Line: Ethan Corcoran Senior Associate

The PAPUC approved the settlement (with minor modifications related to ethan.corcoran@bmo.com (347) 839-1752

net metering eligibility) in the PPL Electric rate case. The settlement, filed in Legal Entity: BMO Capital Markets Corp.

March, authorizes an increase of $275mm in base distribution revenues (note here).

2YR Price Volume Chart

Commissioner commentary indicated that minimizing/elongating rate case activity 45

remains a priority for the Commission (similar to previous commentary in the Columbia 40

Gas PA December proceeding) and that ROE/capital structure transparency is something

they would like to see in future settlements. We remain Outperform. Our MTM/SOTP 35 40

target price moves to $39. 30 20

Key Points 25 Dec Jun Dec Jun0

LHS: Price ($) / RHS: Volume (mm) Source: FactSet

Overall, we believe the final order/commission commentary was largely in line Company Data in $

with expectations regarding rate case cadence/rate stability and transparency,

Dividend $1.14 Shares O/S (mm) 752.4

with some distinct nuances.

Yield 3.2% Market Cap (mm) $26,453

Chairman DeFrank spoke positively regarding PPL's low frequency of rate cases

(last request was in 2015) as well as the two-year stay-out provision outlined in the P/BV 1.8x Net Debt (mm) $18,279