Citi Offers PPL Guidance (PPL)

Citi offered insight into PPL PPL in a research report published this morning, stating that PPL's path to 2013 is the key for 2011 guidance. In the report, Citi states, "We think investors already expect ‘something to go wrong' on 2/4/11. Additionally, investors might be concerned about PPL exploring an acquisition, as has been suggested in recent press articles. If we separate a potential acquisition from the stand-alone fundamentals, we think downcast expectations and investor anxiety creates an opportunity where the company can actually surprise to the upside in ‘11. Additionally, similar to EXC, investors are already aware of downward EPS trajectory for '12 and '13. So, if PPL can signal improvement in forward basis, or disclose the extent of its '13 coal hedges, it could lead to investors recalibrate expectations to the positive for long-term EPS." Citi has previously given PPL a price target of $28. Shares of PPL were at $25.85 in after hours trading at the time of posting, up 0.35% from Wednesday's market close.