# Pembina Pipeline Corporation (PPL.TO) fundamentals

Data as of 2026-09-08. TSX, Canada. Sector: Energy / Oil, Gas & Consumable Fuels. Price C$66.95, market value C$38.9 billion.

## Valuation
- **P/E (trailing): 23.6×** (5-yr avg 14.3×, 3-yr avg 16.4×). Pembina Pipeline Corporation trades at 23.6× trailing earnings, well above its own five-year average of 14.3×: investors are paying up relative to the company's past. The Energy median in the September 2026 study was 16.8×. Forward P/E is 21.3×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 4.9×**. Each dollar of revenue is priced at 4.9×.
- **Price / book: 2.5×**. The shares trade at 2.5× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 13.5×**. Enterprise value is 13.5× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 5.3%** (5-yr avg 9.6%). Free cash flow equals 5.3% of the market value, below its five-year average of 9.6%, so the shares are pricier on cash than usual. Above 5% is generally attractive.
- **Earnings yield: 4.2%**. The inverse of the P/E: 4.2% of the price is earned each year.

## Profitability
- **Gross margin: 39.3%**. Pembina Pipeline Corporation keeps 39.3% of revenue after the direct cost of what it sells.
- **Operating margin: 32.6%**. 32.6% of revenue is left after running the business, an exceptional level.
- **Net margin: 22.1%**. 22.1% of each dollar of sales reaches the bottom line.
- **Return on equity: 10.1%**. 10.1% on shareholders' equity is solid.
- **Return on invested capital: 6.6%**. Return on all capital, debt included, is 6.6%.
- **Return on assets: 5.0%**. Each dollar of assets produces 5.0% of profit.

## Growth
- **Revenue growth (1 yr): 4.0%** (3-yr -12.9%/yr, 5-yr 5.2%/yr). Revenue grew 4.0% over the last year, against 5.2% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -11.3%** (3-yr -19.7%/yr). Earnings per share fell 11.3%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 2.6%/yr**. Free cash flow has compounded at 2.6% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.83**. Debt is 0.83 times equity, moderate leverage.
- **Net debt / EBITDA: 3.5×**. It would take 3.5 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Interest coverage: 4.3×**. Operating profit covers interest 4.3× over, a safe margin.
- **Current ratio: 0.61** (quick 0.47). Current liabilities exceed current assets, so the company depends on ongoing cash generation or refinancing to pay the next year's bills.
- **Altman Z-score: 2.31**. A Z-score of 2.31 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 4.39%** (C$2.88 per share, trailing). Pembina Pipeline Corporation yields 4.39%, an income-level yield.
- **Payout ratio: 105%** (87% of free cash flow). The dividend exceeds earnings (105% payout), though free cash flow still covers it.
- **Consecutive years of increases: 16**. 16 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 2.3%/yr** (1-yr 3.0%). The dividend has grown 2.3% a year over five years.

## Analyst view
- **Analyst consensus: buy** (18 analysts). 18 analysts cover Pembina Pipeline Corporation; the consensus is buy, with an average price target of C$72.72 (+9% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 34.7%** (YTD 31.0%, 3-mo -0.6%). The shares are up 34.7% over twelve months including dividends.
- **From 52-week high: -7.9%** (33.5% above the low). Trading 8% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 46**. An RSI of 46 is neutral.
- **Beta (1 yr): 0.04** (volatility 20%). Beta of 0.04 against the S&P/TSX Composite: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=PPL.TO · Page: https://foliofundamentals.com/stocks/ppl.to

Not investment advice.