There's no reason for the stock to correct from 36 to 30. Shareholders received 12 shares of Talen for every 100 shares of PPL, at roughly $20 share now. $240 dividend of stock on 100 shares. The price of PPL corrected $6 or $600 on 100 shares. It now yields 5%. I really don't care what interest rates are, nor the price of natural gas. Bottom line, is there an alternative to using electricity for residents in the Northeast on a large scale? Not really. 10 years from now I expect people to continue paying their electric bills and using electricity, which makes PPL a very sound investment, while paying a dividend.
There are no reasons at this point to decrease in value. PBMD should be well over 10 at this point, but the powers keep it low so they can accumulate more at a low price, and then call it undervalued.