Much of Britain's water infrastructure is more than 200 years old and could require major upgrades during the next decade. We project that United Utilities, which is one of 11 U.K. water utilities, will invest around GBP 500 million annually during the next five years in its water and wastewater system to address those needs.
Returns will likely increase in the next regulatory regime AMP8 starting in April 2025 due to the surge in interest rates since 2021.
The company lacks diversification, which brings regulatory risk.
|
Metric
|
UU.
|
PNN
|
SVT
|
|---|---|---|---|
Price/Earnings (Normalized) | 352.36 | 214.68 | 40.07 |
Price/Book Value | 3.26 | 1.73 | 7.21 |
Price/Sales | 3.76 | 2.12 | 2.73 |
Price/Cash Flow | 9.75 | 18.54 | 9.20 |
|
Metric
|
UU.
|
PNN
|
SVT
|
|---|---|---|---|
Quick Ratio | 1.73 | 1.16 | 0.85 |
Current Ratio | 1.80 | 1.27 | 0.88 |
Interest Coverage | 0.34 | 0.77 | 1.09 |
|
Metric
|
UU.
|
PNN
|
SVT
|
|---|---|---|---|
Return on Assets (Normalized) | 0.63% | 0.15% | 1.18% |
Return on Equity (Normalized) | 3.83% | 0.70% | 14.38% |
Return on Invested Capital (Normalized) | 2.00% | 2.19% | 5.04% |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|
AWK
| American Water Works Co Inc | Zsvbxfbj | Slcfyct | $23.5 Bil | |
SBS
| Companhia De Saneamento Basico Do Estado De Sao Paulo ADR | — | Wfly | $10.9 Bil | |
WTRG
| Essential Utilities Inc | Mbzvmpwf | Tjjqbng | $9.9 Bil | |
STRNY
| Severn Trent PLC ADR | — | Drslgtk | $9.2 Bil | |
SVTRF
| Severn Trent PLC | — | Ymppf | $9.1 Bil | |
UUGWF
| United Utilities Group PLC Class A | Ghnfvbkf | Rmxv | $8.9 Bil | |
UUGRY
| United Utilities Group PLC ADR | Sbqcmdvf | Ksk | $8.8 Bil | |
GGDVY
| Guangdong Investment Ltd ADR | — | Lymm | $3.1 Bil | |
GGDVF
| Guangdong Investment Ltd | — | Tdvh | $3.1 Bil | |
CWT
| California Water Service Group | — | Tffp | $2.8 Bil |
