Severn Trent (LSE:SVT) EV-to-EBIT: 19.78 (As of Jul. 25, 2026) — 10% Below Median

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LSE:SVT Severn Trent PLC LSE:SVT
79 GF Score
Price £30.20
GF Value £30.26
Valuation Fairly Valued
! 8 Warning Signs
View Full Analysis

What is Severn Trent EV-to-EBIT?

Severn Trent LSE:SVT +0.20% 79 EV-to-EBIT is 19.78 as of Jul. 25, 2026, which is 10% below its 10-year median of 21.97. GuruFocus rates LSE:SVT with a GF Score™ of 79/100 and a GF Value™ of £30.26 (Fairly Valued). The stock has 8 warning signs investors should review. Among 463 Utilities - Regulated companies, Severn Trent ranks worse than 71.71% on this metric.

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Severn Trent's Enterprise Value is £19,302 Mil. Severn Trent's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 was £976 Mil. Therefore, Severn Trent's EV-to-EBIT for today is 19.78.

The historical rank and industry rank for Severn Trent's EV-to-EBIT or its related term are showing as below:

LSE:SVT' s EV-to-EBIT Range Over the Past 10 Years
Min: 15.35   Med: 21.97   Max: 26.68
Current: 19.79

During the past 13 years, the highest EV-to-EBIT of Severn Trent was 26.68. The lowest was 15.35. And the median was 21.97.

LSE:SVT's EV-to-EBIT is ranked worse than
71.71% of 463 companies
in the Utilities - Regulated industry
Industry Median: 13.71 vs LSE:SVT: 19.79

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Severn Trent's Enterprise Value for the quarter that ended in Mar. 2026 was £19,492 Mil. Severn Trent's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 was £976 Mil. Severn Trent's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 5.01%.


Severn Trent  (LSE:SVT) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

Severn Trent's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Mar. 2026 ) =EBIT / Enterprise Value (Q: Mar. 2026 )
=976/19491.681
=5.01 %

Severn Trent's Enterprise Value for the quarter that ended in Mar. 2026 was £19,492 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Severn Trent's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 was £976 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Severn Trent EV-to-EBIT Related Terms


Severn Trent EV-to-EBIT Historical Data

* Premium members only.

The historical data trend for Severn Trent's EV-to-EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Severn Trent EV-to-EBIT Chart

Severn Trent Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 24.08 23.69 24.37 23.21 19.97

Severn Trent Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
EV-to-EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 24.37 0.00 23.21 0.00 19.97

LSE:SVT vs AWK, WTRG, AWR: EV-to-EBIT Comparison

For the Utilities - Regulated Water subindustry, Severn Trent's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Severn Trent EV-to-EBIT vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Severn Trent's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Severn Trent's EV-to-EBIT falls into.


LSE:SVT
79GF Score
Severn Trent PLC LSE:SVT
EV-to-EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Severn Trent EV-to-EBIT Calculation

Severn Trent's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=19302.272/976
=19.78

Severn Trent's current Enterprise Value is £19,302 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Severn Trent's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 was £976 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EV-to-EBIT →
What does a EV-to-EBIT of 19.78 mean?
Severn Trent (LSE:SVT) has a EV-to-EBIT of 19.78 as of Jul. 25, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Severn Trent and its competitors. This is 10% below median its historical median of 21.97. Over the past decade, Severn Trent's EV-to-EBIT has ranged from 15.35 to 26.68. According to the industry distribution chart, Severn Trent ranks #332 out of 463 companies in the Utilities - Regulated industry, placing it in the top 71.7%.
Is Severn Trent's EV-to-EBIT too high?
Severn Trent's current EV-to-EBIT of 19.78 is 10% below median its 10-year median of 21.97. Over the past 10 years, this metric has ranged from a low of 15.35 to a high of 26.68. The Utilities - Regulated industry median EV-to-EBIT is 13.71. Severn Trent's value of 19.78 is 44.3% above this industry median. Based on the distribution chart, Severn Trent ranks #332 out of 463 companies in the Utilities - Regulated industry, which is below the industry midpoint. Overall, Severn Trent has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Severn Trent's EV-to-EBIT compare to AWK and WTRG?
According to the Utilities - Regulated industry distribution chart, Severn Trent ranks #332 out of 463 companies for EV-to-EBIT. This places Severn Trent in the lower half of its industry. The industry median EV-to-EBIT is 13.71. Severn Trent's value of 19.78 is 44.3% above this benchmark. Historically, Severn Trent's own EV-to-EBIT has ranged from 15.35 to 26.68 over the past decade. While the company's 10-year median is 21.97 vs. the industry median of 13.71, Severn Trent has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for an Utilities - Regulated company?
The median EV-to-EBIT among Utilities - Regulated companies is 13.71, based on 463 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Severn Trent's current EV-to-EBIT of 19.78 is 44.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Severn Trent and its competitors. For the Utilities - Regulated industry, the median EV-to-EBIT is 13.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Severn Trent's current EV-to-EBIT is 19.78, which is 10% below median its own 10-year median of 21.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Severn Trent stock overvalued right now?
Based on GuruFocus' analysis, Severn Trent (LSE:SVT) is currently considered Fairly Valued. The stock's GF Value™ is £30.26, compared to a current price of £30.20 — trading 0.2% below its estimated fair value. The current EV-to-EBIT is 19.78, which is 10% below median its 10-year median of 21.97 and 44.3% above the Utilities - Regulated industry median of 13.71. Severn Trent's overall GF Score™ is 79/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Severn Trent (LSE:SVT), the current EV-to-EBIT is 19.78 as of Jul. 25, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Severn Trent (LSE:SVT) Overvalued in 2026?

Based on GuruFocus' analysis, Severn Trent stock appears to be undervalued. The current stock price of £30.20 is trading 0.2% below its estimated GF Value™ of £30.26. GuruFocus considers Severn Trent to be Fairly Valued.

Key valuation signals for LSE:SVT:

  • EV-to-EBIT: 19.78 (10% below median its 10-year median of 21.97)
  • GF Value™: £30.26 vs. price of £30.20 (0.2% below fair value)
  • GF Score™: 79/100 with 8 warning signs
  • Industry Position: 44.3% above the Utilities - Regulated median (#332 of 463)

No single metric tells the full story. See the LSE:SVT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Severn Trent Business Description

Address 2 St John’s Street, Severn Trent Centre, Coventry, GBR, CV1 2LZ
Severn Trent PLC is a United Kingdom-based water utilities company. It mainly operates in the U.K., but also in the United States and other countries in Europe. The company derives the majority of its revenue from its regulated water and wastewater segment, which supplies water and conducts sewage and environmental services. The company also operates a business services segment that is involved with renewable energy operations. The company provides contract services to industrial and municipal clients to develop water treatment facilities and networks. The firm generates its renewable energy by using hydropower, wind power, and solar power.
79GF Score

Get the complete analysis for LSE:SVT

EV-to-EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£30.20
Price
£30.26
GF Value