Think of Enterprise Value as the theoretical takeover price. It is more comprehensive than market capitalization (Market Cap), which only includes common equity. Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash, cash equivalents, and marketable securities.
EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Drax Group's Enterprise Value is £3,328 Mil.
Drax Group's EBIT for the trailing twelve months (TTM) ended in Dec. 2025 was £263 Mil. Therefore, Drax Group's EV-to-EBIT ratio for today is 12.63.
EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA. As of today, Drax Group's Enterprise Value is £3,328 Mil.
Drax Group's EBITDA for the trailing twelve months (TTM) ended in Dec. 2025 was £508 Mil. Therefore, Drax Group's EV-to-EBITDA ratio for today is 6.55.
EV-to-Revenue is calculated as Enterprise Value divided by its Revenue. As of today, Drax Group's Enterprise Value is £3,328 Mil.
Drax Group's Revenue for the trailing twelve months (TTM) ended in Dec. 2025 was £5,391 Mil. Therefore, Drax Group's EV-to-Revenue ratio for today is 0.62.
EV-to-FCF is calculated as Enterprise Value divided by its Free Cash Flow. As of today, Drax Group's Enterprise Value is £3,328 Mil.
Drax Group's Free Cash Flow for the trailing twelve months (TTM) ended in Dec. 2025 was £516 Mil. Therefore, Drax Group's EV-to-FCF ratio for today is 6.45.
*** Please note that the current Enterprise Value is calculated using the current market capitalization and the most recently available financial data. If key financial fields—Long-Term Debt & Capital Lease Obligation and Short-Term Debt & Capital Lease Obligation—are recorded as null in the latest reporting period, our data vendor will default to using data from the prior period with valid entries.
Drax Group (LSE:DRX) Enterprise Value Explanation
When an investor buy a company, the investor needs to pay not only the common shares, he/she also needs to pay the shareholders of Preferred Stocks. He also assumes the debt of the company, and receives the cash on the company's balance sheet.
If a company has more cash than debt, the investor actually pays less than the Market Cap because he immediately owns the cash once the transaction goes through.
The market value of Preferred Stock needs to be added to the market value of common stocks in the calculation of Enterprise Value.
For the companies with the same Market Cap, the smaller the Enterprise Value is, the cheaper the company is.
Enterprise Value can be negative when the company's net cash is more than its Market Cap. In this case the investor is basically getting the company for free and get paid for that.
1. EV-to-EBIT is calculated as Enterprise Value divided by its EBIT.
Drax Group's current Enterprise Value is £3,328 Mil.
For company reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data. Drax Group's EBIT for the trailing twelve months (TTM) ended in Dec. 2025 was £263 Mil.
2. EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA.
Drax Group's current Enterprise Value is £3,328 Mil.
For company reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data. Drax Group's EBITDA for the trailing twelve months (TTM) ended in Dec. 2025 was £508 Mil.
Drax Group's current Enterprise Value is £3,328 Mil.
For company reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data. Drax Group's Revenue for the trailing twelve months (TTM) ended in Dec. 2025 was £5,391 Mil.
Drax Group's current Enterprise Value is £3,328 Mil.
For company reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data. Drax Group's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2025 was £810 Mil.
Drax Group's current Enterprise Value is £3,328 Mil.
For company reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data. Drax Group's Free Cash Flow for the trailing twelve months (TTM) ended in Dec. 2025 was £516 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.
Drax Group Enterprise Value Related Terms
Drax Group Enterprise Value Historical Data
* Premium members only.
The historical data trend for Drax Group's Enterprise Value 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.
For the Utilities - Renewable subindustry, Drax Group's Enterprise Value, along with its competitors' market caps and Enterprise Value 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.
Drax Group Enterprise Value vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Drax Group's Enterprise Value distribution charts can be found below:
* The bar in red indicates where Drax Group's Enterprise Value falls into.
Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash, cash equivalents, and marketable securities.
Drax Group's Enterprise Value for the fiscal year that ended in Dec. 2025 is calculated as
* 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.
Drax Group (LSE:DRX) has a Enterprise Value of £3,328 Mil as of Jul. 01, 2026. Enterprise value equals the sum of market cap, debt and preferred shares less cash and equivalents. View historical data on Drax Group and its competitors.
Is Drax Group's Enterprise Value too high?
Drax Group's current Enterprise Value is £3,328 Mil. Overall, Drax Group has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Drax Group's Enterprise Value compare to competitors?
Drax Group's Enterprise Value of £3,328 Mil can be compared against companies in the Utilities - Independent Power Producers industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Enterprise Value for an Utilities - Independent Power Producers company?
A good Enterprise Value depends on the Utilities - Independent Power Producers industry context. However, Enterprise Value should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Enterprise Value mean?
A high Enterprise Value can signal that a stock is expensive relative to its fundamentals. Enterprise value equals the sum of market cap, debt and preferred shares less cash and equivalents. View historical data on Drax Group and its competitors. Drax Group's current Enterprise Value is £3,328 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Drax Group stock overvalued right now?
Based on GuruFocus' analysis, Drax Group (LSE:DRX) is currently considered Significantly Overvalued. The stock's GF Value™ is £5.24, compared to a current price of £7.59 — trading 44.8% above its estimated fair value. The current Enterprise Value is £3,328 Mil. Drax Group's overall GF Score™ is 70/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Enterprise Value calculated?
Enterprise Value is calculated from a company's financial statements. For Drax Group (LSE:DRX), the current Enterprise Value is £3,328 Mil as of Jul. 01, 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 Drax Group (LSE:DRX) Overvalued in 2026?
Based on GuruFocus' analysis, Drax Group stock appears to be overvalued.
The current stock price of £7.59 is trading 44.8% above its estimated GF Value™ of £5.24.
GuruFocus considers Drax Group to be Significantly Overvalued.
Key valuation signals for LSE:DRX:
Enterprise Value: £3,328 Mil
GF Value™: £5.24 vs. price of £7.59 (44.8% above fair value)
No single metric tells the full story. See the LSE:DRX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Drax Group PLC is a UK-based renewable energy company engaged in renewable power generation, the production of sustainable biomass and the sale of renewable electricity to businesses. It operates a generation portfolio of sustainable biomass, hydro-electric, and pumped hydro storage assets across four sites in England and Scotland. The company also operates a bioenergy supply business with manufacturing facilities in the United States and Canada, producing compressed wood pellets for its own use and for customers in Europe and Asia. Its segments include Pellet Production, Generation, and Customers. The majority of its revenue is generated from the Customers segment which sells renewable electricity to industrial and commercial customers in the United Kingdom.
70GF Score
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