Drax GroupDRXGY 63 FCF Margin % is 13.58% as of Dec. 2025, which is 238% above its 10-year median of 4.02. GuruFocus rates DRXGY with a GF Score™ of 63/100 and a GF Value™ of $14.39 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 418 Utilities - Independent Power Producers companies, Drax Group ranks better than 60.77% on this metric.
FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Drax Group's Free Cash Flow for the
six
months ended in Dec. 2025 was $499 Mil. Drax Group's Revenue for the
six
months ended in Dec. 2025 was $3,673 Mil. Therefore, Drax Group's FCF Margin % for the quarter that ended in Dec. 2025 was 13.58%.
The historical data trend for Drax Group's FCF Margin % 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 FCF Margin %, along with its competitors' market caps and FCF Margin % 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 FCF Margin % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Drax Group's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Drax Group's FCF Margin % falls into.
* 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 (DRXGY) has a FCF Margin % of 13.58% as of Dec. 2025. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Drax Group and its competitors. This is 238% above median its historical median of 4.02. Over the past decade, Drax Group's FCF Margin % has ranged from 0.42 to 9.57. According to the industry distribution chart, Drax Group ranks #164 out of 418 companies in the Utilities - Independent Power Producers industry, placing it in the top 39.2%.
Is Drax Group's FCF Margin % too high?
Drax Group's current FCF Margin % of 13.58% is 238% above median its 10-year median of 4.02. Over the past 10 years, this metric has ranged from a low of 0.42 to a high of 9.57. The Utilities - Independent Power Producers industry median FCF Margin % is 2.71. Drax Group's value of 13.58% is 401.1% above this industry median. Based on the distribution chart, Drax Group ranks #164 out of 418 companies in the Utilities - Independent Power Producers industry, which is above the industry midpoint. Overall, Drax Group has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Drax Group's FCF Margin % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Drax Group ranks #164 out of 418 companies for FCF Margin %. This puts Drax Group in the upper half of its industry. The industry median FCF Margin % is 2.71. Drax Group's value of 13.58% is 401.1% above this benchmark. Historically, Drax Group's own FCF Margin % has ranged from 0.42 to 9.57 over the past decade. While the company's 10-year median is 4.02 vs. the industry median of 2.71, Drax Group 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 FCF Margin % for an Utilities - Independent Power Producers company?
The median FCF Margin % among Utilities - Independent Power Producers companies is 2.71, based on 418 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Drax Group's current FCF Margin % of 13.58% is 401.1% 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 FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Drax Group and its competitors. For the Utilities - Independent Power Producers industry, the median FCF Margin % is 2.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Drax Group's current FCF Margin % is 13.58%, which is 238% above median its own 10-year median of 4.02. 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 (DRXGY) is currently considered Significantly Overvalued. The stock's GF Value™ is $14.39, compared to a current price of $22.66 — trading 57.5% above its estimated fair value. The current FCF Margin % is 13.58%, which is 238% above median its 10-year median of 4.02 and 401.1% above the Utilities - Independent Power Producers industry median of 2.71. Drax Group's overall GF Score™ is 63/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Drax Group (DRXGY), the current FCF Margin % is 13.58% as of Dec. 2025. 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 (DRXGY) Overvalued in 2026?
Based on GuruFocus' analysis, Drax Group stock appears to be overvalued.
The current stock price of $22.66 is trading 57.5% above its estimated GF Value™ of $14.39.
GuruFocus considers Drax Group to be Significantly Overvalued.
Key valuation signals for DRXGY:
FCF Margin %: 13.58% (238% above median its 10-year median of 4.02)
GF Value™: $14.39 vs. price of $22.66 (57.5% above fair value)
Industry Position: 401.1% above the Utilities - Independent Power Producers median (#164 of 418)
No single metric tells the full story. See the DRXGY 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.
63GF Score
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