Pennon GroupFRA:3PN -0.18%75 PEG Ratio is 6.10 as of Jul. 11, 2026, which is 85% below its 10-year median of 40.95. GuruFocus rates FRA:3PN with a GF Score™ of 75/100 and a GF Value™ of €5.86 (Fairly Valued). The stock has 9 warning signs investors should review. Among 299 Utilities - Regulated companies, Pennon Group ranks worse than 83.28% on this metric.
* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
The historical rank and industry rank for Pennon Group's PEG Ratio or its related term are showing as below:
FRA:3PN'
s PEG Ratio Range Over the Past 10 Years
Min: 2.44 Med: 40.95 Max: 218
Current: 6.06
During the past 13 years, Pennon Group's highest PEG Ratio was 218.00. The lowest was 2.44. And the median was 40.95.
FRA:3PN's PEG Ratio is ranked worse than 83.28% of 299
companies
in the Utilities - Regulated industry
Industry Median: 1.7
vs FRA:3PN: 6.06
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
Pennon Group (FRA:3PN) PEG Ratio Explanation
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.
Pennon Group PEG Ratio Related Terms
Pennon Group PEG Ratio Historical Data
* Premium members only.
The historical data trend for Pennon Group's PEG Ratio 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 - Regulated Water subindustry, Pennon Group's PEG Ratio, along with its competitors' market caps and PEG Ratio 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.
Pennon Group PEG Ratio vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, Pennon Group's PEG Ratio distribution charts can be found below:
* The bar in red indicates where Pennon Group's PEG Ratio 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.
* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
Pennon Group (FRA:3PN) has a PEG Ratio of 6.10 as of Jul. 11, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Pennon Group and its competitors. This is 85% below median its historical median of 40.95. Over the past decade, Pennon Group's PEG Ratio has ranged from 2.44 to 218.00. According to the industry distribution chart, Pennon Group ranks #249 out of 299 companies in the Utilities - Regulated industry, placing it in the top 83.3%.
Is Pennon Group's PEG Ratio too high?
Pennon Group's current PEG Ratio of 6.10 is 85% below median its 10-year median of 40.95. Over the past 10 years, this metric has ranged from a low of 2.44 to a high of 218.00. The Utilities - Regulated industry median PEG Ratio is 1.70. Pennon Group's value of 6.10 is 258.8% above this industry median. Based on the distribution chart, Pennon Group ranks #249 out of 299 companies in the Utilities - Regulated industry, which is in the bottom quartile relative to peers. Overall, Pennon Group has a GF Score™ of 75/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Pennon Group's PEG Ratio compare to AWK and WTRG?
According to the Utilities - Regulated industry distribution chart, Pennon Group ranks #249 out of 299 companies for PEG Ratio. This places Pennon Group in the lower half of its industry. The industry median PEG Ratio is 1.70. Pennon Group's value of 6.10 is 258.8% above this benchmark. Historically, Pennon Group's own PEG Ratio has ranged from 2.44 to 218.00 over the past decade. While the company's 10-year median is 40.95 vs. the industry median of 1.70, Pennon 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 PEG Ratio for an Utilities - Regulated company?
The median PEG Ratio among Utilities - Regulated companies is 1.70, based on 299 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Pennon Group's current PEG Ratio of 6.10 is 258.8% 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 PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Pennon Group and its competitors. For the Utilities - Regulated industry, the median PEG Ratio is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pennon Group's current PEG Ratio is 6.10, which is 85% below median its own 10-year median of 40.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pennon Group stock overvalued right now?
Based on GuruFocus' analysis, Pennon Group (FRA:3PN) is currently considered Fairly Valued. The stock's GF Value™ is €5.86, compared to a current price of €5.56 — trading 5.2% below its estimated fair value. The current PEG Ratio is 6.10, which is 85% below median its 10-year median of 40.95 and 258.8% above the Utilities - Regulated industry median of 1.70. Pennon Group's overall GF Score™ is 75/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For Pennon Group (FRA:3PN), the current PEG Ratio is 6.10 as of Jul. 11, 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 Pennon Group (FRA:3PN) Overvalued in 2026?
Based on GuruFocus' analysis, Pennon Group stock appears to be undervalued.
The current stock price of €5.56 is trading 5.2% below its estimated GF Value™ of €5.86.
GuruFocus considers Pennon Group to be Fairly Valued.
Key valuation signals for FRA:3PN:
PEG Ratio: 6.10 (85% below median its 10-year median of 40.95)
GF Value™: €5.86 vs. price of €5.56 (5.2% below fair value)
Industry Position: 258.8% above the Utilities - Regulated median (#249 of 299)
No single metric tells the full story. See the FRA:3PN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Pennon Group PLC is a British water and environmental utility infrastructure company that operates mainly in the United Kingdom. It has smaller operations in the European Union, China, and other countries. The company operates through Water, Non-household retail, and other segments. The water business comprises the regulated water and wastewater services undertaken by South West Water. The non-household retail business comprises the services provided by Pennon Water Services in the non-household water and wastewater retail market. The majority of revenue is derived from the water division.
75GF Score
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