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Pennon GroupPEGRF 75 10-Year RORE % is -7.78 as of Mar. 2026. GuruFocus rates PEGRF with a GF Score™ of 75/100 and a GF Value™ of $6.24 (Fairly Valued). The stock has 9 warning signs investors should review. Among 407 Utilities - Regulated companies, Pennon Group ranks worse than 79.12% on this metric.
Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Pennon Group's 10-Year RORE % for the quarter that ended in Mar. 2026 was -7.78%.
The industry rank for Pennon Group's 10-Year RORE % or its related term are showing as below:
PEGRF's 10-Year RORE % is ranked worse than 79.12% of 407
companies
in the Utilities - Regulated industry
Industry Median: 10.12
vs PEGRF: -7.78
Pennon Group (OTCPK:PEGRF) 10-Year RORE % Explanation
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 10-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Pennon Group 10-Year RORE % Related Terms
Pennon Group 10-Year RORE % Historical Data
* Premium members only.
The historical data trend for Pennon Group's 10-Year RORE % 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.
PEGRF vs AWK, WTRG, AWR: 10-Year RORE % Comparison
For the Utilities - Regulated Water subindustry, Pennon Group's 10-Year RORE %, along with its competitors' market caps and 10-Year RORE % 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 10-Year RORE % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, Pennon Group's 10-Year RORE % distribution charts can be found below:
* The bar in red indicates where Pennon Group's 10-Year RORE % 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.
In the calculation of 10-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 10-year before.
Pennon Group (PEGRF) has a 10-Year RORE % of -7.78 as of Mar. 2026. 10-Year RORE % shows how much a company earns by reinvesting its retained earnings in 10-year. View historical data on Pennon Group and its competitors. According to the industry distribution chart, Pennon Group ranks #322 out of 407 companies in the Utilities - Regulated industry, placing it in the top 79.1%.
Is Pennon Group's 10-Year RORE % too high?
Pennon Group's current 10-Year RORE % is -7.78. Based on the distribution chart, Pennon Group ranks #322 out of 407 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 10-Year RORE % compare to AWK and WTRG?
According to the Utilities - Regulated industry distribution chart, Pennon Group ranks #322 out of 407 companies for 10-Year RORE %. This places Pennon Group in the lower half of its industry. The industry median 10-Year RORE % is 10.12. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 10-Year RORE % for an Utilities - Regulated company?
The median 10-Year RORE % among Utilities - Regulated companies is 10.12, based on 407 companies in the industry. Companies in the top quartile (top 25%) have a 10-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 10-Year RORE % 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 10-Year RORE % mean?
A high 10-Year RORE % can signal that a stock is expensive relative to its fundamentals. 10-Year RORE % shows how much a company earns by reinvesting its retained earnings in 10-year. View historical data on Pennon Group and its competitors. For the Utilities - Regulated industry, the median 10-Year RORE % is 10.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pennon Group's current 10-Year RORE % is -7.78. 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 (PEGRF) is currently considered Fairly Valued. The stock's GF Value™ is $6.24, compared to a current price of $5.80 — trading 7.1% below its estimated fair value. The current 10-Year RORE % is -7.78. 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 10-Year RORE % calculated?
10-Year RORE % is calculated from a company's financial statements. For Pennon Group (PEGRF), the current 10-Year RORE % is -7.78 as of Mar. 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 (PEGRF) Overvalued in 2026?
Based on GuruFocus' analysis, Pennon Group stock appears to be undervalued.
The current stock price of $5.80 is trading 7.1% below its estimated GF Value™ of $6.24.
GuruFocus considers Pennon Group to be Fairly Valued.
Key valuation signals for PEGRF:
10-Year RORE %: -7.78
GF Value™: $6.24 vs. price of $5.80 (7.1% below fair value)
No single metric tells the full story. See the PEGRF 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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