Severn TrentLSE:SVT +0.20%80 5-Year Yield-on-Cost % is 5.31 as of Jul. 12, 2026, which is 6% above its 10-year median of 5.02. GuruFocus rates LSE:SVT with a GF Score™ of 80/100 and a GF Value™ of £30.14 (Fairly Valued). The stock has 7 warning signs investors should review. Among 435 Utilities - Regulated companies, Severn Trent ranks better than 64.83% on this metric.
Severn Trent's yield on cost for the quarter that ended in Mar. 2026 was 5.31.
The historical rank and industry rank for Severn Trent's 5-Year Yield-on-Cost % or its related term are showing as below:
LSE:SVT'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 3.99 Med: 5.02 Max: 5.92
Current: 5.31
During the past 13 years, Severn Trent's highest Yield on Cost was 5.92. The lowest was 3.99. And the median was 5.02.
LSE:SVT's 5-Year Yield-on-Cost % is ranked better than 64.83% of 435
companies
in the Utilities - Regulated industry
Industry Median: 4.13
vs LSE:SVT: 5.31
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Severn Trent 5-Year Yield-on-Cost % Related Terms
LSE:SVT vs AWK, WTRG, AWR: 5-Year Yield-on-Cost % Comparison
For the Utilities - Regulated Water subindustry, Severn Trent's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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 5-Year Yield-on-Cost % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, Severn Trent's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Severn Trent's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Therefore, Yield-on-Cost of Severn Trent is calculated as
Severn Trent (LSE:SVT) has a 5-Year Yield-on-Cost % of 5.31 as of Jul. 12, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Severn Trent and its competitors. This is near median its historical median of 5.02. Over the past decade, Severn Trent's 5-Year Yield-on-Cost % has ranged from 3.99 to 5.92. According to the industry distribution chart, Severn Trent ranks #153 out of 435 companies in the Utilities - Regulated industry, placing it in the top 35.2%.
Is Severn Trent's 5-Year Yield-on-Cost % too high?
Severn Trent's current 5-Year Yield-on-Cost % of 5.31 is near median its 10-year median of 5.02. Over the past 10 years, this metric has ranged from a low of 3.99 to a high of 5.92. The Utilities - Regulated industry median 5-Year Yield-on-Cost % is 4.13. Severn Trent's value of 5.31 is 28.6% above this industry median. Based on the distribution chart, Severn Trent ranks #153 out of 435 companies in the Utilities - Regulated industry, which is above the industry midpoint. Overall, Severn Trent has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Severn Trent's 5-Year Yield-on-Cost % compare to AWK and WTRG?
According to the Utilities - Regulated industry distribution chart, Severn Trent ranks #153 out of 435 companies for 5-Year Yield-on-Cost %. This puts Severn Trent in the upper half of its industry. The industry median 5-Year Yield-on-Cost % is 4.13. Severn Trent's value of 5.31 is 28.6% above this benchmark. Historically, Severn Trent's own 5-Year Yield-on-Cost % has ranged from 3.99 to 5.92 over the past decade. While the company's 10-year median is 5.02 vs. the industry median of 4.13, 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 5-Year Yield-on-Cost % for an Utilities - Regulated company?
The median 5-Year Yield-on-Cost % among Utilities - Regulated companies is 4.13, based on 435 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Severn Trent's current 5-Year Yield-on-Cost % of 5.31 is 28.6% 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 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Severn Trent and its competitors. For the Utilities - Regulated industry, the median 5-Year Yield-on-Cost % is 4.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Severn Trent's current 5-Year Yield-on-Cost % is 5.31, which is near median its own 10-year median of 5.02. 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 £30.14, compared to a current price of £29.60 — trading 1.8% below its estimated fair value. The current 5-Year Yield-on-Cost % is 5.31, which is near median its 10-year median of 5.02 and 28.6% above the Utilities - Regulated industry median of 4.13. Severn Trent's overall GF Score™ is 80/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Severn Trent (LSE:SVT), the current 5-Year Yield-on-Cost % is 5.31 as of Jul. 12, 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 £29.60 is trading 1.8% below its estimated GF Value™ of £30.14.
GuruFocus considers Severn Trent to be Fairly Valued.
Key valuation signals for LSE:SVT:
5-Year Yield-on-Cost %: 5.31 (near median its 10-year median of 5.02)
GF Value™: £30.14 vs. price of £29.60 (1.8% below fair value)
Industry Position: 28.6% above the Utilities - Regulated median (#153 of 435)
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 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.
80GF Score
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5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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