SCGPY (Serco Group) 5-Year Yield-on-Cost %: 2.15 (As of Jul. 05, 2026) — 27% Above Median


SCGPY Serco Group PLC SCGPY
81 GF Score
Price $2.83
GF Value $2.40
Valuation Modestly Overvalued
! 3 Warning Signs
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What is Serco Group 5-Year Yield-on-Cost %?

Serco Group SCGPY 81 5-Year Yield-on-Cost % is 2.15 as of Jul. 05, 2026, which is 27% above its 10-year median of 1.69. GuruFocus rates SCGPY with a GF Score™ of 81/100 and a GF Value™ of $2.40 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 599 Business Services companies, Serco Group ranks worse than 76.79% on this metric.

Serco Group's yield on cost for the quarter that ended in Dec. 2025 was 2.15.


The historical rank and industry rank for Serco Group's 5-Year Yield-on-Cost % or its related term are showing as below:

SCGPY' s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 1.17   Med: 1.69   Max: 2.4
Current: 2.15


During the past 13 years, Serco Group's highest Yield on Cost was 2.40. The lowest was 1.17. And the median was 1.69.


SCGPY's 5-Year Yield-on-Cost % is ranked worse than
76.79% of 599 companies
in the Business Services industry
Industry Median: 4.1 vs SCGPY: 2.15

Serco Group  (OTCPK:SCGPY) 5-Year Yield-on-Cost % Explanation

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.


Serco Group 5-Year Yield-on-Cost % Related Terms


SCGPY vs CTAS, CPRT, ULS: 5-Year Yield-on-Cost % Comparison

For the Specialty Business Services subindustry, Serco Group'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.


Serco Group 5-Year Yield-on-Cost % vs Business Services Industry

For the Business Services industry and Industrials sector, Serco Group's 5-Year Yield-on-Cost % distribution charts can be found below:

* The bar in red indicates where Serco Group's 5-Year Yield-on-Cost % falls into.


SCGPY
81GF Score
Serco Group PLC SCGPY
5-Year Yield-on-Cost % is just one metric. See GF Score™, valuation, warning signs, and more.
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Serco Group 5-Year Yield-on-Cost % Calculation

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 Serco Group is calculated as

Yield-on-Cost=Dividend Yield %*(1+Dividend Growth Rate)^5
Frequently Asked Questions Learn more about 5-Year Yield-on-Cost % →
What does a 5-Year Yield-on-Cost % of 2.15 mean?
Serco Group (SCGPY) has a 5-Year Yield-on-Cost % of 2.15 as of Jul. 05, 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 Serco Group and its competitors. This is 27% above median its historical median of 1.69. Over the past decade, Serco Group's 5-Year Yield-on-Cost % has ranged from 1.17 to 2.40. According to the industry distribution chart, Serco Group ranks #460 out of 599 companies in the Business Services industry, placing it in the top 76.8%.
Is Serco Group's 5-Year Yield-on-Cost % too high?
Serco Group's current 5-Year Yield-on-Cost % of 2.15 is 27% above median its 10-year median of 1.69. Over the past 10 years, this metric has ranged from a low of 1.17 to a high of 2.40. The Business Services industry median 5-Year Yield-on-Cost % is 4.10. Serco Group's value of 2.15 is 47.6% below this industry median. Based on the distribution chart, Serco Group ranks #460 out of 599 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, Serco Group has a GF Score™ of 81/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Serco Group's 5-Year Yield-on-Cost % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Serco Group ranks #460 out of 599 companies for 5-Year Yield-on-Cost %. This places Serco Group in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 4.10. Serco Group's value of 2.15 is 47.6% below this benchmark. Historically, Serco Group's own 5-Year Yield-on-Cost % has ranged from 1.17 to 2.40 over the past decade. While the company's 10-year median is 1.69 vs. the industry median of 4.10, Serco Group has consistently been below 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 a Business Services company?
The median 5-Year Yield-on-Cost % among Business Services companies is 4.10, based on 599 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. Serco Group's current 5-Year Yield-on-Cost % of 2.15 is 47.6% below 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 Serco Group and its competitors. For the Business Services industry, the median 5-Year Yield-on-Cost % is 4.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Serco Group's current 5-Year Yield-on-Cost % is 2.15, which is 27% above median its own 10-year median of 1.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Serco Group stock overvalued right now?
Based on GuruFocus' analysis, Serco Group (SCGPY) is currently considered Modestly Overvalued. The stock's GF Value™ is $2.40, compared to a current price of $2.83 — trading 17.8% above its estimated fair value. The current 5-Year Yield-on-Cost % is 2.15, which is 27% above median its 10-year median of 1.69 and 47.6% below the Business Services industry median of 4.10. Serco Group's overall GF Score™ is 81/100 with 3 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 Serco Group (SCGPY), the current 5-Year Yield-on-Cost % is 2.15 as of Jul. 05, 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 Serco Group (SCGPY) Overvalued in 2026?

Based on GuruFocus' analysis, Serco Group stock appears to be overvalued. The current stock price of $2.83 is trading 17.8% above its estimated GF Value™ of $2.40. GuruFocus considers Serco Group to be Modestly Overvalued.

Key valuation signals for SCGPY:

  • 5-Year Yield-on-Cost %: 2.15 (27% above median its 10-year median of 1.69)
  • GF Value™: $2.40 vs. price of $2.83 (17.8% above fair value)
  • GF Score™: 81/100 with 3 warning signs
  • Industry Position: 47.6% below the Business Services median (#460 of 599)

No single metric tells the full story. See the SCGPY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Serco Group Business Description

Address 16 Bartley Wood Business Park, Serco House, Bartley Way, Hook, Hampshire, GBR, RG27 9UY
Serco Group PLC helps governments and public-sector bodies deliver public services. The company generates revenue from four divisions; the UK & Europe division provides hospital management, welfare, business support operations, and defense services in the U.K. and Europe. The North America division provides professional, defense, technology, and management services to the U.S. and Canadian governments. The Asia-Pacific segment provides frontline services, defense, and citizen services in Australia, New Zealand, and Hong Kong. The Middle East division provides transport, defense, and health services in the Middle East. The company generates its key revenue from the U.K. & Europe divisions.
81GF Score

Get the complete analysis for SCGPY

5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$2.83
Price
$2.40
GF Value