Comparing Pennon Group (PEGRF) & Its Competitors

by · The Cerbat Gem

Pennon Group (OTCMKTS:PEGRFGet Free Report) is one of 38 publicly-traded companies in the “Water Utilities” industry, but how does it contrast to its peers? We will compare Pennon Group to similar businesses based on the strength of its analyst recommendations, valuation, earnings, institutional ownership, dividends, profitability and risk.

Profitability

This table compares Pennon Group and its peers’ net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Pennon GroupN/AN/AN/A
Pennon Group Competitors0.31%-0.85%1.78%

Valuation and Earnings

This table compares Pennon Group and its peers gross revenue, earnings per share and valuation.

Gross RevenueNet IncomePrice/Earnings Ratio
Pennon GroupN/AN/A21.47
Pennon Group Competitors$4.33 billion$270.20 million14.61

Pennon Group’s peers have higher revenue and earnings than Pennon Group. Pennon Group is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Dividends

Pennon Group pays an annual dividend of $0.30 per share and has a dividend yield of 4.9%. Pennon Group pays out 104.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Water Utilities” companies pay a dividend yield of 4.1% and pay out 84.1% of their earnings in the form of a dividend.

Analyst Ratings

This is a summary of current ratings and recommmendations for Pennon Group and its peers, as provided by MarketBeat.com.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Pennon Group01402.80
Pennon Group Competitors40412141009292.25

As a group, “Water Utilities” companies have a potential upside of 100.68%. Given Pennon Group’s peers higher possible upside, analysts clearly believe Pennon Group has less favorable growth aspects than its peers.

Institutional and Insider Ownership

44.0% of Pennon Group shares are held by institutional investors. Comparatively, 57.7% of shares of all “Water Utilities” companies are held by institutional investors. 7.7% of shares of all “Water Utilities” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Pennon Group peers beat Pennon Group on 8 of the 13 factors compared.

Pennon Group Company Profile

(Get Free Report)

Pennon Group Plc provides clean water and wastewater services in the United Kingdom. It provides water and wastewater services for customers in Cornwall, Devon, and parts of Dorset and Somerset; water-only services in the areas of Dorset, Hampshire, and Wiltshire; and water and wastewater retail services to non-household customers in Great Britain. The company also offers regulated water to approximately 1.2 million customers in the Bristol region. Pennon Group Plc was incorporated in 1989 and is based in Exeter, the United Kingdom.