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Severn Trent (LSE:SVT) PB Ratio : 7.55 (As of May. 08, 2024)


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What is Severn Trent PB Ratio?

The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. As of today (2024-05-08), Severn Trent's share price is £25.74. Severn Trent's Book Value per Share for the quarter that ended in Sep. 2023 was £3.41. Hence, Severn Trent's PB Ratio of today is 7.55.

Warning Sign:

Severn Trent PLC stock PB Ratio (=7.38) is close to 10-year high of 7.71

The historical rank and industry rank for Severn Trent's PB Ratio or its related term are showing as below:

LSE:SVT' s PB Ratio Range Over the Past 10 Years
Min: 3.89   Med: 5.22   Max: 7.71
Current: 7.37

During the past 13 years, Severn Trent's highest PB Ratio was 7.71. The lowest was 3.89. And the median was 5.22.

LSE:SVT's PB Ratio is ranked worse than
95.91% of 513 companies
in the Utilities - Regulated industry
Industry Median: 1.41 vs LSE:SVT: 7.37

During the past 12 months, Severn Trent's average Book Value Per Share Growth Rate was -29.10% per year. During the past 3 years, the average Book Value Per Share Growth Rate was -9.60% per year. During the past 5 years, the average Book Value Per Share Growth Rate was -1.30% per year. During the past 10 years, the average Book Value Per Share Growth Rate was 2.80% per year.

During the past 13 years, the highest 3-Year average Book Value Per Share Growth Rate of Severn Trent was 96.90% per year. The lowest was -21.10% per year. And the median was 0.20% per year.

Back to Basics: PB Ratio


Severn Trent PB Ratio Historical Data

The historical data trend for Severn Trent's PB 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.

* Premium members only.

Severn Trent PB Ratio Chart

Severn Trent Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.03 4.36 4.84 6.10 7.46

Severn Trent Semi-Annual Data
Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.67 6.10 4.90 7.46 6.93

Competitive Comparison of Severn Trent's PB Ratio

For the Utilities - Regulated Water subindustry, Severn Trent's PB Ratio, along with its competitors' market caps and PB 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.


Severn Trent's PB Ratio Distribution in the Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Severn Trent's PB Ratio distribution charts can be found below:

* The bar in red indicates where Severn Trent's PB Ratio falls into.



Severn Trent PB Ratio Calculation

The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.

Severn Trent's PB Ratio for today is calculated as follows:

PB Ratio=Share Price/Book Value per Share (Q: Sep. 2023)
=25.74/3.411
=7.55

* 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.

It can also be calculated from the numbers for the whole company:

A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.


Severn Trent  (LSE:SVT) PB Ratio Explanation

Unlike valuation ratios relative to the earning power such as PE Ratio, PE Ratio without NRI, PS Ratio, Price-to-Operating-Cash-Flow , or Price-to-Free-Cash-Flow, the PB Ratio measures the valuation of the stock relative to the underlying asset of the company.

The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.


Be Aware

Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.


Severn Trent PB Ratio Related Terms

Thank you for viewing the detailed overview of Severn Trent's PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Severn Trent (LSE:SVT) Business Description

Traded in Other Exchanges
Address
2 St John’s Street, Severn Trent Centre, Coventry, GBR, CV1 2LZ
Severn Trent PLC is a United Kingdom-based water utilities company. The company 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.