Skip to Content
Morningstar

SSE PLC SSE

Morningstar Rating
Unlock
Stock XLON Rating as of
GBX 1,855.00 +18.50 (1.01%)
View Full Chart
As of Delayed Price Closed
Unlock our analysis with Morningstar Investor
Start Free Trial

Company Report

View Archive

European Utilities Edged Up in Q2 on Soaring Power Prices, High Interest Rates Still a Drag

Tancrede Fulop

Utilities have reversed part of their first quarter’s fall, thanks to a strong rebound in power prices. Moreover, the deep undervaluation of renewables developers has driven takeovers by big investment firms at very high multiples. Neoen’s main shareholders accepted an offer at 18 times the EBITDA. The sector is still significantly lagging the market in 2024 because of high interest rates. Should they fall, it would boost the sector.

Read Full Report

Price vs Fair Value

View History
SSE is trading within a range we consider fairly valued.
Price
GBX 1,836.50
Fair Value
GBX 8,515.00
Uncertainty
Medium
1-Star Price
GBX 1,996.00
5-Star Price
GBX 4,864.00
Economic Moat
Lyg
Capital Allocation
Djcxlbf

Bulls Say, Bears Say

Bulls

SSE's exposure to regulated networks and renewables provide a hedge against rising interest rates. While higher interests could dampen renewables projects' value, they could drive higher allowed networks' returns in future regulatory periods.

Bears

The dividend rebase does not solve the investment funding problem given the different investment profiles of networks and renewables assets.

Show More
Is it the right time to buy, sell, or hold?
Start a free trial of Morningstar Investor to unlock exclusive ratings and continuous analyst coverage to help you decide if SSE is a good fit for your portfolio.
Get 7 Days Free

News

View All

Trading Information

Previous Close Price
GBX 1,836.50
Day Range
GBX 1,825.00–1,856.50
52-Week Range
GBX 1,485.00–1,932.50
Bid/Ask
GBX 1,600.00 / GBX 1,860.00
Market Cap
GBX 2.02 Tril
Volume/Avg
1.9 Mil / 3.3 Mil

Key Statistics

Price/Earnings (Normalized)
11.19
Price/Sales
1.92
Dividend Yield (Trailing)
4.78%
Dividend Yield (Forward)
4.78%
Total Yield
4.84%

Company Profile

SSE is an energy holding company based in the United Kingdom. The bulk of SSE's profit comes from the company's 10.8 GW of power generation and its electricity transmission and distribution networks . The firm is also involved in smaller related businesses such as gas storage and energy services.
Sector
Utilities
Industry
Utilities - Diversified
Stock Style Box
Large Core
Total Number of Employees
14,980
Website
https://www.sse.com

Competitors

Valuation

View More
Metric
SSE
NGG
IBE
Price/Earnings (Normalized)
 11.1911.2012.72
Price/Book Value
 2.181.271.40
Price/Sales
 1.921.911.64
Price/Cash Flow
 7.056.927.46
Price/Earnings
SSE
NGG
IBE

Financial Strength

Metric
SSE
NGG
IBE
Quick Ratio
 0.760.640.60
Current Ratio
 1.100.910.77
Interest Coverage
 8.212.634.98
Quick Ratio
SSE
NGG
IBE

Profitability

Metric
SSE
NGG
IBE
Return on Assets (Normalized)
 6.37%3.03%4.79%
Return on Equity (Normalized)
 20.08%9.72%14.40%
Return on Invested Capital (Normalized)
 9.01%5.36%7.51%
Return on Assets
SSE
NGG
IBE
See how this stock stacks up to its competitors with Morningstar Investor
Start Free Trial

Utilities - Diversified Industry Comparables

Screen With Investor
1-Day Chart
Name
Price
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
Iberdrola SA
IBDSF
—Rny$79.7 Bil
 Iberdrola SA ADR
IBDRY
MMDJdpf$79.7 Bil
 Enel SpA
ESOCF
BgpqgkwNflm$72.9 Bil
 Enel SpA ADR
ENLAY
FyjkxncRrdt$72.9 Bil
 Sempra
SRE
XllgzvxSgcwyt$47.6 Bil
 Engie SA ADR
ENGIY
—Btdnb$36.9 Bil
 Engie SA
ENGQF
—Jnbfh$36.9 Bil
 E.ON SE ADR
EONGY
KhnpxnmfYylr$34.5 Bil
 E.ON SE
ENAKF
—Pms$34.5 Bil
 The AES Corp
AES
MkbmxlwDvy$12.7 Bil

Sponsor Center