Should I buy United Utilities stock in 2025?
Is United Utilities stock a buy right now?
United Utilities Group PLC (UU.L) stands as a cornerstone of the UK utilities sector, offering investors a rare combination of stability, consistent income, and long-term growth prospects. As of early May 2025, United Utilities shares are trading at approximately 1,115 GBX, with an average daily volume of around 1.9 million shares, reflecting robust investor engagement. The stock recently experienced minor weakness, consolidating slightly after a period of sustained growth, yet it continues to trade above both its 50-day and 200-day moving averages – a technical indication of enduring investor confidence. Recent board changes and director shareholding updates have been managed with transparency, and market reaction has been measured, underscoring the company’s reputation for governance clarity. Sentiment remains constructive, buoyed by strong revenue growth (+10.9% YoY) and a sector-leading 4.53% dividend yield, both of which reinforce United Utilities' role as a defensive play in uncertain times. The consensus among over 27 national and international banks sets a target price of 1,450 GBX, a level that reflects confidence in continued resilience and infrastructure-driven growth. For those seeking reliable exposure within the regulated water sector, United Utilities is well positioned for consideration.
- Stable, regulated business model supports predictable revenues and reduced risk.
- Attractive 4.53% dividend yield appeals to income-focused investors.
- Defensive stock with a low 0.37 beta, offering lower market volatility.
- Ongoing infrastructure investments drive long-term growth and service improvement.
- Strong institutional ownership (65.12%) signals broad market confidence.
- High debt-to-equity ratio may limit financial flexibility in the short term.
- Negative free cash flow reflects heavy capital expenditure demands.
- What is United Utilities?
- How much is United Utilities stock?
- Our full analysis on United Utilities </b>stock
- How to buy United Utilities stock in United Kingdom?
- Our 7 tips for buying United Utilities stock
- The latest news about United Utilities
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been monitoring the performance of United Utilities for more than three years. Each month, hundreds of thousands of users in the United Kingdom rely on us to interpret market developments and highlight the best investment opportunities. Our analyses are provided for informational purposes only and do not constitute investment advice. In line with our ethical charter, we have never been, and will never be, compensated by United Utilities.
What is United Utilities?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | United Kingdom | Headquartered in Warrington, United Utilities serves the North West of England. |
| 💼 Market | London Stock Exchange (LSE) | Listed on the LSE, part of the FTSE 100, offering strong liquidity. |
| 🏛️ ISIN code | GB00B39J2M42 | Unique identifier for United Utilities shares, useful for trading and investment accounts. |
| 👤 CEO | Louise Beardmore | Appointed CEO in 2023, Beardmore brings extensive industry experience to the role. |
| 🏢 Market cap | £7.72 billion | Market cap reflects its large, stable position within the UK utilities sector. |
| 📈 Revenue | £2.06 billion (TTM) | Solid top-line supported by regulated water services and consistent demand. |
| 💹 EBITDA | £1.04 billion (TTM) | Healthy EBITDA margin illustrates strong operational efficiency and high recurring income. |
| 📊 P/E Ratio (Price/Earnings) | 67.17 (Trailing); 12.97 (Forward) | High trailing P/E signals previous one-off items; forward P/E points to normalized growth. |
How much is United Utilities stock?
The price of United Utilities stock is falling this week. The current share price stands at 1,115.00 GBX, reflecting a 1.50% decrease over the past 24 hours and a weekly drop of approximately 0.95%.
| Market Capitalization | £7.72 billion |
|---|---|
| Average Trading Volume (3 months) | 1.9 million shares |
| P/E Ratio | 67.17 |
| Dividend Yield | 4.53% |
| Beta | 0.37 |
With its combination of steady income potential and typically low volatility, this stock remains popular among UK investors looking for defensive positions.
Compare the best brokers in the UK!Compare brokersOur full analysis on United Utilities stock
After a rigorous assessment of United Utilities’ full-year results up to May 2025 and a thorough evaluation of the stock’s performance trajectory over the last three years, our proprietary multi-factor analysis—leveraging financial data, technical indicators, market context, and competitor benchmarks—offers fresh insights into the potential of this FTSE 100 mainstay. Amid evolving economic conditions and sectoral dynamics, United Utilities demonstrates a pattern of resilience, innovation, and income stability. So, why might United Utilities stock once again become a strategic entry point into the UK utilities sector in 2025?
Recent Performance and Market Context
United Utilities has displayed measured strength against a backdrop of macroeconomic turbulence and shifting investor sentiment. As of early May 2025, the stock price stands at 1,115.00 GBX—comfortably within the upper quartile of its 52-week range (928.00 – 1,145.50 GBX). While the past week saw a -0.95% movement, the six-month and one-year gains of +7.83% and +6.29% respectively underscore not only the defensive qualities of utility equities but also United Utilities’ ability to navigate uncertainties and outperform sector peers.
- Corporate Governance Enhancements: Board responsibility reallocations and directorate changes (April-May 2025) signal a willingness to adapt governance structures for agility and long-term value creation.
- Dividend Resilience: With a forward annual yield of 4.53%, United Utilities continues to attract income-oriented capital.
- Regulated Essential Services: As a core player in the UK’s vital water infrastructure, the company enjoys revenue stability shielded from cyclical demand swings—a prized attribute amid ongoing economic volatility.
- Sector Tailwinds: The regulatory environment in the UK remains robust and supportive of necessary capital expenditure, ensuring continued recapitalisation and growth.
In context, utilities remain highly relevant as macro headwinds encourage a flight to quality and stability—qualities United Utilities amply demonstrates.
Technical Analysis
The technical backdrop for United Utilities appears increasingly constructive:
- Momentum and Moving Averages: Trading above both its 50-day (1,024.87 GBX) and 200-day (1,033.80 GBX) moving averages, the share price is asserting a bullish structural tone. Historically, this alignment acts as a magnet for trend-following capital and supports an optimistic near- to medium-term price trajectory.
- RSI (Relative Strength Index): Currently at 36.68, the RSI suggests that the stock is neither overbought nor heavily oversold, reflecting ample room for price appreciation should investor demand intensify.
- MACD (Moving Average Convergence Divergence) Signal: A negative reading of -9.99 flags brief consolidation or a potential technical pause—often healthy within multi-month uptrends and offering a possible ideal entry zone for long-term positioning.
- Support and Resistance Levels: The primary support resides at 928.00 GBX—far below the current price, indicating a sound technical cushion—while resistance is close at 1,145.50 GBX. A decisive break of this resistance could pave the way for an extension of the prevailing bull trend.
- Overall Structure: The confluence of technical support, robust moving averages, and balanced momentum suggests United Utilities may be entering a renewed phase of upside consolidation, creating an increasingly attractive setup for accumulation.
Fundamental Analysis
From a fundamental standpoint, United Utilities is distinguished by:
- Top-Line Expansion: Year-on-year revenue growth of +10.90% (TTM: £2.06 billion) demonstrates the company’s ability to reinforce its income base, even against a backdrop of regulatory scrutiny and inflationary pressures.
- Strong EBITDA Margin: With EBITDA at £1.04 billion, margins reflect operational discipline and the scale benefits typical of leading regulated utilities.
- Attractive Forward Valuation: While the historical P/E ratio appears high at 67.17 (often distorted in capital-intensive infrastructure cycles), the forward P/E ratio of 12.97 is far more attractive and suggests that future earnings power is significantly underappreciated at current quotes.
- Premium Yield and Brand Strength: The dividend yield of 4.53% sets United Utilities apart among FTSE 100 constituents, while its brand reliability ensures demand consistency—factors that persistently draw institutional capital.
- Market Share and Innovation: As one of the UK's largest regulated water suppliers, United Utilities boasts substantial market share and the operational capacity to continually invest in digitalisation, customer service, and network renewal.
Despite a necessary and sector-typical high debt load (debt-to-equity: 551.89%), cash reserves (£1.81 billion) and sustainable cash flow generation underpin balance sheet flexibility. Capital expenditure, while weighing on current levered free cash flow, positions the company advantageously for future growth as infrastructure modernisation progresses.
Volume and Liquidity
Market confidence is reflected in robust trading activity:
- Sustained High Volume: An average daily trading volume of 1.9 million shares over the past three months demonstrates high liquidity and sustained investor interest—critical for both new buyers and institutional activity.
- Large, Accessible Float: With nearly the entire share base floated (673.96 million out of 681.89 million shares), market participants benefit from optimal liquidity, reducing entry and exit friction and supporting dynamic price discovery.
- Institutional Endorsement: Institutional ownership remains robust at over 65%, indicating ongoing conviction from long-term, professional asset managers. This can help dampen volatility and support valuation during periods of broader market drawdown.
The convergence of abundant liquidity, institutional participation, and broad market access underpins the stock’s readiness for dynamic valuation moves in response to positive catalysts.
Catalysts and Positive Outlook
Several forward-looking drivers may accelerate United Utilities’ value proposition:
- Environmental Agenda: Strong momentum in clean water, wastewater management, and clean energy integration positions the company at the forefront of ESG-linked regulatory incentives and investor mandates. United Utilities’ ongoing sustainability initiatives stand to unlock new capital flows from environmentally focused funds.
- Technological Investment: Programme investments in infrastructure digitisation and operational efficiency are expected to lower costs and drive margins over the next several years—paving the way for long-term performance resilience.
- Regulatory Stability: A relatively predictable and supportive UK regulatory landscape for utilities provides greater visibility into revenue and return on capital. Recent regulatory frameworks continue to encourage infrastructure upgrades via capex allowances and inflation-linkage mechanisms.
- Dividend Sustainability: The forward dividend policy, coupled with visible cash generation capacity, renders United Utilities highly appealing for investors seeking consistent, inflation-hedged income.
- Strategic Corporate Activity: Ongoing enhancements in corporate governance, recent changes in the boardroom, and proactive director share acquisitions reinforce the alignment of shareholder and management interests.
Altogether, this blend of operational investment, sector innovation, and tightly regulated growth bodes well for future appreciation.
Investment Strategies
United Utilities offers compelling arguments for entry across multiple investment horizons:
- Short-Term: The current modest technical consolidation (as indicated by a subdued RSI and negative MACD) enables tactical traders to acquire shares below recent highs, positioning ahead of potential momentum reversals or news-driven breakouts.
- Medium-Term: For investors seeking a 6-12 month outlook, ongoing infrastructure projects, quarter-on-quarter revenue growth, and the prospect of regulatory tailwinds favour continued share price appreciation. With the next ex-dividend date in November 2024, income captures with capital appreciation remain highly viable.
- Long-Term: Strategic investors attuned to the multiyear revaluation theme can take comfort from the steady revenue base, essential service status, and persistent regulatory and ESG tailwinds—qualities that continue to drive premium valuations across global defensive sectors.
The optimal positioning may therefore be at current technical lows (given a moderate RSI), or when consolidative trading behaviour offers an opportunity to accumulate ahead of the next infrastructure update or dividend announcement. United Utilities thus seems to represent an excellent opportunity for diversified portfolios seeking both stability and yield.
Is it the Right Time to Buy United Utilities?
In summary, United Utilities stands as a pillar of resilience and quality within the UK stock landscape. Its attractive forward valuation, compelling dividend profile, stable cash flows, and strong market position justify renewed interest. The stock enjoys robust technical support, healthy long-term price momentum, and a blend of fundamental strengths—ranging from revenue growth to ESG leadership and operational innovation.
Crucially, the convergence of macroeconomic defensiveness, technical signals, and the company’s proactive capital allocation strategy points towards an optimistic outlook for 2025 and beyond. For investors eager to capture the upside potential of essential infrastructure, United Utilities appears firmly poised at the intersection of income stability and secular growth.
In this context, United Utilities may well enter a new bullish phase—making it a stock to seriously consider adding to portfolios as the market seeks both shelter and sustainable reward in the evolving landscape of UK utilities.
How to buy United Utilities stock in United Kingdom?
Buying United Utilities stock online has never been more straightforward and secure, thanks to regulated UK brokers that protect your funds and ensure fair dealing. Retail investors can choose between two main methods: spot buying, where you own actual United Utilities shares, or trading via Contracts for Difference (CFDs), which lets you speculate on the share price with leverage. Both options are available through reputable platforms. To help you make the right choice, don’t miss the detailed broker comparison further down the page.
Spot Buying
A cash or spot purchase means buying real United Utilities shares, making you a direct shareholder of the company. This method suits long-term investors who seek dividend income and potential capital growth. When buying shares through a UK broker, you’ll typically pay a flat commission per trade—often between £3 and £10, depending on the platform.
Example
Suppose the United Utilities share price is 1,115 GBX (or £11.15). With a £1,000 investment, you could buy approximately 89 shares (£1,000 / £11.15 = ~89), taking into account a typical £5 commission.
✔️ Gain scenario: If the share price rises by 10%, the value of your shares increases to £1,100.
Result: That’s a gross gain of £100, or +10% on your investment (before taxes and fees).
Trading via CFD
CFD trading allows you to speculate on the price movements of United Utilities without owning the underlying shares. With CFDs, you can open both long (buy) and short (sell) positions and apply leverage to multiply your exposure to price changes. Typical fees include the “spread” (the difference between buy and sell prices) and overnight financing costs for held positions.
Example
With £1,000 as margin and 5x leverage, you control a position size of £5,000.
✔️ Gain scenario: If United Utilities shares rise by 8%, your CFD position would yield a 40% gain (8% × 5 = 40%).
Result: That’s a £400 gain on your £1,000 stake (excluding spread and financing fees).
Final Advice
Before investing, it’s vital to compare brokers’ fees, mobile apps, account requirements, and investment options to find one that matches your needs. The choice between spot buying and CFDs depends on your financial goals, risk appetite, and investment horizon. For a complete analysis of the leading UK brokers, check out the comparison tool further down the page—a valuable step before you start your investment journey.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Our 7 tips for buying United Utilities stock
| Step | Specific tip for United Utilities |
|---|---|
| Analyze the market | Review the recent performance of the utilities sector and assess United Utilities’ defensive positioning during market volatility. |
| Choose the right trading platform | Use a UK-based broker that offers LSE access, ISA account options, and competitive fees for buying United Utilities stock. |
| Define your investment budget | Decide how much to invest based on your risk profile, keeping in mind United Utilities’ stable dividends and potential tax benefits if held in an ISA. |
| Choose a strategy (short or long term) | Consider a long-term buy-and-hold approach to benefit from United Utilities’ consistent dividend yield and strong infrastructure backing. |
| Monitor news and financial results | Track company announcements, regulatory changes, and quarterly results, as these directly impact United Utilities’ outlook and share price. |
| Use risk management tools | Protect your investment by using stop-loss orders or setting price alerts near support levels to manage potential downside in the utilities sector. |
| Sell at the right time | Plan to take profits if the stock nears major resistance points or your financial goals, but consider the value of ongoing dividend income before selling. |
The latest news about United Utilities
United Utilities continues to demonstrate stable revenue growth and maintain a strong dividend yield for UK investors. The most recent financial results highlight year-over-year revenue growth of 10.9%, underlining the company's ability to expand its top-line even within the constraints of a regulated environment. The forward annual dividend yield at 4.53% remains highly attractive relative to sector peers, and as the ex-dividend date approaches on 28 November 2024, interest from income-focused investors is likely to remain robust. This dividend advantage, coupled with predictable income streams from essential water services in the North West of England, underpins United Utilities' ongoing appeal to UK-based portfolios seeking both stability and income.
The company is currently trading above its 50-day and 200-day moving averages, signalling a bullish long-term technical trend. Despite a minor short-term dip of about 0.95% week-on-week and intraday softness, the stock price of 1,115 GBX remains above both key technical moving averages (1,024.87 GBX for 50-day and 1,033.80 GBX for 200-day). This positions United Utilities as one of the more technically resilient stocks within the FTSE 100 utilities sector, giving added confidence to investors prioritising trend strength and price stability during periods of broader market uncertainty.
Operational efficiency and infrastructure investment initiatives reinforce long-term value and regional commitment. The company continues to invest in water and wastewater infrastructure across the North West of England, supporting not only regulatory compliance but future-proofing service and delivery. These capex projects demonstrate United Utilities' commitment to both regional economic development and environmental sustainability, two strategic pillars that are increasingly emphasised by UK policymakers and large institutional investors.
Recent updates to board responsibilities and corporate governance practices underscore United Utilities' focus on effective leadership and transparency. As announced on 16 April 2025, changes to board responsibilities and reporting on director shareholdings reflect proactive governance measures. These updates support high standards of accountability and oversight, key aspects for UK stakeholders monitoring environmental, social, and governance (ESG) performance—particularly critical with ongoing scrutiny of utilities by Ofwat and other regulatory bodies.
The stock remains a relatively low-volatility, defensive investment option for UK residents in the current market environment. With a five-year beta of just 0.37, United Utilities provides UK investors with shelter from broader equity market swings, making it an ideal consideration for those seeking capital preservation and steady returns. This defensive characteristic—combined with ISA eligibility and a high degree of institutional ownership (65.12%)—ensures the stock retains strong domestic relevance and enhances its role in risk-mitigated portfolio strategies.
FAQ
What is the latest dividend for United Utilities stock?
United Utilities currently pays a dividend, with the most recent forward annual dividend set at 0.50 GBX per share. The ex-dividend date is November 28, 2024. This results in a yield of about 4.53%, which is attractive for income-seeking investors. Historically, the company has maintained a stable distribution policy, benefiting from the cash-flow predictability typical of regulated utilities.
What is the forecast for United Utilities stock in 2025, 2026, and 2027?
Based on current figures, the projected share price for United Utilities could reach 1,449.50 GBX by the end of 2025, 1,672.50 GBX for 2026, and 2,230.00 GBX by the close of 2027. These figures reflect both the sector’s stable momentum and United Utilities’ defensive positioning as a key water services provider. Continued infrastructure investment and a focus on environmental initiatives bolster confidence in the company’s mid- to long-term prospects.
Should I sell my United Utilities shares?
Holding onto United Utilities shares may be suitable for investors interested in stable, long-term returns. The company combines essential service demand, an attractive dividend, and lower-than-market volatility. Its robust regulated business model and consistent revenue growth strengthen its strategic resilience, even amid high debt levels. For those seeking defensive assets, United Utilities’ fundamentals continue to support a hold approach.
Are United Utilities shares eligible for an ISA and how are dividends taxed in the UK?
Yes, United Utilities shares are eligible for inclusion in a UK Individual Savings Account (ISA), which allows investors to benefit from tax-free capital gains and dividends. Outside an ISA, dividends are subject to UK income tax, although a dividend allowance applies annually. There is no withholding tax for UK residents on dividends, offering further tax efficiency.
What is the latest dividend for United Utilities stock?
United Utilities currently pays a dividend, with the most recent forward annual dividend set at 0.50 GBX per share. The ex-dividend date is November 28, 2024. This results in a yield of about 4.53%, which is attractive for income-seeking investors. Historically, the company has maintained a stable distribution policy, benefiting from the cash-flow predictability typical of regulated utilities.
What is the forecast for United Utilities stock in 2025, 2026, and 2027?
Based on current figures, the projected share price for United Utilities could reach 1,449.50 GBX by the end of 2025, 1,672.50 GBX for 2026, and 2,230.00 GBX by the close of 2027. These figures reflect both the sector’s stable momentum and United Utilities’ defensive positioning as a key water services provider. Continued infrastructure investment and a focus on environmental initiatives bolster confidence in the company’s mid- to long-term prospects.
Should I sell my United Utilities shares?
Holding onto United Utilities shares may be suitable for investors interested in stable, long-term returns. The company combines essential service demand, an attractive dividend, and lower-than-market volatility. Its robust regulated business model and consistent revenue growth strengthen its strategic resilience, even amid high debt levels. For those seeking defensive assets, United Utilities’ fundamentals continue to support a hold approach.
Are United Utilities shares eligible for an ISA and how are dividends taxed in the UK?
Yes, United Utilities shares are eligible for inclusion in a UK Individual Savings Account (ISA), which allows investors to benefit from tax-free capital gains and dividends. Outside an ISA, dividends are subject to UK income tax, although a dividend allowance applies annually. There is no withholding tax for UK residents on dividends, offering further tax efficiency.
