NGG PE Ratio & Valuation,Is NGG Overvalued

NGG Relative Valuation

NGG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, NGG is overvalued; if below, it's undervalued.

Historical Valuation

National Grid PLC (NGG) is now in the Fair zone, suggesting that its current forward PS ratio of 2.72 is considered Fairly compared with the five-year average of 13.06. The fair price of National Grid PLC (NGG) is between 62.71 to 100.57 according to relative valuation methord.

Relative Value

Fair Zone

62.71-100.57

Current Price：74.93

Fair

0.00

11.16

EV/EBITDA

National Grid PLC. (NGG) has a current EV/EBITDA of 11.16. The 5-year average EV/EBITDA is 11.73. The thresholds are as follows: Strongly Undervalued below 10.07, Undervalued between 10.07 and 10.90, Fairly Valued between 12.55 and 10.90, Overvalued between 12.55 and 13.38, and Strongly Overvalued above 13.38. The current Forward EV/EBITDA of 11.16 falls within the Historic Trend Line -Fairly Valued range.

15.60

EV/EBIT

National Grid PLC. (NGG) has a current EV/EBIT of 15.60. The 5-year average EV/EBIT is 17.11. The thresholds are as follows: Strongly Undervalued below 14.56, Undervalued between 14.56 and 15.84, Fairly Valued between 18.38 and 15.84, Overvalued between 18.38 and 19.66, and Strongly Overvalued above 19.66. The current Forward EV/EBIT of 15.60 falls within the Undervalued range.

2.72

National Grid PLC. (NGG) has a current PS of 2.72. The 5-year average PS is 2.17. The thresholds are as follows: Strongly Undervalued below 1.52, Undervalued between 1.52 and 1.84, Fairly Valued between 2.50 and 1.84, Overvalued between 2.50 and 2.83, and Strongly Overvalued above 2.83. The current Forward PS of 2.72 falls within the Overvalued range.

6.66

P/OCF

National Grid PLC. (NGG) has a current P/OCF of 6.66. The 5-year average P/OCF is 6.54. The thresholds are as follows: Strongly Undervalued below 5.30, Undervalued between 5.30 and 5.92, Fairly Valued between 7.17 and 5.92, Overvalued between 7.17 and 7.79, and Strongly Overvalued above 7.79. The current Forward P/OCF of 6.66 falls within the Historic Trend Line -Fairly Valued range.

-15.36

P/FCF

National Grid PLC. (NGG) has a current P/FCF of -15.36. The 5-year average P/FCF is -14.44. The thresholds are as follows: Strongly Undervalued below -52.75, Undervalued between -52.75 and -33.59, Fairly Valued between 4.71 and -33.59, Overvalued between 4.71 and 23.86, and Strongly Overvalued above 23.86. The current Forward P/FCF of -15.36 falls within the Historic Trend Line -Fairly Valued range.

National Grid PLC (NGG) has a current Price-to-Book (P/B) ratio of 7.41. Compared to its 3-year average P/B ratio of 1.88 , the current P/B ratio is approximately 294.67% higher. Relative to its 5-year average P/B ratio of 1.77, the current P/B ratio is about 318.79% higher. National Grid PLC (NGG) has a Forward Free Cash Flow (FCF) yield of approximately -2.55%. Compared to its 3-year average FCF yield of -0.30%, the current FCF yield is approximately 753.73% lower. Relative to its 5-year average FCF yield of 0.46% , the current FCF yield is about -649.31% lower.

7.42

P/B

Median3y

1.88

Median5y

1.77

-2.55

FCF Yield

Median3y

-0.30

Median5y

0.46

Competitors Valuation Multiple

The average P/S ratio for NGG's competitors is 2.71, providing a benchmark for relative valuation. National Grid PLC Corp (NGG) exhibits a P/S ratio of 2.72, which is 0.26% above the industry average. Given its robust revenue growth of %, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of NGG increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.

The secondary factor is the Unknown, contributed 0.00%to the performance.

Overall, the performance of NGG in the past 1 year is driven by Unknown.

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Frequently Asked Questions

Is National Grid PLC (NGG) currently overvalued or undervalued?

What is National Grid PLC (NGG) fair value?

NGG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of National Grid PLC (NGG) is between 62.71 to 100.57 according to relative valuation methord.

How does NGG's valuation metrics compare to the industry average?

What is the current P/B ratio for National Grid PLC (NGG) as of Dec 15 2025?

As of Dec 15 2025, National Grid PLC (NGG) has a P/B ratio of 7.41. This indicates that the market values NGG at 7.41 times its book value.

What is the current FCF Yield for National Grid PLC (NGG) as of Dec 15 2025?

As of Dec 15 2025, National Grid PLC (NGG) has a FCF Yield of -2.55%. This means that for every dollar of National Grid PLC’s market capitalization, the company generates -2.55 cents in free cash flow.

What is the current Forward P/E ratio for National Grid PLC (NGG) as of Dec 15 2025?

As of Dec 15 2025, National Grid PLC (NGG) has a Forward P/E ratio of 13.46. This means the market is willing to pay $13.46 for every dollar of National Grid PLC’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for National Grid PLC (NGG) as of Dec 15 2025?

As of Dec 15 2025, National Grid PLC (NGG) has a Forward P/S ratio of 2.72. This means the market is valuing NGG at $2.72 for every dollar of expected revenue over the next 12 months.

NGG Valuation