London, Feb 15, 2026, 16:44 GMT — Market closed.
- Pennon ended Friday at 583.5p, up 1.0%, after touching 590p.
- The stock finished the week near the top of its 52-week range.
- Next scheduled catalyst is Pennon’s trading statement on March 4.
Pennon Group Plc (PNN.L) shares closed on Friday at 583.5 pence, up 1.0%, after hitting 590 pence — the top of their 52-week range — before the London market shut for the weekend. The stock traded between 573.5 and 590 pence, with volume of about 3.94 million shares. (Investing)
The move matters now because UK utilities have been trading like “bond proxies” — dividend-heavy stocks that often move with government bond yields and rate expectations. On Friday, the FTSE 250 rose 0.5% and traders priced a 63.4% chance that the Bank of England cuts rates in March, Reuters reported. BoE Chief Economist Huw Pill warned rates may need to stay “restrictive until disinflation is firmly secured”. (Reuters)
For regulated water companies, that tug-of-war shows up fast. Funding costs, equity risk appetite and regulator scrutiny sit on the same fault line, and small shifts in rates can do more work than a lot of company news.
Pennon runs regulated water and wastewater operations through South West Water and also owns SES Water, alongside a non-household retail arm, according to Reuters company information. (Reuters)
Pennon’s Friday rise was broadly in step with listed peers. Severn Trent closed up 1.0% and United Utilities gained 1.3%. (Investing)
With London shut on Sunday, attention turns to the next calendar marker: Pennon’s trading statement on March 4. Shareholders also face a March 9 deadline for receipt of DRIP applications — the dividend reinvestment plan — ahead of the interim dividend payment on April 2, the company’s investor page shows. (Pennon Group)
Further out, Pennon has set full-year results for June 2, followed by publication of its annual report and accounts later in June, its financial calendar shows. (Pennon Group)
But the setup cuts both ways. If rate-cut hopes fade and bond yields rise, utilities can lose their shine quickly, and any tougher enforcement or higher spending demands would pressure cash flow and dividends.
Monday’s open will test whether Friday’s bid holds, with traders watching UK rates and any sector headlines that can spill over into water names.
For Pennon, the March 4 update is the next hard catalyst — investors will be looking for colour on costs, capital spending and any read-through on the regulatory outlook.
