London, Feb 15, 2026, 15:31 GMT — Market closed
- United Utilities hit a fresh 52-week high, finishing the session up 1.34% at 1,363p.
- FTSE 100 edged up Friday, with defensive stocks still drawing buyers.
- Monday brings fresh questions for investors—momentum depends on how rates and regulation shake out.
United Utilities Group Plc (UU.L) closed Friday at 1,363 pence, gaining 1.34% and notching a new 52-week high for the FTSE 100-listed utility. The FTSE 100 itself finished up 0.42%. (MarketWatch)
That shift is catching attention, as investors gravitate toward reliable cash flow while growth plays start to wobble. Utilities, sometimes seen as “bond proxies,” become more appealing when bond yields drop—their dividends stand out.
Chris Beauchamp, chief market analyst at IG, pointed out a clear investor tilt toward defensive names, saying, “Investors moved decisively into defensive sectors, with utilities, consumer staples and real estate all outperforming.” He flagged a 7 basis point slide in the U.S. 10-year Treasury yield — a 0.07 percentage point dip — during the session. (IG)
Shares of United Utilities moved in a 1,327.5p to 1,365.5p range on Friday, with roughly 2.5 million shares changing hands, according to Hargreaves Lansdown data. The stock last closed at 1,345p, putting its dividend yield near 3.8%. (Hargreaves Lansdown)
United Utilities on Friday announced it will team up with gas network operator Cadent to swap out gas and water mains in Wigan. Work is set to kick off Feb. 16, wrapping up by the end of March. “Being able to deliver this scheme in Wigan together with Cadent is an exciting development,” said Jo Power, programme manager at United Utilities. (United Utilities)
United Utilities handles water and wastewater for North West England, most of its sales locked in by long-term regulatory price agreements. That kind of predictability appeals to income-focused investors. Still, the shares tend to react sharply to any moves in interest rates, or shifts in how much the regulator lets it earn.
Investors often lump it in with UK names like Severn Trent and Pennon. The debate usually lands on dividend cover, balance-sheet breathing room, and which one can handle hefty spending plans without facing a hit.
But there’s risk packed into this rally. Should bond yields climb or borrowing get pricier, utilities tend to fall out of favor fast. Even with steady revenues, big capital outlays can crank up the pressure on cash flow.
London trading resumes Monday, and the focus turns to whether that defensive trade sticks around and if the stock can keep holding those earlier breakout levels. United Utilities is up next with full-year results set for May 14. Investors are zeroed in on any updates around spending, leverage, and dividends. (United Utilities)
