NGG
UtilitiesNational Grid plc · Regulated Electric · $86B
What is National Grid plc?
National Grid plc is one of the largest investor-owned energy infrastructure companies in the world, operating critical electricity and gas networks across the United Kingdom and the northeastern United States. Headquartered in London, it plays a central role in keeping the lights on for millions of homes and businesses.
National Grid earns revenue by owning and operating regulated electricity transmission and distribution networks. In the UK, it manages high-voltage transmission across England and Wales, distributes power across the Midlands, South West England, and South Wales, and operates Great Britain's electricity system balancing function. In the US, it delivers electricity and gas to customers across New England and New York. Because most of its businesses are regulated, revenues are largely determined by agreements with government bodies rather than open-market competition.
National Grid was founded in 1990 and is headquartered in London, United Kingdom.
- UK electricity transmission across England and Wales
- UK electricity distribution in Midlands and South West
- Electricity system operator services for Great Britain
- Electricity and gas distribution in New England
- Electricity and gas distribution in New York
Is NGG a Good Stock to Buy?
UQS Score rates NGG as Good overall, reflecting a balanced but nuanced profile across its five quality pillars.
National Grid's Moat pillar stands out as a genuine strength — regulated infrastructure assets are inherently difficult to replicate, giving the company durable pricing power within its licensed territories. The Valuation pillar also registers as Good, suggesting the stock is not obviously expensive relative to its fundamental profile.
The Risk pillar is the clearest area of concern, reflecting the elevated leverage typical of capital-intensive utility businesses and exposure to regulatory and currency risks across two major markets. Quality and Growth both sit at Neutral, indicating neither a standout nor a drag.
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Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.
Does NGG pay dividends?
Yes — National Grid plc pays a dividend.
National Grid pays a regular dividend, a hallmark of regulated utility companies that generate predictable, contracted cash flows. The company has historically prioritized returning income to shareholders, making NGG a common holding for income-focused investors. Dividend sustainability is tied closely to regulatory outcomes and the company's ongoing capital investment program.
When does NGG report earnings?
National Grid reports financial results on a semi-annual cadence, consistent with UK-listed companies, though its US ADR listing means results are also followed by US investors on a regular basis.
Revenue trends reflect the regulated nature of the business, with outcomes shaped largely by allowed returns set by UK and US regulators. Capital expenditure remains elevated as the company invests heavily in grid modernization and the energy transition.
For the most recent results and upcoming reporting dates, visit National Grid's investor relations page directly.
NGG Price History
+62.3% over 5Y
Monthly close, adjusted for stock splits and dividend reinvestment.
What if I invested in National Grid plc?
Based on National Grid plc's historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.
NGG Long-term Outlook
National Grid's fundamental outlook is shaped by the scale of investment required to modernize aging grid infrastructure and support the transition to cleaner energy sources. Growth is expected to be steady rather than rapid, consistent with the Neutral Growth pillar rating. The Risk pillar flags that high capital requirements and regulatory dependencies create meaningful uncertainty around returns. Valuation currently appears reasonable relative to peers, which may offer some cushion if regulatory outcomes prove favorable.
Growth drivers
- Multi-year grid modernization and electrification investment programs in the UK and US
- Expanding role as electricity system operator during the UK's energy transition
- Regulated asset base growth driven by government-backed infrastructure commitments
Key risks
- Regulatory resets that could compress allowed returns in the UK or US
- High debt load amplifying sensitivity to rising interest rates
- Currency risk from operating across GBP and USD revenue streams
NGG vs Peers
National Grid operates alongside several large regulated US utilities, though its dual UK-US footprint and system operator role make it structurally distinct.
Duke Energy operates exclusively in the US Southeast and Midwest, with no international exposure, giving it a simpler regulatory profile than National Grid.
AEP focuses on transmission and distribution across the central and southern US, competing with National Grid's US segments but without the UK transmission and system operator businesses.
Southern Company serves the US Southeast and has a growing clean energy portfolio, differentiating it from National Grid's cross-Atlantic regulated network model.
Frequently Asked Questions
What does National Grid do?
National Grid owns and operates regulated electricity and gas infrastructure in the UK and northeastern US. It transmits high-voltage electricity across England and Wales, distributes power in the Midlands and South West, balances Great Britain's electricity system, and delivers electricity and gas to customers in New England and New York.
Does NGG pay dividends?
Yes, National Grid pays a regular dividend. As a regulated utility with predictable contracted revenues, it has historically prioritized income distributions to shareholders. The sustainability of the dividend depends on regulatory outcomes and the company's large ongoing capital investment program.
When does NGG report earnings?
National Grid follows a semi-annual reporting schedule typical of UK-listed companies. For the exact timing of upcoming results, check National Grid's investor relations page, as reporting dates can shift slightly each cycle.
Is NGG a good stock to buy?
UQS Score rates NGG as Good overall. Its regulated infrastructure assets support a durable competitive position, and valuation appears reasonable relative to peers. However, the Risk pillar is Weak, reflecting high leverage and regulatory exposure. The full pillar breakdown is available to UQS Pro members.
Is NGG overvalued?
The UQS Valuation pillar for NGG is rated Good, suggesting the stock does not appear obviously overpriced relative to its fundamental profile. Utility valuations are sensitive to interest rate movements, so the picture can shift as rate expectations change. View the complete valuation analysis with a Pro membership.
How does NGG compare to its competitors?
National Grid's cross-Atlantic footprint — spanning UK transmission, system operation, and US distribution — sets it apart from purely domestic US peers like Duke Energy, AEP, and Southern Company. Its dual-currency exposure adds complexity but also diversification relative to single-market utilities.
What is NGG's market cap bracket?
National Grid is classified as a large-cap company. It is one of the largest investor-owned energy infrastructure businesses in the world, with significant regulated asset bases in both the United Kingdom and the northeastern United States.
Who founded National Grid?
National Grid was established in 1990 as part of the privatization of the UK electricity industry. It was created to take over the high-voltage transmission network previously operated by the Central Electricity Generating Board, rather than being founded by individual entrepreneurs in the traditional sense.
Is NGG a long-term quality investment?
From a long-term quality perspective, National Grid's regulated asset base and essential service role provide structural durability. The UQS Moat pillar is rated Good, reflecting genuine barriers to competition. However, the Weak Risk pillar and Neutral Growth rating suggest investors should weigh capital intensity and regulatory dependency carefully over a long horizon.
What is the main competitive advantage of National Grid?
National Grid's primary advantage is its ownership of regulated monopoly infrastructure — electricity transmission and distribution networks that competitors simply cannot replicate. Regulatory frameworks in both the UK and US provide revenue visibility, while the scale of its asset base creates meaningful barriers to entry.
What sector does NGG belong to?
National Grid operates in the Utilities sector, specifically within electricity and gas transmission and distribution. Utilities are generally considered defensive investments due to their regulated revenues and essential service nature, though they carry sensitivity to interest rates and regulatory decisions.
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Pro Analysis
NGG — Score History
| Date | UQS | Quality | Moat | Growth | Risk | Value | Change |
|---|---|---|---|---|---|---|---|
| May 18, 2026 | 53.7 | 46.8 | 65.0 | 60.9 | 17.9 | 72.6 | +0.1 |
| May 10, 2026 | 53.6 | 33.3 | 65.0 | 58.7 | 41.2 | 74.2 | 0.0 |
| May 8, 2026 | 53.6 | 33.3 | 65.0 | 58.4 | 41.2 | 74.5 | +0.1 |
| May 7, 2026 | 53.5 | 50.3 | 65.0 | 58.4 | 18.6 | 67.9 | 0.0 |
| May 5, 2026 | 53.5 | 50.3 | 65.0 | 58.4 | 18.6 | 67.8 | +0.2 |
| May 3, 2026 | 53.3 | 50.3 | 65.0 | 57.8 | 18.6 | 67.7 | -0.1 |
| Apr 22, 2026 | 53.4 | 50.3 | 65.0 | 57.8 | 18.6 | 68.1 | +0.2 |
| Apr 19, 2026 | 53.2 | 50.3 | 65.0 | 57.0 | 18.6 | 68.0 | +0.1 |
| Apr 18, 2026 | 53.1 | 50.3 | 65.0 | 57.0 | 18.6 | 67.5 | -0.9 |
| Apr 17, 2026 | 54.0 | 50.3 | 65.0 | 56.9 | 18.6 | 73.3 | 0.0 |
NGG — Pillar Breakdown
Quality
— 46.8/100 (25%)National Grid plc has average quality metrics, with room for improvement in margins or capital efficiency.
How effectively capital is deployed to generate returns.
Profitability relative to shareholders' equity.
Ability to convert revenue into operating profit.
Bottom-line profit as a share of revenue.
Asset productivity — how much gross profit each dollar of assets generates.
Free cash flow relative to market value.
Growth
— 60.9/100 (20%)National Grid plc demonstrates healthy growth trends across revenue and earnings.
Revenue trajectory over the last twelve months.
Compound annual revenue growth rate over 3 years.
Year-over-year earnings per share growth.
Analyst consensus for future revenue growth.
Analyst consensus for future earnings growth.
Risk
— 17.9/100 (15%)National Grid plc presents elevated risk with concerns around leverage or financial stability.
Debt levels relative to earnings capacity.
Total debt relative to shareholder equity.
Short-term liquidity — ability to pay near-term obligations.
Earnings capacity relative to interest payments.
Valuation
— 70.3/100 (15%)National Grid plc trades at a reasonable valuation with decent earnings yield and FCF multiples.
Inverse of forward P/E — higher yield means cheaper stock.
P/E relative to earnings growth — lower is more attractive.
Enterprise value multiple relative to sector median.
Moat
— 65/100 (25%)National Grid plc has meaningful competitive advantages that should protect its market position. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for NGG.
Score Composition
Financial Data
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How is the NGG UQS Score Calculated?
The UQS (Unified Quality Score) for National Grid plc is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.
Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.
Moat (25%) assesses National Grid plc's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.
Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.
Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.
Valuation (15%) measures whether National Grid plc is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.
Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.