Published on 31 Jul 2023 on Simply Wall St. via Yahoo Finance
Generally speaking the aim of active stock picking is to find companies that provide returns that are superior to the market average. Buying under-rated businesses is one path to excess returns. For example, long term United Utilities Group PLC (LON:UU.) shareholders have enjoyed a 38% share price rise over the last half decade, well in excess of the market decline of around 6.3% (not including dividends).
With that in mind, it's worth seeing if the company's underlying fundamentals have been the driver of long term performance, or if there are some discrepancies.
See our latest analysis for United Utilities Group