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American Water Works

NYSE: AWK

Stock price

137.6 USD

(+0%) TODAY

Water UtilitiesRegulated Water

Financial Performance

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5Y price score: (33)

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The price score is a basic measure of the stock's performance against the S&P 500 Index over a five-year period.

A score of 100 indicates that the stock did as well as the S&P 500 Index.

A score below 100 means the stock underperformed the index, while a score above 100 means it outperformed the S&P 500.

10Y return: 110.5%

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    120.5

    52-week range

    145.6

    137.6

    Your model inputs

    Required return / cost of capital
    %
    FCFF terminal growth rate
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    Your fair value & Margin of safety

    To calculate fair value based on cost of capital and terminal growth assumptions above, please select free cash flow forecast.

    Forecast:

    Valuation

    Free Cash Flow Yield

    Help
    FCF Yield TTM = Trailing Twelve Months free cash flow per share / current market price per shareLearn more

    (3.8) %

    Dividend Yield TTM

    2.5 %

    Market cap $

    $ 27,345

    Price / Earnings TTM

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    P/E TTM = current market price per share / Trailing Twelve Months diluted earnings per shareLearn more

    23.8

    Price / Book TTM

    2.3

    PEG TTM

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    Price/Earnings-to-Growth ratio = P/E TTM divided by most recent annual diluted earnings per share growth rateLearn more

    2.7

    Earnings growth and return

    LTM

    5YR

    10YR

    Total return (price & dividends)

    (2.5) %

    (16.2) %

    110.5 %

    Free cash flow per share growth

    40.6 %

    (98.4) %

    (1,019.2) %

    Earnings per share growth

    8.8 %

    46.2 %

    115.9 %

    Founded: 1,886

    Employees: 6,700

    Business Summary:American Water Works Company, Inc. operates across the United States, delivering essential water and wastewater solutions via its various subsidiary companies. Its operations extend to around 1,700 communities situated across 14 states, catering to an active customer base of roughly 3.4 million. The firm caters to a broad spectrum of clients. These include individual households, commercial enterprises (such as food and beverage suppliers, property developers, and energy companies), and both public and private fire service customers. Industrial clients, like large-scale manufacturers, mining, and production facilities, also utilize its services. Furthermore, American Water Works supports public authorities, encompassing government facilities, schools, and universities, alongside other utility providers and community water and wastewater infrastructure. Beyond these, the company extends its water and wastewater provisions to numerous military installations. It also enters into agreements with municipal bodies, predominantly for the management and operation of their water and wastewater facilities, in addition to offering a range of supplementary services. The company's infrastructure is substantial, comprising approximately 80 surface water treatment plants, 480 groundwater treatment plants, and 160 wastewater treatment plants. Its vast network also includes 52,500 miles of mains for transmission, distribution, and collection, alongside 1,100 groundwater wells, 1,700 pumping stations for water and wastewater, 1,300 treated water storage facilities, and 76 dams. Overall, the company delivers drinking water, wastewater management, and ancillary services to roughly 14 million individuals across 24 states. Established in 1886, American Water Works Company, Inc. maintains its headquarters in Camden, New Jersey.

    Fair Value Reference Estimate

    Latest Earnings Call Takeaways

    2026 Q2 (Jul 30, 2026)

    1) Financial Performance & Earnings Growth
    - Adjusted earnings for Q2 2026 were $1.61 per share, up from $1.49 in Q2 2025, representing over 8% growth.
    - Year-to-date adjusted earnings reached $2.62 per share, compared to $2.51 in the same period last year.
    - The company affirmed its full-year adjusted EPS guidance range of $6.02 to $6.12, projecting continued 8% growth for 2026.

    2) Regulatory Strategy & Rate Cases
    - American Water has successfully completed three rate cases in West Virginia, Maryland, and Pennsylvania, recovering nearly 100% of capital investments.
    - In Pennsylvania, a recent order approved a $75 million annualized revenue increase, lower than the requested $160 million.
    - The company is actively pursuing general rate cases in six jurisdictions, with ongoing discussions in New Jersey and Illinois.

    3) Capital Investments & Acquisitions
    - Year-to-date capital investments totaled $1.8 billion, focusing on infrastructure renewal and customer service improvements.
    - The acquisition of systems from Nexus Water Group was completed ahead of schedule, adding 47,000 new customer connections.
    - Approximately 57,000 customer connections are under agreement across six states, totaling $236 million in potential revenue.

    4) Merger Progress & Integration
    - The proposed merger with Essential Utilities has received approvals from Kentucky, Ohio, and Virginia, with positive public support noted.
    - The merger is expected to close by the end of Q1 2027, with ongoing integration planning between the two companies.
    - The merger aims to demonstrate substantial public benefit, which is a key requirement for approval in Pennsylvania.

    5) Challenges & Future Outlook
    - The company faces regulatory challenges in Pennsylvania regarding rate case frequency and affordability discussions.
    - There is potential for legislative changes to expand the DSIC mechanism, which currently allows for recovery of about 40% of capital expenditures.
    - The earnings call did not provide specific details on the impact of the Missouri rate case or the potential benefits of the new forecast year legislation.

    Bottom line: American Water is on track for solid earnings growth in 2026, supported by strategic regulatory maneuvers and significant capital investments. The merger with Essential Utilities is progressing well, promising further operational efficiencies and customer benefits, although regulatory challenges remain a focus.

    Annual Reports, Presentations And IR Contacts

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    American Water Works — Financial Overview, Stock Price, Market Cap

    American Water Works is a company. Founded in 1886. As of August 26, 2026, the company's market capitalization is $27345108886 with a current stock price of $137.60.