American Water Works Company, Inc. (NYSE:AWK) Given Consensus Recommendation of “Hold” by Brokerages

Shares of American Water Works Company, Inc. (NYSE:AWK) have received an average recommendation of “Hold” from the ten ratings firms that are currently covering the stock, Marketbeat.com reports. One research analyst has rated the stock with a sell rating, eight have issued a hold rating and one has issued a buy rating on the company. The average twelve-month price target among brokerages that have issued a report on the stock in the last year is $138.7778.

A number of equities analysts have weighed in on the stock. Barclays boosted their target price on shares of American Water Works from $124.00 to $130.00 and gave the stock an “underweight” rating in a research note on Wednesday, July 15th. Wall Street Zen raised shares of American Water Works from a “strong sell” rating to a “sell” rating in a research note on Monday, August 3rd. Mizuho raised their price target on shares of American Water Works from $130.00 to $140.00 and gave the company a “neutral” rating in a report on Friday, July 31st. Truist Financial set a $139.00 price objective on shares of American Water Works in a research report on Tuesday, August 4th. Finally, UBS Group upped their price objective on American Water Works from $140.00 to $150.00 and gave the stock a “buy” rating in a report on Thursday, July 2nd.

American Water Works Stock Performance

Shares of NYSE:AWK opened at $137.54 on Thursday. The business has a fifty day moving average of $133.64 and a 200-day moving average of $131.81. The company has a debt-to-equity ratio of 1.20, a quick ratio of 0.49 and a current ratio of 0.52. American Water Works has a twelve month low of $120.57 and a twelve month high of $145.64. The firm has a market cap of $27.33 billion, a PE ratio of 23.84, a price-to-earnings-growth ratio of 2.80 and a beta of 0.60.

American Water Works (NYSE:AWK) last issued its quarterly earnings results on Wednesday, July 29th. The utilities provider reported $1.61 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.53 by $0.08. American Water Works had a net margin of 21.35% and a return on equity of 10.20%. The business had revenue of $1.35 billion for the quarter, compared to the consensus estimate of $1.33 billion. During the same quarter in the prior year, the company earned $1.48 EPS. The firm’s quarterly revenue was up 6.2% on a year-over-year basis. American Water Works has set its FY 2026 guidance at 6.020-6.120 EPS. On average, equities research analysts predict that American Water Works will post 6.09 EPS for the current fiscal year.

American Water Works Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 1st. Stockholders of record on Tuesday, August 11th will be given a dividend of $0.895 per share. The ex-dividend date is Tuesday, August 11th. This represents a $3.58 dividend on an annualized basis and a dividend yield of 2.6%. American Water Works’s payout ratio is presently 62.05%.

Hedge Funds Weigh In On American Water Works

Large investors have recently made changes to their positions in the company. Salomon & Ludwin LLC increased its position in American Water Works by 71.7% in the fourth quarter. Salomon & Ludwin LLC now owns 194 shares of the utilities provider’s stock worth $25,000 after purchasing an additional 81 shares during the period. Reflection Asset Management bought a new position in shares of American Water Works in the 4th quarter valued at about $25,000. Transamerica Financial Advisors LLC boosted its stake in shares of American Water Works by 82.6% in the 4th quarter. Transamerica Financial Advisors LLC now owns 199 shares of the utilities provider’s stock valued at $26,000 after purchasing an additional 90 shares during the last quarter. Nemes Rush Group LLC acquired a new stake in shares of American Water Works during the 4th quarter worth approximately $27,000. Finally, Ascentis Independent Advisors acquired a new stake in shares of American Water Works during the 1st quarter worth approximately $27,000. Institutional investors and hedge funds own 86.58% of the company’s stock.

About American Water Works

American Water Works Company, Inc (NYSE: AWK) is a publicly traded utility company that provides water and wastewater services in the United States. Its core business is the operation, management and maintenance of regulated water and wastewater systems that deliver potable water, collect and treat wastewater, and provide related customer services to residential, commercial and industrial customers as well as municipalities. The company’s operations include water treatment and distribution, wastewater collection and treatment, meter reading and billing, emergency repairs, and long-term infrastructure planning and capital project execution.

In addition to its regulated utility operations, American Water offers complementary nonregulated services and solutions that support system reliability and customer needs.