AWK Share Price | American Water Works Co., Inc. Stock Analysis & Recommendation

Q: What does American Water Works Co., Inc. do?

Overview:American Water Works Company, Inc. is a water and wastewater utility company operating in the Other Utilities industry, with a market capitalization of USD 28,222.32 million.Financial Snapshot:Most recent Net Sales: 1,142 Million (Quarterly Results - Mar 2025) Most recent Net Profit: 205 Million (Quarterly Results - Mar 2025) Market cap: USD 28,222.32 Million (Large Cap)Key Metrics:P/E: 26.00 Dividend Yield: 215.38% Debt Equity: 1.35 Return on Equity: 10.17% Price to Book: 2.68 Contact Details:Address: 1 Water St, CAMDEN NJ: 08102-1658 Tel: ['1 856 9554001', '1 856 5664005'] Fax: 1 856 3468360 Website: https://www.amwater.com/

Q: Is American Water Works Co., Inc. overvalued or undervalued?

As of 30 June 2025, the valuation grade for American Water Works Co., Inc. has moved from fair to expensive, indicating that the stock is overvalued. The company exhibits a P/E ratio of 26, which is higher than the industry average, alongside an EV to EBITDA ratio of 16.39 and a PEG ratio of 2.26, suggesting that the stock is trading at a premium relative to its earnings growth potential.In comparison to peers, American Water Works Co., Inc. has a P/E of 26.81, which is slightly above its own ratio, and an EV to EBITDA of 16.55, reinforcing the notion of overvaluation. Notably, the company's recent stock performance has lagged behind the S&P 500, with a 1-year return of -9.10% compared to the S&P 500's 17.14%, highlighting the challenges it faces in delivering shareholder value.

Q: Is American Water Works Co., Inc. technically bullish or bearish?

As of 31 October 2025, the technical trend for American Water Works Co., Inc. has changed from mildly bearish to bearish. The current stance is bearish with weak strength indicated by the weekly MACD and Bollinger Bands both showing bearish signals. The daily moving averages also confirm a bearish outlook. The weekly RSI is bullish, but the monthly RSI shows no signal, indicating mixed signals across time frames. In terms of performance, the stock has underperformed against the S&P 500 across multiple periods, with a 1-year return of -5.82% compared to the S&P 500's 19.89%, and a 5-year return of -18.47% versus 109.18% for the index.

Price Point

High/Low

1Day

52 Week

Valuation

Technical

Day's Volume

CASH

1.6 M

Shareholding (Dec 2025)

FII

26.69%

Held by 440 FIIs

DII

40.22%

Held by 55 DIIs

Promoter

0.17%

How big is American Water Works Co., Inc.?

22-Jun-2025

As of Jun 18, American Water Works Co., Inc. has a market capitalization of $28.22 billion, with net sales of $4.82 billion and a net profit of $1.07 billion for the latest four quarters. The balance sheet shows shareholder's funds of $10.33 billion and total assets of $33.85 billion.

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What does American Water Works Co., Inc. do?

22-Jun-2025

American Water Works Company, Inc. is a large water and wastewater utility company with a market cap of approximately USD 28.22 billion, reporting net sales of USD 1.14 billion and a net profit of USD 205 million for Q1 2025. Key metrics include a P/E ratio of 26.00 and a dividend yield of 215.38%.

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Who are in the management team of American Water Works Co., Inc.?

22-Jun-2025

As of March 2022, the management team of American Water Works Co., Inc. includes Mr. Karl Kurz (Independent Non-Executive Chairman), Mr. Walter Lynch (President and CEO), and several Independent Directors: Mr. Jeffrey Edwards, Ms. Martha Goss, Ms. Veronica Hagen, and Ms. Kimberly Harris. They oversee the company's operations and strategic direction.

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Is American Water Works Co., Inc. overvalued or undervalued?

20-Sep-2025

As of June 30, 2025, American Water Works Co., Inc. is considered overvalued with a P/E ratio of 26, an EV to EBITDA of 16.39, and a lagging 1-year return of -9.10% compared to the S&P 500's 17.14%.

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Is American Water Works Co., Inc. technically bullish or bearish?

05-Nov-2025

As of October 31, 2025, American Water Works Co., Inc. has a bearish trend with weak strength indicators, underperforming the S&P 500 with a 1-year return of -5.82% and a 5-year return of -18.47%.

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Compare American Water Works Co., Inc. with Similar Stocks

Essential Utilities, Inc.American States Water Co.California Water Service Group

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Dashboard

Poor long term growth as Net Sales has grown by an annual rate of 6.02% and Operating profit at 8.05% over the last 5 years

Positive results in Jun 25

With ROCE of 7.12%, it has a expensive valuation with a 1.71 Enterprise value to Capital Employed

Consistent Underperformance against the benchmark over the last 3 years

Mojo Parameters

Stock DNA

Industry

Other Utilities

Market cap

USD 25,935 Million (Mid Cap)

P/E

28.00

Industry P/E

Dividend Yield

248.45%

Debt Equity

1.45

Return on Equity

10.25%

Price to Book

2.39

Revenue and Profits:

Net Sales:

1,271 Million

(Quarterly Results - Dec 2025)

Net Profit:

238 Million

Total Returns

Total Returns (Price + Dividend)

TimePeriod

Price Return

Dividend Return

Total Return

3 Months

6.19%

6 Months

0.29%

1 Year

-2.0%

2 Years

15.89%

3 Years

2.43%

4 Years

-8.15%

5 Years

0.4%

American Water Works Co., Inc. for the last several years.

Risk Adjusted Returns v/s

News & Corporate Actions

News

No Recent News for the Company

Announcements

No announcement available

Corporate Actions

No corporate action available

Key Factors

Quality key factors

Factor

Value

Sales Growth (5y)

6.36%

EBIT Growth (5y)

8.53%

EBIT to Interest (avg)

3.12

Debt to EBITDA (avg)

5.60

Net Debt to Equity (avg)

1.35

Sales to Capital Employed (avg)

0.19

Tax Ratio

22.78%

Dividend Payout Ratio

58.10%

Pledged Shares

Institutional Holding

97.54%

ROCE (avg)

6.86%

ROE (avg)

11.33%

Valuation key factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.82

EV to EBIT

24.92

EV to EBITDA

16.98

EV to Capital Employed

1.76

EV to Sales

9.10

PEG Ratio

2.11

Dividend Yield

205.56%

ROCE (Latest)

7.08%

ROE (Latest)

10.14%

Technicals key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Shareholding

Shareholding Snapshot : Dec 2025

Shareholding Compare (%holding)

Majority shareholders

Domestic Funds

Held in 144 Schemes (32.9%)

Foreign Institutions

Held by 440 Foreign Institutions (26.69%)

Strategic Entities with highest holding

Highest Public shareholder

Financial

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          "val1": "615.00",
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          "chgp": "17.59%",
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Quarterly Results Snapshot (Consolidated) - Dec'25 - YoY

Dec'25

Dec'24

Change(%)

Net Sales

1,271.00

1,201.00

5.83%

Operating Profit (PBDIT) excl Other Income

635.00

608.00

4.44%

Interest

162.00

136.00

19.12%

Exceptional Items

0.00

Consolidate Net Profit

238.00

239.00

-0.42%

Operating Profit Margin (Excl OI)

317.90%

333.90%

-1.60%

USD in Million.

Compare with Peers

Net Sales

YoY Growth in quarter ended Dec 2025 is 5.83% vs 16.38% in Dec 2024

Consolidated Net Profit

YoY Growth in quarter ended Dec 2025 is -0.42% vs 39.77% in Dec 2024

All Quarterly Results

Annual Results Snapshot (Consolidated) - Dec'25

Dec'25

Dec'24

Change(%)

Net Sales

5,140.00

4,684.00

9.74%

Operating Profit (PBDIT) excl Other Income

2,773.00

2,506.00

10.65%

Interest

615.00

523.00

17.59%

Exceptional Items

0.00

Consolidate Net Profit

1,111.00

1,051.00

5.71%

Operating Profit Margin (Excl OI)

365.60%

366.80%

-0.12%

USD in Million.

Compare with Peers

Net Sales

YoY Growth in year ended Dec 2025 is 9.74% vs 10.63% in Dec 2024

Consolidated Net Profit

YoY Growth in year ended Dec 2025 is 5.71% vs 11.33% in Dec 2024

All Annual Results

Company CV

About American Water Works Co., Inc.

American Water Works Co., Inc.

Other Utilities

American Water Works Company, Inc. is a water and wastewater utility company. The Company's businesses include Market-Based Businesses and Regulated Businesses. Its Market-Based Businesses include the operating segments: Homeowner Services Group and Military Services Group. Homeowner Services Group provides various warranty protection programs and other home services to residential customers. Military Services Group enters long-term contracts with the United States government to provide water and wastewater services on various military installations. The Company also has approximately five contracts with municipal customers to operate and manage water and wastewater facilities and provide other related services through its Contract Services Group. The Regulated Businesses includes the ownership of utilities that provide water and wastewater services to residential, commercial, industrial, public authority, fire service and sale for resale customers.

Company Coordinates

Company Details

1 Water St , CAMDEN NJ : 08102-1658

Tel: 1 856 95540011 856 5664005

https://www.amwater.com/

Registrar Details