American Water Works (NYSE:AWK) Announces Quarterly Earnings Results

Key Points

• American Water Works beat quarterly expectations: EPS came in at $1.61 versus the $1.53 consensus, while revenue reached $1.35 billion, above estimates of $1.33 billion.
• The company updated its FY 2026 EPS guidance to $6.02–$6.12. Shares were little changed at $137.99, with a market capitalization of approximately $26.95 billion.
• Analyst sentiment remains cautious, with an overall “Hold” rating and an average price target of $140.60; institutional investors own 86.58% of the stock.

American Water Works (NYSE:AWK - Get Free Report) announced its earnings results on Wednesday. The utilities provider reported $1.61 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.53 by $0.08, FiscalAI reports. The company had revenue of $1.35 billion for the quarter, compared to analyst estimates of $1.33 billion. American Water Works had a return on equity of 10.20% and a net margin of 21.17%. American Water Works updated its FY 2026 guidance to 6.020-6.120 EPS.

American Water Works Stock Down 0.0%

NYSE:AWK traded down $0.05 on Wednesday, hitting $137.99. 3,034,405 shares of the company's stock traded hands, compared to its average volume of 1,978,851. The firm has a 50-day moving average price of $128.78 and a 200-day moving average price of $130.89. The company has a market cap of $26.95 billion, a PE ratio of 24.47, a price-to-earnings-growth ratio of 2.72 and a beta of 0.61. American Water Works has a 1 year low of $120.57 and a 1 year high of $147.87. The company has a current ratio of 0.37, a quick ratio of 0.34 and a debt-to-equity ratio of 1.16.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on AWK. Barclays lifted their price target 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 downgraded shares of American Water Works from a "sell" rating to a "strong sell" rating in a research note on Sunday. UBS Group boosted their target price on shares of American Water Works from $140.00 to $150.00 and gave the stock a "buy" rating in a research report on Thursday, July 2nd. JPMorgan Chase & Co. upped their target price on shares of American Water Works from $138.00 to $147.00 and gave the company a "neutral" rating in a research note on Wednesday, July 8th. Finally, Wells Fargo & Company set a $131.00 target price on shares of American Water Works in a report on Tuesday, April 21st. Two research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, American Water Works has an average rating of "Hold" and an average target price of $140.60.

Institutional Investors Weigh In On American Water Works

Several institutional investors and hedge funds have recently added to or reduced their stakes in AWK. Transamerica Financial Advisors LLC boosted its holdings in shares of American Water Works by 82.6% during the 4th quarter. Transamerica Financial Advisors LLC now owns 199 shares of the utilities provider's stock worth $26,000 after buying an additional 90 shares during the period. DV Equities LLC acquired a new position in American Water Works during the 4th quarter worth $35,000. Towarzystwo Funduszy Inwestycyjnych PZU SA lifted its position in American Water Works by 81.2% during the 4th quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 290 shares of the utilities provider's stock worth $38,000 after acquiring an additional 130 shares during the last quarter. Darwin Wealth Management LLC bought a new stake in American Water Works during the second quarter valued at about $47,000. Finally, Johnson Financial Group Inc. boosted its stake in American Water Works by 141.7% during the 4th quarter. Johnson Financial Group Inc. now owns 394 shares of the utilities provider's stock valued at $51,000 after purchasing an additional 231 shares during the period. 86.58% of the stock is currently owned by institutional investors and hedge funds.

American Water Works Company Profile

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.

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