American Water Works (NYSE:AWK) Price Target Cut to $151.00 by Analysts at UBS Group

Key Points

• UBS Group has reduced its price target for American Water Works from $156.00 to $151.00, maintaining a "neutral" rating, which suggests a potential upside of 6.15% from the current stock price.
• The company faced mixed ratings from various analysts, with four issuing a sell rating and consensus price target standing at $141.44.
• American Water Works reported earnings of $1.48 per share for the last quarter, falling short of the consensus estimate while showing a revenue increase of 11.1% year-over-year.

American Water Works (NYSE:AWK - Get Free Report) had its price target reduced by UBS Group from $156.00 to $151.00 in a report released on Tuesday,Benzinga reports. The brokerage currently has a "neutral" rating on the utilities provider's stock. UBS Group's price target would suggest a potential upside of 6.15% from the stock's current price.

Other equities analysts have also issued research reports about the stock. Evercore ISI increased their target price on shares of American Water Works from $139.00 to $148.00 and gave the stock an "in-line" rating in a research report on Friday, May 2nd. Wall Street Zen lowered shares of American Water Works from a "hold" rating to a "sell" rating in a research report on Wednesday, May 14th. Wells Fargo & Company cut their target price on shares of American Water Works from $147.00 to $141.00 and set an "equal weight" rating for the company in a research report on Friday, August 1st. Mizuho increased their target price on shares of American Water Works from $148.00 to $149.00 and gave the stock a "neutral" rating in a research report on Friday, August 1st. Finally, Barclays cut their target price on shares of American Water Works from $138.00 to $128.00 and set an "underweight" rating for the company in a research report on Thursday, July 10th. Four investment analysts have rated the stock with a sell rating, six have issued a hold rating and one has assigned a buy rating to the stock. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $141.44.

American Water Works Stock Performance

AWK traded down $3.29 during trading on Tuesday, hitting $142.26. 92,464 shares of the company traded hands, compared to its average volume of 1,434,051. The firm has a market cap of $27.75 billion, a P/E ratio of 25.64, a price-to-earnings-growth ratio of 3.27 and a beta of 0.65. The stock's fifty day moving average is $141.47 and its 200 day moving average is $140.16. The company has a quick ratio of 0.32, a current ratio of 0.35 and a debt-to-equity ratio of 1.15. American Water Works has a one year low of $118.74 and a one year high of $155.50.

American Water Works (NYSE:AWK - Get Free Report) last posted its quarterly earnings results on Wednesday, July 30th. The utilities provider reported $1.48 earnings per share for the quarter, missing the consensus estimate of $1.53 by ($0.05). The company had revenue of $1.28 billion for the quarter, compared to the consensus estimate of $1.22 billion. American Water Works had a net margin of 21.91% and a return on equity of 10.34%. American Water Works's quarterly revenue was up 11.1% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.42 EPS. As a group, equities analysts predict that American Water Works will post 5.71 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CAO Melissa K. Wikle sold 2,825 shares of the firm's stock in a transaction that occurred on Friday, May 30th. The shares were sold at an average price of $143.28, for a total value of $404,766.00. Following the sale, the chief accounting officer directly owned 7,572 shares of the company's stock, valued at $1,084,916.16. This trade represents a 27.17% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. 0.11% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On American Water Works

Institutional investors and hedge funds have recently bought and sold shares of the stock. Oliver Lagore Vanvalin Investment Group purchased a new stake in American Water Works in the second quarter valued at approximately $28,000. WPG Advisers LLC purchased a new stake in American Water Works in the first quarter valued at approximately $29,000. Flaharty Asset Management LLC purchased a new stake in American Water Works in the first quarter valued at approximately $30,000. Cloud Capital Management LLC purchased a new stake in American Water Works in the first quarter valued at approximately $29,000. Finally, Concord Wealth Partners purchased a new position in shares of American Water Works during the second quarter worth approximately $28,000. 86.58% of the stock is owned by hedge funds and other institutional investors.

About American Water Works

American Water Works Company, Inc, through its subsidiaries, provides water and wastewater services in the United States. It offers water and wastewater services to approximately 1,700 communities in 14 states serving approximately 3.5 million active customers. The company serves residential customers; commercial customers, including food and beverage providers, commercial property developers and proprietors, and energy suppliers; fire service and private fire customers; industrial customers, such as large-scale manufacturers, mining, and production operations; public authorities comprising government buildings and other public sector facilities, such as schools and universities; and other utilities and community water and wastewater systems.

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