Consolidated Water (NASDAQ:CWCO) Sets New 12-Month High on Better-Than-Expected Earnings

Key Points

• Consolidated Water achieved a new 52-week high with shares reaching $31.99 after reporting earnings per share (EPS) of $0.32, significantly exceeding the estimate of $0.20.
• The company announced a dividend increase to $0.14 per share, representing an annualized yield of 1.8%, up from the previous $0.11.
• Several institutional investors have increased their stakes in Consolidated Water, with 55.16% of the stock now owned by such entities.

Shares of Consolidated Water Co. Ltd. (NASDAQ:CWCO - Get Free Report) hit a new 52-week high on Tuesday after the company announced better than expected quarterly earnings. The company traded as high as $31.99 and last traded at $31.55, with a volume of 6675 shares trading hands. The stock had previously closed at $29.71.

The utilities provider reported $0.32 EPS for the quarter, topping the consensus estimate of $0.20 by $0.12. Consolidated Water had a net margin of 12.24% and a return on equity of 7.77%. The company had revenue of $33.59 million for the quarter, compared to analyst estimates of $32.75 million.

Consolidated Water Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, July 31st. Investors of record on Tuesday, July 1st were issued a dividend of $0.14 per share. The ex-dividend date of this dividend was Tuesday, July 1st. This represents a $0.56 annualized dividend and a dividend yield of 1.7%. This is an increase from Consolidated Water's previous quarterly dividend of $0.11. Consolidated Water's payout ratio is currently 34.57%.

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on the stock. Wall Street Zen raised shares of Consolidated Water from a "hold" rating to a "buy" rating in a report on Saturday. Roth Capital reaffirmed a "buy" rating and set a $40.00 price objective (up from $38.00) on shares of Consolidated Water in a report on Wednesday.

Institutional Trading of Consolidated Water

Hedge funds have recently bought and sold shares of the stock. Avantax Advisory Services Inc. bought a new position in shares of Consolidated Water during the 1st quarter worth about $244,000. Seizert Capital Partners LLC bought a new position in shares of Consolidated Water during the 1st quarter worth about $3,687,000. GAMMA Investing LLC lifted its holdings in shares of Consolidated Water by 2,247.9% during the 1st quarter. GAMMA Investing LLC now owns 2,841 shares of the utilities provider's stock worth $70,000 after acquiring an additional 2,720 shares during the period. Allspring Global Investments Holdings LLC lifted its holdings in shares of Consolidated Water by 4.1% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 59,576 shares of the utilities provider's stock worth $1,459,000 after acquiring an additional 2,323 shares during the period. Finally, Y Intercept Hong Kong Ltd acquired a new stake in shares of Consolidated Water during the 1st quarter worth about $273,000. 55.16% of the stock is owned by institutional investors.

Consolidated Water Stock Performance

The firm has a market cap of $515.65 million, a price-to-earnings ratio of 19.98 and a beta of 0.53. The business's 50-day moving average is $29.82 and its 200-day moving average is $27.17.

Consolidated Water Company Profile

Consolidated Water Co Ltd., together with its subsidiaries, designs, constructs, manages, and operates water production and water treatment plants primarily in the Cayman Islands, the Bahamas, and the United States. The company operates through four segments: Retail, Bulk, Services, and Manufacturing.