Confluence Investment Management LLC Reduces Stock Position in American Water Works Company, Inc. $AWK

Key Points

• Confluence Investment Management reduced its American Water Works stake by 4.5% in the third quarter, selling 34,899 shares and retaining 745,410 shares worth approximately $96.5 million.
• American Water Works reported quarterly EPS of $1.61, beating estimates by $0.08, while revenue rose 6.2% year over year to $1.35 billion. The company reaffirmed fiscal 2026 EPS guidance of $6.02–$6.12.
• The company pays a quarterly dividend of $0.895, equivalent to an annualized $3.58 and a 2.8% yield. Analysts maintain a consensus “Hold” rating with an average price target of $140.11.

Confluence Investment Management LLC decreased its stake in shares of American Water Works Company, Inc. (NYSE:AWK - Free Report) by 4.5% during the 3rd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 745,410 shares of the utilities provider's stock after selling 34,899 shares during the period. American Water Works comprises about 1.5% of Confluence Investment Management LLC's holdings, making the stock its 20th largest position. Confluence Investment Management LLC owned approximately 0.38% of American Water Works worth $96,508,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors have also bought and sold shares of the stock. Reflection Asset Management bought a new position in American Water Works during the 4th quarter valued at $25,000. Ascentis Independent Advisors purchased a new stake in shares of American Water Works in the first quarter valued at about $27,000. Nemes Rush Group LLC bought a new position in shares of American Water Works during the fourth quarter valued at about $27,000. Harborfront Financial Group LLC bought a new position in shares of American Water Works during the second quarter valued at about $29,000. Finally, MV Capital Management Inc. purchased a new position in American Water Works during the fourth quarter worth about $29,000. Institutional investors own 86.58% of the company's stock.

American Water Works Stock Performance

Shares of AWK stock traded down $0.81 during trading hours on Thursday, hitting $128.66. 917,032 shares of the company were exchanged, compared to its average volume of 1,997,846. The firm has a fifty day simple moving average of $136.16 and a 200 day simple moving average of $132.51. The company has a current ratio of 0.52, a quick ratio of 0.49 and a debt-to-equity ratio of 1.20. American Water Works Company, Inc. has a 52-week low of $120.57 and a 52-week high of $145.64. The stock has a market capitalization of $25.57 billion, a price-to-earnings ratio of 22.28, a P/E/G ratio of 2.64 and a beta of 0.59.

American Water Works (NYSE:AWK - Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The utilities provider reported $1.61 EPS for the quarter, beating the consensus estimate of $1.53 by $0.08. American Water Works had a return on equity of 10.20% and a net margin of 21.35%.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 business earned $1.48 earnings per share. American Water Works's revenue for the quarter 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. Research analysts predict that American Water Works Company, Inc. will post 6.09 earnings per share for the current fiscal year.

American Water Works Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, September 1st. Investors of record on Tuesday, August 11th were issued a $0.8950 dividend. The ex-dividend date of this dividend was Tuesday, August 11th. This represents a $3.58 annualized dividend and a yield of 2.8%. American Water Works's dividend payout ratio (DPR) is 62.05%.

Analysts Set New Price Targets

AWK has been the subject of several analyst reports. Bank of America reiterated a "neutral" rating on shares of American Water Works in a research note on Thursday, July 16th. UBS Group upped their target price on American Water Works from $156.00 to $162.00 and gave the company a "buy" rating in a report on Thursday, September 10th. Mizuho increased their price target on American Water Works from $130.00 to $140.00 and gave the company a "neutral" rating in a research report on Friday, July 31st. Wall Street Zen upgraded American Water Works from a "strong sell" rating to a "sell" rating in a report on Monday, August 3rd. Finally, JPMorgan Chase & Co. boosted their price objective on American Water Works from $138.00 to $147.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 8th. One investment analyst has rated the stock with a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $140.11.

About American Water Works

American Water Works Company, Inc is a public water and wastewater utility that provides essential services to residential, commercial, industrial, and governmental customers in the United States. Through its regulated operations, the company collects, treats, distributes, and manages drinking water, as well as collects and treats wastewater.

The company also provides services through businesses that support utilities, municipalities, military installations, and other public-sector customers.

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