Vestcor Inc Trims Stake in Essential Utilities Inc. (NYSE:WTRG)

Key Points

• Vestcor Inc has reduced its stake in Essential Utilities Inc. by 47.6%, now owning 11,300 shares valued at approximately $447,000.
• Essential Utilities recently reported earnings of $0.38 per share, surpassing expectations, with revenue of $514.91 million reflecting an 18.5% year-over-year increase.
• The company has increased its quarterly dividend to $0.3426 per share, representing an annual yield of 3.6%, effective from September 2nd.

Vestcor Inc reduced its holdings in shares of Essential Utilities Inc. (NYSE:WTRG - Free Report) by 47.6% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 11,300 shares of the company's stock after selling 10,271 shares during the quarter. Vestcor Inc's holdings in Essential Utilities were worth $447,000 as of its most recent SEC filing.

A number of other hedge funds have also bought and sold shares of WTRG. Valley National Advisers Inc. bought a new stake in Essential Utilities during the first quarter worth $33,000. American National Bank & Trust bought a new stake in Essential Utilities during the first quarter worth $35,000. Orion Capital Management LLC bought a new stake in Essential Utilities during the fourth quarter worth $41,000. CX Institutional bought a new stake in shares of Essential Utilities in the first quarter valued at $42,000. Finally, Siemens Fonds Invest GmbH bought a new stake in shares of Essential Utilities in the fourth quarter valued at $49,000. 74.78% of the stock is currently owned by institutional investors.

Essential Utilities Stock Performance

Shares of NYSE WTRG traded up $0.12 during mid-day trading on Monday, hitting $38.30. The company had a trading volume of 2,657,135 shares, compared to its average volume of 1,761,756. The company has a market capitalization of $10.74 billion, a price-to-earnings ratio of 16.44, a P/E/G ratio of 3.51 and a beta of 0.78. Essential Utilities Inc. has a 1 year low of $33.18 and a 1 year high of $41.65. The company has a current ratio of 0.73, a quick ratio of 0.57 and a debt-to-equity ratio of 1.13. The stock's 50-day moving average price is $37.56 and its 200-day moving average price is $37.97.

Essential Utilities (NYSE:WTRG - Get Free Report) last announced its quarterly earnings results on Thursday, July 31st. The company reported $0.38 earnings per share for the quarter, beating the consensus estimate of $0.29 by $0.09. The company had revenue of $514.91 million during the quarter, compared to analysts' expectations of $462.70 million. Essential Utilities had a return on equity of 10.10% and a net margin of 27.62%. The firm's quarterly revenue was up 18.5% compared to the same quarter last year. During the same period in the previous year, the business earned $0.28 earnings per share. On average, sell-side analysts forecast that Essential Utilities Inc. will post 1.99 earnings per share for the current year.

Essential Utilities Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 2nd. Stockholders of record on Tuesday, August 12th will be given a $0.3426 dividend. This represents a $1.37 annualized dividend and a dividend yield of 3.6%. This is a boost from Essential Utilities's previous quarterly dividend of $0.33. The ex-dividend date is Tuesday, August 12th. Essential Utilities's dividend payout ratio (DPR) is presently 55.79%.

Analyst Upgrades and Downgrades

Several analysts have issued reports on the company. Robert W. Baird boosted their target price on Essential Utilities from $46.00 to $47.00 and gave the company an "outperform" rating in a research note on Monday. Wall Street Zen upgraded Essential Utilities from a "sell" rating to a "hold" rating in a research note on Saturday, July 26th. Two research analysts have rated the stock with a hold rating and five have issued a buy rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $43.67.

About Essential Utilities

Essential Utilities, Inc, through its subsidiaries, operates regulated utilities that provide water, wastewater, or natural gas services in the United States. The company operates through Regulated Water and Regulated Natural Gas segments. It offers water services through operating and maintenance contract with municipal authorities and other parties.