Nordea Investment Management AB Decreases Stake in Essential Utilities Inc. $WTRG

Key Points

• Nordea Investment Management AB cut its holding in Essential Utilities by 15.0%, selling 1,346,810 shares and leaving a 7,625,755‑share stake (~2.69% of the company) valued at about $292.9 million, while institutional investors collectively own roughly 74.78% of the stock.
• Essential Utilities posted a quarterly earnings beat (EPS $0.47 vs. $0.36 expected; revenue $699.1M, +15.7% YoY), but analysts remain mixed with an average rating of "Hold" and a $43.20 average price target amid some short‑term forecast cuts and merger‑related uncertainty.
• The company announced a quarterly dividend of $0.3426 (annualized $1.37, ~3.4% yield; ex‑dividend May 12), and the stock trades near $40 with a market cap of about $11.34 billion and a P/E of 18.12.

Nordea Investment Management AB decreased its position in Essential Utilities Inc. (NYSE:WTRG - Free Report) by 15.0% during the 4th quarter, according to its most recent disclosure with the SEC. The fund owned 7,625,755 shares of the company's stock after selling 1,346,810 shares during the period. Nordea Investment Management AB owned about 2.69% of Essential Utilities worth $292,905,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also made changes to their positions in the company. Vanguard Group Inc. increased its stake in shares of Essential Utilities by 2.8% during the 3rd quarter. Vanguard Group Inc. now owns 31,246,084 shares of the company's stock worth $1,246,719,000 after purchasing an additional 838,450 shares in the last quarter. State Street Corp lifted its stake in Essential Utilities by 5.0% in the 3rd quarter. State Street Corp now owns 13,591,999 shares of the company's stock valued at $542,321,000 after buying an additional 641,743 shares in the last quarter. Amundi grew its holdings in Essential Utilities by 2.7% during the 2nd quarter. Amundi now owns 5,637,022 shares of the company's stock valued at $218,997,000 after buying an additional 146,960 shares during the last quarter. JPMorgan Chase & Co. boosted its stake in shares of Essential Utilities by 587.6% during the third quarter. JPMorgan Chase & Co. now owns 4,071,929 shares of the company's stock valued at $162,472,000 after acquiring an additional 3,479,762 shares during the last quarter. Finally, Invesco Ltd. grew its stake in Essential Utilities by 12.2% in the 3rd quarter. Invesco Ltd. now owns 3,929,549 shares of the company's stock worth $156,789,000 after acquiring an additional 427,169 shares during the period. Institutional investors and hedge funds own 74.78% of the company's stock.

Key Stories Impacting Essential Utilities

Here are the key news stories impacting Essential Utilities this week:

• Positive Sentiment: Zacks raised several forward-quarter and full-year EPS forecasts (small bumps to Q3/ Q4 2026 and Q3/ Q4 2027 and a modest lift to FY2027 to $2.39 from $2.38), signaling a slightly improved longer‑term earnings outlook that could support valuation recovery. (Zacks research notes)
• Neutral Sentiment: Analysts’ consensus still shows a lower "current" full‑year estimate (~$1.99), and the street’s average recommendation remains a “Hold,” indicating limited near-term bullish conviction. Analyst Ratings Article
• Negative Sentiment: Zacks cut short‑term quarter forecasts (notably Q1 2026 and Q1 2027 estimates were trimmed), which raises concern about near-term earnings momentum and may drive short-term selling pressure. (Zacks research notes)
• Negative Sentiment: Coverage and commentary about recent merger headlines have prompted calls to “reassess” the stock, adding uncertainty around strategic direction and integration implications that can depress the share price. Is It Time To Reassess…

Wall Street Analyst Weigh In

A number of research firms have recently commented on WTRG. Barclays set a $38.00 price objective on Essential Utilities and gave the stock an "underweight" rating in a report on Wednesday, December 17th. Northcoast Research raised shares of Essential Utilities from a "neutral" rating to a "buy" rating and set a $42.00 price target on the stock in a report on Wednesday, December 3rd. Finally, Weiss Ratings reaffirmed a "hold (c+)" rating on shares of Essential Utilities in a report on Monday, December 29th. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $43.20.

Essential Utilities Stock Down 1.1%

Shares of WTRG stock opened at $40.04 on Friday. Essential Utilities Inc. has a 1 year low of $36.32 and a 1 year high of $42.37. The stock has a market cap of $11.34 billion, a PE ratio of 18.12 and a beta of 0.82. The business's fifty day moving average is $39.40 and its 200-day moving average is $39.13. The company has a debt-to-equity ratio of 1.18, a quick ratio of 0.65 and a current ratio of 0.80.

Essential Utilities (NYSE:WTRG - Get Free Report) last issued its quarterly earnings results on Thursday, February 26th. The company reported $0.47 earnings per share for the quarter, beating analysts' consensus estimates of $0.36 by $0.11. The company had revenue of $699.11 million during the quarter, compared to the consensus estimate of $611.60 million. Essential Utilities had a net margin of 24.91% and a return on equity of 9.18%. Essential Utilities's revenue was up 15.7% on a year-over-year basis. During the same period in the prior year, the company earned $0.67 EPS. Equities analysts expect that Essential Utilities Inc. will post 1.99 earnings per share for the current fiscal year.

Essential Utilities Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, June 1st. Investors of record on Tuesday, May 12th will be issued a dividend of $0.3426 per share. This represents a $1.37 dividend on an annualized basis and a yield of 3.4%. The ex-dividend date is Tuesday, May 12th. Essential Utilities's dividend payout ratio (DPR) is presently 61.99%.

Essential Utilities Profile

Essential Utilities, Inc, formerly known as Aqua America, is a publicly traded water and natural gas utility holding company. Through its regulated water and wastewater subsidiaries, the company provides essential water services to residential, commercial and industrial customers. In addition, Essential Utilities delivers natural gas distribution services in Pennsylvania through its Peoples Gas subsidiary, offering integrated utility solutions under a unified corporate framework.

The company traces its roots to the Philadelphia Suburban Water Company, founded in 1886 to serve growing communities outside Philadelphia.

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