Pacer Advisors Inc. Reduces Stock Holdings in Essential Utilities Inc. (NYSE:WTRG)

Key Points

• Pacer Advisors Inc. has reduced its holdings in Essential Utilities Inc. by 69.5%, owning 11,240 shares after selling 25,595 shares in the 1st quarter, which are valued at approximately $444,000.
• Essential Utilities recently announced an increase in its quarterly dividend to $0.3426, representing an annualized yield of 3.6% and a payout ratio of 58.30%.
• Wall Street analysts have rated Essential Utilities with an average rating of "Moderate Buy" and a price target of $43.50, indicating potential growth for the stock.

Pacer Advisors Inc. trimmed its holdings in Essential Utilities Inc. (NYSE:WTRG - Free Report) by 69.5% in the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 11,240 shares of the company's stock after selling 25,595 shares during the period. Pacer Advisors Inc.'s holdings in Essential Utilities were worth $444,000 at the end of the most recent quarter.

Other hedge funds also recently made changes to their positions in the company. Valley National Advisers Inc. bought a new position in Essential Utilities during the 1st quarter worth $33,000. American National Bank & Trust bought a new position in Essential Utilities during the 1st quarter worth $35,000. CX Institutional bought a new position in Essential Utilities during the 1st quarter worth $42,000. Orion Capital Management LLC bought a new position in Essential Utilities during the 4th quarter worth $41,000. Finally, New Age Alpha Advisors LLC bought a new position in Essential Utilities during the 4th quarter worth $45,000. 74.78% of the stock is owned by institutional investors and hedge funds.

Essential Utilities Trading Down 1.1%

WTRG traded down $0.41 during midday trading on Tuesday, hitting $37.93. 2,179,196 shares of the company were exchanged, compared to its average volume of 1,706,363. The firm has a market capitalization of $10.63 billion, a P/E ratio of 16.28, a P/E/G ratio of 3.51 and a beta of 0.78. The company has a quick ratio of 0.57, a current ratio of 0.73 and a debt-to-equity ratio of 1.13. The firm's 50 day moving average price is $37.56 and its 200-day moving average price is $37.97. Essential Utilities Inc. has a 1-year low of $33.18 and a 1-year high of $41.65.

Essential Utilities (NYSE:WTRG - Get Free Report) last issued its earnings results on Thursday, July 31st. The company reported $0.38 EPS for the quarter, beating analysts' consensus estimates of $0.29 by $0.09. Essential Utilities had a return on equity of 10.10% and a net margin of 27.62%. The business had revenue of $514.91 million during the quarter, compared to analyst estimates of $462.70 million. During the same period in the previous year, the company posted $0.28 EPS. The firm's revenue was up 18.5% compared to the same quarter last year. As a group, equities analysts forecast that Essential Utilities Inc. will post 1.99 EPS for the current fiscal year.

Essential Utilities Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 2nd. Shareholders of record on Tuesday, August 12th will be issued a dividend of $0.3426 per share. The ex-dividend date of this dividend is Tuesday, August 12th. This represents a $1.37 dividend on an annualized basis and a yield of 3.6%. This is an increase from Essential Utilities's previous quarterly dividend of $0.33. Essential Utilities's dividend payout ratio is presently 55.79%.

Analyst Upgrades and Downgrades

Several equities analysts have recently issued reports on the company. Wall Street Zen upgraded Essential Utilities from a "sell" rating to a "hold" rating in a research note on Saturday, July 26th. Robert W. Baird lifted their price target on Essential Utilities from $46.00 to $47.00 and gave the company an "outperform" rating in a research note on Monday. Two equities research analysts have rated the stock with a hold rating and five have issued a buy rating to the stock. According to MarketBeat.com, Essential Utilities presently has a consensus 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.