Vanguard Group Inc. Buys Shares of 2,731,868 H2O America $HTO

Key Points

• Vanguard Group bought 2,731,868 shares of H2O America in the fourth quarter, a stake valued at about $133.8 million and equal to 7.63% of the company, according to its latest SEC filing.
• Institutional interest in H2O America remains strong, with several other hedge funds also adding positions and 84.29% of the stock now owned by institutional investors.
• H2O America reported quarterly EPS of $0.50, beating estimates, and declared a quarterly dividend of $0.44 per share to be paid on June 1, implying an annualized yield of about 3.1%.

Vanguard Group Inc. purchased a new position in H2O America (NASDAQ:HTO - Free Report) during the 4th quarter, according to its most recent disclosure with the SEC. The fund purchased 2,731,868 shares of the utilities provider's stock, valued at approximately $133,834,000. Vanguard Group Inc. owned 7.63% of H2O America as of its most recent SEC filing.

Several other hedge funds also recently modified their holdings of HTO. Amundi bought a new position in H2O America during the third quarter worth $105,965,000. First Trust Advisors LP acquired a new position in shares of H2O America during the third quarter valued at about $64,063,000. Dimensional Fund Advisors LP acquired a new position in shares of H2O America during the third quarter valued at about $31,737,000. Invesco Ltd. bought a new stake in shares of H2O America in the third quarter valued at about $27,753,000. Finally, Legal & General Group Plc acquired a new stake in H2O America during the third quarter worth about $27,313,000. 84.29% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several equities analysts have commented on the company. Wells Fargo & Company set a $60.00 price target on H2O America in a report on Monday. Wall Street Zen raised H2O America from a "sell" rating to a "hold" rating in a research report on Saturday, May 2nd. BTIG Research reiterated a "buy" rating and set a $61.00 price target on shares of H2O America in a research note on Tuesday, March 3rd. Bank of America restated a "buy" rating on shares of H2O America in a research note on Wednesday, April 22nd. Finally, Barclays reduced their price objective on shares of H2O America from $63.00 to $60.00 and set an "overweight" rating for the company in a report on Wednesday, April 15th. One investment analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $62.17.

Insider Activity

In other news, major shareholder Atlas Holdings Ltd Gip purchased 50,385 shares of H2O America stock in a transaction on Friday, April 10th. The shares were purchased at an average cost of $59.06 per share, for a total transaction of $2,975,738.10. Following the completion of the transaction, the insider directly owned 4,582,469 shares in the company, valued at approximately $270,640,619.14. This represents a 1.11% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, major shareholder Atlas Infrastructure Partners acquired 50,385 shares of the firm's stock in a transaction on Friday, April 10th. The shares were purchased at an average cost of $59.06 per share, for a total transaction of $2,975,738.10. Following the completion of the purchase, the insider directly owned 4,582,469 shares of the company's stock, valued at approximately $270,640,619.14. The trade was a 1.11% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Company insiders own 0.52% of the company's stock.

H2O America Price Performance

Shares of HTO stock opened at $57.39 on Tuesday. The stock's fifty day simple moving average is $58.02 and its 200 day simple moving average is $52.82. H2O America has a one year low of $43.75 and a one year high of $61.87. The firm has a market cap of $2.40 billion, a price-to-earnings ratio of 19.65, a P/E/G ratio of 6.48 and a beta of 0.35. The company has a debt-to-equity ratio of 1.02, a current ratio of 2.02 and a quick ratio of 2.02.

H2O America (NASDAQ:HTO - Get Free Report) last released its quarterly earnings data on Tuesday, April 28th. The utilities provider reported $0.50 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.48 by $0.02. H2O America had a return on equity of 6.76% and a net margin of 12.87%.The firm had revenue of $183.29 million during the quarter. H2O America has set its FY 2026 guidance at 3.080-3.180 EPS. On average, analysts expect that H2O America will post 2.7 earnings per share for the current fiscal year.

H2O America Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, June 1st. Investors of record on Monday, May 11th will be issued a dividend of $0.44 per share. This represents a $1.76 annualized dividend and a yield of 3.1%. The ex-dividend date of this dividend is Monday, May 11th. H2O America's dividend payout ratio (DPR) is currently 60.27%.

H2O America Company Profile

SJW Group, through its subsidiaries, provides water utility and other related services in the United States. It operates in Water Utility Services and Real Estate Services segments. The company engages in the production, purchase, storage, purification, distribution, wholesale, and retail sale of water and wastewater services; and supplies groundwater from wells, surface water from watershed run-off and diversion, reclaimed water, and imported water purchased from the Santa Clara Valley Water District.

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