Short Interest in American Water Works Company, Inc. (NYSE:AWK) Rises By 39.6%

Key Points

• Short interest in American Water Works rose by 39.6% in August, totaling 8,220,000 shares, with a short-interest ratio of 6.3 days based on average trading volume.
• American Water Works' stock has declined by 2.5%, trading at $139.99, with a market cap of $27.31 billion and a P/E ratio of 25.22.
• The company announced a quarterly dividend of $0.8275 per share, with an annualized yield of 2.4% and a payout ratio of 59.64%.

American Water Works Company, Inc. (NYSE:AWK - Get Free Report) was the recipient of a large increase in short interest in the month of August. As of August 15th, there was short interest totaling 8,220,000 shares, anincreaseof39.6% from the July 31st total of 5,890,000 shares. Based on an average daily trading volume, of 1,300,000 shares, the short-interest ratio is currently 6.3 days. Based on an average daily trading volume, of 1,300,000 shares, the short-interest ratio is currently 6.3 days.

American Water Works Stock Down 2.5%

Shares of American Water Works stock traded down $3.61 on Monday, reaching $139.99. 1,331,724 shares of the company were exchanged, compared to its average volume of 1,050,974. American Water Works has a 1-year low of $118.74 and a 1-year high of $155.50. The company has a market cap of $27.31 billion, a P/E ratio of 25.22, a price-to-earnings-growth ratio of 3.40 and a beta of 0.69. The company has a debt-to-equity ratio of 1.15, a current ratio of 0.35 and a quick ratio of 0.32. The stock's 50 day moving average price is $142.62 and its 200-day moving average price is $142.62.

American Water Works (NYSE:AWK - Get Free Report) last posted its earnings results on Wednesday, July 30th. The utilities provider reported $1.48 earnings per share for the quarter, missing the consensus estimate of $1.53 by ($0.05). The business had revenue of $1.28 billion for the quarter, compared to analysts' expectations of $1.22 billion. American Water Works had a return on equity of 10.34% and a net margin of 21.91%.American Water Works's revenue for the quarter was up 11.1% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.42 EPS. American Water Works has set its FY 2025 guidance at 5.700-5.750 EPS. As a group, equities analysts forecast that American Water Works will post 5.71 EPS for the current year.

American Water Works Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, September 3rd. Shareholders of record on Tuesday, August 12th were paid a $0.8275 dividend. The ex-dividend date was Tuesday, August 12th. This represents a $3.31 dividend on an annualized basis and a yield of 2.4%. American Water Works's payout ratio is currently 59.64%.

Institutional Investors Weigh In On American Water Works

Several large investors have recently modified their holdings of the stock. Oliver Lagore Vanvalin Investment Group acquired a new position in American Water Works during the second quarter worth about $28,000. WPG Advisers LLC acquired a new position in American Water Works during the first quarter worth about $29,000. Flaharty Asset Management LLC acquired a new position in American Water Works during the first quarter worth about $30,000. Cloud Capital Management LLC acquired a new position in American Water Works during the first quarter worth about $29,000. Finally, Concord Wealth Partners acquired a new stake in American Water Works in the second quarter valued at $28,000. Hedge funds and other institutional investors own 86.58% of the company's stock.

Analyst Upgrades and Downgrades

AWK has been the topic of several research analyst reports. Barclays reduced their price objective on shares of American Water Works from $138.00 to $128.00 and set an "underweight" rating on the stock in a report on Thursday, July 10th. Wells Fargo & Company dropped their target price on American Water Works from $147.00 to $141.00 and set an "equal weight" rating for the company in a research report on Friday, August 1st. Mizuho lifted their target price on American Water Works from $148.00 to $149.00 and gave the company a "neutral" rating in a research report on Friday, August 1st. Wall Street Zen downgraded American Water Works from a "hold" rating to a "sell" rating in a research report on Wednesday, May 14th. Finally, UBS Group dropped their target price on American Water Works from $156.00 to $151.00 and set a "neutral" rating for the company in a research report on Tuesday, August 12th. Two research analysts have rated the stock with a Buy rating, six have issued a Hold rating and three have given a Sell rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Reduce" and a consensus price target of $143.30.

About American Water Works

American Water Works Company, Inc, through its subsidiaries, provides water and wastewater services in the United States. It offers water and wastewater services to approximately 1,700 communities in 14 states serving approximately 3.5 million active customers. The company serves residential customers; commercial customers, including food and beverage providers, commercial property developers and proprietors, and energy suppliers; fire service and private fire customers; industrial customers, such as large-scale manufacturers, mining, and production operations; public authorities comprising government buildings and other public sector facilities, such as schools and universities; and other utilities and community water and wastewater systems.

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