Zacks Research Issues Positive Outlook for WTRG Earnings

Key Points

• Zacks Research has upgraded its earnings per share estimate for Essential Utilities Inc. (NYSE:WTRG) for Q3 2025 from $0.25 to $0.26 and maintains a "Strong-Buy" rating on the stock.
• The company reported $0.38 EPS for its last quarter, exceeding consensus estimates of $0.29, and experienced an 18.5% year-over-year revenue increase.
• Essential Utilities recently declared a quarterly dividend of $0.3426 per share, reflecting a rise from the previous dividend of $0.33, with a dividend yield of 3.3%.

Essential Utilities Inc. (NYSE:WTRG - Free Report) - Equities research analysts at Zacks Research lifted their Q3 2025 earnings per share (EPS) estimates for Essential Utilities in a note issued to investors on Wednesday, October 22nd. Zacks Research analyst Team now forecasts that the company will post earnings per share of $0.26 for the quarter, up from their previous forecast of $0.25. Zacks Research has a "Strong-Buy" rating on the stock. The consensus estimate for Essential Utilities' current full-year earnings is $1.99 per share. Zacks Research also issued estimates for Essential Utilities' Q4 2025 earnings at $0.43 EPS, FY2025 earnings at $2.10 EPS, Q1 2026 earnings at $0.91 EPS, Q2 2026 earnings at $0.34 EPS, Q3 2026 earnings at $0.34 EPS, FY2026 earnings at $2.22 EPS, Q1 2027 earnings at $0.92 EPS, Q2 2027 earnings at $0.43 EPS, Q3 2027 earnings at $0.36 EPS and FY2027 earnings at $2.38 EPS.

Essential Utilities (NYSE:WTRG - Get Free Report) last announced its quarterly earnings data on Thursday, July 31st. The company reported $0.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.29 by $0.09. Essential Utilities had a return on equity of 10.10% and a net margin of 27.62%.The firm had revenue of $514.91 million for the quarter, compared to analysts' expectations of $462.70 million. During the same period last year, the business posted $0.28 earnings per share. The firm's revenue for the quarter was up 18.5% on a year-over-year basis. Essential Utilities has set its FY 2025 guidance at 2.070-2.110 EPS.

Several other equities research analysts have also weighed in on the company. UBS Group increased their target price on Essential Utilities from $42.00 to $47.00 and gave the stock a "buy" rating in a research report on Friday, August 15th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Essential Utilities in a research report on Wednesday, October 8th. Jefferies Financial Group increased their target price on Essential Utilities from $43.00 to $47.00 and gave the stock a "buy" rating in a research report on Friday, October 10th. Barclays increased their target price on Essential Utilities from $42.00 to $43.00 and gave the stock an "overweight" rating in a research report on Friday, October 10th. Finally, Robert W. Baird increased their target price on Essential Utilities from $46.00 to $47.00 and gave the stock an "outperform" rating in a research report on Monday, August 4th. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and two have issued a Hold rating to the company's stock. According to data from MarketBeat, Essential Utilities currently has a consensus rating of "Moderate Buy" and an average target price of $45.17.

Essential Utilities Price Performance

Shares of NYSE WTRG opened at $41.65 on Thursday. Essential Utilities has a 1-year low of $33.18 and a 1-year high of $42.37. The company has a debt-to-equity ratio of 1.13, a current ratio of 0.73 and a quick ratio of 0.58. The business's fifty day moving average price is $39.20 and its two-hundred day moving average price is $38.69. The firm has a market capitalization of $11.68 billion, a PE ratio of 17.87, a P/E/G ratio of 4.34 and a beta of 0.82.

Essential Utilities Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, September 2nd. Stockholders of record on Tuesday, August 12th were issued a dividend of $0.3426 per share. This represents a $1.37 dividend on an annualized basis and a dividend yield of 3.3%. This is a positive change from Essential Utilities's previous quarterly dividend of $0.33. The ex-dividend date of this dividend was Tuesday, August 12th. Essential Utilities's dividend payout ratio is 58.80%.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the company. Vanguard Group Inc. grew its holdings in Essential Utilities by 2.3% during the second quarter. Vanguard Group Inc. now owns 30,407,634 shares of the company's stock worth $1,129,340,000 after acquiring an additional 693,988 shares during the period. Amundi grew its holdings in Essential Utilities by 2.7% during the second quarter. Amundi now owns 5,637,022 shares of the company's stock worth $218,997,000 after acquiring an additional 146,960 shares during the period. Geode Capital Management LLC grew its holdings in Essential Utilities by 3.8% during the second quarter. Geode Capital Management LLC now owns 4,734,532 shares of the company's stock worth $175,313,000 after acquiring an additional 173,319 shares during the period. Legal & General Group Plc grew its holdings in Essential Utilities by 4.1% during the second quarter. Legal & General Group Plc now owns 3,488,920 shares of the company's stock worth $129,578,000 after acquiring an additional 136,270 shares during the period. Finally, Norges Bank acquired a new position in Essential Utilities during the second quarter worth about $102,347,000. 74.78% of the stock is owned by institutional investors and hedge funds.

Essential Utilities Company Profile

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.

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