American Water Works Company, Inc.

AWK · Utilities · Utilities - Regulated Water

Large CapHigh Margin
$125.07
-0.27%

American Water Works Company, Inc., through its subsidiaries, provides water and wastewater services in the United States. It offers water and wastewater services on military installations; and undertakes contracts with municipal customers, primarily to operate and manage water and wastewater facili…

What to know about AWK

American Water Works Company, Inc. is a large Utilities company with a mixed financial profile. It scores well on risk and profitability, but health is worth keeping an eye on.

Should you consider AWK?

Based on 31 financial metrics and sector comparison. Not financial advice.

  1. American Water Works Company, Inc. is a large-cap Utilities company with a mixed overall financial profile — it ranks near the bottom of Utilities stocks (24 of 31).

  2. Profitability is roughly average for the S&P 500 — not a standout in either direction.

  3. Valuation is in the middle of the pack — neither obviously cheap nor stretched.

  4. The company is growing at a reasonable pace — not the fastest, but consistently moving in the right direction.

  5. There is a small dividend (0.03%), but income-focused investors will likely find better yields elsewhere in the market.

  6. Risk is relatively low — the stock tends to be less volatile than the broader market, which typically means a smoother ride during uncertain periods.

  7. Analyst sentiment is cautious and short interest is relatively elevated — meaning some professional investors are actively betting the price will fall. Worth understanding why.

  8. This is a mixed picture — real strengths in some areas, but areas that need watching too. Do your homework on the sector before deciding.

At a glance

Price $125.07
Market size 24.42B
Annual dividend 0.03%
Strongest metric Volatility (30-Day) 21.04%

How it scores

We look at 31 different financial metrics and group them into categories. Here's how AWK compares to the other S&P 500 stocks.

Risk
Great
Dividends
Good
Growth
Good
Valuation
Average
Cash Flow
Average
Size
Average
Sentiment
Below average
Health
Below average
Dive deeper — all 31 metrics 9 categories · valuation, growth, health, dividends & more Show all Hide

Valuation

Is the stock cheap or expensive relative to its earnings, sales, and assets? Lower multiples often mean better value.

Metric Value vs S&P 500
P/E Ratio (Trailing) 22.18 Above avg
Forward P/E 19.07 Average
PEG Ratio 2.32 Average
Price to Sales 4.69 Average
Price to Book 2.21 Above avg
EV/EBITDA 14.32 Above avg
Earnings Yield 4.51% Above avg

Profitability

How efficiently does the company turn revenue into profit? Higher margins mean more money kept from each dollar earned.

Metric Value vs S&P 500
Gross Margin 60.83% Above avg
Operating Margin 33.22% Top 25%
Net Profit Margin 21.17% Above avg
Return on Equity 10.22% Average
Return on Invested Capital 3.51% Average

Growth

How fast is the business expanding? Strong growth in revenue and earnings signals increasing market demand.

Metric Value vs S&P 500
Revenue Growth (YoY) 5.70% Average
Revenue Growth (3Y CAGR) 10.67% Top 25%
EPS Growth (YoY) -4.80% Below avg
Free Cash Flow Growth 28.97% Above avg

Health

Can the company cover its debts and obligations? A healthy balance sheet reduces the risk of financial trouble.

Metric Value vs S&P 500
Current Ratio 0.37 Below avg
Debt to Equity 1.42 Average
Interest Coverage 3.31 Below avg
Altman Z-Score 0.95 Below avg

Dividends

Does the company pay shareholders, and is that payment growing and sustainable?

Metric Value vs S&P 500
Dividend Yield 2.79% Above avg
Payout Ratio 58.69% Average
Dividend Growth (5Y) -6.09% Above avg

Cash Flow

Is real cash flowing into the business — not just accounting profits? Strong cash flow funds growth and dividends.

Metric Value vs S&P 500
Free Cash Flow Yield -5.69% Below avg
OCF to Sales 39.06% Top 25%

Risk

How volatile is the stock compared to the broader market? Lower beta and volatility mean a smoother ride.

Metric Value vs S&P 500
Beta (1-Year) 0.61 Above avg
Volatility (30-Day) 21.04% Top 25%

Sentiment

What do analysts and short-sellers think? High analyst ratings and low short interest signal broad confidence.

Metric Value vs S&P 500
Short % of Float 7.35% Below avg
Avg. Analyst Rating 2.62 Below avg
Target Upside % 8.38% Average

Size

How large is the company by market value? Size affects stability, growth potential, and index inclusion.

Metric Value vs S&P 500
Market Capitalization 24.42B Average

How does AWK compare to…?

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