American Water Works (AWK) is set to report first-quarter 2024 earnings on May 1, after market close. The Zacks Consensus Estimate for earnings is pegged at 99 cents per share on revenues of $0.95 billion. The top-line and bottom-line estimates suggest a decline of 1.3% and 8.8%, respectively, from a year ago.Per our proven model, stocks with a combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increase the chance of an earnings beat. This is exactly the case here.A ...

If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider American Water Works (AWK) . This company, which is in the Zacks Utility - Water Supply industry, shows potential for another earnings beat.This water utility has an established record of topping earnings estimates, especially when looking at the previous two reports. The company boasts an average surprise for the past two qua ...

Whether it's through stocks, bonds, ETFs, or other types of securities, all investors love seeing their portfolios score big returns. But when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by it ...

Investors with an interest in Utility - Water Supply stocks have likely encountered both Primo (PRMW) and American Water Works (AWK) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores h ...

Critical resources are in the spotlight for controversial reasons, which may offer downwind benefits for water stocks to buy now. Essentially, the world is becoming a much more dangerous place, resulting in a pivot toward risk-off asset categories.While that doesn’t necessarily mean water stocks to buy now present zero risks, the pertinence is obvious. Yes, gold and crude oil dominate the headlines, given the recent rumblings in the geopolitical realm. However, there’s no more precious resource than water. ...

Water utilities work day in and day out to ensure an uninterrupted supply of clean, potable water and reliable sewer services to millions of customers in the United States. These are essential for healthy and hygienic living.The aging of pipelines is concerning but water utilities continue with their upgrade and maintenance projects to minimize disruptions in operations. American Water Works Company (AWK) , with its widespread operations, provides services to domestic customers and military bases and offers ...

Core Insights - American Water Works (AWK) has invested $3.3 million in the Cottage Way Well Project, which has become operational and replaces a well over 60 years old, meeting and exceeding drinking water quality standards [1] - Aging water and wastewater infrastructure is a significant concern for water utility companies, with several wells in California American Water's service areas exceeding their designed lifespan [1] - The U.S. Environmental Protection Agency estimates that $625 billion and $271 billion are needed for maintaining and expanding drinking water and wastewater pipelines over the next 20 years [2] Company Investments - American Water plans to invest $3.1 billion in 2024, primarily for infrastructure improvements in Regulated Businesses, with long-term investments projected to be between $16-$17 billion for 2024-2028 and $34-$38 billion for 2024-2033 [2] - Essential Utilities intends to invest $1.3-$1.4 billion in 2024 and $7.2 billion from 2024-2028 to enhance water and natural gas systems [3] - California Water Service plans to allocate over $365 million for capital expenditures in 2024 [3] - Middlesex Water aims to invest $226 million during 2024-2026 to strengthen its water and wastewater infrastructure [3] Industry Performance - Over the last month, American Water has seen a stock price increase of 1.3%, compared to the industry's growth of 1% [4] - The Zacks Consensus Estimate indicates earnings growth for Essential Utilities (9.7%), California Water Service (147.3%), and Middlesex Water (29.6%) from the previous year [3]

Core Viewpoint - American Water Works Company Inc. (AWK) is positioned as a strong investment option in the utility sector due to its planned capital investments, growth prospects, and strong return on equity (ROE) [1] Growth Projections - The Zacks Consensus Estimate for AWK's 2024 EPS has increased by 0.96% to $5.22 per share over the past 60 days [2] - The estimated 2024 revenues are projected at $4.27 billion, reflecting a year-over-year increase of 0.82% [2] - The company's earnings growth rate over the next three to five years is estimated at 8% [2] Return on Equity - AWK's current ROE stands at 9.7%, which is slightly higher than the industry average of 9.66%, indicating effective utilization of funds [3] Debt Position - The times interest earned (TIE) ratio for AWK at the end of Q4 2023 was 3.6, suggesting the company can comfortably meet its interest obligations [4] - AWK's total debt to capital ratio is 55.81%, which is better than the sector average of 60.32% [4] Dividend History - AWK has a quarterly dividend of 70.75 cents per share, leading to an annualized dividend of $2.83 per share [5] - The company anticipates a long-term dividend growth of 7-9%, with a current dividend yield of 2.39%, outperforming the S&P 500 composite's yield of 1.3% [5] Systematic Investments - AWK plans to invest $3.1 billion in 2024 to enhance its water and wastewater infrastructure, primarily for improvements in Regulated Businesses [6] - The company aims for total investments of $16-$17 billion from 2024 to 2028 and $34-$38 billion from 2024 to 2033 [6] Price Performance - Over the past month, AWK's stock has decreased by 0.3%, while the sector has seen a decline of 5.8% [7] Other Stocks to Consider - Other top-ranked stocks in the same industry include American States Water (AWR), Primo Water (PRMW), and Consolidated Water (CWCO), all currently holding a Zacks Rank 2 [9] - AWR has a long-term earnings growth rate of 6.3% and an average earnings surprise of 3.12% over the last four quarters [9] - PRMW's long-term earnings growth rate is 12.9%, with a 2024 EPS estimate of 88 cents, indicating a year-over-year improvement of 41.94% [9] - CWCO has a long-term earnings growth rate of 8% and an average earnings surprise of 61.56% over the last four quarters [9]

Core Viewpoint - The utility sector remains relevant for investors seeking stability amid market volatility, with a focus on utility stocks as a safer investment option [1]. Group 1: Duke Energy (DUK) - Duke Energy operates in two segments: Electric Utilities and Infrastructure, and Gas Utilities and Infrastructure, with a strong coverage map in regions experiencing population growth [2]. - For fiscal 2023, Duke's average quarterly earnings were 3.2% below parity, but analysts project an improvement with EPS expected to rise to $5.97 from $5.56 last year, and revenue anticipated to reach $30.18 billion, up 3.8% from $29.06 billion [3]. Group 2: American Water Works (AWK) - American Water Works focuses on regulated water services and waste management, serving approximately 3.5 million customers across 1,700 communities in 14 states [4]. - Despite a nearly 10% decline in equity value since the start of the year and a 20% drop over the past 52 weeks, analysts expect EPS to improve to $5.24 in fiscal 2024 from $4.90 in 2023, with revenue projected at $4.42 billion, up 4.5% from $4.23 billion [4][5]. Group 3: Portland General Electric (POR) - Portland General Electric is an integrated electric utility in Oregon, involved in various aspects of electricity generation and distribution, with a focus on areas experiencing positive net migration [5]. - Analysts forecast a recovery in fiscal 2024, with EPS expected to rise to $3.07 on revenue of $3.03 billion, compared to last year's EPS of $2.38 and revenue of $2.92 billion [6].

American Water Works (AWK) has announced that its unit, Pennsylvania American Water, will invest $2.5 million to replace 3,300 feet of water mains in South Park Township, Allegheny County. This new upgrade will provide high-quality, reliable and affordable water service and fire protection to the customers in the region.Since a major portion of water and wastewater pipelines are nearing toward end of effective service life, timely repair, maintenance and upgrades become essential to provide reliable service ...