American States Water (AWR) is a Top Dividend Stock Right Now: Should You Buy?

Company Overview - American States Water (AWR) operates in the Utilities sector and has experienced a price change of -7.9% this year [3] - The company currently pays a dividend of $0.50 per share, resulting in a dividend yield of 2.82%, which is higher than the Utility - Water Supply industry's yield of 2.53% and the S&P 500's yield of 1.51% [3] Dividend Performance - The annualized dividend of AWR is $2.02, reflecting a 12.8% increase from the previous year [4] - Over the past 5 years, AWR has increased its dividend 5 times, achieving an average annual increase of 8.23% [4] - The current payout ratio for AWR is 58%, indicating that the company pays out 58% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for AWR's earnings in 2025 is $3.28 per share, which represents a year-over-year earnings growth rate of 3.47% [5] Investment Considerations - AWR is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [6] - The company is viewed as a solid dividend option, particularly in the context of rising interest rates, where high-yielding stocks may face challenges [6]