American Water Works Company, Inc.AWK

NYSEUtilities

NEUTRAL

$138.51

P/E

24.31

PEG

0.04

FCF Yield

Rev Growth YoY

+974.0% YoY

Gross Margin

Health Score

4/10

D/E Ratio

1.46

Confidence

LOW


Business Snapshot

American Water Works is the largest publicly traded U.S. water and wastewater utility company, providing regulated water services to millions of customers across multiple states. It operates primarily within the regulated utility framework, meaning revenues and rate structures are overseen by state public utility commissions, offering relative earnings predictability. Based on the available price and ratio data, AWK sits in the large-cap tier of the utility sector.

Financial Health

**Score: 4/10** AWK's financials present a deeply contradictory picture that warrants caution. The reported net margin of 2,161% and return on equity of 1,034% are statistically implausible for a regulated water utility and almost certainly reflect non-recurring accounting events (e.g., a large asset sale or one-time gain) rather than normalised business performance — these figures cannot be taken at face value...

Risk Assessment

- **DATA INTEGRITY:** Reported net margin of 2,161% and ROE of 1,034% are almost certainly driven by non-recurring items, rendering standard profitability analysis unreliable. - **LIQUIDITY:** Current ratio of 0.46x means short-term liabilities are more than double short-term assets, signalling potential near-term cash pressure. - **EARNINGS QUALITY:** The company beat consensus estimates in only 1 of 4 recent quarters, suggesting persistent operational underperformance relative to Wall Street expectations. - **TECHNICALS:** A confirmed death cross (50-day MA crossing below 200-day MA) is a bearish structural signal, with MACD also in bearish territory. - **ANALYST CONVICTION:** Only 29% of covering analysts rate AWK a buy, with 65% on hold and an explicit "Sell" consensus — a notably weak vote of confidence from institutional research. ---...

Last updated 2 hours ago · Data sourced from FMP & Finnhub · Not financial advice