Zacks Research Issues Optimistic Outlook for AWK Earnings

American Water Works Company, Inc. (NYSE:AWK) – Equities researchers at Zacks Research boosted their Q3 2025 earnings per share estimates for American Water Works in a research report issued to clients and investors on Thursday, January 16th. Zacks Research analyst R. Department now forecasts that the utilities provider will earn $1.92 per share for the quarter, up from their prior estimate of $1.91. The consensus estimate for American Water Works’ current full-year earnings is $5.29 per share. Zacks Research also issued estimates for American Water Works’ FY2025 earnings at $5.71 EPS.

AWK has been the subject of several other reports. Wells Fargo & Company raised American Water Works from an “underweight” rating to an “equal weight” rating and lowered their price objective for the company from $133.00 to $129.00 in a research note on Tuesday, January 7th. Jefferies Financial Group assumed coverage on American Water Works in a research note on Monday, October 7th. They issued an “underperform” rating and a $124.00 price objective for the company. Mizuho lowered American Water Works from an “outperform” rating to a “neutral” rating and raised their price objective for the company from $131.00 to $140.00 in a research note on Tuesday, October 15th. Finally, UBS Group raised American Water Works from a “neutral” rating to a “buy” rating and raised their price objective for the company from $151.00 to $155.00 in a research note on Tuesday, November 19th. Three research analysts have rated the stock with a sell rating, four have assigned a hold rating and two have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $141.00.

American Water Works Price Performance

Shares of American Water Works stock opened at $126.31 on Monday. The firm has a market cap of $24.62 billion, a PE ratio of 25.01, a PEG ratio of 2.73 and a beta of 0.71. American Water Works has a 12 month low of $113.34 and a 12 month high of $150.68. The stock has a 50 day moving average of $129.28 and a 200 day moving average of $137.07. The company has a current ratio of 0.58, a quick ratio of 0.53 and a debt-to-equity ratio of 1.21.

American Water Works Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 4th. Stockholders of record on Friday, February 7th will be given a $0.765 dividend. The ex-dividend date of this dividend is Friday, February 7th. This represents a $3.06 dividend on an annualized basis and a dividend yield of 2.42%. American Water Works’s payout ratio is 60.59%.

Institutional Trading of American Water Works

A number of institutional investors and hedge funds have recently added to or reduced their stakes in AWK. Catalyst Capital Advisors LLC raised its stake in shares of American Water Works by 155.6% during the 3rd quarter. Catalyst Capital Advisors LLC now owns 299 shares of the utilities provider’s stock valued at $44,000 after buying an additional 182 shares during the last quarter. Rosenberg Matthew Hamilton increased its stake in shares of American Water Works by 29.0% in the 4th quarter. Rosenberg Matthew Hamilton now owns 400 shares of the utilities provider’s stock valued at $50,000 after purchasing an additional 90 shares in the last quarter. Ashton Thomas Securities LLC purchased a new position in shares of American Water Works in the 3rd quarter valued at about $51,000. Assetmark Inc. increased its stake in shares of American Water Works by 31.7% in the 3rd quarter. Assetmark Inc. now owns 370 shares of the utilities provider’s stock valued at $54,000 after purchasing an additional 89 shares in the last quarter. Finally, Raleigh Capital Management Inc. increased its stake in shares of American Water Works by 446.2% in the 3rd quarter. Raleigh Capital Management Inc. now owns 426 shares of the utilities provider’s stock valued at $62,000 after purchasing an additional 348 shares in the last quarter. Institutional investors and hedge funds own 86.58% of the company’s stock.

About American Water Works

American Water Works Company, Inc, through its subsidiaries, provides water and wastewater services in the United States. It offers water and wastewater services to approximately 1,700 communities in 14 states serving approximately 3.5 million active customers. The company serves residential customers; commercial customers, including food and beverage providers, commercial property developers and proprietors, and energy suppliers; fire service and private fire customers; industrial customers, such as large-scale manufacturers, mining, and production operations; public authorities comprising government buildings and other public sector facilities, such as schools and universities; and other utilities and community water and wastewater systems.