With a market cap of $28.7 billion, American Water Works Company, Inc. (AWK) is a leading provider of water and wastewater services in the United States. Through its extensive infrastructure and subsidiaries, the company serves approximately 3.5 million customers across 14 states, including residential, commercial, industrial, and public sector clients.
The Camden, New Jersey-based company is expected to announce its fiscal Q1 2025 earnings results after the market closes on Wednesday, Apr. 30. Ahead of this event, analysts expect AWK to report a profit of $1.04 per share, up 9.5% from $0.95 per share in the year-ago quarter. It has surpassed Wall Street's earnings estimates in one of the last four quarters while missing on three other occasions.
For fiscal 2025, analysts expect the water utility to report an EPS of $5.72, up 6.1% from $5.39 in fiscal 2024. In addition, EPS is anticipated to grow 7.7% year-over-year to $6.16 in fiscal 2026.
Shares of AWK have gained 20.1% over the past 52 weeks, outperforming both the S&P 500 Index's ($SPX) 6.1% rise and the Utilities Select Sector SPDR Fund's (XLU) 16.6% increase over the same period.
Shares of AWK rose marginally following its Q4 2024 earnings release on Feb. 19. The company reported Q4 EPS of $1.22, beating the consensus estimate and up 38.6%. Total quarterly revenues came in at $1.2 billion, surpassing expectations and marking a 16.4% increase year-over-year, fueled by new rates and capital/acquisition investments. Additionally, AWK added 90,000 customers in 2024 and reaffirmed its 2025 EPS guidance of $5.65 - $5.75.
Analysts' consensus view on American Water Works’ stock is cautious, with a "Hold" rating overall. Among 15 analysts covering the stock, four recommend "Strong Buy," eight suggest "Hold," two give "Moderate Sell," and one suggest "Strong Sell." As of writing, AWK is trading above the average analyst price target of $143.08.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
