Camden, New Jersey-based American Water Works Company, Inc. (AWK) provides water and wastewater services in the United States. With a market cap of $27.6 billion, the company offers water and wastewater services on military installations and undertakes contracts with municipal customers, primarily to operate and manage water and wastewater facilities.
Companies worth $10 billion or more are typically referred to as "large-cap stocks." AWK fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size and influence in the water utility industry. AWK benefits from operating approximately 80 surface water treatment plants, 520 groundwater treatment plants, 190 wastewater treatment plants, 54,500 miles of transmission, distribution, and collection mains and pipes.
Despite its strengths, the stock has plunged 9.7% from its 52-week high of $155.50 touched on Apr. 4. Moreover, over the past three months, AWK stock has declined 2.7%, underperforming the Invesco S&P Global Water Index ETF’s (CGW) 9.1% uptick during the same time frame.
AWK stock has gained 12.8% on a YTD basis, underperforming CGW’s 13.2% rise in 2025. Moreover, AWK has grown 8.6% over the past 52 weeks, underperforming CGW’s 9.3% surge.
Despite fluctuations, AWK stock has been trading mostly above its 200-day moving average since late February but below its 50-day moving average since mid-May.
AWK shares grew marginally following the release of its Q1 earnings on Apr. 30. The company posted revenue of $1.14 billion in the period, surpassing Street forecasts. Moreover, its net income for the quarter came in at $1.05,surpassing the consensus estimates marginally. Looking ahead, AWK expects full-year earnings to be $5.65 to $5.75 per share.
Its key rival, Essential Utilities, Inc. (WTRG), has grown marginally over the past year and has returned 2.9% in 2025, underperforming the stock.
Among the 15 analysts covering the AWK stock, the consensus rating is a “Hold.” Its mean price target of $144.75 suggests a modest 3% upside potential from current price levels.
On the date of publication, Kritika Sarmah 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.
