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Middlesex Water NasdaqGS:MSEX Stock Report

Last Price


Market Cap







25 May, 2022


Company Financials +
MSEX fundamental analysis
Snowflake Score
Future Growth1/6
Past Performance4/6
Financial Health1/6

MSEX Stock Overview

Middlesex Water Company owns and operates regulated water utility and wastewater systems.

Middlesex Water Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Middlesex Water
Historical stock prices
Current Share PriceUS$87.43
52 Week HighUS$121.43
52 Week LowUS$80.48
1 Month Change-5.43%
3 Month Change-10.69%
1 Year Change2.99%
3 Year Change47.44%
5 Year Change147.54%
Change since IPO1,305.91%

Recent News & Updates

May 12

Don't Buy Middlesex Water Just For The Dividend

The company continues to be free-cash-flow negative and relies heavily on debt to make up for the additional cash that is needed to finance its CapEx program. Despite the recent 13% price decline, MSEX still trades at over 10x revenue and ~30x LTM EV/EBITDA which makes the stock extremely expensive from a relative and absolute perspective. Rising rates are therefore a major risk at this point given the fact that the company might run into trouble when trying to refinance some of the existing debt.

Shareholder Returns

MSEXUS Water UtilitiesUS Market

Return vs Industry: MSEX exceeded the US Water Utilities industry which returned -4.2% over the past year.

Return vs Market: MSEX exceeded the US Market which returned -13.2% over the past year.

Price Volatility

Is MSEX's price volatile compared to industry and market?
MSEX volatility
MSEX Average Weekly Movement4.1%
Water Utilities Industry Average Movement3.8%
Market Average Movement7.8%
10% most volatile stocks in US Market16.8%
10% least volatile stocks in US Market2.9%

Stable Share Price: MSEX is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: MSEX's weekly volatility (4%) has been stable over the past year.

About the Company

1896347Dennis Doll

Middlesex Water Company owns and operates regulated water utility and wastewater systems. It operates in two segments, Regulated and Non-Regulated. The Regulated segment collects, treats, and distributes water on a retail and wholesale basis to residential, commercial, industrial, and fire protection customers, as well as provides regulated wastewater systems in New Jersey and Delaware.

Middlesex Water Fundamentals Summary

How do Middlesex Water's earnings and revenue compare to its market cap?
MSEX fundamental statistics
Market CapUS$1.54b
Earnings (TTM)US$41.62m
Revenue (TTM)US$146.80m


P/E Ratio


P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MSEX income statement (TTM)
Cost of RevenueUS$74.45m
Gross ProfitUS$72.34m
Other ExpensesUS$30.73m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date


Earnings per share (EPS)2.37
Gross Margin49.28%
Net Profit Margin28.35%
Debt/Equity Ratio86.4%

How did MSEX perform over the long term?

See historical performance and comparison



Current Dividend Yield


Payout Ratio


Is Middlesex Water undervalued compared to its fair value and its price relative to the market?

Valuation Score


Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: MSEX ($87.43) is trading above our estimate of fair value ($34.2)

Significantly Below Fair Value: MSEX is trading above our estimate of fair value.

Price To Earnings Ratio

PE vs Industry: MSEX is poor value based on its Price-To-Earnings Ratio (36.9x) compared to the US Water Utilities industry average (33.2x).

PE vs Market: MSEX is poor value based on its Price-To-Earnings Ratio (36.9x) compared to the US market (14.9x).

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate MSEX's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: MSEX is overvalued based on its Price-To-Book Ratio (4.1x) compared to the US Water Utilities industry average (2.5x).

Future Growth

How is Middlesex Water forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score


Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


Forecasted annual revenue growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if MSEX's forecast earnings growth is above the savings rate (1.9%).

Earnings vs Market: Insufficient data to determine if MSEX's earnings are forecast to grow faster than the US market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: MSEX's revenue (8.4% per year) is forecast to grow faster than the US market (7.7% per year).

High Growth Revenue: MSEX's revenue (8.4% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if MSEX's Return on Equity is forecast to be high in 3 years time

Past Performance

How has Middlesex Water performed over the past 5 years?

Past Performance Score


Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: MSEX has high quality earnings.

Growing Profit Margin: MSEX's current net profit margins (28.3%) are higher than last year (26.4%).

Past Earnings Growth Analysis

Earnings Trend: MSEX's earnings have grown by 12.4% per year over the past 5 years.

Accelerating Growth: MSEX's earnings growth over the past year (10.8%) is below its 5-year average (12.4% per year).

Earnings vs Industry: MSEX earnings growth over the past year (10.8%) exceeded the Water Utilities industry 0.4%.

Return on Equity

High ROE: MSEX's Return on Equity (11%) is considered low.

Financial Health

How is Middlesex Water's financial position?

Financial Health Score


Financial Health Score 1/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: MSEX's short term assets ($32.9M) do not cover its short term liabilities ($59.7M).

Long Term Liabilities: MSEX's short term assets ($32.9M) do not cover its long term liabilities ($569.9M).

Debt to Equity History and Analysis

Debt Level: MSEX's net debt to equity ratio (85.5%) is considered high.

Reducing Debt: MSEX's debt to equity ratio has increased from 70.5% to 86.4% over the past 5 years.

Debt Coverage: MSEX's debt is not well covered by operating cash flow (11.4%).

Interest Coverage: MSEX's interest payments on its debt are well covered by EBIT (4.6x coverage).

Balance Sheet


What is Middlesex Water current dividend yield, its reliability and sustainability?

Dividend Score


Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: MSEX's dividend (1.33%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: MSEX's dividend (1.33%) is low compared to the top 25% of dividend payers in the US market (4.06%).

Stability and Growth of Payments

Stable Dividend: MSEX's dividends per share have been stable in the past 10 years.

Growing Dividend: MSEX's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (47.3%), MSEX's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: MSEX is paying a dividend but the company has no free cash flows.

Discover strong dividend paying companies


How experienced are the management team and are they aligned to shareholders interests?


Average management tenure


Dennis Doll (62 yo)





Mr. Dennis W. Doll, CPA, has been the Chief Executive Officer, President and Director of Middlesex Water Company since January 1, 2006 and joined its in 2004. Mr. Doll served as an Executive Vice President...

CEO Compensation Analysis

Compensation vs Market: Dennis's total compensation ($USD1.29M) is below average for companies of similar size in the US market ($USD5.44M).

Compensation vs Earnings: Dennis's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: MSEX's management team is seasoned and experienced (9.2 years average tenure).

Board Members

Experienced Board: MSEX's board of directors are seasoned and experienced ( 12.3 years average tenure).


Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: MSEX insiders have only sold shares in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Top Shareholders

Company Information

Middlesex Water Company's employee growth, exchange listings and data sources

Key Information

  • Name: Middlesex Water Company
  • Ticker: MSEX
  • Exchange: NasdaqGS
  • Founded: 1896
  • Industry: Water Utilities
  • Sector: Utilities
  • Implied Market Cap: US$1.535b
  • Shares outstanding: 17.56m
  • Website:

Number of Employees


  • Middlesex Water Company
  • 485C Route 1 South
  • Suite 400
  • Iselin
  • New Jersey
  • 8830
  • United States


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/25 00:00
End of Day Share Price2022/05/25 00:00
Annual Earnings2021/12/31

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.