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AWR

American States Water NYSE:AWR Stock Report

Last Price

US$87.59

Market Cap

US$3.2b

7D

-3.1%

1Y

-1.3%

Updated

11 Aug, 2022

Data

Company Financials +
AWR fundamental analysis
Snowflake Score
Valuation0/6
Future Growth1/6
Past Performance2/6
Financial Health1/6
Dividends4/6

AWR Stock Overview

American States Water Company, through its subsidiaries, provides water and electric services to residential, commercial, industrial, and other customers in the United States.

American States Water Competitors

Price History & Performance

Summary of all time highs, changes and price drops for American States Water
Historical stock prices
Current Share PriceUS$87.59
52 Week HighUS$103.77
52 Week LowUS$71.22
Beta0.28
1 Month Change7.37%
3 Month Change12.31%
1 Year Change-1.29%
3 Year Change0.45%
5 Year Change80.82%
Change since IPO1,609.07%

Recent News & Updates

Jul 31
American States Water (NYSE:AWR) Is Increasing Its Dividend To $0.3975

American States Water (NYSE:AWR) Is Increasing Its Dividend To $0.3975

The board of American States Water Company ( NYSE:AWR ) has announced that the dividend on 1st of September will be...

Jul 29

American States Water Q2 2022 Earnings Preview

American States Water (NYSE:AWR) is scheduled to announce Q2 earnings results on Monday, August 1st, after market close. EPS Estimate is $0.71 (-1.4% Y/Y) and the consensus Revenue Estimate is $132M (+2.8% Y/Y). has beaten EPS estimates 63% of the time and has beaten revenue estimates 50% of the time. upward revisions and 1 downward.

Jul 19
Is American States Water (NYSE:AWR) Using Too Much Debt?

Is American States Water (NYSE:AWR) Using Too Much Debt?

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' It's only natural to consider a company's...

Shareholder Returns

AWRUS Water UtilitiesUS Market
7D-3.1%-2.0%1.3%
1Y-1.3%-8.0%-11.7%

Return vs Industry: AWR exceeded the US Water Utilities industry which returned -6.4% over the past year.

Return vs Market: AWR exceeded the US Market which returned -11.6% over the past year.

Price Volatility

Is AWR's price volatile compared to industry and market?
AWR volatility
AWR Average Weekly Movement3.8%
Water Utilities Industry Average Movement4.1%
Market Average Movement7.8%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market3.2%

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

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

About the Company

FoundedEmployeesCEOWebsite
1929808Bob Sprowlshttps://www.aswater.com

American States Water Company, through its subsidiaries, provides water and electric services to residential, commercial, industrial, and other customers in the United States. It operates through three segments: Water, Electric, and Contracted Services. The company purchases, produces, distributes, and sells water, as well as distributes electricity.

American States Water Fundamentals Summary

How do American States Water's earnings and revenue compare to its market cap?
AWR fundamental statistics
Market CapUS$3.24b
Earnings (TTM)US$82.41m
Revenue (TTM)US$484.56m

39.3x

P/E Ratio

6.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AWR income statement (TTM)
RevenueUS$484.56m
Cost of RevenueUS$218.78m
Gross ProfitUS$265.78m
Other ExpensesUS$183.37m
EarningsUS$82.41m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)2.23
Gross Margin54.85%
Net Profit Margin17.01%
Debt/Equity Ratio96.6%

How did AWR perform over the long term?

See historical performance and comparison

Dividends

1.8%

Current Dividend Yield

65%

Payout Ratio

Does AWR pay a reliable dividends?

See AWR dividend history and benchmarks
When do you need to buy AWR by to receive an upcoming dividend?
American States Water dividend dates
Ex Dividend DateAug 12 2022
Dividend Pay DateSep 01 2022
Days until Ex dividend0 days
Days until Dividend pay date20 days

Does AWR pay a reliable dividends?

See AWR dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is AWR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AWR?

Other financial metrics that can be useful for relative valuation.

AWR key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue8.1x
Enterprise Value/EBITDA21.8x
PEG Ratio4.9x

Price to Earnings Ratio vs Peers

How does AWR's PE Ratio compare to its peers?

AWR PE Ratio vs Peers
The above table shows the PE ratio for AWR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average38.1x
CWT California Water Service Group
38.4x10.4%US$3.3b
MSEX Middlesex Water
40.9xn/aUS$1.6b
SJW SJW Group
38x8.7%US$2.0b
YORW York Water
35.2xn/aUS$622.7m
AWR American States Water
39.3x8.0%US$3.2b

Price-To-Earnings vs Peers: AWR is expensive based on its Price-To-Earnings Ratio (39.3x) compared to the peer average (38.1x).


Price to Earnings Ratio vs Industry

How does AWR's PE Ratio compare vs other companies in the Global Water Utilities Industry?

Price-To-Earnings vs Industry: AWR is expensive based on its Price-To-Earnings Ratio (39.3x) compared to the US Water Utilities industry average (38.7x)


Price to Earnings Ratio vs Fair Ratio

What is AWR's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AWR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio39.3x
Fair PE Ratio20.7x

Price-To-Earnings vs Fair Ratio: AWR is expensive based on its Price-To-Earnings Ratio (39.3x) compared to the estimated Fair Price-To-Earnings Ratio (20.7x).


Share Price vs Fair Value

What is the Fair Price of AWR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AWR ($87.59) is trading above our estimate of fair value ($51.22)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is lower than the current share price.


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Future Growth

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

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


8.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AWR's forecast earnings growth (8% per year) is above the savings rate (1.9%).

Earnings vs Market: AWR's earnings (8% per year) are forecast to grow slower than the US market (14.5% per year).

High Growth Earnings: AWR's earnings are forecast to grow, but not significantly.

Revenue vs Market: AWR's revenue (4.2% per year) is forecast to grow slower than the US market (8% per year).

High Growth Revenue: AWR's revenue (4.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AWR's Return on Equity is forecast to be low in 3 years time (13.9%).


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Past Performance

How has American States Water performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


8.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AWR has high quality earnings.

Growing Profit Margin: AWR's current net profit margins (17%) are lower than last year (18.3%).


Past Earnings Growth Analysis

Earnings Trend: AWR's earnings have grown by 8.1% per year over the past 5 years.

Accelerating Growth: AWR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: AWR had negative earnings growth (-10.7%) over the past year, making it difficult to compare to the Water Utilities industry average (-2.3%).


Return on Equity

High ROE: AWR's Return on Equity (11.9%) is considered low.


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Financial Health

How is American States Water's financial position?

Financial Health Score

1/6

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: AWR's short term assets ($139.0M) do not cover its short term liabilities ($348.7M).

Long Term Liabilities: AWR's short term assets ($139.0M) do not cover its long term liabilities ($906.7M).


Debt to Equity History and Analysis

Debt Level: AWR's net debt to equity ratio (95.1%) is considered high.

Reducing Debt: AWR's debt to equity ratio has increased from 71.2% to 96.6% over the past 5 years.

Debt Coverage: AWR's debt is not well covered by operating cash flow (19.6%).

Interest Coverage: AWR's interest payments on its debt are well covered by EBIT (6.6x coverage).


Balance Sheet


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Dividend

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

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.82%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: AWR's dividend (1.82%) is higher than the bottom 25% of dividend payers in the US market (1.5%).

High Dividend: AWR's dividend (1.82%) is low compared to the top 25% of dividend payers in the US market (4.05%).


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (65.5%), AWR's dividend payments are covered by earnings.


Cash Payout to Shareholders

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


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Management

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

13.6yrs

Average management tenure


CEO

Bob Sprowls (64 yo)

13.58yrs

Tenure

US$4,542,428

Compensation

Mr. Robert J. Sprowls, also known as Bob, serves as Chief Executive Officer and President at American States Utility Services Inc. Mr. Sprowls has been the Chief Executive Officer and President of American...


CEO Compensation Analysis

Compensation vs Market: Bob's total compensation ($USD4.54M) is below average for companies of similar size in the US market ($USD6.58M).

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


Leadership Team

Experienced Management: AWR's management team is seasoned and experienced (13.6 years average tenure).


Board Members

Experienced Board: AWR's board of directors are seasoned and experienced ( 10.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: AWR 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

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


Key Information

  • Name: American States Water Company
  • Ticker: AWR
  • Exchange: NYSE
  • Founded: 1929
  • Industry: Water Utilities
  • Sector: Utilities
  • Implied Market Cap: US$3.237b
  • Shares outstanding: 36.96m
  • Website: https://www.aswater.com

Number of Employees


Location

  • American States Water Company
  • 630 East Foothill Boulevard
  • San Dimas
  • California
  • 91773-1207
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/11 00:00
End of Day Share Price2022/08/11 00:00
Earnings2022/06/30
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.