California Water Service Group
Market Cap
US$2.9b
Last Updated
2021/05/07 03:17 UTC
Data Sources
Company Financials +
Executive Summary
California Water Service Group, through its subsidiaries, provides water utility and other related services in California, Washington, New Mexico, and Hawaii. More Details
Rewards
PE ratio (25.2x) is below the Water Utilities industry average (29.8x)
Risk Analysis
Earnings are forecast to decline by an average of 0.3% per year for the next 3 years
Snowflake Analysis
Solid track record average dividend payer.
Similar Companies
Share Price & News
How has California Water Service Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CWT is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: CWT's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
-0.9%
CWT
-2.0%
US Water Utilities
-1.7%
US Market
1 Year Return
28.4%
CWT
22.8%
US Water Utilities
51.8%
US Market
Return vs Industry: CWT exceeded the US Water Utilities industry which returned 22.8% over the past year.
Return vs Market: CWT underperformed the US Market which returned 51.8% over the past year.
Shareholder returns
| CWT | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.9% | -2.0% | -1.7% |
| 30 Day | 0.1% | -0.3% | 1.5% |
| 90 Day | 0.8% | -4.9% | 3.1% |
| 1 Year | 31.2%28.4% | 25.0%22.8% | 54.4%51.8% |
| 3 Year | 53.2%45.7% | 66.4%57.7% | 63.0%52.8% |
| 5 Year | 121.8%102.7% | 94.7%77.6% | 127.2%101.9% |
Long-Term Price Volatility Vs. Market
How volatile is California Water Service Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
10 hours ago | Simply Wall St
Don't Ignore The Fact That This Insider Just Sold Some Shares In California Water Service Group (NYSE:CWT)1 week ago | Simply Wall St
What California Water Service Group's (NYSE:CWT) ROE Can Tell Us4 weeks ago | Simply Wall St
Do Institutions Own California Water Service Group (NYSE:CWT) Shares?Valuation
Is California Water Service Group undervalued compared to its fair value and its price relative to the market?
25.25x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: CWT ($57.92) is trading above our estimate of fair value ($25.35)
Significantly Below Fair Value: CWT is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: CWT is good value based on its PE Ratio (25.2x) compared to the US Water Utilities industry average (29.8x).
PE vs Market: CWT is poor value based on its PE Ratio (25.2x) compared to the US market (20.2x).
Price to Earnings Growth Ratio
PEG Ratio: CWT's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: CWT is overvalued based on its PB Ratio (3.2x) compared to the US Water Utilities industry average (2.8x).
Future Growth
How is California Water Service Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
-0.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CWT's earnings are forecast to decline over the next 3 years (-0.3% per year).
Earnings vs Market: CWT's earnings are forecast to decline over the next 3 years (-0.3% per year).
High Growth Earnings: CWT's earnings are forecast to decline over the next 3 years.
Revenue vs Market: CWT's revenue (4.2% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: CWT'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: CWT's Return on Equity is forecast to be low in 3 years time (9.1%).
Past Performance
How has California Water Service Group performed over the past 5 years?
12.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CWT has high quality earnings.
Growing Profit Margin: CWT's current net profit margins (14%) are higher than last year (7.1%).
Past Earnings Growth Analysis
Earnings Trend: CWT's earnings have grown by 12% per year over the past 5 years.
Accelerating Growth: CWT's earnings growth over the past year (126.2%) exceeds its 5-year average (12% per year).
Earnings vs Industry: CWT earnings growth over the past year (126.2%) exceeded the Water Utilities industry 10%.
Return on Equity
High ROE: CWT's Return on Equity (12.3%) is considered low.
Financial Health
How is California Water Service Group's financial position?
Financial Position Analysis
Short Term Liabilities: CWT's short term assets ($302.4M) do not cover its short term liabilities ($655.5M).
Long Term Liabilities: CWT's short term assets ($302.4M) do not cover its long term liabilities ($1.9B).
Debt to Equity History and Analysis
Debt Level: CWT's debt to equity ratio (129.1%) is considered high.
Reducing Debt: CWT's debt to equity ratio has increased from 94.6% to 129.1% over the past 5 years.
Debt Coverage: CWT's debt is not well covered by operating cash flow (12%).
Interest Coverage: CWT's interest payments on its debt are well covered by EBIT (3.6x coverage).
Balance Sheet
Dividend
What is California Water Service Group current dividend yield, its reliability and sustainability?
1.59%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CWT's dividend (1.59%) is higher than the bottom 25% of dividend payers in the US market (1.24%).
High Dividend: CWT's dividend (1.59%) is low compared to the top 25% of dividend payers in the US market (3.42%).
Stability and Growth of Payments
Stable Dividend: CWT's dividends per share have been stable in the past 10 years.
Growing Dividend: CWT's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (37.8%), CWT's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.2yrs
Average management tenure
CEO
Marty Kropelnicki (53 yo)
7.67yrs
Tenure
US$3,776,856
Compensation
Mr. Martin A. Kropelnicki, also known as Marty, has been the Chief Executive Officer and President of California Water Service Company since September 1, 2013 and also serves as its Director. Mr. Kropelnic...
CEO Compensation Analysis
Compensation vs Market: Marty's total compensation ($USD3.78M) is below average for companies of similar size in the US market ($USD5.41M).
Compensation vs Earnings: Marty's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: CWT's management team is seasoned and experienced (5.2 years average tenure).
Board Members
Experienced Board: CWT's board of directors are considered experienced (7.2 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: CWT insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.4%.
Top Shareholders
Company Information
California Water Service Group's company bio, employee growth, exchange listings and data sources
Key Information
- Name: California Water Service Group
- Ticker: CWT
- Exchange: NYSE
- Founded: 1926
- Industry: Water Utilities
- Sector: Utilities
- Market Cap: US$2.937b
- Shares outstanding: 50.84m
- Website: https://www.calwatergroup.com
Number of Employees
Location
- California Water Service Group
- 1720 North First Street
- San Jose
- California
- 95112-4598
- United States
Listings
Biography
California Water Service Group, through its subsidiaries, provides water utility and other related services in California, Washington, New Mexico, and Hawaii. It is involved in the production, purchase, st...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/07 03:17 |
| End of Day Share Price | 2021/05/06 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
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.