California State Teachers Retirement System Lowers Stock Holdings in American Water Works Company, Inc. $AWK

California State Teachers Retirement System trimmed its holdings in American Water Works Company, Inc. (NYSE:AWK) by 2.0% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 572,001 shares of the utilities provider’s stock after selling 11,514 shares during the period. California State Teachers Retirement System owned 0.29% of American Water Works worth $77,844,000 at the end of the most recent reporting period.

Several other hedge funds have also modified their holdings of the stock. Aberdeen Group plc boosted its holdings in American Water Works by 10.7% in the fourth quarter. Aberdeen Group plc now owns 489,371 shares of the utilities provider’s stock valued at $63,863,000 after acquiring an additional 47,352 shares during the last quarter. Cbre Investment Management Listed Real Assets LLC grew its stake in American Water Works by 82.7% during the fourth quarter. Cbre Investment Management Listed Real Assets LLC now owns 21,430 shares of the utilities provider’s stock worth $2,797,000 after buying an additional 9,698 shares during the period. Louisiana State Employees Retirement System acquired a new position in shares of American Water Works during the 1st quarter valued at $1,347,000. TSP Capital Management Group LLC acquired a new stake in American Water Works in the 4th quarter valued at $1,559,000. Finally, Country Trust Bank lifted its stake in shares of American Water Works by 6.8% during the fourth quarter. Country Trust Bank now owns 178,599 shares of the utilities provider’s stock worth $23,307,000 after purchasing an additional 11,401 shares in the last quarter. 86.58% of the stock is owned by institutional investors and hedge funds.

American Water Works Trading Down 0.0%

NYSE AWK opened at $137.99 on Thursday. The company has a market capitalization of $26.95 billion, a price-to-earnings ratio of 24.47, a price-to-earnings-growth ratio of 2.79 and a beta of 0.61. The company has a debt-to-equity ratio of 1.16, a current ratio of 0.37 and a quick ratio of 0.34. American Water Works Company, Inc. has a 12 month low of $120.57 and a 12 month high of $147.87. The company’s fifty day moving average price is $129.09 and its two-hundred day moving average price is $130.95.

American Water Works (NYSE:AWK) last issued its quarterly earnings results on Wednesday, July 29th. The utilities provider reported $1.61 EPS for the quarter, topping the consensus estimate of $1.53 by $0.08. The business had revenue of $1.35 billion for the quarter, compared to analysts’ expectations of $1.33 billion. American Water Works had a net margin of 21.17% and a return on equity of 10.20%. The company’s quarterly revenue was up 6.2% compared to the same quarter last year. During the same quarter last year, the company posted $1.48 earnings per share. American Water Works has set its FY 2026 guidance at 6.020-6.120 EPS. As a group, research analysts predict that American Water Works Company, Inc. will post 6.09 earnings per share for the current fiscal year.

American Water Works Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 1st. Investors of record on Tuesday, August 11th will be paid a dividend of $0.895 per share. The ex-dividend date is Tuesday, August 11th. This represents a $3.58 annualized dividend and a yield of 2.6%. American Water Works’s dividend payout ratio (DPR) is 63.48%.

Key Headlines Impacting American Water Works

Here are the key news stories impacting American Water Works this week:

• Positive Sentiment: Second-quarter results exceeded expectations. AWK reported GAAP and adjusted earnings of $1.61 per share, up from $1.48 a year ago and ahead of analyst estimates ranging from $1.53 to $1.59. Revenue increased 6.2% year over year to approximately $1.35 billion, also surpassing expectations. American Water Works Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Growth initiatives and regulatory progress support the outlook. The company said its $3.7 billion capital investment plan remains on track, added roughly 52,000 customer connections through acquisitions, and secured important regulatory progress, including new Pennsylvania rates scheduled to take effect August 13, 2026. American Water Reports Solid Second Quarter 2026 Results
• Positive Sentiment: The proposed Essential Utilities merger continues to advance. Three states have approved the transaction, a settlement in principle has been reached in Texas, and integration planning is progressing. Completion could expand AWK’s customer base and create longer-term strategic benefits, although regulatory approvals remain outstanding. American Water Reports Solid Second Quarter 2026 Results
• Neutral Sentiment: 2026 earnings guidance was reaffirmed. AWK maintained its $6.02-$6.12 adjusted EPS target, broadly consistent with the roughly $6.08 analyst consensus. The lack of an increase may limit the immediate upside from the earnings beat, but it confirms management’s existing growth targets.
• Neutral Sentiment: The board declared a $0.895 quarterly dividend. The payment is scheduled for September 1, 2026, for shareholders of record August 11, with an indicated yield of about 2.6%. The dividend supports AWK’s appeal as a defensive income investment, though no increase was announced. American Water Announces Quarterly Dividend

Analyst Upgrades and Downgrades

Several research firms recently commented on AWK. Truist Financial reduced their price target on American Water Works from $137.00 to $130.00 and set a “hold” rating on the stock in a research report on Friday, May 29th. Barclays lifted their price objective on shares of American Water Works from $124.00 to $130.00 and gave the company an “underweight” rating in a research note on Wednesday, July 15th. Wall Street Zen cut shares of American Water Works from a “sell” rating to a “strong sell” rating in a research report on Sunday. JPMorgan Chase & Co. upped their target price on shares of American Water Works from $138.00 to $147.00 and gave the company a “neutral” rating in a research note on Wednesday, July 8th. Finally, Wells Fargo & Company set a $131.00 price target on shares of American Water Works in a report on Tuesday, April 21st. Two equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $140.60.

American Water Works Profile

American Water Works Company, Inc (NYSE: AWK) is a publicly traded utility company that provides water and wastewater services in the United States. Its core business is the operation, management and maintenance of regulated water and wastewater systems that deliver potable water, collect and treat wastewater, and provide related customer services to residential, commercial and industrial customers as well as municipalities. The company’s operations include water treatment and distribution, wastewater collection and treatment, meter reading and billing, emergency repairs, and long-term infrastructure planning and capital project execution.

In addition to its regulated utility operations, American Water offers complementary nonregulated services and solutions that support system reliability and customer needs.