Royal Bank of Canada lessened its position in shares of American Water Works Company, Inc. (NYSE:AWK – Free Report) by 6.7% during the 1st quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 1,014,729 shares of the utilities provider’s stock after selling 72,530 shares during the quarter. Royal Bank of Canada’s holdings in American Water Works were worth $138,096,000 at the end of the most recent reporting period.
Several other institutional investors have also recently made changes to their positions in AWK. Salomon & Ludwin LLC grew its position in American Water Works by 71.7% in the fourth quarter. Salomon & Ludwin LLC now owns 194 shares of the utilities provider’s stock worth $25,000 after acquiring an additional 81 shares during the period. Reflection Asset Management acquired a new stake in American Water Works during the fourth quarter worth $25,000. Transamerica Financial Advisors LLC raised its position in American Water Works by 82.6% in the fourth quarter. Transamerica Financial Advisors LLC now owns 199 shares of the utilities provider’s stock valued at $26,000 after purchasing an additional 90 shares during the period. Nemes Rush Group LLC purchased a new stake in American Water Works in the fourth quarter valued at $27,000. Finally, Ascentis Independent Advisors acquired a new position in shares of American Water Works in the 1st quarter valued at $27,000. Hedge funds and other institutional investors own 86.58% of the company’s stock.
Analysts Set New Price Targets
A number of equities analysts have recently weighed in on AWK shares. Wall Street Zen cut American Water Works from a “sell” rating to a “strong sell” rating in a report on Sunday, July 26th. UBS Group boosted their price objective on shares of American Water Works from $140.00 to $150.00 and gave the company a “buy” rating in a report on Thursday, July 2nd. Wells Fargo & Company set a $131.00 target price on shares of American Water Works in a research report on Tuesday, April 21st. Weiss Ratings reaffirmed a “hold (c)” rating on shares of American Water Works in a research note on Wednesday, June 24th. Finally, Truist Financial dropped their price target on shares of American Water Works from $137.00 to $130.00 and set a “hold” rating for the company in a research report on Friday, May 29th. Two investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, American Water Works currently has a consensus rating of “Hold” and an average target price of $140.60.
American Water Works Stock Down 0.7%
NYSE:AWK opened at $137.10 on Friday. American Water Works Company, Inc. has a 52 week low of $120.57 and a 52 week high of $147.87. The stock’s fifty day moving average is $129.35 and its two-hundred day moving average is $131.01. The stock has a market capitalization of $26.77 billion, a price-to-earnings ratio of 23.76, a price-to-earnings-growth ratio of 2.79 and a beta of 0.61. The company has a quick ratio of 0.34, a current ratio of 0.37 and a debt-to-equity ratio of 1.16.
American Water Works (NYSE:AWK – Get Free Report) last issued its quarterly earnings data on Wednesday, July 29th. The utilities provider reported $1.61 earnings per share for the quarter, beating analysts’ consensus estimates of $1.53 by $0.08. The business had revenue of $1.35 billion during the quarter, compared to analysts’ expectations of $1.33 billion. American Water Works had a return on equity of 10.38% and a net margin of 21.35%.The company’s revenue was up 6.2% on a year-over-year basis. During the same period in the previous year, the firm posted $1.48 earnings per share. American Water Works has set its FY 2026 guidance at 6.020-6.120 EPS. Research analysts anticipate that American Water Works Company, Inc. will post 6.09 EPS for the current year.
American Water Works Dividend Announcement
The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 1st. Shareholders of record on Tuesday, August 11th will be given a $0.895 dividend. This represents a $3.58 annualized dividend and a yield of 2.6%. The ex-dividend date of this dividend is Tuesday, August 11th. American Water Works’s payout ratio is currently 62.05%.
American Water Works News Roundup
Here are the key news stories impacting American Water Works this week:
- Positive Sentiment: AWK reported second-quarter adjusted and GAAP earnings of $1.61 per share, above analyst expectations, while revenue increased 6.2% year over year to approximately $1.35 billion. Earnings also improved from $1.48 per share in the prior-year quarter. American Water Reports Solid Second Quarter 2026 Results
- Positive Sentiment: Management affirmed its $3.7 billion capital investment plan, reported progress on regulatory actions—including new Pennsylvania rates scheduled to take effect August 13—and said its proposed merger with Essential Utilities continues to advance, with approvals in three states and a Texas settlement in principle. American Water Reports Solid Second Quarter 2026 Results
- Positive Sentiment: The board declared a quarterly dividend of $0.895 per share, supporting AWK’s income appeal and signaling continued confidence in cash flows. The dividend is payable September 1 to shareholders of record August 11. American Water Announces Quarterly Dividend
- Neutral Sentiment: Illinois American Water announced workforce-development initiatives aimed at building the next generation of water-industry employees. The effort may support long-term operational needs but is unlikely to materially affect near-term earnings. Illinois American Water Supports Water Utility Workforce Development
- Negative Sentiment: AWK maintained its 2026 EPS outlook at $6.02–$6.12, with a midpoint of $6.07 that is slightly below the roughly $6.08 consensus estimate. Investors may view the lack of a guidance increase as underwhelming despite the quarterly beat, particularly with the shares trading at a relatively elevated earnings multiple.
American Water Works Company 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.
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