American Water Works Co 2025 adjusted EPS rises

American Water Works Co

18/02/2026 21:45

Overview

Adjusted EPS for 2025 rose 8.9% yr/yr, driven by new rates and capital investments

Company affirms 2026 EPS guidance and long-term growth targets

Outlook

American Water affirms 2026 adjusted EPS guidance of $6.02 to $6.12

Company maintains long-term EPS and dividend growth targets of 7-9%

2026 EPS guidance excludes merger transaction costs and weather impacts

Result Drivers

RATE INCREASES - New rates in regulated businesses drove revenue growth, contributing to higher adjusted EPS

CAPITAL INVESTMENTS - $3.2 bln invested in infrastructure improvements and acquisitions supported water quality and reliability

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Operating Revenue
Miss
$1.27 bln
$1.29 bln (2 Analysts)
Q4 Net Income
$238 mln
Q4 Operating Income
Miss
$405 mln
$459.46 mln (2 Analysts)
Q4 Operating Expenses
$866 mln
Q4 Pretax Profit
$282 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 10 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the water & related utilities peer group is "buy."

Wall Street's median 12-month price target for American Water Works Co Inc is $139.00, about 4.1% above its February 17 closing price of $133.51

The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 21 three months ago

Press Release: ID:nPn4rDWqNa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)