Dividends are one of the best benefits to being a shareholder, but finding a great dividend stock is no easy task. Does American Water Works (AWK) have what it takes?
Here is how American Water Works (AWK) and NRG Energy (NRG) have performed compared to their sector so far this year.
American Water Works Company, Inc. (NYSE:AWK ) Q4 2024 Earnings Conference Call February 20, 2025 9:00 AM ET Company Participants Aaron Musgrave - Vice President of Investor Relations Susan Hardwick - Chief Executive Officer John Griffith - President David Bowler - Executive Vice President and Chief Financial Officer Cheryl Norton - Executive Vice President and Chief Operating Officer Conference Call Participants Durgesh Chopra - Evercore ISI Paul Zimbardo - Jefferies Gregg Orrill - UBS Jonathan Reeder - Wells Fargo Angie Storozynski - Seaport Global Securities Anthony Crowdell - Mizuho Securities Richard Sunderland - JPMorgan Operator Good day and welcome to American Water's Fourth Quarter and Year End 2024 Conference Call. All participants will be in listen-only mode.
AWK reports better-than-expected fourth-quarter earnings and revenues. The company continues to expand operation through acquisitions and organic initiatives.
American Water Works (AWK) came out with quarterly earnings of $1.22 per share, beating the Zacks Consensus Estimate of $1.13 per share. This compares to earnings of $0.88 per share a year ago.
AWK's fourth-quarter results are expected to benefit from an expanding customer base and the implementation of new rates.
American Water Works (AWK) was a big mover last session on higher-than-average trading volume. The latest trend in earnings estimate revisions might not help the stock continue moving higher in the near term.
Low-beta utility stocks like AWK, IDA, NEE and NJR are a safe bet during times of market volatility.
AWK, with its rising earnings estimates, regular dividends and expansion through organic and inorganic means, offers a nice investment opportunity for investors.
The market experienced its best consecutive years since 1997-1998 in 2023 and 2024, despite numerous headwinds like inflation and geopolitical tensions. Factors like increasing liquidity, the AI revolution, and strong trust in American equities offset challenges, leading to significant market gains. Despite robust market performance, many retirees remain cautious, withdrawing only 2.1% of their savings annually, fearing they might outlive their money.
Investors worried about a stock market sell-off may feel the urge to sell out of their positions and run for the exits. But long-term investors know that it's a mistake to overhaul your investing strategy based on emotion.
Since my previous article, shares of American Water Works have declined 13%. The water utility reaffirmed its long-term diluted EPS growth outlook of 7% to 9% annually. AWK's debt-to-capital ratio remains below its long-term target of 60% or better.