What's the outlook for CWT's EPS in 2025?
4/4/2025 01:33pm
**California Water Service Group (CWT) is expected to show robust growth in its EPS for 2025.** Here's the analysis to support this conclusion:
1. **Recent Earnings Performance**: CWT's Q3 2024 earnings showed a significant increase with a 17.5% rise in operating revenue, reaching $299.6 million. The net income also jumped to $60.7 million, translating to $1.03 per share. This strong performance indicates a healthy business operation and sets a positive tone for future earnings expectations.
2. **Analyst Forecasts**: Zacks Research has raised its Q3 2025 earnings estimates for CWT, reflecting confidence in the company's continued growth. The latest estimates suggest that CWT will maintain its strong earnings trajectory in 2025.
3. **Dividend and Financial Health**: CWT has a dividend yield of 2.08% and a P/E ratio of 43.39, indicating that the stock is reasonably valued relative to its earnings. The company's market cap is not provided, but its EPS TTM of $1.158 suggests a stable and profitable business model.
4. **Consistent Performance**: CWT has a track record of beating EPS estimates, with a 50% success rate over the last year. This consistency suggests that the company's management is effective at generating earnings, which is a positive indicator for future forecasts.
In conclusion, the outlook for CWT's EPS in 2025 is positive, considering the company's recent earnings growth, analyst forecasts, dividend yield, and historical performance in exceeding earnings estimates.