American Water Works (AWK) Fundamental Analysis: Revenue, Earnings & Valuation

1.49 / 10

Underperform

Fundamental assessment rates AWK as Underperform with a 1.5/10 rating. Asset‑MV and YoY revenue growth are strengths, but Revenue‑MV and PB‑ROE are weak, dragging the score down. Overall, the company’s fundamentals appear defensive and lack growth momentum.

Analysis Checks(4/10)

Revenue-MV

Value-0.55

Score0/3

Weight1.37%

1M Return0.25%

Total operating revenue (YoY growth rate %)

Value9.74

Score2/3

Weight13.37%

1M Return2.35%

Gross profit margin (%)

Value60.72

Score2/3

Weight12.15%

1M Return2.23%

Profit-MV

Value0.84

Score1/3

Weight18.94%

1M Return2.70%

Net income-Revenue

Value0.50

Score1/3

Weight6.53%

1M Return1.09%

PB-ROE

Value-0.34

Score0/3

Weight-1.32%

1M Return-0.34%

Interest coverage ratio (EBIT / Interest expense) (%)

Value3.71

Score0/3

Weight9.93%

1M Return2.09%

Operating revenue (YoY growth rate %)

Value9.74

Score2/3

Weight13.37%

1M Return2.35%

Asset-MV

Value-0.48

Score2/3

Weight15.23%

1M Return1.90%

Cash-MV

Value0.26

Score1/3

Weight10.43%

1M Return1.95%

Is AWK undervalued or overvalued?

AWK scores 1.49/10 on fundamentals and holds a Premium valuation at present. Backed by its 4.78% ROE, 21.61% net margin, 23.47 P/E ratio, 1.10 P/B ratio, and 5.57% earnings growth, these metrics solidify its Underperform investment rating.