American Water Works (AWK)vsConstellation Energy Corp (CEG)
AWK
American Water Works
$125.05
-0.91%
UTILITIES · Cap: $24.64B
CEG
Constellation Energy Corp
$303.63
-2.46%
UTILITIES · Cap: $112.78B
Smart Verdict
WallStSmart Research — data-driven comparison
Constellation Energy Corp generates 391% more annual revenue ($25.53B vs $5.21B). AWK leads profitability with a 21.2% profit margin vs 9.1%. AWK appears more attractively valued with a PEG of 2.28. AWK earns a higher WallStSmart Score of 60/100 (C).
AWK
Buy60
out of 100
Grade: C
CEG
Hold43
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-10.7%
Fair Value
$111.77
Current Price
$125.05
$13.28 premium
Margin of Safety
-44.5%
Fair Value
$191.58
Current Price
$303.63
$112.05 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 33.2%
Keeps 21 of every $100 in revenue as profit
Reasonable price relative to book value
Large-cap with strong market position
Areas to Watch
Expensive relative to growth rate
Weak financial health signals
Earnings declined 4.8%
Negative free cash flow — burning cash
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 48.9%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : AWK
The strongest argument for AWK centers on Operating Margin, Profit Margin, Price/Book. Profitability is solid with margins at 21.2% and operating margin at 33.2%.
Bull Case : CEG
The strongest argument for CEG centers on Market Cap. Revenue growth of 12.9% demonstrates continued momentum.
Bear Case : AWK
The primary concerns for AWK are PEG Ratio, Piotroski F-Score, EPS Growth.
Bear Case : CEG
The primary concerns for CEG are PEG Ratio, P/E Ratio, EPS Growth. A P/E of 42.0x leaves little room for execution misses.
Key Dynamics to Monitor
AWK profiles as a mature stock while CEG is a value play — different risk/reward profiles.
CEG carries more volatility with a beta of 1.16 — expect wider price swings.
CEG is growing revenue faster at 12.9% — sustainability is the question.
CEG generates stronger free cash flow (-181M), providing more financial flexibility.
Bottom Line
AWK scores higher overall (60/100 vs 43/100), backed by strong 21.2% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
American Water Works
UTILITIES · UTILITIES - REGULATED WATER · USA
American Water is an American public utility company operating in the United States and Canada.
Constellation Energy Corp
UTILITIES · UTILITIES - INDEPENDENT POWER PRODUCERS · USA
Constellation Energy Corporation is an energy producer in the United States. The company is headquartered in Baltimore, Maryland.
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