American Water Works (AWK)vsCalifornia Water Service Group (CWT)
AWK
American Water Works
$134.59
+0.76%
UTILITIES · Cap: $26.08B
CWT
California Water Service Group
$43.94
-0.75%
UTILITIES · Cap: $2.64B
Smart Verdict
WallStSmart Research — data-driven comparison
American Water Works generates 414% more annual revenue ($5.14B vs $1.00B). AWK leads profitability with a 21.6% profit margin vs 12.8%. CWT appears more attractively valued with a PEG of 2.00. AWK earns a higher WallStSmart Score of 62/100 (C+).
AWK
Buy62
out of 100
Grade: C+
CWT
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-219.7%
Fair Value
$38.69
Current Price
$134.59
$95.90 premium
Margin of Safety
-202.0%
Fair Value
$14.62
Current Price
$43.94
$29.32 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 32.2%
Keeps 22 of every $100 in revenue as profit
Reasonable price relative to book value
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
0.0% earnings growth
Weak financial health signals
Negative free cash flow — burning cash
Expensive relative to growth rate
ROE of 7.7% — below average capital efficiency
Weak financial health signals
Revenue declined 100.0%
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 21.6% and operating margin at 32.2%.
Bull Case : CWT
The strongest argument for CWT centers on Price/Book.
Bear Case : AWK
The primary concerns for AWK are PEG Ratio, EPS Growth, Piotroski F-Score.
Bear Case : CWT
The primary concerns for CWT are PEG Ratio, Return on Equity, Piotroski F-Score.
Key Dynamics to Monitor
AWK profiles as a mature stock while CWT is a declining play — different risk/reward profiles.
AWK carries more volatility with a beta of 0.76 — expect wider price swings.
AWK is growing revenue faster at 5.8% — sustainability is the question.
CWT generates stronger free cash flow (-104M), providing more financial flexibility.
Bottom Line
AWK scores higher overall (62/100 vs 47/100), backed by strong 21.6% 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.
California Water Service Group
UTILITIES · UTILITIES - REGULATED WATER · USA
California Water Service Group provides public water and related services in California, Washington, New Mexico and Hawaii. The company is headquartered in San Jose, California.
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