WallStSmart

American States Water Company (AWR)vsPure Cycle Corporation (PCYO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

American States Water Company generates 2117% more annual revenue ($679.25M vs $30.64M). PCYO leads profitability with a 45.8% profit margin vs 19.7%. PCYO trades at a lower P/E of 18.3x. AWR earns a higher WallStSmart Score of 62/100 (C+).

AWR

Buy

62

out of 100

Grade: C+

Growth: 6.7Profit: 7.5Value: 4.0Quality: 5.0
Piotroski: 4/9Altman Z: 1.21

PCYO

Buy

55

out of 100

Grade: C

Growth: 7.3Profit: 7.0Value: 5.3Quality: 7.0
Piotroski: 3/9Altman Z: 4.77
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AWROvervalued (-11.2%)

Margin of Safety

-11.2%

Fair Value

$63.79

Current Price

$78.37

$14.58 premium

UndervaluedFair: $63.79Overvalued

Intrinsic value data unavailable for PCYO.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AWR2 strengths · Avg: 9.0/10
Operating MarginProfitability
30.9%10/10

Strong operational efficiency at 30.9%

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

PCYO6 strengths · Avg: 9.3/10
Profit MarginProfitability
45.8%10/10

Keeps 46 of every $100 in revenue as profit

EPS GrowthGrowth
52.8%10/10

Earnings expanding 52.8% YoY

Debt/EquityHealth
0.0510/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.7710/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
29.4%8/10

Revenue surging 29.4% year-over-year

Areas to Watch

AWR2 concerns · Avg: 2.0/10
PEG RatioValuation
2.802/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.212/10

Distress zone — elevated risk

PCYO3 concerns · Avg: 2.7/10
Market CapQuality
$255.74M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-4.51M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : AWR

The strongest argument for AWR centers on Operating Margin, Price/Book. Profitability is solid with margins at 19.7% and operating margin at 30.9%. Revenue growth of 14.3% demonstrates continued momentum.

Bull Case : PCYO

The strongest argument for PCYO centers on Profit Margin, EPS Growth, Debt/Equity. Profitability is solid with margins at 45.8% and operating margin at 5.1%. Revenue growth of 29.4% demonstrates continued momentum.

Bear Case : AWR

The primary concerns for AWR are PEG Ratio, Altman Z-Score.

Bear Case : PCYO

The primary concerns for PCYO are Market Cap, Piotroski F-Score, Free Cash Flow.

Key Dynamics to Monitor

AWR profiles as a mature stock while PCYO is a growth play — different risk/reward profiles.

PCYO carries more volatility with a beta of 1.24 — expect wider price swings.

PCYO is growing revenue faster at 29.4% — sustainability is the question.

AWR generates stronger free cash flow (23M), providing more financial flexibility.

Bottom Line

AWR scores higher overall (62/100 vs 55/100), backed by strong 19.7% margins and 14.3% revenue growth. Both earn "Buy" and "Buy" 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 States Water Company

UTILITIES · UTILITIES - REGULATED WATER · USA

American States Water Company provides water and electricity services to residential, commercial, industrial and other customers in the United States. The company is headquartered in San Dimas, California.

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Pure Cycle Corporation

UTILITIES · UTILITIES - REGULATED WATER · USA

Pure Cycle Corporation designs, builds, operates and maintains water and wastewater systems in the Denver metropolitan area and Colorado Front Range in the United States. The company is headquartered in Watkins, Colorado.

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