WallStSmart

Consolidated Water Co Ltd (CWCO)vsEssential Utilities Inc (WTRG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Essential Utilities Inc generates 1774% more annual revenue ($2.47B vs $132.07M). WTRG leads profitability with a 24.9% profit margin vs 13.9%. CWCO appears more attractively valued with a PEG of 2.25. WTRG earns a higher WallStSmart Score of 60/100 (C+).

CWCO

Buy

52

out of 100

Grade: C-

Growth: 7.3Profit: 6.0Value: 10.0Quality: 5.0

WTRG

Buy

60

out of 100

Grade: C+

Growth: 4.7Profit: 7.5Value: 4.7Quality: 3.3
Piotroski: 2/9Altman Z: 0.74
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CWCOUndervalued (+31.5%)

Margin of Safety

+31.5%

Fair Value

$54.29

Current Price

$32.46

$21.83 discount

UndervaluedFair: $54.29Overvalued
WTRGSignificantly Overvalued (-150.3%)

Margin of Safety

-150.3%

Fair Value

$14.96

Current Price

$39.65

$24.69 premium

UndervaluedFair: $14.96Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CWCO2 strengths · Avg: 9.0/10
EPS GrowthGrowth
103.8%10/10

Earnings expanding 103.8% YoY

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

WTRG4 strengths · Avg: 8.8/10
Operating MarginProfitability
32.4%10/10

Strong operational efficiency at 32.4%

Profit MarginProfitability
24.9%9/10

Keeps 25 of every $100 in revenue as profit

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
15.7%8/10

15.7% revenue growth

Areas to Watch

CWCO4 concerns · Avg: 3.8/10
PEG RatioValuation
2.254/10

Expensive relative to growth rate

P/E RatioValuation
26.3x4/10

Moderate valuation

Revenue GrowthGrowth
4.4%4/10

4.4% revenue growth

Market CapQuality
$487.23M3/10

Smaller company, higher risk/reward

WTRG4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
3.782/10

Expensive relative to growth rate

EPS GrowthGrowth
-30.0%2/10

Earnings declined 30.0%

Free Cash FlowQuality
$-240.78M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : CWCO

The strongest argument for CWCO centers on EPS Growth, Price/Book.

Bull Case : WTRG

The strongest argument for WTRG centers on Operating Margin, Profit Margin, Price/Book. Profitability is solid with margins at 24.9% and operating margin at 32.4%. Revenue growth of 15.7% demonstrates continued momentum.

Bear Case : CWCO

The primary concerns for CWCO are PEG Ratio, P/E Ratio, Revenue Growth.

Bear Case : WTRG

The primary concerns for WTRG are Piotroski F-Score, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

CWCO profiles as a value stock while WTRG is a growth play — different risk/reward profiles.

WTRG carries more volatility with a beta of 0.80 — expect wider price swings.

WTRG is growing revenue faster at 15.7% — sustainability is the question.

CWCO generates stronger free cash flow (3M), providing more financial flexibility.

Bottom Line

WTRG scores higher overall (60/100 vs 52/100), backed by strong 24.9% margins and 15.7% revenue growth. CWCO offers better value entry with a 31.5% margin of safety. 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.

Consolidated Water Co Ltd

UTILITIES · UTILITIES - REGULATED WATER · USA

Consolidated Water Co. Ltd. designs, builds, manages and operates water treatment and production plants primarily in the Cayman Islands, the Bahamas and the United States. The company is headquartered in Grand Cayman, the Cayman Islands.

Essential Utilities Inc

UTILITIES · UTILITIES - REGULATED WATER · USA

Essential Utilities, Inc. operates regulated utilities that provide water, wastewater, or natural gas services in the United States. The company is headquartered in Bryn Mawr, Pennsylvania.

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