WallStSmart

California Water Service Group (CWT)vsWEC Energy Group Inc (WEC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

WEC Energy Group Inc generates 880% more annual revenue ($9.80B vs $1.00B). WEC leads profitability with a 15.9% profit margin vs 12.8%. CWT appears more attractively valued with a PEG of 2.12. WEC earns a higher WallStSmart Score of 60/100 (C+).

CWT

Hold

47

out of 100

Grade: D+

Growth: 3.3Profit: 5.0Value: 6.0Quality: 2.8
Piotroski: 1/9Altman Z: 0.74

WEC

Buy

60

out of 100

Grade: C+

Growth: 4.0Profit: 7.0Value: 3.3Quality: 3.8
Piotroski: 4/9Altman Z: 0.80
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CWTUndervalued (+29.8%)

Margin of Safety

+29.8%

Fair Value

$62.85

Current Price

$42.24

$20.61 discount

UndervaluedFair: $62.85Overvalued
WECSignificantly Overvalued (-40.2%)

Margin of Safety

-40.2%

Fair Value

$80.67

Current Price

$117.94

$37.27 premium

UndervaluedFair: $80.67Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CWT1 strengths · Avg: 10.0/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

WEC2 strengths · Avg: 8.0/10
Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Operating MarginProfitability
21.3%8/10

Strong operational efficiency at 21.3%

Areas to Watch

CWT4 concerns · Avg: 3.0/10
PEG RatioValuation
2.124/10

Expensive relative to growth rate

Return on EquityProfitability
7.7%3/10

ROE of 7.7% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Revenue GrowthGrowth
-1.0%2/10

Revenue declined 1.0%

WEC4 concerns · Avg: 2.0/10
PEG RatioValuation
2.572/10

Expensive relative to growth rate

EPS GrowthGrowth
-32.5%2/10

Earnings declined 32.5%

Free Cash FlowQuality
$-905.40M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.802/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : CWT

The strongest argument for CWT centers on Price/Book.

Bull Case : WEC

The strongest argument for WEC centers on Price/Book, Operating Margin. Profitability is solid with margins at 15.9% and operating margin at 21.3%. Revenue growth of 11.1% demonstrates continued momentum.

Bear Case : CWT

The primary concerns for CWT are PEG Ratio, Return on Equity, Piotroski F-Score.

Bear Case : WEC

The primary concerns for WEC are PEG Ratio, EPS Growth, Free Cash Flow.

Key Dynamics to Monitor

CWT profiles as a declining stock while WEC is a mature play — different risk/reward profiles.

CWT carries more volatility with a beta of 0.61 — expect wider price swings.

WEC is growing revenue faster at 11.1% — sustainability is the question.

CWT generates stronger free cash flow (-104M), providing more financial flexibility.

Bottom Line

WEC scores higher overall (60/100 vs 47/100), backed by strong 15.9% margins and 11.1% revenue growth. CWT offers better value entry with a 29.8% margin of safety. 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.

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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WEC Energy Group Inc

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

WEC Energy Group, based in Milwaukee, Wisconsin, provides electricity and natural gas to 4.4 million customers across four states.

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