American Water Works Corp. Inc. Stock

American Water Works (AWK) — FY2025 Annual Report

American Water Works appears to have delivered another year of steady, regulated growth, with net income reaching approximately $1.11 billion, up around 5.7% year-over-year, and diluted earnings per share climbing to $5.69. The picture is one of a capital-intensive utility executing methodically on its rate-base expansion, with results driven almost entirely by its regulated water and wastewater operations. It is worth noting that a few of the pre-calculated valuation metrics—most notably the P/E of 3.7x, price-to-book of 0.38x, and EV/EBITDA of 2.4x—appear inconsistent with the reported $5.69 EPS and a stock price of $21.25, which may suggest a data artifact (possibly a share-count or split adjustment issue) rather than a genuine reflection of how the market values the company.

On the revenue side, operating revenues rose to roughly $5.14 billion, continuing a consistent upward trajectory that seems propelled by rate increases across residential, commercial, and industrial customers rather than by dramatic volume gains. Wastewater services grew notably faster than the water segment, which could reflect the company's ongoing acquisition and expansion in that area. Operating income improved to about $1.88 billion, though the pace of margin expansion appears to have been tempered by rising operation and maintenance costs and, more significantly, by depreciation and amortization that grew from $788 million to $894 million—a natural consequence of the heavy ongoing investment in infrastructure.