HTO (H2O America) EBIT: $190.5 Mil (TTM As of Mar. 2026)


HTO H2O America HTO
73 GF Score
Price $59.16
GF Value $57.40
Valuation Fairly Valued
! 9 Warning Signs
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What is H2O America EBIT?

H2O America HTO +2.83% 73 EBIT is $190.5 Mil as of Mar. 2026. GuruFocus rates HTO with a GF Score™ of 73/100 and a GF Value™ of $57.40 (Fairly Valued). The stock has 9 warning signs investors should review.

H2O America's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was $41.2 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was $190.5 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. H2O America's annualized ROC % for the quarter that ended in Mar. 2026 was 2.50%. H2O America's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 4.21%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. H2O America's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 4.54%.


H2O America  (NAS:HTO) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

H2O America's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=149.704 * ( 1 - 15.14% )/( (5090.253 + 5074.973)/ 2 )
=127.0388144/5082.613
=2.50 %

where

Invested Capital(Q: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=5149.566 - 142.098 - ( 20.686 - max(0, 273.378 - 190.593+20.686))
=5090.253

Invested Capital(Q: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=5353.304 - 125.323 - ( 153.008 - max(0, 160.048 - 323.414+153.008))
=5074.973

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

H2O America's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=164.976/( ( (3892.904 + max(-72.534, 0)) + (3948.963 + max(-58.981, 0)) )/ 2 )
=164.976/( ( 3892.904 + 3948.963 )/ 2 )
=164.976/3920.9335
=4.21 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(62.471 + 0 + 28.035) - (142.098 + 0 + 20.942)
=-72.534

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(62.069 + 0 + 30.365) - (125.323 + 0 + 26.092)
=-58.981

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

H2O America's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=190.458/4196.407
=4.54 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


H2O America EBIT Related Terms


H2O America EBIT Historical Data

* Premium members only.

The historical data trend for H2O America's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

H2O America EBIT Chart

H2O America Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 123.19 140.39 157.09 174.33 187.51

H2O America Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 38.29 47.47 68.82 32.93 41.24

HTO vs CWT, AWR, MSEX: EBIT Comparison

For the Utilities - Regulated Water subindustry, H2O America's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


H2O America EV-to-EBIT vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, H2O America's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where H2O America's EV-to-EBIT falls into.


HTO
73GF Score
H2O America HTO
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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H2O America EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $190.5 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of $190.5 Mil mean?
H2O America (HTO) has a EBIT of $190.5 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on H2O America.
Is H2O America's EBIT too high?
H2O America's current EBIT is $190.5 Mil. Overall, H2O America has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does H2O America's EBIT compare to CWT and AWR?
H2O America's EBIT of $190.5 Mil can be compared against companies in the Utilities - Regulated industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for an Utilities - Regulated company?
A good EBIT depends on the Utilities - Regulated industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on H2O America. H2O America's current EBIT is $190.5 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is H2O America stock overvalued right now?
Based on GuruFocus' analysis, H2O America (HTO) is currently considered Fairly Valued. The stock's GF Value™ is $57.40, compared to a current price of $59.16 — trading 3.1% above its estimated fair value. The current EBIT is $190.5 Mil. H2O America's overall GF Score™ is 73/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For H2O America (HTO), the current EBIT is $190.5 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is H2O America (HTO) Overvalued in 2026?

Based on GuruFocus' analysis, H2O America stock appears to be overvalued. The current stock price of $59.16 is trading 3.1% above its estimated GF Value™ of $57.40. GuruFocus considers H2O America to be Fairly Valued.

Key valuation signals for HTO:

  • EBIT: $190.5 Mil
  • GF Value™: $57.40 vs. price of $59.16 (3.1% above fair value)
  • GF Score™: 73/100 with 9 warning signs

No single metric tells the full story. See the HTO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


H2O America Business Description

Other Exchanges 76W:Germany
Address 110 West Taylor Street, San Jose, CA, USA, 95110
H2O America is a national investor-owned network of local water and wastewater utilities united by one purpose: delivering clean, high-quality water to the communities it calls home. Across approximately 407,000 water and wastewater service connections, the company invests in critical infrastructure to strengthen the water supply for generations to come. Its single reportable segment provides water utility and utility-related services to its customers.
73GF Score

Get the complete analysis for HTO

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$59.16
Price
$57.40
GF Value