American Water Works Co (STU:AWC) Margin of Safety % (DCF Earnings Based): -69.84% (As of Jun. 25, 2026)


STU:AWC American Water Works Co Inc STU:AWC
82 GF Score
Price €114.15
GF Value €136.63
Valuation Modestly Undervalued
! 3 Warning Signs
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What is American Water Works Co Margin of Safety % (DCF Earnings Based)?

American Water Works Co STU:AWC +2.61% 82 Margin of Safety % (DCF Earnings Based) is -69.84% as of Jun. 25, 2026. GuruFocus rates STU:AWC with a GF Score™ of 82/100 and a GF Value™ of €136.63 (Modestly Undervalued). The stock has 3 warning signs investors should review.

Margin of Safety % (DCF Earnings Based) = (Intrinsic Value: DCF (Earnings Based) - Current Price) / Intrinsic Value: DCF (Earnings Based).

Note: Discounted Earnings model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's Predictability Rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

As of today (2026-06-25), American Water Works Co's Predictability Rank is 5-Stars. American Water Works Co's intrinsic value calculated from the Discounted Earnings model is €67.21 and current share price is €114.15. Consequently,

American Water Works Co's Margin of Safety % (DCF Earnings Based) using Discounted Earnings model is -69.84%.

STU:AWC vs WTRG, AWR, CWT: Margin of Safety % (DCF Earnings Based) Comparison

For the Utilities - Regulated Water subindustry, American Water Works Co's Margin of Safety % (DCF Earnings Based), along with its competitors' market caps and Margin of Safety % (DCF Earnings Based) 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.

American Water Works Co Margin of Safety % (DCF Earnings Based) vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, American Water Works Co's Margin of Safety % (DCF Earnings Based) distribution charts can be found below:

* The bar in red indicates where American Water Works Co's Margin of Safety % (DCF Earnings Based) falls into.


STU:AWC
82GF Score
American Water Works Co Inc STU:AWC
Margin of Safety % (DCF Earnings Based) is just one metric. See GF Score™, valuation, warning signs, and more.
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American Water Works Co Margin of Safety % (DCF Earnings Based) Calculation

American Water Works Co's Margin of Safety % (DCF Earnings Based) for today is calculated as

Margin of Safety % (DCF Earnings Based)=(Intrinsic Value: DCF (Earnings Based)-Current Price)/Intrinsic Value: DCF (Earnings Based)
=(67.21-114.15)/67.21
=-69.84 %

* 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.

The intrinsic value is calculated from the Discounted Earnings model with default parameters. The calculation method is the same as Discounted Cash Flow model except earnings are used in the calculation instead of free cash flow.

What does a Margin of Safety % (DCF Earnings Based) of -69.84% mean?
American Water Works Co (STU:AWC) has a Margin of Safety % (DCF Earnings Based) of -69.84% as of Jun. 25, 2026. Margin of Safety % (DCF Earnings Based) is the percent difference between the current price and the intrinsic DCF Earnings price. View historical data on American Water Works Co.
Is American Water Works Co's Margin of Safety % (DCF Earnings Based) too high?
American Water Works Co's current Margin of Safety % (DCF Earnings Based) is -69.84%. Overall, American Water Works Co has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does American Water Works Co's Margin of Safety % (DCF Earnings Based) compare to WTRG and AWR?
American Water Works Co's Margin of Safety % (DCF Earnings Based) of -69.84% 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 Margin of Safety % (DCF Earnings Based) for an Utilities - Regulated company?
A good Margin of Safety % (DCF Earnings Based) depends on the Utilities - Regulated industry context. However, Margin of Safety % (DCF Earnings Based) 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 Margin of Safety % (DCF Earnings Based) mean?
A high Margin of Safety % (DCF Earnings Based) can signal that a stock is expensive relative to its fundamentals. Margin of Safety % (DCF Earnings Based) is the percent difference between the current price and the intrinsic DCF Earnings price. View historical data on American Water Works Co. American Water Works Co's current Margin of Safety % (DCF Earnings Based) is -69.84%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Water Works Co stock overvalued right now?
Based on GuruFocus' analysis, American Water Works Co (STU:AWC) is currently considered Modestly Undervalued. The stock's GF Value™ is €136.63, compared to a current price of €114.15 — trading 16.5% below its estimated fair value. The current Margin of Safety % (DCF Earnings Based) is -69.84%. American Water Works Co's overall GF Score™ is 82/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Margin of Safety % (DCF Earnings Based) calculated?
Margin of Safety % (DCF Earnings Based) is calculated from a company's financial statements. For American Water Works Co (STU:AWC), the current Margin of Safety % (DCF Earnings Based) is -69.84% as of Jun. 25, 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 American Water Works Co (STU:AWC) Overvalued in 2026?

Based on GuruFocus' analysis, American Water Works Co stock appears to be undervalued. The current stock price of €114.15 is trading 16.5% below its estimated GF Value™ of €136.63. GuruFocus considers American Water Works Co to be Modestly Undervalued.

Key valuation signals for STU:AWC:

  • Margin of Safety % (DCF Earnings Based): -69.84%
  • GF Value™: €136.63 vs. price of €114.15 (16.5% below fair value)
  • GF Score™: 82/100 with 3 warning signs

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

American Water Works Co Business Description

Address 1 Water Street, Camden, NJ, USA, 08102-1658
American Water Works is the largest investor-owned US water and wastewater utility, serving nearly 4 million customers in 14 states. It provides water and wastewater services to residential, commercial, and industrial customers and operates predominantly in regulated markets. The company's nonregulated business is water services for military bases, which operates under long-term contracts with regulated-like returns. The proposed Essential Utilities acquisition would add regulated water and wastewater utilities in Ohio, North Carolina, and Texas while increasing its presence in Illinois, Indiana, Pennsylvania, New Jersey, and Virginia.
82GF Score

Get the complete analysis for STU:AWC

Margin of Safety % (DCF Earnings Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€114.15
Price
€136.63
GF Value