Essential Utilities (STU:A2A) OCF Margin %: 30.80% (As of Mar. 2026) — 22% Below Median


STU:A2A Essential Utilities Inc STU:A2A
75 GF Score
Price €33.21
GF Value €36.90
Valuation Modestly Undervalued
! 7 Warning Signs
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What is Essential Utilities OCF Margin %?

Essential Utilities STU:A2A -0.21% 75 OCF Margin % is 30.80% as of Mar. 2026, which is 22% below its 10-year median of 39.44. GuruFocus rates STU:A2A with a GF Score™ of 75/100 and a GF Value™ of €36.90 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 499 Utilities - Regulated companies, Essential Utilities ranks better than 82.77% on this metric.

OCF Margin % is calculated as Cash Flow from Operations divided by its Revenue. Essential Utilities's Cash Flow from Operations for the three months ended in Mar. 2026 was €230 Mil. Essential Utilities's Revenue for the three months ended in Mar. 2026 was €745 Mil. Therefore, Essential Utilities's OCF Margin % for the quarter that ended in Mar. 2026 was 30.80%.

As of today, Essential Utilities's current OCF Yield % is 9.08%.

The historical rank and industry rank for Essential Utilities's OCF Margin % or its related term are showing as below:

STU:A2A' s OCF Margin % Range Over the Past 10 Years
Min: 26.24   Med: 39.44   Max: 48.32
Current: 38.25


During the past 13 years, the highest OCF Margin % of Essential Utilities was 48.32%. The lowest was 26.24%. And the median was 39.44%.

STU:A2A's OCF Margin % is ranked better than
82.77% of 499 companies
in the Utilities - Regulated industry
Industry Median: 18.61 vs STU:A2A: 38.25


Essential Utilities OCF Margin % Related Terms


Essential Utilities OCF Margin % Historical Data

* Premium members only.

The historical data trend for Essential Utilities's OCF Margin % 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.

Essential Utilities OCF Margin % Chart

Essential Utilities Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
OCF Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 34.33 26.24 45.46 36.93 40.83

Essential Utilities Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
OCF Margin % 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 38.22 52.89 48.75 29.48 30.80

STU:A2A vs AWR, CWT, HTO: OCF Margin % Comparison

For the Utilities - Regulated Water subindustry, Essential Utilities's OCF Margin %, along with its competitors' market caps and OCF Margin % 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.


Essential Utilities OCF Margin % vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Essential Utilities's OCF Margin % distribution charts can be found below:

* The bar in red indicates where Essential Utilities's OCF Margin % falls into.


STU:A2A
75GF Score
Essential Utilities Inc STU:A2A
OCF Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Essential Utilities OCF Margin % Calculation

OCF Margin % is the ratio of Cash Flow from Operations divided by net sales or Revenue, usually presented in percent.

Essential Utilities's OCF Margin for the fiscal year that ended in Dec. 2025 is calculated as

OCF Margin=Cash Flow from Operations (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=862.932/2113.321
=40.83 %

Essential Utilities's OCF Margin for the quarter that ended in Mar. 2026 is calculated as

OCF Margin=Cash Flow from Operations (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=229.575/745.422
=30.80 %

* 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 OCF Margin % →
What does a OCF Margin % of 30.80% mean?
Essential Utilities (STU:A2A) has a OCF Margin % of 30.80% as of Mar. 2026. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Essential Utilities and its competitors. This is 22% below median its historical median of 39.44. Over the past decade, Essential Utilities' OCF Margin % has ranged from 26.24 to 48.32. According to the industry distribution chart, Essential Utilities ranks #86 out of 499 companies in the Utilities - Regulated industry, placing it in the top 17.2%.
Is Essential Utilities' OCF Margin % too high?
Essential Utilities' current OCF Margin % of 30.80% is 22% below median its 10-year median of 39.44. Over the past 10 years, this metric has ranged from a low of 26.24 to a high of 48.32. The Utilities - Regulated industry median OCF Margin % is 18.61. Essential Utilities' value of 30.80% is 65.5% above this industry median. Based on the distribution chart, Essential Utilities ranks #86 out of 499 companies in the Utilities - Regulated industry, which is in the top quartile — a strong position relative to peers. Overall, Essential Utilities has a GF Score™ of 75/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Essential Utilities' OCF Margin % compare to AWR and CWT?
According to the Utilities - Regulated industry distribution chart, Essential Utilities ranks #86 out of 499 companies for OCF Margin %. This places Essential Utilities in the top 17% of its industry — outperforming the majority of peers. The industry median OCF Margin % is 18.61. Essential Utilities' value of 30.80% is 65.5% above this benchmark. Historically, Essential Utilities' own OCF Margin % has ranged from 26.24 to 48.32 over the past decade. While the company's 10-year median is 39.44 vs. the industry median of 18.61, Essential Utilities has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good OCF Margin % for an Utilities - Regulated company?
The median OCF Margin % among Utilities - Regulated companies is 18.61, based on 499 companies in the industry. Companies in the top quartile (top 25%) have a OCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, OCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Essential Utilities's current OCF Margin % of 30.80% is 65.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high OCF Margin % mean?
A high OCF Margin % can signal that a stock is expensive relative to its fundamentals. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Essential Utilities and its competitors. For the Utilities - Regulated industry, the median OCF Margin % is 18.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Essential Utilities's current OCF Margin % is 30.80%, which is 22% below median its own 10-year median of 39.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Essential Utilities stock overvalued right now?
Based on GuruFocus' analysis, Essential Utilities (STU:A2A) is currently considered Modestly Undervalued. The stock's GF Value™ is €36.90, compared to a current price of €33.21 — trading 10% below its estimated fair value. The current OCF Margin % is 30.80%, which is 22% below median its 10-year median of 39.44 and 65.5% above the Utilities - Regulated industry median of 18.61. Essential Utilities' overall GF Score™ is 75/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is OCF Margin % calculated?
OCF Margin % is calculated from a company's financial statements. For Essential Utilities (STU:A2A), the current OCF Margin % is 30.80% 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 Essential Utilities (STU:A2A) Overvalued in 2026?

Based on GuruFocus' analysis, Essential Utilities stock appears to be undervalued. The current stock price of €33.21 is trading 10% below its estimated GF Value™ of €36.90. GuruFocus considers Essential Utilities to be Modestly Undervalued.

Key valuation signals for STU:A2A:

  • OCF Margin %: 30.80% (22% below median its 10-year median of 39.44)
  • GF Value™: €36.90 vs. price of €33.21 (10% below fair value)
  • GF Score™: 75/100 with 7 warning signs
  • Industry Position: 65.5% above the Utilities - Regulated median (#86 of 499)

No single metric tells the full story. See the STU:A2A stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Essential Utilities Business Description

Other Exchanges WTRG:USA
Address 762 West Lancaster Avenue, Bryn Mawr, PA, USA, 19010-3489
Essential Utilities is a Pennsylvania-based holding company for US water, wastewater, and natural gas distribution utilities. The company's water business serves 3 million people in eight states. Its largest service territory is in Pennsylvania, primarily suburban Philadelphia. Its Peoples subsidiary serves more than 740,000 gas distribution customers in Pennsylvania and Kentucky. It completed the sale of its West Virginia gas utility and the bulk of its nonregulated assets in 2024. Essential shareholders would own a 31% stake in American Water Works if the proposed all-stock merger closes in 2027.
75GF Score

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

€33.21
Price
€36.90
GF Value