American Water Works Co (STU:AWC) Dividend Payout Ratio: 0.82 (As of Mar. 2026) — 49% Above Median


STU:AWC American Water Works Co Inc STU:AWC
83 GF Score
Price €115.25
GF Value €136.12
Valuation Modestly Undervalued
! 3 Warning Signs
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What is American Water Works Co Dividend Payout Ratio?

American Water Works Co STU:AWC -0.35% 83 Dividend Payout Ratio is 0.82 as of Mar. 2026, which is 49% above its 10-year median of 0.55. GuruFocus rates STU:AWC with a GF Score™ of 83/100 and a GF Value™ of €136.12 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 373 Utilities - Regulated companies, American Water Works Co ranks worse than 58.45% on this metric.

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period. American Water Works Co's Dividend Payout Ratio for the months ended in Mar. 2026 was 0.82.

The historical rank and industry rank for American Water Works Co's Dividend Payout Ratio or its related term are showing as below:

STU:AWC' s Dividend Payout Ratio Range Over the Past 10 Years
Min: 0.52   Med: 0.55   Max: 0.59
Current: 0.59


During the past 13 years, the highest Dividend Payout Ratio of American Water Works Co was 0.59. The lowest was 0.52. And the median was 0.55.

STU:AWC's Dividend Payout Ratio is ranked worse than
58.45% of 373 companies
in the Utilities - Regulated industry
Industry Median: 0.54 vs STU:AWC: 0.59

As of today (2026-07-02), the Dividend Yield % of American Water Works Co is 2.51%.

During the past 13 years, the highest Trailing Annual Dividend Yield of American Water Works Co was 2.69%. The lowest was 1.22%. And the median was 1.88%.

American Water Works Co's Dividends per Share for the months ended in Mar. 2026 was €0.72.

During the past 12 months, American Water Works Co's average Dividends Per Share Growth Rate was 8.20% per year. During the past 3 years, the average Dividends Per Share Growth Rate was 8.10% per year. During the past 5 years, the average Dividends Per Share Growth Rate was 8.50% per year. During the past 10 years, the average Dividends Per Share Growth Rate was 9.40% per year.

During the past 13 years, the highest 3-Year average Dividends Per Share Growth Rate of American Water Works Co was 31.00% per year. The lowest was 4.70% per year. And the median was 9.50% per year.

The growth rate is calculated with least square regression.

For more information regarding to dividend, please check our Dividend Page.

* Please note that "special dividend" is not included in the calculation of dividend per share and related fields.


American Water Works Co (STU:AWC) Dividend Payout Ratio Explanation

In dividends investing, Dividend Payout Ratio and Dividend Growth Rate are the two most important variables for consideration. A lower payout ratio may indicate that the company has more room to increase its dividends.


American Water Works Co Dividend Payout Ratio Related Terms


American Water Works Co Dividend Payout Ratio Historical Data

* Premium members only.

The historical data trend for American Water Works Co's Dividend Payout Ratio 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.

American Water Works Co Dividend Payout Ratio Chart

American Water Works Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Dividend Payout Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.56 0.58 0.58 0.58 0.58

American Water Works Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Dividend Payout Ratio 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 0.75 0.56 0.43 0.68 0.82

STU:AWC vs WTRG, AWR, CWT: Dividend Payout Ratio Comparison

For the Utilities - Regulated Water subindustry, American Water Works Co's Dividend Payout Ratio, along with its competitors' market caps and Dividend Payout Ratio 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 Dividend Payout Ratio vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, American Water Works Co's Dividend Payout Ratio distribution charts can be found below:

* The bar in red indicates where American Water Works Co's Dividend Payout Ratio falls into.


STU:AWC
83GF Score
American Water Works Co Inc STU:AWC
Dividend Payout Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

American Water Works Co Dividend Payout Ratio Calculation

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period.

American Water Works Co's Dividend Payout Ratio for the fiscal year that ended in Dec. 2025 is calculated as

Dividend Payout Ratio=Dividends per Share (A: Dec. 2025 )/ EPS without NRI (A: Dec. 2025 )
=2.773/ 4.817
=0.58

American Water Works Co's Dividend Payout Ratio for the quarter that ended in Mar. 2026 is calculated as

Dividend Payout Ratio=Dividends per Share (Q: Mar. 2026 )/ EPS without NRI (Q: Mar. 2026 )
=0.716/ 0.874
=0.82

* 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 Dividend Payout Ratio →
What does a Dividend Payout Ratio of 0.82 mean?
American Water Works Co (STU:AWC) has a Dividend Payout Ratio of 0.82 as of Mar. 2026. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on American Water Works Co and its competitors. This is 49% above median its historical median of 0.55. Over the past decade, American Water Works Co's Dividend Payout Ratio has ranged from 0.52 to 0.59. According to the industry distribution chart, American Water Works Co ranks #218 out of 373 companies in the Utilities - Regulated industry, placing it in the top 58.4%.
Is American Water Works Co's Dividend Payout Ratio too high?
American Water Works Co's current Dividend Payout Ratio of 0.82 is 49% above median its 10-year median of 0.55. Over the past 10 years, this metric has ranged from a low of 0.52 to a high of 0.59. The Utilities - Regulated industry median Dividend Payout Ratio is 0.54. American Water Works Co's value of 0.82 is 51.9% above this industry median. Based on the distribution chart, American Water Works Co ranks #218 out of 373 companies in the Utilities - Regulated industry, which is below the industry midpoint. Overall, American Water Works Co has a GF Score™ of 83/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does American Water Works Co's Dividend Payout Ratio compare to WTRG and AWR?
According to the Utilities - Regulated industry distribution chart, American Water Works Co ranks #218 out of 373 companies for Dividend Payout Ratio. This places American Water Works Co in the lower half of its industry. The industry median Dividend Payout Ratio is 0.54. American Water Works Co's value of 0.82 is 51.9% above this benchmark. Historically, American Water Works Co's own Dividend Payout Ratio has ranged from 0.52 to 0.59 over the past decade. While the company's 10-year median is 0.55 vs. the industry median of 0.54, American Water Works Co 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 Dividend Payout Ratio for an Utilities - Regulated company?
The median Dividend Payout Ratio among Utilities - Regulated companies is 0.54, based on 373 companies in the industry. Companies in the top quartile (top 25%) have a Dividend Payout Ratio significantly above this median, while those in the bottom quartile fall well below. However, Dividend Payout Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. American Water Works Co's current Dividend Payout Ratio of 0.82 is 51.9% 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 Dividend Payout Ratio mean?
A high Dividend Payout Ratio can signal that a stock is expensive relative to its fundamentals. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on American Water Works Co and its competitors. For the Utilities - Regulated industry, the median Dividend Payout Ratio is 0.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American Water Works Co's current Dividend Payout Ratio is 0.82, which is 49% above median its own 10-year median of 0.55. 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 €136.12, compared to a current price of €115.25 — trading 15.3% below its estimated fair value. The current Dividend Payout Ratio is 0.82, which is 49% above median its 10-year median of 0.55 and 51.9% above the Utilities - Regulated industry median of 0.54. American Water Works Co's overall GF Score™ is 83/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Dividend Payout Ratio calculated?
Dividend Payout Ratio is calculated from a company's financial statements. For American Water Works Co (STU:AWC), the current Dividend Payout Ratio is 0.82 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 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 €115.25 is trading 15.3% below its estimated GF Value™ of €136.12. GuruFocus considers American Water Works Co to be Modestly Undervalued.

Key valuation signals for STU:AWC:

  • Dividend Payout Ratio: 0.82 (49% above median its 10-year median of 0.55)
  • GF Value™: €136.12 vs. price of €115.25 (15.3% below fair value)
  • GF Score™: 83/100 with 3 warning signs
  • Industry Position: 51.9% above the Utilities - Regulated median (#218 of 373)

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.
83GF Score

Get the complete analysis for STU:AWC

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

€115.25
Price
€136.12
GF Value