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American Water Works Co has the Profitability Rank of 8. It has a higher profitability and may stay that way.
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is rated on a scale of 1 to 10 and is based on these factors:
1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank
A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.
American Water Works Co Profitability Rank Related Terms
AWK vs WTRG, AWR, CWT: Profitability Rank Comparison
For the Utilities - Regulated Water subindustry, American Water Works Co's Profitability Rank, along with its competitors' market caps and Profitability Rank 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 Profitability Rank vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, American Water Works Co's Profitability Rank distribution charts can be found below:
* The bar in red indicates where American Water Works Co's Profitability Rank falls into.
American Water Works Co Profitability Rank Calculation
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.
The rank is rated on a scale of 1 to 10. A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.
American Water Works Co has the Profitability Rank of 8. It has a higher profitability and may stay that way.
Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.
Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.
* 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 (AWK) has a Profitability Rank of 8 as of Jun. 2026. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on American Water Works Co and its competitors. This is near median its historical median of 8.00. Over the past decade, American Water Works Co's Profitability Rank has ranged from 6.00 to 9.00.
Is American Water Works Co's Profitability Rank too high?
American Water Works Co's current Profitability Rank of 8 is near median its 10-year median of 8.00. Over the past 10 years, this metric has ranged from a low of 6.00 to a high of 9.00. Overall, American Water Works Co has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does American Water Works Co's Profitability Rank compare to WTRG and AWR?
American Water Works Co's Profitability Rank of 8 can be compared against companies in the Utilities - Regulated industry. Historically, American Water Works Co's own Profitability Rank has ranged from 6.00 to 9.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Profitability Rank for an Utilities - Regulated company?
A good Profitability Rank depends on the Utilities - Regulated industry context. However, Profitability Rank 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 Profitability Rank mean?
A high Profitability Rank can signal that a stock is expensive relative to its fundamentals. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on American Water Works Co and its competitors. American Water Works Co's current Profitability Rank is 8, which is near median its own 10-year median of 8.00. 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 (AWK) is currently considered Modestly Undervalued. The stock's GF Value™ is $153.81, compared to a current price of $134.01 — trading 12.9% below its estimated fair value. The current Profitability Rank is 8, which is near median its 10-year median of 8.00. American Water Works Co's overall GF Score™ is 76/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Profitability Rank calculated?
Profitability Rank is calculated from a company's financial statements. For American Water Works Co (AWK), the current Profitability Rank is 8 as of Jun. 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 (AWK) Overvalued in 2026?
Based on GuruFocus' analysis, American Water Works Co stock appears to be undervalued.
The current stock price of $134.01 is trading 12.9% below its estimated GF Value™ of $153.81.
GuruFocus considers American Water Works Co to be Modestly Undervalued.
Key valuation signals for AWK:
Profitability Rank: 8 (near median its 10-year median of 8.00)
GF Value™: $153.81 vs. price of $134.01 (12.9% below fair value)
No single metric tells the full story. See the AWK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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.
76GF Score
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Profitability Rank is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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