American States Water CoAWR +1.06%73 ROE % is 11.36% as of Mar. 2026, which is 17% below its 10-year median of 13.73. GuruFocus rates AWR with a GF Score™ of 73/100 and a GF Value™ of $84.88 (Fairly Valued). The stock has 3 warning signs investors should review. Among 503 Utilities - Regulated companies, American States Water Co ranks better than 74.55% on this metric.
The historical rank and industry rank for American States Water Co's ROE % or its related term are showing as below:
AWR'
s ROE % Range Over the Past 10 Years
Min: 11.24 Med: 13.73 Max: 16.82
Current: 13.23
During the past 13 years, American States Water Co's highest ROE % was 16.82%. The lowest was 11.24%. And the median was 13.73%.
AWR's ROE % is ranked better than 74.55% of 503
companies
in the Utilities - Regulated industry
Industry Median: 8.62
vs AWR: 13.23
American States Water Co (NYSE:AWR) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
* 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.
For the Utilities - Regulated Water subindustry, American States Water Co's ROE %, along with its competitors' market caps and ROE % 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 States Water Co ROE % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, American States Water Co's ROE % distribution charts can be found below:
* The bar in red indicates where American States Water Co's ROE % falls into.
* 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.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
American States Water Co (AWR) has a ROE % of 11.36% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on American States Water Co and its competitors. This is 17% below median its historical median of 13.73. Over the past decade, American States Water Co's ROE % has ranged from 11.24 to 16.82. According to the industry distribution chart, American States Water Co ranks #128 out of 503 companies in the Utilities - Regulated industry, placing it in the top 25.4%.
Is American States Water Co's ROE % too high?
American States Water Co's current ROE % of 11.36% is 17% below median its 10-year median of 13.73. Over the past 10 years, this metric has ranged from a low of 11.24 to a high of 16.82. The Utilities - Regulated industry median ROE % is 8.62. American States Water Co's value of 11.36% is 31.8% above this industry median. Based on the distribution chart, American States Water Co ranks #128 out of 503 companies in the Utilities - Regulated industry, which is above the industry midpoint. Overall, American States Water Co has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does American States Water Co's ROE % compare to CWT and HTO?
According to the Utilities - Regulated industry distribution chart, American States Water Co ranks #128 out of 503 companies for ROE %. This puts American States Water Co in the upper half of its industry. The industry median ROE % is 8.62. American States Water Co's value of 11.36% is 31.8% above this benchmark. Historically, American States Water Co's own ROE % has ranged from 11.24 to 16.82 over the past decade. While the company's 10-year median is 13.73 vs. the industry median of 8.62, American States Water 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 ROE % for an Utilities - Regulated company?
The median ROE % among Utilities - Regulated companies is 8.62, based on 503 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. American States Water Co's current ROE % of 11.36% is 31.8% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on American States Water Co and its competitors. For the Utilities - Regulated industry, the median ROE % is 8.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American States Water Co's current ROE % is 11.36%, which is 17% below median its own 10-year median of 13.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American States Water Co stock overvalued right now?
Based on GuruFocus' analysis, American States Water Co (AWR) is currently considered Fairly Valued. The stock's GF Value™ is $84.88, compared to a current price of $79.87 — trading 5.9% below its estimated fair value. The current ROE % is 11.36%, which is 17% below median its 10-year median of 13.73 and 31.8% above the Utilities - Regulated industry median of 8.62. American States Water Co's overall GF Score™ is 73/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For American States Water Co (AWR), the current ROE % is 11.36% 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 States Water Co (AWR) Overvalued in 2026?
Based on GuruFocus' analysis, American States Water Co stock appears to be undervalued.
The current stock price of $79.87 is trading 5.9% below its estimated GF Value™ of $84.88.
GuruFocus considers American States Water Co to be Fairly Valued.
Key valuation signals for AWR:
ROE %: 11.36% (17% below median its 10-year median of 13.73)
GF Value™: $84.88 vs. price of $79.87 (5.9% below fair value)
Industry Position: 31.8% above the Utilities - Regulated median (#128 of 503)
No single metric tells the full story. See the AWR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
American States Water Co is a water and utilities holding company based in California. The segments of the firm include water, electric, and contracted services. Within these segments, American States Water conducts water and electric operations through Golden State Water Company and Bear Valley Electric Service, Inc while contracted services through American States Utility Services and its subsidiaries. Golden State Water conducts its operations across various counties in California and is regulated by the California Public Utilities Commission. American States Utility Services has contracted with the U.S. government to provide water services to various military installations. The majority of the company's revenue is derived from water services to commercial and residential customers.
73GF Score
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