WallStreetZenWallStreetZen

Sectors & IndustriesUtilitiesUtilities - Regulated Water
Best Water Stocks to Buy Now (2023)
Top water stocks in 2023 ranked by overall Zen Score. See the best water stocks to buy now, according to analyst forecasts for the utilities - regulated water industry.

Industry: Utilities - Regulated Wat...
Ticker
Company
Dividends Score
Market Cap
Dividend Yield
Payout Ratio
Last Dividend
Annual Dividend
Dividend Percentile
Dividend Dropped Count (L10Y)
Ex-dividend Date
Div. Payment Date
CWCO
CONSOLIDATED WATER CO LTD
$235.04M2.21%91.90%$0.0850$0.3443%0
CWT
CALIFORNIA WATER SERVICE GROUP
$3.44B1.61%66.20%$0.2600$1.0130%02023-02-17
AWK
AMERICAN WATER WORKS COMPANY INC
$28.48B1.64%34.60%$0.6550$2.5731%02023-02-062023-03-01
SBS
COMPANHIA DE SANEAMENTO BASICO DO ESTADO DE SAO PAULO-SABESP
$7.11B1.93%10.90%$0.2004$0.2037%3
PCYO
PURE CYCLE CORP
$229.07MN/A0.00%N/AN/AN/AN/A
MSEX
MIDDLESEX WATER CO
$1.58B1.32%60.20%$0.3125$1.1824%0
WTRG
ESSENTIAL UTILITIES INC
$12.30B2.98%77.90%$0.2870$1.4058%02023-02-092023-03-01
CDZI
CADIZ INC
$259.58MN/A0.00%N/AN/AN/AN/A
AWR
AMERICAN STATES WATER CO
$3.62B1.56%69.10%$0.3975$1.5329%0
SJW
SJW GROUP
$2.42B1.83%73.60%$0.3800$1.4636%12023-03-01
YORW
YORK WATER CO
$662.71M1.70%57.40%$0.2027$0.7932%0
GWRS
GLOBAL WATER RESOURCES INC
$353.22M2.00%134.10%$0.0248$0.3039%1
ARIS
ARIS WATER SOLUTIONS INC
$818.03M2.52%N/A$0.0900$0.3649%0
ARTNA
ARTESIAN RESOURCES CORP
$584.55M2.22%54.60%$0.2784$1.3743%0

Water Stocks FAQ

What are the best water stocks to buy right now in Feb 2023?

According to Zen Score, the 3 best water utility stocks to buy right now are:

1. Consolidated Water Co (NASDAQ:CWCO)


Consolidated Water Co (NASDAQ:CWCO) is the top water stock with a Zen Score of 39, which is 6 points higher than the water industry average of 33. It passed 13 out of 38 due diligence checks and has average fundamentals. Consolidated Water Co has seen its stock return 55.25% over the past year, overperforming other water stocks by 49 percentage points.

Consolidated Water Co has an average 1 year price target of $20.00, an upside of 30.12% from Consolidated Water Co's current stock price of $15.37.

Consolidated Water Co stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Consolidated Water Co, 100% have issued a Strong Buy rating, 0% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. American Water Works Company (NYSE:AWK)


American Water Works Company (NYSE:AWK) is the second best water stock with a Zen Score of 37, which is 4 points higher than the water industry average of 33. It passed 13 out of 38 due diligence checks and has average fundamentals. American Water Works Company has seen its stock lose -0.57% over the past year, underperforming other water stocks by -7 percentage points.

American Water Works Company has an average 1 year price target of $156.60, a downside of -0.01% from American Water Works Company's current stock price of $156.61.

American Water Works Company stock has a consensus Buy recommendation according to Wall Street analysts. Of the 6 analysts covering American Water Works Company, 33.33% have issued a Strong Buy rating, 0% have issued a Buy, 66.67% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. California Water Service Group (NYSE:CWT)


California Water Service Group (NYSE:CWT) is the third best water stock with a Zen Score of 37, which is 4 points higher than the water industry average of 33. It passed 12 out of 38 due diligence checks and has average fundamentals. California Water Service Group has seen its stock return 3.59% over the past year, underperforming other water stocks by -3 percentage points.

California Water Service Group has an average 1 year price target of $64.00, an upside of 2.12% from California Water Service Group's current stock price of $62.67.

California Water Service Group stock has a consensus Sell recommendation according to Wall Street analysts. Of the 2 analysts covering California Water Service Group, 0% have issued a Strong Buy rating, 0% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 50% have issued a Strong Sell.

What are the water stocks with highest dividends?

Out of 12 water stocks that have issued dividends in the past year, the 3 water stocks with the highest dividend yields are:

1. Essential Utilities (NYSE:WTRG)


Essential Utilities (NYSE:WTRG) has an annual dividend yield of 2.98%, which is 1 percentage points higher than the water industry average of 1.96%. Essential Utilities's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Essential Utilities's dividend has shown consistent growth over the last 10 years.

Essential Utilities's dividend payout ratio of 77.9% indicates that its dividend yield is sustainable for the long-term.

2. Aris Water Solutions (NYSE:ARIS)


Aris Water Solutions (NYSE:ARIS) has an annual dividend yield of 2.52%, which is 1 percentage points higher than the water industry average of 1.96%.

3. Artesian Resources (NASDAQ:ARTNA)


Artesian Resources (NASDAQ:ARTNA) has an annual dividend yield of 2.22%, which is the same as the water industry average of 1.96%. Artesian Resources's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Artesian Resources's dividend has shown consistent growth over the last 10 years.

Artesian Resources's dividend payout ratio of 54.6% indicates that its dividend yield is sustainable for the long-term.

Why are water stocks down?

Water stocks were down -0.87% in the last day, and up 2.38% over the last week.

We couldn't find a catalyst for why water stocks are down.

What are the most undervalued water stocks?

Based on WallStreetZen's Valuation Score, the 3 most undervalued water stocks right now are:

1. Sabesp (NYSE:SBS)


Sabesp (NYSE:SBS) is the most undervalued water stock based on WallStreetZen's Valuation Score. Sabesp has a valuation score of 43, which is 27 points higher than the water industry average of 16. It passed 3 out of 7 valuation due diligence checks.

Sabesp's stock has gained 50.72% in the past year. It has overperformed other stocks in the water industry by 44 percentage points.

2. Consolidated Water Co (NASDAQ:CWCO)


Consolidated Water Co (NASDAQ:CWCO) is the second most undervalued water stock based on WallStreetZen's Valuation Score. Consolidated Water Co has a valuation score of 29, which is 13 points higher than the water industry average of 16. It passed 2 out of 7 valuation due diligence checks.

Consolidated Water Co's stock has gained 55.25% in the past year. It has overperformed other stocks in the water industry by 49 percentage points.

3. Pure Cycle (NASDAQ:PCYO)


Pure Cycle (NASDAQ:PCYO) is the third most undervalued water stock based on WallStreetZen's Valuation Score. Pure Cycle has a valuation score of 29, which is 13 points higher than the water industry average of 16. It passed 2 out of 7 valuation due diligence checks.

Pure Cycle's stock has dropped -22.61% in the past year. It has underperformed other stocks in the water industry by -29 percentage points.

Are water stocks a good buy now?

61.54% of water stocks rated by analysts are a strong buy right now. On average, analysts expect water stocks to rise by 4.08% over the next year.

What is the average p/e ratio of the utilities - regulated water industry?

The average P/E ratio of the utilities - regulated water industry is 25.58x.
WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.