Sectors & IndustriesUtilitiesUtilities - Regulated Water

Best Water Stocks to Buy Now (2026)

Top water stocks in 2026 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +28.50% per year, and are the best water stocks to buy now. Learn More.

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best water utility stocks to buy right now are:

Artesian Resources (NASDAQ:ARTNA) is the #1 top water stock out of 13 with a Zen Rating of C. Stocks with a rating of C have had an average return of +5.11% per year. Learn more.

The Component Grade breakdown for Artesian Resources (NASDAQ:ARTNA) is: Value: C, Growth: D, Momentum: C, Sentiment: C, Safety: B, Financials: C, and AI: B.

Artesian Resources (NASDAQ:ARTNA) has a Due Diligence Score of 39, which is 3 points higher than the water industry average of 36.

ARTNA passed 13 out of 38 due diligence checks and has average fundamentals. Artesian Resources has seen its stock return 0.86% over the past year, underperforming other water stocks by -7 percentage points.

York Water Co (NASDAQ:YORW) is the #2 top water stock out of 13 with a Zen Rating of C. Stocks with a rating of C have had an average return of +5.11% per year. Learn more.

The Component Grade breakdown for York Water Co (NASDAQ:YORW) is: Value: C, Growth: C, Momentum: C, Sentiment: C, Safety: B, Financials: C, and AI: B.

York Water Co (NASDAQ:YORW) has a Due Diligence Score of 44, which is 8 points higher than the water industry average of 36.

YORW passed 15 out of 38 due diligence checks and has strong fundamentals. York Water Co has seen its stock lose -1.9% over the past year, underperforming other water stocks by -10 percentage points.

York Water Co has an average 1 year price target of $33.40, an upside of 6.03% from York Water Co's current stock price of $31.50.

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

Middlesex Water Co (NASDAQ:MSEX) is the #3 top water stock out of 13 with a Zen Rating of C. Stocks with a rating of C have had an average return of +5.11% per year. Learn more.

The Component Grade breakdown for Middlesex Water Co (NASDAQ:MSEX) is: Value: C, Growth: C, Momentum: C, Sentiment: B, Safety: C, Financials: C, and AI: B.

Middlesex Water Co (NASDAQ:MSEX) has a Due Diligence Score of 41, which is 5 points higher than the water industry average of 36.

MSEX passed 14 out of 38 due diligence checks and has strong fundamentals. Middlesex Water Co has seen its stock return 9.21% over the past year, overperforming other water stocks by 1 percentage points.

Middlesex Water Co has an average 1 year price target of $58.00, an upside of 1.05% from Middlesex Water Co's current stock price of $57.40.

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

Out of 11 water stocks that have issued dividends in the past year, the 3 water stocks with the highest dividend yields are:

Global Water Resources (NASDAQ:GWRS) has an annual dividend yield of 4.18%, which is 1 percentage points higher than the water industry average of 2.74%. Global Water Resources's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Global Water Resources's dividend has shown consistent growth over the last 10 years.

Global Water Resources's dividend payout ratio of 385.8% indicates that its dividend yield might not be sustainable for the long-term.

Essential Utilities (NYSE:WTRG) has an annual dividend yield of 3.11%, which is the same as the water industry average of 2.74%. 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 69.8% indicates that its dividend yield is sustainable for the long-term.

Artesian Resources (NASDAQ:ARTNA) has an annual dividend yield of 2.92%, which is the same as the water industry average of 2.74%. 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 54.5% indicates that its dividend yield is sustainable for the long-term.

Water stocks were up 0.37% in the last day, and down -2.49% over the last week.

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

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued water stocks right now are:

Sabesp (NYSE:SBS) is the most undervalued water stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Sabesp has a valuation score of 14, which is -17 points higher than the water industry average of 31. It passed 1 out of 7 valuation due diligence checks. Although this number is below the industry average, our proven quant model rates SBS a Valuation Rating of "B".

Sabesp's stock has dropped -7.41% in the past year. It has underperformed other stocks in the water industry by -16 percentage points.

Artesian Resources (NASDAQ:ARTNA) is the second most undervalued water stock based on its Valuation Rating of C. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Artesian Resources has a valuation score of 43, which is 12 points higher than the water industry average of 31. It passed 3 out of 7 valuation due diligence checks.

Artesian Resources's stock has gained 0.86% in the past year. It has underperformed other stocks in the water industry by -7 percentage points.

California Water Service Group (NYSE:CWT) is the third most undervalued water stock based on its Valuation Rating of C. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

California Water Service Group has a valuation score of 43, which is 12 points higher than the water industry average of 31. It passed 3 out of 7 valuation due diligence checks.

California Water Service Group's stock has gained 8.17% in the past year. It has performed in line with other stocks in the water industry.

71.43% of water stocks rated by analysts are a hold right now. On average, analysts expect water stocks to rise by 3.28% over the next year.

0% of water stocks have a Zen Rating of A (Strong Buy), 0% of water stocks are rated B (Buy), 61.54% are rated C (Hold), 30.77% are rated D (Sell), and 7.69% are rated F (Strong Sell).