Key Points
- Insider sale: Colleen Arnold sold 2,855 Essential Utilities shares for approximately $112,915 at an average price of $39.55, reducing her direct stake by 14.13% to 17,347 shares.
- Quarterly performance: Essential Utilities reported adjusted earnings of $0.38 per share, beating estimates by $0.01, while revenue rose 3.1% year over year to $530.85 million but came in below expectations.
- Dividend and outlook: The company raised its quarterly dividend to $0.3606 per share, equivalent to a 3.6% yield. Analysts maintain a “Moderate Buy” consensus with an average price target of $43, compared with the stock’s $40.05 opening price.
Essential Utilities Inc. (NYSE:WTRG - Get Free Report) insider Colleen Arnold sold 2,855 shares of the company's stock in a transaction on Friday, August 7th. The shares were sold at an average price of $39.55, for a total transaction of $112,915.25. Following the completion of the sale, the insider directly owned 17,347 shares of the company's stock, valued at $686,073.85. This trade represents a 14.13% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink.
Essential Utilities Price Performance
Shares of NYSE:WTRG opened at $40.05 on Wednesday. The stock has a market cap of $11.37 billion, a PE ratio of 20.43 and a beta of 0.64. The company's fifty day moving average is $38.58 and its 200 day moving average is $38.89. Essential Utilities Inc. has a 52 week low of $36.10 and a 52 week high of $42.37. The company has a quick ratio of 0.62, a current ratio of 0.78 and a debt-to-equity ratio of 1.20.
Essential Utilities (NYSE:WTRG - Get Free Report) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $0.38 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.37 by $0.01. Essential Utilities had a net margin of 21.60% and a return on equity of 8.23%. The business had revenue of $530.85 million during the quarter, compared to analyst estimates of $538.90 million. During the same period in the prior year, the business posted $0.38 earnings per share. The company's revenue was up 3.1% on a year-over-year basis. Research analysts anticipate that Essential Utilities Inc. will post 2.21 earnings per share for the current year.
Essential Utilities Increases Dividend
The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 1st. Investors of record on Tuesday, August 11th will be given a dividend of $0.3606 per share. This represents a $1.44 annualized dividend and a yield of 3.6%. The ex-dividend date is Tuesday, August 11th. This is a positive change from Essential Utilities's previous quarterly dividend of $0.34. Essential Utilities's dividend payout ratio is 73.47%.
Institutional Inflows and Outflows
A number of hedge funds have recently added to or reduced their stakes in the stock. Evolution Wealth Management Inc. bought a new position in Essential Utilities in the 1st quarter worth $27,000. Fideuram Asset Management Ireland dac purchased a new stake in Essential Utilities in the fourth quarter worth about $27,000. Caitong International Asset Management Co. Ltd purchased a new stake in Essential Utilities in the fourth quarter worth about $32,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in Essential Utilities during the 2nd quarter valued at approximately $33,000. Finally, Motiv8 Investments LLC bought a new stake in Essential Utilities during the 4th quarter valued at approximately $35,000. 74.78% of the stock is owned by hedge funds and other institutional investors.
Wall Street Analysts Forecast Growth
Several analysts have weighed in on WTRG shares. UBS Group boosted their price objective on Essential Utilities from $43.00 to $46.00 and gave the company a "buy" rating in a research report on Thursday, July 2nd. Weiss Ratings reiterated a "hold (c+)" rating on shares of Essential Utilities in a report on Friday, May 22nd. Wall Street Zen raised shares of Essential Utilities to a "sell" rating in a research report on Saturday, July 4th. Finally, Barclays boosted their price objective on shares of Essential Utilities from $38.00 to $40.00 and gave the company an "underweight" rating in a research report on Wednesday, July 15th. Two investment analysts have rated the stock with a Strong Buy rating, two have given a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $43.00.
Get Our Latest Stock Analysis on Essential Utilities
About Essential Utilities
(
Get Free Report)
Essential Utilities, Inc, formerly known as Aqua America, is a publicly traded water and natural gas utility holding company. Through its regulated water and wastewater subsidiaries, the company provides essential water services to residential, commercial and industrial customers. In addition, Essential Utilities delivers natural gas distribution services in Pennsylvania through its Peoples Gas subsidiary, offering integrated utility solutions under a unified corporate framework.
The company traces its roots to the Philadelphia Suburban Water Company, founded in 1886 to serve growing communities outside Philadelphia.
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