AWK vs. BIP: A Head-to-Head Stock Comparison

Updated on July 7, 2025

Here’s a clear look at AWK and BIP, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

AWK’s market capitalization of 27.31 billion USD is substantially larger than BIP’s 15.72 billion USD, indicating a significant difference in their market valuations.

BIP carries a higher beta at 1.06, indicating it’s more sensitive to market moves, while AWK (beta: 0.70) exhibits greater stability.

Symbol	AWK	BIP
Company Name	American Water Works Company, Inc.	Brookfield Infrastructure Partners L.P.
Country	US	BM
Sector	Utilities	Utilities
Industry	Regulated Water	Diversified Utilities
CEO	John C. Griffith	Samuel J. B. Pollock CPA
Price	140.05 USD	34.07 USD
Market Cap	27.31 billion USD	15.72 billion USD
Beta	0.70	1.06
Exchange	NYSE	NYSE
IPO Date	April 23, 2008	January 10, 2008
ADR	No	No

Historical Performance

This chart compares the performance of AWK and BIP by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AWK vs. BIP: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AWK

10.35%

Regulated Water Industry

Max: 10.35%
Q3: 10.08%
Median: 8.98%
Q1: 8.05%
Min: 7.36%

In the upper quartile for the Regulated Water industry, AWK’s Return on Equity of 10.35% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

BIP

1.90%

Diversified Utilities Industry

Max: 17.95%
Q3: 11.52%
Median: 9.21%
Q1: 6.89%
Min: 1.90%

BIP’s Return on Equity of 1.90% is in the lower quartile for the Diversified Utilities industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

AWK vs. BIP: A comparison of their ROE against their respective Regulated Water and Diversified Utilities industry benchmarks.

Return on Invested Capital

AWK

4.28%

Regulated Water Industry

Max: 6.92%
Q3: 6.34%
Median: 4.28%
Q1: 3.77%
Min: 2.54%

AWK’s Return on Invested Capital of 4.28% is in line with the norm for the Regulated Water industry, reflecting a standard level of efficiency in generating profits from its capital base.

BIP

4.05%

Diversified Utilities Industry

Max: 5.93%
Q3: 5.01%
Median: 4.05%
Q1: 3.29%
Min: 2.36%

BIP’s Return on Invested Capital of 4.05% is in line with the norm for the Diversified Utilities industry, reflecting a standard level of efficiency in generating profits from its capital base.

AWK vs. BIP: A comparison of their ROIC against their respective Regulated Water and Diversified Utilities industry benchmarks.

Net Profit Margin

AWK

22.24%

Regulated Water Industry

Max: 27.17%
Q3: 24.08%
Median: 20.75%
Q1: 16.72%
Min: 6.15%

AWK’s Net Profit Margin of 22.24% is aligned with the median group of its peers in the Regulated Water industry. This indicates its ability to convert revenue into profit is typical for the sector.

BIP

0.50%

Diversified Utilities Industry

Max: 22.37%
Q3: 17.08%
Median: 12.67%
Q1: 9.69%
Min: 0.50%

Falling into the lower quartile for the Diversified Utilities industry, BIP’s Net Profit Margin of 0.50% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

AWK vs. BIP: A comparison of their Net Profit Margin against their respective Regulated Water and Diversified Utilities industry benchmarks.

Operating Profit Margin

AWK

36.59%

Regulated Water Industry

Max: 42.87%
Q3: 36.84%
Median: 28.06%
Q1: 23.46%
Min: 12.18%

AWK’s Operating Profit Margin of 36.59% is around the midpoint for the Regulated Water industry, indicating that its efficiency in managing core business operations is typical for the sector.

BIP

24.06%

Diversified Utilities Industry

Max: 27.96%
Q3: 22.82%
Median: 19.04%
Q1: 13.03%
Min: 7.89%

An Operating Profit Margin of 24.06% places BIP in the upper quartile for the Diversified Utilities industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

AWK vs. BIP: A comparison of their Operating Margin against their respective Regulated Water and Diversified Utilities industry benchmarks.

Profitability at a Glance

Symbol	AWK	BIP
Return on Equity (TTM)	10.35%	1.90%
Return on Assets (TTM)	3.23%	0.10%
Return on Invested Capital (TTM)	4.28%	4.05%
Net Profit Margin (TTM)	22.24%	0.50%
Operating Profit Margin (TTM)	36.59%	24.06%
Gross Profit Margin (TTM)	56.18%	25.97%

Financial Strength

Current Ratio

AWK

0.49

Regulated Water Industry

Max: 0.98
Q3: 0.94
Median: 0.81
Q1: 0.59
Min: 0.46

AWK’s Current Ratio of 0.49 falls into the lower quartile for the Regulated Water industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

BIP

0.77

Diversified Utilities Industry

Max: 2.07
Q3: 1.38
Median: 1.19
Q1: 0.81
Min: 0.57

BIP’s Current Ratio of 0.77 falls into the lower quartile for the Diversified Utilities industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

AWK vs. BIP: A comparison of their Current Ratio against their respective Regulated Water and Diversified Utilities industry benchmarks.

Debt-to-Equity Ratio

AWK

1.38

Regulated Water Industry

Max: 1.38
Q3: 1.15
Median: 0.90
Q1: 0.77
Min: 0.68

AWK’s leverage is in the upper quartile of the Regulated Water industry, with a Debt-to-Equity Ratio of 1.38. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

BIP

10.14

Diversified Utilities Industry

Max: 1.54
Q3: 1.19
Median: 0.73
Q1: 0.63
Min: 0.23

With a Debt-to-Equity Ratio of 10.14, BIP operates with exceptionally high leverage compared to the Diversified Utilities industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

AWK vs. BIP: A comparison of their D/E Ratio against their respective Regulated Water and Diversified Utilities industry benchmarks.

Interest Coverage Ratio

AWK

3.24

Regulated Water Industry

Max: 4.22
Q3: 4.04
Median: 3.07
Q1: 3.00
Min: 2.48

AWK’s Interest Coverage Ratio of 3.24 is positioned comfortably within the norm for the Regulated Water industry, indicating a standard and healthy capacity to cover its interest payments.

BIP

1.46

Diversified Utilities Industry

Max: 6.39
Q3: 3.88
Median: 2.56
Q1: 1.73
Min: 1.25

In the lower quartile for the Diversified Utilities industry, BIP’s Interest Coverage Ratio of 1.46 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

AWK vs. BIP: A comparison of their Interest Coverage against their respective Regulated Water and Diversified Utilities industry benchmarks.

Financial Strength at a Glance

Symbol	AWK	BIP
Current Ratio (TTM)	0.49	0.77
Quick Ratio (TTM)	0.44	0.73
Debt-to-Equity Ratio (TTM)	1.38	10.14
Debt-to-Asset Ratio (TTM)	0.44	0.54
Net Debt-to-EBITDA Ratio (TTM)	5.31	6.13
Interest Coverage Ratio (TTM)	3.24	1.46

Growth

The following charts compare key year-over-year (YoY) growth metrics for AWK and BIP. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AWK vs. BIP: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AWK vs. BIP: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AWK vs. BIP: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AWK

2.23%

Regulated Water Industry

Max: 3.58%
Q3: 2.94%
Median: 2.44%
Q1: 2.07%
Min: 0.81%

AWK’s Dividend Yield of 2.23% is consistent with its peers in the Regulated Water industry, providing a dividend return that is standard for its sector.

BIP

4.90%

Diversified Utilities Industry

Max: 18.26%
Q3: 5.83%
Median: 4.74%
Q1: 2.93%
Min: 0.00%

BIP’s Dividend Yield of 4.90% is consistent with its peers in the Diversified Utilities industry, providing a dividend return that is standard for its sector.

AWK vs. BIP: A comparison of their Dividend Yield against their respective Regulated Water and Diversified Utilities industry benchmarks.

Dividend Payout Ratio

AWK

55.65%

Regulated Water Industry

Max: 99.35%
Q3: 57.39%
Median: 55.65%
Q1: 52.94%
Min: 0.00%

AWK’s Dividend Payout Ratio of 55.65% is within the typical range for the Regulated Water industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

BIP

1,699.07%

Diversified Utilities Industry

Max: 89.06%
Q3: 77.28%
Median: 56.48%
Q1: 42.75%
Min: 0.00%

BIP’s Dividend Payout Ratio of 1,699.07% is above 100%. This means the company is paying out more in dividends than it earned, a practice that is often unsustainable and could indicate a risk to future dividend stability.

AWK vs. BIP: A comparison of their Payout Ratio against their respective Regulated Water and Diversified Utilities industry benchmarks.

Dividend at a Glance

Symbol	AWK	BIP
Dividend Yield (TTM)	2.23%	4.90%
Dividend Payout Ratio (TTM)	55.65%	1699.07%

Valuation

Price-to-Earnings Ratio

AWK

25.50

Regulated Water Industry

Max: 26.42
Q3: 23.54
Median: 20.16
Q1: 17.14
Min: 8.21

A P/E Ratio of 25.50 places AWK in the upper quartile for the Regulated Water industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

BIP

146.98

Diversified Utilities Industry

Max: 25.08
Q3: 19.50
Median: 15.21
Q1: 11.42
Min: 2.74

At 146.98, BIP’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Diversified Utilities industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

AWK vs. BIP: A comparison of their P/E Ratio against their respective Regulated Water and Diversified Utilities industry benchmarks.

Forward P/E to Growth Ratio

AWK

3.73

Regulated Water Industry

Max: 3.77
Q3: 3.33
Median: 2.11
Q1: 1.48
Min: 0.23

A Forward PEG Ratio of 3.73 places AWK in the upper quartile for the Regulated Water industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.

BIP

-1.47

Diversified Utilities Industry

Max: 3.39
Q3: 2.59
Median: 2.31
Q1: 1.97
Min: 1.69

BIP has a negative Forward PEG Ratio of -1.47. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.

AWK vs. BIP: A comparison of their Forward PEG Ratio against their respective Regulated Water and Diversified Utilities industry benchmarks.

Price-to-Sales Ratio

AWK

5.67

Regulated Water Industry

Max: 6.05
Q3: 4.92
Median: 3.71
Q1: 2.93
Min: 2.18

AWK’s P/S Ratio of 5.67 is in the upper echelon for the Regulated Water industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

BIP

0.74

Diversified Utilities Industry

Max: 3.68
Q3: 2.25
Median: 1.75
Q1: 0.80
Min: 0.47

In the lower quartile for the Diversified Utilities industry, BIP’s P/S Ratio of 0.74 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

AWK vs. BIP: A comparison of their P/S Ratio against their respective Regulated Water and Diversified Utilities industry benchmarks.

Price-to-Book Ratio

AWK

2.59

Regulated Water Industry

Max: 3.06
Q3: 2.19
Median: 1.97
Q1: 1.62
Min: 1.25

AWK’s P/B Ratio of 2.59 is in the upper tier for the Regulated Water industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

BIP

2.86

Diversified Utilities Industry

Max: 2.56
Q3: 1.75
Median: 1.29
Q1: 1.12
Min: 0.31

At 2.86, BIP’s P/B Ratio is at an extreme premium to the Diversified Utilities industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

AWK vs. BIP: A comparison of their P/B Ratio against their respective Regulated Water and Diversified Utilities industry benchmarks.

Valuation at a Glance

Symbol	AWK	BIP
Price-to-Earnings Ratio (P/E, TTM)	25.50	146.98
Forward PEG Ratio (TTM)	3.73	-1.47
Price-to-Sales Ratio (P/S, TTM)	5.67	0.74
Price-to-Book Ratio (P/B, TTM)	2.59	2.86
Price-to-Free Cash Flow Ratio (P/FCF, TTM)	-31.04	20.39
EV-to-EBITDA (TTM)	15.39	7.90
EV-to-Sales (TTM)	8.66	3.30