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

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

Company Profile

SymbolAWKPEG
Company NameAmerican Water Works Company, Inc.Public Service Enterprise Group Incorporated
CountryUnited StatesUnited States
GICS SectorUtilitiesUtilities
GICS IndustryWater UtilitiesMulti-Utilities
Market Capitalization28.41 billion USD42.50 billion USD
ExchangeNYSENYSE
Listing DateApril 23, 2008January 2, 1980
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of AWK and PEG 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. PEG: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolAWKPEG
5-Day Price Return1.03%-1.89%
13-Week Price Return1.86%6.76%
26-Week Price Return16.15%1.53%
52-Week Price Return3.00%5.29%
Month-to-Date Return3.54%-5.16%
Year-to-Date Return16.64%0.79%
10-Day Avg. Volume1.42M2.40M
3-Month Avg. Volume1.33M2.84M
3-Month Volatility19.72%18.94%
Beta0.720.56

Profitability

Return on Equity (TTM)

AWK

10.34%

Water Utilities Industry

Max
14.76%
Q3
13.44%
Median
10.08%
Q1
6.84%
Min
5.11%

AWK’s Return on Equity of 10.34% is on par with the norm for the Water Utilities industry, indicating its profitability relative to shareholder equity is typical for the sector.

PEG

12.14%

Multi-Utilities Industry

Max
19.69%
Q3
12.97%
Median
9.30%
Q1
7.88%
Min
4.34%

PEG’s Return on Equity of 12.14% is on par with the norm for the Multi-Utilities industry, indicating its profitability relative to shareholder equity is typical for the sector.

AWK vs. PEG: A comparison of their Return on Equity (TTM) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Net Profit Margin (TTM)

AWK

21.91%

Water Utilities Industry

Max
33.53%
Q3
23.04%
Median
13.50%
Q1
8.95%
Min
-3.68%

AWK’s Net Profit Margin of 21.91% is aligned with the median group of its peers in the Water Utilities industry. This indicates its ability to convert revenue into profit is typical for the sector.

PEG

17.78%

Multi-Utilities Industry

Max
25.37%
Q3
15.24%
Median
8.50%
Q1
4.09%
Min
-1.05%

A Net Profit Margin of 17.78% places PEG in the upper quartile for the Multi-Utilities industry, signifying strong profitability and more effective cost management than most of its peers.

AWK vs. PEG: A comparison of their Net Profit Margin (TTM) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Operating Profit Margin (TTM)

AWK

36.48%

Water Utilities Industry

Max
54.67%
Q3
39.13%
Median
31.40%
Q1
24.32%
Min
7.04%

AWK’s Operating Profit Margin of 36.48% is around the midpoint for the Water Utilities industry, indicating that its efficiency in managing core business operations is typical for the sector.

PEG

24.25%

Multi-Utilities Industry

Max
43.73%
Q3
25.91%
Median
19.49%
Q1
8.11%
Min
-0.18%

PEG’s Operating Profit Margin of 24.25% is around the midpoint for the Multi-Utilities industry, indicating that its efficiency in managing core business operations is typical for the sector.

AWK vs. PEG: A comparison of their Operating Profit Margin (TTM) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Profitability at a Glance

SymbolAWKPEG
Return on Equity (TTM)10.34%12.14%
Return on Assets (TTM)3.29%3.59%
Net Profit Margin (TTM)21.91%17.78%
Operating Profit Margin (TTM)36.48%24.25%
Gross Profit Margin (TTM)----

Financial Strength

Current Ratio (MRQ)

AWK

0.35

Water Utilities Industry

Max
1.94
Q3
1.40
Median
1.09
Q1
0.77
Min
0.38

AWK’s Current Ratio of 0.35 is notably low, falling beneath the typical range for the Water Utilities industry. This suggests a heightened liquidity risk and could indicate potential challenges in meeting its short-term obligations.

PEG

1.00

Multi-Utilities Industry

Max
1.64
Q3
1.22
Median
0.94
Q1
0.86
Min
0.50

PEG’s Current Ratio of 1.00 aligns with the median group of the Multi-Utilities industry, indicating that its short-term liquidity is in line with its sector peers.

AWK vs. PEG: A comparison of their Current Ratio (MRQ) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Debt-to-Equity Ratio (MRQ)

AWK

1.40

Water Utilities Industry

Max
5.48
Q3
3.71
Median
1.82
Q1
0.96
Min
0.58

AWK’s Debt-to-Equity Ratio of 1.40 is typical for the Water Utilities industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

PEG

1.40

Multi-Utilities Industry

Max
2.58
Q3
1.96
Median
1.56
Q1
1.20
Min
0.53

PEG’s Debt-to-Equity Ratio of 1.40 is typical for the Multi-Utilities industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AWK vs. PEG: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Interest Coverage Ratio (TTM)

AWK

4.17

Water Utilities Industry

Max
5.04
Q3
4.65
Median
3.25
Q1
2.23
Min
0.58

AWK’s Interest Coverage Ratio of 4.17 is positioned comfortably within the norm for the Water Utilities industry, indicating a standard and healthy capacity to cover its interest payments.

PEG

3.73

Multi-Utilities Industry

Max
12.21
Q3
7.03
Median
3.61
Q1
2.92
Min
1.62

PEG’s Interest Coverage Ratio of 3.73 is positioned comfortably within the norm for the Multi-Utilities industry, indicating a standard and healthy capacity to cover its interest payments.

AWK vs. PEG: A comparison of their Interest Coverage Ratio (TTM) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Financial Strength at a Glance

SymbolAWKPEG
Current Ratio (MRQ)0.351.00
Quick Ratio (MRQ)0.320.68
Debt-to-Equity Ratio (MRQ)1.401.40
Interest Coverage Ratio (TTM)4.173.73

Growth

Revenue Growth

AWK vs. PEG: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

AWK vs. PEG: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

AWK

2.06%

Water Utilities Industry

Max
5.64%
Q3
5.51%
Median
4.50%
Q1
2.37%
Min
0.00%

AWK’s Dividend Yield of 2.06% is in the lower quartile for the Water Utilities industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

PEG

2.89%

Multi-Utilities Industry

Max
8.75%
Q3
5.46%
Median
4.09%
Q1
2.93%
Min
0.00%

PEG’s Dividend Yield of 2.89% is in the lower quartile for the Multi-Utilities industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

AWK vs. PEG: A comparison of their Dividend Yield (TTM) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Dividend Payout Ratio (TTM)

AWK

56.23%

Water Utilities Industry

Max
324.59%
Q3
254.46%
Median
142.60%
Q1
57.04%
Min
12.69%

AWK’s Dividend Payout Ratio of 56.23% is in the lower quartile for the Water Utilities industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

PEG

61.97%

Multi-Utilities Industry

Max
128.77%
Q3
97.17%
Median
66.46%
Q1
52.95%
Min
24.73%

PEG’s Dividend Payout Ratio of 61.97% is within the typical range for the Multi-Utilities industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AWK vs. PEG: A comparison of their Dividend Payout Ratio (TTM) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Dividend at a Glance

SymbolAWKPEG
Dividend Yield (TTM)2.06%2.89%
Dividend Payout Ratio (TTM)56.23%61.97%

Valuation

Price-to-Earnings Ratio (TTM)

AWK

27.30

Water Utilities Industry

Max
34.48
Q3
27.82
Median
18.45
Q1
14.12
Min
7.14

AWK’s P/E Ratio of 27.30 is within the middle range for the Water Utilities industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

PEG

21.42

Multi-Utilities Industry

Max
28.21
Q3
21.40
Median
16.89
Q1
11.54
Min
5.08

A P/E Ratio of 21.42 places PEG in the upper quartile for the Multi-Utilities industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

AWK vs. PEG: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Price-to-Sales Ratio (TTM)

AWK

5.98

Water Utilities Industry

Max
5.86
Q3
3.76
Median
2.73
Q1
2.16
Min
1.04

With a P/S Ratio of 5.98, AWK trades at a valuation that eclipses even the highest in the Water Utilities industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

PEG

3.81

Multi-Utilities Industry

Max
4.54
Q3
3.52
Median
1.87
Q1
0.50
Min
0.27

PEG’s P/S Ratio of 3.81 is in the upper echelon for the Multi-Utilities 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.

AWK vs. PEG: A comparison of their Price-to-Sales Ratio (TTM) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Price-to-Book Ratio (MRQ)

AWK

2.54

Water Utilities Industry

Max
4.29
Q3
3.24
Median
1.73
Q1
1.09
Min
0.65

AWK’s P/B Ratio of 2.54 is within the conventional range for the Water Utilities industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

PEG

2.52

Multi-Utilities Industry

Max
2.70
Q3
1.97
Median
1.46
Q1
1.21
Min
0.86

PEG’s P/B Ratio of 2.52 is in the upper tier for the Multi-Utilities 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.

AWK vs. PEG: A comparison of their Price-to-Book Ratio (MRQ) against their respective Water Utilities and Multi-Utilities industry benchmarks.

Valuation at a Glance

SymbolAWKPEG
Price-to-Earnings Ratio (TTM)27.3021.42
Price-to-Sales Ratio (TTM)5.983.81
Price-to-Book Ratio (MRQ)2.542.52
Price-to-Free Cash Flow Ratio (TTM)4,224.17100.73