American Water Works Company, Inc.
) continues with steady investment program to upgrade its
existing infrastructure. The company announced that its
subsidiary Illinois American Water is spending $0.35 million to
install approximately 1,748 feet of 12-inch new water main at
Lakeview Cemetery. The company is expected to finish the project
by the end of 2013.
AMER WATER WORK (AWK): Free Stock Analysis
CONN WATER SVC (CTWS): Free Stock Analysis
CALIF WATER SVC (CWT): Free Stock Analysis
MIDDLESEX WATER (MSEX): Free Stock Analysis
To read this article on Zacks.com click here.
The current project will help Illinois American Water to reduce
supply disturbance, thereby improving water supply reliability.
Further, this project will improve water quality and enhance
water flow capacity for firefighting activities in the locality.
The U.S. government continues to impose a number of new
guidelines to maintain reliability in water supply. As per the
U.S. Environmental Protection Agency's report, the U.S. utility
providers need to spend $384 billion through 2030 to revamp and
upgrade the water system.
We note that American Water Works is religiously following the
government mandates and continues to improve its existing water
systems while adding new assets.
On Dec 2 2013, the company announced that its subsidiary Virginia
American Water will invest approximately $0.1 million to upgrade
the water main in Berkeley Beach, Va. Per the plan, the company
will replace 1,200-feet of a 2-inch main and an 8-inch main along
Breezewood Drive, Cliff Road, and Lakeshore Drive in the Berkeley
Under the capital expenditure program, American Water Works
invested $665.3 million during the first nine months of 2013. The
company plans to invest approximately $285 million in the last
three months of 2013.
The timely completion of the projects will enable American Water
Works to provide uninterrupted water supply to its customers and
improve consumer safety.
American Water Works currently has a Zacks Rank #3 (Hold).
However, other water utilities that are currently performing well
Middlesex Water Co.
), with a Zacks Rank #1 (Strong Buy), and
Connecticut Water Service
California Water Service Group
), each with a Zacks Rank #2 (Buy).