American Water Works AWK is set to report third-quarter 2024 earnings on Oct. 30, after market close. The Zacks Consensus Estimate for earnings is pegged at $1.84 per share and that for revenues is pinned at $1.21 billion. The estimates indicate an increase of 10.84% and 3.3% for both bottom and top lines, respectively, from the year-ago reported numbers.
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Per our proven model, stocks with a combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) have the chance of an earnings beat. This is not the case here.
At present, American Water has an Earnings ESP of 0.00% and a Zacks Rank of 2. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
American Water Works Company, Inc. Price and EPS Surprise
American Water Works Company, Inc. price-eps-surprise | American Water Works Company, Inc. Quote
Factors to Consider for AWK
American Water added 43,000 customers in the first half of 2024 through acquisition and organic means. The demand from the expanded customer base is likely to have boosted third-quarter earnings.
AWK generates nearly 100% of its net income from regulated operations. The new rate, effective from Jan. 1, 2024, has raised annualized revenues by $266 million. This is likely to have a positive impact on third-quarter earnings.
The company also has been gaining from lower-than-expected declines in customer usage like the first half of 2024. This is likely to have boosted third-quarter earnings.
Stocks to Consider
Investors may consider the following players from the same sector as these have the right combination of elements to post an earnings beat this reporting cycle.
The AES Corporation AES is likely to come up with an earnings beat when it reports third-quarter results on Oct. 31. It has an Earnings ESP of +1.11% and a Zacks Rank #3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for third-quarter sales is pegged at $3.62 billion, which implies a year-over-year increase of 5.4%.
The Southern Company SO is likely to come up with an earnings beat when it reports third-quarter results on Oct. 31. It has an Earnings ESP of +2.25% and a Zacks Rank #3 at present.
SO’s long-term (three to five years) earnings growth rate is 6.95%. The Zacks Consensus Estimate for third-quarter earnings has moved up 1.5% in the past seven days.
Public Service Enterprise Group Incorporated PEG is likely to come up with an earnings beat when it reports third-quarter results on Nov. 4. It has an Earnings ESP of +1.50% and a Zacks Rank #3 at present.
The Zacks Consensus Estimate for third-quarter earnings has moved down by 3.1% in the past 60 days. PEG delivered an average earnings surprise of 3.23% in the past four quarters.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Southern Company (The) (SO) : Free Stock Analysis Report
Public Service Enterprise Group Incorporated (PEG) : Free Stock Analysis Report
The AES Corporation (AES) : Free Stock Analysis Report
American Water Works Company, Inc. (AWK) : Free Stock Analysis Report
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