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American Water Works Co (FRA:AWC) PEG Ratio : 4.06 (As of May. 02, 2024)


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What is American Water Works Co PEG Ratio?

PE Ratio without NRI / 5-Year EBITDA Growth Rate*

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The growth rate we use is the 5-Year EBITDA growth rate. As of today, American Water Works Co's PE Ratio without NRI is 25.19. American Water Works Co's 5-Year EBITDA growth rate is 6.20%. Therefore, American Water Works Co's PEG Ratio for today is 4.06.

* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


The historical rank and industry rank for American Water Works Co's PEG Ratio or its related term are showing as below:

FRA:AWC' s PEG Ratio Range Over the Past 10 Years
Min: 0.67   Med: 4.98   Max: 10.35
Current: 4.04


During the past 13 years, American Water Works Co's highest PEG Ratio was 10.35. The lowest was 0.67. And the median was 4.98.


FRA:AWC's PEG Ratio is ranked worse than
73.17% of 287 companies
in the Utilities - Regulated industry
Industry Median: 1.63 vs FRA:AWC: 4.04

Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.


American Water Works Co PEG Ratio Historical Data

The historical data trend for American Water Works Co's PEG Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

American Water Works Co PEG Ratio Chart

American Water Works Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PEG Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.68 9.48 8.35 3.66 3.45

American Water Works Co Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
PEG Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.66 3.54 3.38 3.05 3.45

Competitive Comparison of American Water Works Co's PEG Ratio

For the Utilities - Regulated Water subindustry, American Water Works Co's PEG Ratio, along with its competitors' market caps and PEG Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


American Water Works Co's PEG Ratio Distribution in the Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, American Water Works Co's PEG Ratio distribution charts can be found below:

* The bar in red indicates where American Water Works Co's PEG Ratio falls into.



American Water Works Co PEG Ratio Calculation

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The ratio we use is the 5-Year EBITDA growth rate.

American Water Works Co's PEG Ratio for today is calculated as

PEG Ratio=PE Ratio without NRI/5-Year EBITDA Growth Rate*
=25.187555163283/6.20
=4.06

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


American Water Works Co  (FRA:AWC) PEG Ratio Explanation

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.


American Water Works Co PEG Ratio Related Terms

Thank you for viewing the detailed overview of American Water Works Co's PEG Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


American Water Works Co (FRA:AWC) Business Description

Traded in Other Exchanges
Address
1 Water Street, Camden, NJ, USA, 08102-1658
American Water Works is the largest investor-owned U.S. water and wastewater utility, serving approximately 3.5 million customers in 16 states. It provides water and wastewater services to residential, commercial, and industrial customers and operates predominantly in regulated markets. The company's nonregulated business is water services for military bases, which operates under long-term contracts with regulated-like returns.

American Water Works Co (FRA:AWC) Headlines

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