- Water Quality Reports Available Online for New Jersey American Water Customers
May 14, 2026
New Jersey American Water Logo (PRNewsfoto/American Water)
Reports show drinking water in all service areas meets quality standards.
CAMDEN, N.J., May 14, 2026 /PRNewswire/ -- New Jersey American Water is proud to announce that its most recent Water Quality Reports are now available for all service areas on its website at newjerseyamwater.com/waterquality. The company is proud to report that once again, the drinking water provided to the 3 million New Jerseyans it serves meets or surpasses both state and federal water quality standards for all regulated substances, including lead.
"Providing safe, clean, reliable and affordable drinking water requires dedicated people and sustained investment," said Mark McDonough, president of New Jersey American Water. "From the employees collecting and analyzing samples to those operating our treatment plants and maintaining our pipes, our teams work every day to deliver water that our customers can rely on, supported by more than $780 million invested across New Jersey last year alone to strengthen our treatment and pipeline infrastructure."
The 2026 annual water quality report (also referred to as a "consumer confidence report") details the quality of water provided by the company to its customers using data collected from water quality testing in its local systems between January and December 2025. It highlights the compounds detected in the treated drinking water in comparison to the compliance standards established by both the U.S. Environmental Protection Agency (EPA) and the New Jersey Department of Environmental Protection (NJDEP). As an additional layer of education and transparency, the report also details results of tests conducted for certain unregulated compounds, in areas where they are present and thus treated to achieve levels below recommended health guidelines.
"Our water quality reports reflect the high standards we hold ourselves to," said McDonough. "They're one more way we demonstrate our commitment to our customers and the communities we serve."
This year's Water Quality reports include important information related to the company's Lead Service Line Replacement efforts. In July 2021, the state of New Jersey enacted legislation that requires all water providers to share with customers the material of the utility-owned and customer-owned service lines that lead to their property, notify customers with service lines that are lead or galvanized steel, and replace them. New Jersey American Water regularly tests for lead in drinking water and our water continues to meet state and federal water quality regulations, including those set for lead.
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Customers can access the Water Quality report specific to their area by visiting the Water Quality tab on New Jersey American Water's website and searching for their report by zip code. The company provides a video guide that shows customers how to access their reports step by step. Printed copies of the report are also available to customers who do not wish to access it online. Customers can call the company's customer service center at 800-272-1325 to request a hard copy of their local report.
To learn more about New Jersey American Water's commitment to water education, environmental stewardship, and quality service, visit www.newjerseyamwater.com.
About American Water American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886 and celebrating 140 years in 2026, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to approximately 14 million people with regulated operations in 14 states and on 18 military installations. American Water's approximately 7,000 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders.
For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.
About New Jersey American Water New Jersey American Water, a subsidiary of American Water (NYSE: AWK), is the largest regulated water utility in the state with approximately 875 dedicated employees working to provide safe, clean, reliable and affordable water and wastewater services to approximately 3 million people.
For more information, visit www.newjerseyamwater.com and follow New Jersey American Water on LinkedIn, Facebook, X, and Instagram.Cision
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- American Water and Essential Utilities Proposed Merger Progresses with Approval from the Public Utilities Commission of Ohio
May 14, 2026
American Water Logo (PRNewsfoto/American Water)
CAMDEN, N.J. and BRYN MAWR, Pa., May 14, 2026 /PRNewswire/ -- American Water Works Company, Inc. (NYSE: AWK) ("American Water") and Essential Utilities, Inc. (NYSE: WTRG) ("Essential Utilities") today announced that the Public Utilities Commission of Ohio (PUCO) issued an order approving the companies' proposed merger, marking the second favorable regulatory action in less than a month toward completing the combination of the two companies.
The companies received approval of the merger in the Commonwealth of Kentucky on April 21, 2026. Earlier in the year, shareholders of both companies approved the transaction with overwhelming margins.
The all-stock merger, announced October 27, 2025, will create a combined company serving more than 4.7 million water and wastewater customer connections and more than 740,000 gas customer connections. The combined company will operate under the American Water name and be headquartered in Camden, New Jersey.
The merger is expected to close by the end of the first quarter of 2027, but remains subject to customary closing conditions, including, among others, obtaining clearance under the Hart-Scott-Rodino Act and required regulatory approvals, including approval from all applicable public utility commissions.
For additional details regarding the transaction, please visit americanwateressentialutilitiesmerger.com.
About American Water American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886 and celebrating 140 years in 2026, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to approximately 14 million people with regulated operations in 14 states and on 18 military installations. American Water's approximately 7,000 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders. For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.
About Essential Utilities Essential Utilities, Inc. (NYSE: WTRG) delivers safe, clean, reliable services that improve quality of life for individuals, families, and entire communities. With a focus on water, wastewater, and natural gas, Essential is committed to sustainable growth, operational excellence, a superior customer experience, and premier employer status. We are advocates for the communities we serve and are dedicated stewards of natural lands, protecting thousands of acres of forests and other habitats throughout our footprint. Operating as the Aqua and Peoples brands, Essential serves approximately 5.5 million people across nine states. Essential is one of the most significant publicly traded water, wastewater service and natural gas providers in the U.S. Learn more at www.essential.co.
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Cautionary Statement Regarding Forward-Looking Statements Certain statements included in this communication are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. In some cases, these forward-looking statements can be identified by words with prospective meanings such as "intend," "plan," "estimate," "believe," "anticipate," "expect," "predict," "project," "propose," "assume," "forecast," "outlook," "future," "likely," "pending," "goal," "objective," "potential," "continue," "seek to," "may," "can," "will," "should" and "could," or the negative of such terms or other variations or similar expressions. Forward-looking statements may relate to, among other things: statements about the benefits of the proposed merger, including future financial and operating results; the parties' respective plans, objectives, expectations and intentions; the expected timing and likelihood of completion of the merger and related transactions; the results of any strategic review; expected synergies of the proposed merger; the timing and result of various regulatory proceedings related to the proposed merger, and other general rate cases, filings for infrastructure surcharges and other governmental agency authorizations and proceedings, and filings to address regulatory lag; the combined company's ability to execute its current and long-term business, operational, capital expenditures and growth plans and strategies; the amount, allocation and timing of projected capital expenditures and related funding requirements; the future impacts of increased or increasing transaction and financing costs associated with the proposed merger or otherwise, as well as inflation and interest rates; each party's ability to finance current and projected operations, capital expenditure needs and growth initiatives by accessing the debt and equity capital markets and sources of short-term liquidity; impacts of the proposed merger on the future settlement or settlements of a party's forward sale agreements, including potential adjustments to the forward sale price or other economic terms thereunder, and the amount of and the intended use of net proceeds from any such future settlement or settlements; the outcome and impact on other governmental and regulatory investigations; the filing of class action lawsuits and other litigation and legal proceedings related to the proposed merger; the ability to complete, and the timing and efficacy of, the design, development, implementation and improvement of technology and other strategic initiatives; each party's ability to comply with new and changing environmental regulations; regulatory, legislative, tax policy or legal developments; and impacts that future significant tax legislation may have on each such party and on its business, results of operations, cash flows and liquidity.
These forward-looking statements are predictions based on currently available information, the parties' current respective expectations and assumptions regarding future events that American Water Works Company, Inc. ("American Water") and Essential Utilities, Inc. ("Essential Utilities") believe to be reasonable. They are not, however, guarantees or assurances of any outcomes, performance or achievements, and readers are cautioned not to place undue reliance upon them. You should not regard any forward-looking statement as a representation or warranty by American Water, Essential Utilities or any other person that the expectation, plan or objective expressed in such forward-looking statement will be successfully achieved in any specified time frame, or at all. The forward-looking statements are subject to a number of estimates and assumptions, and known and unknown risks, uncertainties and other factors. Actual results may differ materially from those discussed in the forward-looking statements included in this communication as a result of the factors discussed in American Water's Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the Securities and Exchange Commission (the "SEC") on February 18, 2026 (available at: ir.amwater.com), Essential Utilities' Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the SEC on February 26, 2026 (available at: essential.co), and each party's other filings with the SEC, and additional risks and uncertainties, including with respect to (1) the parties' ability to consummate the proposed merger pursuant to the terms of the definitive merger agreement or at all; (2) each party's requirement to obtain required governmental and regulatory approvals required for the proposed merger (and/or that such approvals may result in the imposition of burdensome or commercially undesirable conditions, including required dispositions, that could adversely affect the combined company or the expected benefits of the proposed merger); (3) an event, change or other circumstance that could give rise to the termination of the merger agreement; (4) the failure to satisfy or waive a condition to closing of the proposed merger on a timely basis or at all; (5) a delay in the timing to consummate the proposed merger; (6) the failure to integrate the parties' businesses successfully; (7) the failure to fully realize benefits, efficiencies and cost savings from the proposed merger or that such benefits, efficiencies and cost savings may take longer to realize or be more costly to achieve than expected; (8) negative or adverse impacts of the announcement of the proposed merger on the market price of American Water's or Essential Utilities' common stock; (9) the risk of litigation, legal proceedings or other challenges related to the proposed merger; (10) disruption from the proposed merger making it more difficult to maintain relationships with customers, employees, contractors, suppliers, regulators, vendors, elected officials, governmental agencies, or other stakeholders; (11) the diversion of each party's management's time and attention from ongoing business operations and opportunities of such party on merger-related matters; (12) the challenging macroeconomic environment, including disruptions in the water and wastewater utility industries; (13) the ability of each party to manage its respective existing operations and financing arrangements on favorable terms or at all, including with respect to future capital expenditures and investments, operations, and maintenance costs; (14) changes in environmental laws and regulations regarding each party's respective operations that may adversely impact such party's businesses or increase the cost of operations; (15) changes in each party's key management and personnel; (16) changes in tax laws that could adversely affect beneficial tax treatment of the proposed merger; (17) regulatory, legislative, local or municipal actions affecting the water and wastewater industries, which could adversely affect the parties' respective utility subsidiaries; and (18) other economic, business and other factors, including inflation, interest rate fluctuations or tariffs. The foregoing factors should not be construed as exhaustive.
These forward-looking statements are qualified by, and should be read together with, the risks and uncertainties set forth above and the risk factors included in American Water's and Essential Utilities' respective annual and quarterly reports as filed with the SEC and in the definitive joint proxy statement/prospectus, as filed with the SEC on December 31, 2025 (available at: https://www.sec.gov/Archives/edgar/data/1410636/000119312525337598/d15683d424b3.htm), and readers should refer to such risks, uncertainties and risk factors in evaluating such forward-looking statements. Any forward-looking statements speak only as of the date this communication is first used or given. Neither American Water nor Essential Utilities has any obligation or intention to update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, except as otherwise required by the federal securities laws. New factors emerge from time to time, and it is not possible for American Water or Essential Utilities to predict all such factors. Furthermore, it may not be possible to assess the impact of any such factor on American Water's or Essential Utilities' businesses, viewed independently or together, or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statement.
Proposed Merger For additional information regarding the proposed merger, please see American Water's registration statement on Form S-4 (Registration No. 333-292182), which was declared effective by the SEC on December 30, 2025, and the other documents that American Water or Essential Utilities has filed or may file with the SEC.
No Offer or Solicitation This communication is for informational purposes and is not intended to, and shall not, constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any offer or sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.
AWK-IREssential Utilities (PRNewsfoto/American Water)Cision
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- West Virginia American Water Invests Over $124 Million in Statewide System Upgrades in 2025
May 14, 2026
(PRNewsfoto/American Water)
CHARLESTON, W.Va., May 14, 2026 /PRNewswire/ -- Ahead of Infrastructure Week, West Virginia American Water announced its 2025 investments for system improvements, totaling more than $124 million in water and wastewater system upgrades throughout its service area.
"West Virginia American Water is committed to providing clean, safe, reliable and affordable water and wastewater service to our customers, which includes continuously investing in infrastructure and capital upgrades to replace aging water mains," said Scott Wyman, President of West Virginia American Water. "These investments help improve service reliability and reduce service disruptions for our more than 600,000 customers across the state. By investing in our communities today, we are helping to build a more resilient tomorrow."
Over the past decade, West Virginia American Water has invested over $920 million in infrastructure projects and capital upgrades to address aging infrastructure across the Mountain State, including more than 247 miles of new water main.
Wyman added that for every $1 million invested in water infrastructure, upwards of 10 jobs are created throughout local economies.
West Virginia American Water's ongoing investments encompass upgrades and improvements made to the company's water and wastewater infrastructure, including treatment plants, tanks, pump stations, pipes, and metering equipment.
System improvement highlights for 2025 include:
Water and Wastewater Mains: $37 million investment to install or replace over 22 miles of water main across the state and install new wastewater main in Jefferson County. Wastewater Treatment Plant and System Improvements: $2.5 million in investments in wastewater treatment facilities, including lift station replacements in Boone Raleigh; installation of system and plant controls for the Boone Raleigh Wastewater Treatment Plant and Collection System; and replacing membranes at the East Jefferson Wastewater Treatment Plant. Water Treatment and Production System Improvements: $19 million investment for water treatment plant improvements throughout the state, including the rehabilitation of four clarifiers in the Kanawha Valley Water Treatment Plant; rehabilitating wells, pumps, treatment tanks, piping, and system controls in all service territories; and replacing the settling basins and equipment in Huntington. Tanks/Storage: $4.2 million investment to improve distribution across our service areas, including constructing two new water storage tanks in Bluefield, and Kanawha County; and recoating two water storage tanks in Kanawha County and Bluestone.
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West Virginia American Water consistently invests in the local communities it serves, helping ensure the replacement of aging water infrastructure to enhance service for residents. These ongoing capital investments are vital for maintaining service reliability and exceptional water quality.
To learn more about these investments and more projects that are underway across the state, visit the company's interactive upgrade map.
About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886 and celebrating 140 years in 2026, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to approximately 14 million people with regulated operations in 14 states and on 18 military installations. American Water's approximately 7,000 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders.
For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.
About West Virginia American Water
West Virginia American Water, a subsidiary of American Water, is the largest regulated water utility in the state with approximately 300 dedicated employees working to provide safe, clean, reliable and affordable water and wastewater services to approximately 610,000 people.Cision
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- American Water Launches 2026 Future Wavemakers Internship Program
May 13, 2026
American Water Logo (PRNewsfoto/American Water)
CAMDEN, N.J., May 13, 2026 /PRNewswire/ -- American Water (NYSE: AWK), the largest regulated water and wastewater utility company in the U.S., today announced the launch of its 2026 Future Wavemakers Internship Program, a cornerstone initiative designed to cultivate the next generation of water and wastewater industry leaders. This year, the program welcomes 56 college interns at American Water workplaces across the country, offering hands-on experience in engineering, finance, operations, health and safety, communications and more.
"The future of the water industry relies on investing in people," said Lori Sutton, EVP and Chief Human Resources Officer, American Water. "Through initiatives such as the Future Wavemakers Internship Program for college students, American Water is committed to cultivating opportunities for emerging talent while continuously supporting the development of its existing workforce."
Future Wavemakers is built on a foundation of mentorship, professional development, and real-world projects that align with both students' academic backgrounds and American Water's organizational goals. Interns will participate in capstone projects, networking events, and skill-building workshops, all while contributing fresh perspectives and innovative ideas to the company.
Additional American Water training and development opportunities include:
Flow Forward: Offers high school sophomores, juniors, and seniors a multi-day summer camp featuring skill-building workshops, resume and interview preparation, and networking with industry professionals. Water UP! program: Providing hands-on training for adults in local communities and helping them identify and pursue careers in the water sector. Developed in partnership with Rowan College of South Jersey and hosted annually in different locations throughout N.J., Water UP!'s curriculum spans water treatment, distribution, safety and ethics, reflecting the range of skills required across the industry. Hopeworks partnership: Working with a Camden-based nonprofit on train-to-hire programs that have successfully engaged, trained and employed young adults on geographic information system projects.
American Water remains dedicated to strengthening its talent pipeline and building stronger communities through innovative workforce development programs.
Learn more about American Water's workforce here.
About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886 and celebrating 140 years in 2026, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to approximately 14 million people with regulated operations in 14 states and on 18 military installations. American Water's approximately 7,000 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders.
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For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.Cision
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- American Water Works (AWK) Could Be a Great Choice
May 13, 2026
Whether it's through stocks, bonds, ETFs, or other types of securities, all investors love seeing their portfolios score big returns. But for income investors, generating consistent cash flow from each of your liquid investments is your primary focus.
While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends make up large portions of long-term returns, and in many cases, dividend contributions surpass one-third of total returns.
Headquartered in Camden, American Water Works (AWK) is a Utilities stock that has seen a price change of -2.18% so far this year. The water utility is paying out a dividend of $0.83 per share at the moment, with a dividend yield of 2.8% compared to the Utility - Water Supply industry's yield of 2.72% and the S&P 500's yield of 1.42%.
Looking at dividend growth, the company's current annualized dividend of $3.58 is up 10.2% from last year. Over the last 5 years, American Water Works has increased its dividend 5 times on a year-over-year basis for an average annual increase of 8.54%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. American Water Works's current payout ratio is 58%, meaning it paid out 58% of its trailing 12-month EPS as dividend.
AWK is expecting earnings to expand this fiscal year as well. The Zacks Consensus Estimate for 2026 is $6.09 per share, representing a year-over-year earnings growth rate of 7.98%.
Investors like dividends for many reasons; they greatly improve stock investing profits, decrease overall portfolio risk, and carry tax advantages, among others. It's important to keep in mind that not all companies provide a quarterly payout.
High-growth firms or tech start-ups, for example, rarely provide their shareholders a dividend, while larger, more established companies that have more secure profits are often seen as the best dividend options. During periods of rising interest rates, income investors must be mindful that high-yielding stocks tend to struggle. With that in mind, AWK is a compelling investment opportunity. Not only is it a strong dividend play, but the stock currently sits at a Zacks Rank of #3 (Hold).
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- Zacks Industry Outlook Highlights American Water Works, Companhia, American and California
May 13, 2026
For Immediate Release
Chicago, IL – May 13, 2026 – Today, Zacks Equity Research discussesAmerican Water Works Co. AWK, Companhia de Saneamento Basico do Estado de Sao Paulo SBS, American States Water Co. AWR and California Water Service Group CWT.
Industry: Water Utility
Link: https://www.zacks.com/commentary/2919630/4-stocks-to-watch-from-the-challenging-water-supply-industry
The companies under the Zacks Utility - Water Supply industry operate continuously to deliver a steady supply of clean, potable water and dependable sewer services to millions across the United States. These services are vital for maintaining public health and hygiene. Traditionally, water demand tends to dip during the winter months, as colder weather limits outdoor usage. In the spring, demand remains moderate, influenced by milder temperatures and gradually increasing outdoor activities.
The aging of pipelines is concerning, but water utilities continue with their upgrade and maintenance projects to minimize disruptions in operations. American Water Works Co., with its widespread operations, provides services to domestic customers and military bases and offers an excellent opportunity to stay invested in the water utility space. Other water utilities worth adding to your portfolio are Companhia de Saneamento Basico do Estado de Sao Paulo, American States Water Co. and California Water Service Group.
About the Utility-Water Supply Industry
The Zacks Utility-Water Supply industry comprises companies that deliver drinking water and wastewater services to residential, commercial, industrial customers and military installations. Water utilities manage an extensive network of nearly 2.2 million miles of aging pipelines. To maintain service reliability and expand coverage, operators regularly replace outdated infrastructure and invest in new pipeline systems.
Operators also own and operate storage tanks, treatment facilities and desalination plants to meet customer demand. Despite the industry's fragmented nature, improved water efficiency across households and industries supports more sustainable usage. As capital-intensive businesses, water utilities stand to benefit from falling interest rates, which lower the cost of capital and support ongoing infrastructure investments.
Three Developments Redefining the Water Supply Industry
Aging Infrastructure Requires Investments: The U.S. water and wastewater infrastructure is deteriorating, with water main breaks occurring every two minutes, according to the American Society of Civil Engineers (“ASCE”). The Environmental Protection Agency estimates that $1.25 trillion in investments will be needed over the next 20 years to maintain and expand water services.
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The Bipartisan Infrastructure Law has committed $50 billion toward improving these systems, especially in underserved communities. ASCE currently rates U.S. drinking water infrastructure at C- and wastewater systems at D+, underscoring the urgent need for upgrades. The regulated water utilities are making investments to upgrade and maintain infrastructure.
Consolidation in a Fragmented Industry: The U.S. water industry remains highly fragmented, with more than 50,000 community water systems and 14,000 wastewater treatment systems. Many smaller utilities lack the financial resources to upgrade aging infrastructure, leading to operational inefficiencies and water loss. Consolidation through mergers and acquisitions — though progressing slowly — is critical for improving service quality, reducing costs and enabling broader infrastructure investment. Larger players are increasingly acquiring smaller systems to drive modernization and expand service reach.
Regulatory Pressure & Operational Challenges: The U.S. water supply industry is grappling with increasing regulatory and operational headwinds that are pressuring overall growth. Tightening environmental policies and stricter water quality requirements are driving up compliance expenses, compelling utilities to invest heavily in infrastructure modernization and advanced treatment systems.
At the same time, aging water networks, escalating repair and maintenance costs, and exposure to severe weather conditions are intensifying operational difficulties. Rising labor and energy expenses are also weighing on margins, challenging utilities’ ability to ensure dependable service while maintaining financial health.
Zacks Industry Rank Indicates Weak Prospects
The Zacks Utility Water Supply industry is a 13-stock group within the broader Zacks Utilities sector. The industry currently carries a Zacks Industry Rank #188, which places it in the bottom 23% of more than 244 Zacks industries.
The group’s Zacks Industry Rank, which is basically the average of the Zacks Rank of all the member stocks, indicates bearish prospects for the near term. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
The industry’s positioning in the bottom 50% of the Zacks-ranked industries is a result of a negative earnings outlook for the constituent companies in aggregate. Looking at the aggregate earnings estimate revisions, it appears that analysts are pessimistic about this group’s earnings growth.
Before we present a few stocks that you may want to consider for your portfolio, let’s take a look at the industry’s recent stock market performance and valuation.
Water Supply Industry Lags the Sector and the S&P 500
The Zacks Utility Water Supply industry has underperformed the Zacks S&P 500 composite and its sector in the past 12 months. The industry has gained 11.6% compared with the Utility sector’s rally of 19.8%. The Zacks S&P 500 composite has advanced 30.7% in the same time frame.
Industry Trading at a Premium to the Sector & the S&P 500
On the basis of the trailing 12-month enterprise value to EBITDA (EV/EBITDA), which is a commonly used multiple for valuing water utility stocks, the industry is currently trading at 24.85X compared with the S&P 500’s 18.48X and the sector’s trailing 12-month EV/EBITDA of 16.67X.
Over the past five years, the water supply industry has traded as high as 44.35X, as low as 12.91X and at the median of 27.39X.
Water Utility Industry Stocks to Watch Now
Despite challenges in the water and wastewater industry, investors can watch the following stocks from the water space.
Companhia de Saneamento Basico do Estado de Sao Paulo: Sao Paulo, Brazil-based SABESP supplies treated water and sewage services to residential, commercial and industrial private customers. The company plans to invest $14.3 billion (R$70 billion) in the 2024-2029 period to strengthen its water and wastewater infrastructure.
Over the past 60 days, the Zacks Consensus Estimate for 2026 earnings has moved up nearly 7.9%. The current dividend yield of the company is 1.59%, better than the Zacks S&P 500 composite’s yield of 1.41%. The company currently has a Zacks Rank #2 (Buy).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
American States Water Co.: San Dimas, CA-based American States Water, along with its subsidiaries, provides water, wastewater and electric services to customers. AWR provides long-term water and wastewater services to military bases and continues to pursue new long-term contracts from more military bases. The company aims to invest in the range of $185-$225 million in 2026 to upgrade its infrastructure. It is expected that the company will continue to make fresh investments to upgrade and expand operations.
The Zacks Consensus Estimate for 2026 earnings per share indicates an increase of 3.34% in the past 60 days. The company’s long-term (three to five years) earnings growth rate is 6.93%. The current dividend yield is 2.6%. The company currently has a Zacks Rank #2.
American Water Works Co.: Camden, NJ-based American Water, along with its subsidiaries, provides water and wastewater services to millions of Americans. The company continues to expand operations through acquisitions and organic means. American Water Works plans to invest $3.7 billion in 2026 to strengthen and expand its existing infrastructure. AWK aims to invest $29 billion during the 2026-2030 period.
The Zacks Consensus Estimate for 2026 earnings per share has moved up nearly 8% year over year. The long-term earnings growth of the company is currently pegged at 7.44%. The current dividend yield of the company is 2.65%. The company currently has a Zacks Rank #3 (Hold).
California Water Service Group: The San Jose, CA-based company, along with its subsidiaries, provides water utility and other related services to customers in the United States. The company continues to expand operations through acquisitions and plans to invest nearly $1.3 billion in the 2026-2027 period to further strengthen its infrastructure, repair and upgrade aging assets.
Over the past 60 days, the Zacks Consensus Estimate for 2026 earnings per share has increased 0.39%. The long-term earnings growth is currently pegged at 10.62%. The current dividend yield of the company is 3.1%. The company currently has a Zacks Rank #3.
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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Companhia de saneamento Basico Do Estado De Sao Paulo - Sabesp (SBS) : Free Stock Analysis Report
American Water Works Company, Inc. (AWK) : Free Stock Analysis Report
California Water Service Group (CWT) : Free Stock Analysis Report
American States Water Company (AWR) : Free Stock Analysis Report
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- American Water Announces 2025 Camden Community Investment Report
May 12, 2026
American Water Logo (PRNewsfoto/American Water)
Providing nearly $9 million in charitable contributions to the Camden community since 2018
CAMDEN, N.J., May 12, 2026 /PRNewswire/ -- American Water (NYSE: AWK), the largest regulated water and wastewater utility company in the U.S., today released its 2025 Camden Community Investment Report, reaffirming its commitment to the Camden, N.J. community. Since 2018, American Water, New Jersey American Water and the American Water Charitable Foundation have collectively awarded nearly $9 million in charitable contributions to support impactful, community-centered initiatives to organizations supporting Camden residents.
"American Water remains committed to supporting meaningful projects and programs that make Camden strong," said John Griffith, President and CEO, American Water. "We've been intentional in fostering long-standing, collaborative partnerships that build opportunity and make positive, lasting impact across the community, American Water's home."
American Water has a long-standing partnership with the City of Camden that dates back to the 19th century and continues to this day. Our teams deliver an essential service to Camden customers. For more than a century, New Jersey American Water has served the Cramer Hill and East Camden sections of the city. The American Water Contract Services Group operates and maintains the water supply and distribution system assets owned by the City of Camden Division of Utilities.
"Strong partnerships are essential to Camden's continued progress," said Victor Carstarphen, Mayor, City of Camden. "American Water's ongoing investment in our community demonstrates what it means to be a committed team player, working alongside the city, local organizations, and residents to continue the positive momentum across this great city."
The 2025 report spotlights several key initiatives from the past year, including:
Highlights employee engagement and local partnerships; Infrastructure investments that help continue delivering safe, clean, reliable water services, while also protecting waterways and improving neighborhoods; and Partnership spotlights, such as the American Water Charitable Foundation and the Center for Aquatic Sciences—supporting youth development and environmental education.
"The American Water Charitable Foundation is proud to invest in Camden through its signature Keep Communities Flowing Grant Program," said Carrie Williams, President, American Water Charitable Foundation. "By working alongside trusted local partners, we're helping create meaningful, lasting impact that strengthens neighborhoods, expands opportunity, and supports the Camden community for generations to come."
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Read the full Camden Community Investment Report here in English and Spanish.
About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886 and celebrating 140 years in 2026, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to approximately 14 million people with regulated operations in 14 states and on 18 military installations. American Water's approximately 7,000 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders. For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.Cision
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- California American Water Signs Water Forum Agreement 2050, Reinforcing Commitment to the Sacramento Region
May 12, 2026
California American Water (PRNewsfoto/American Water)
SACRAMENTO, Calif., May 12, 2026 /PRNewswire/ -- California American Water has signed the Water Forum Agreement 2050 (WF2050), a regional partnership guiding water management, environmental stewardship, and climate resilience in the Sacramento region through 2050.
Audie Foster, Director of Operations for California American Water's Northern Division, signed the agreement on behalf of the company, joining a coalition of water providers, public agencies, environmental organizations, and business leaders focused on the region's long-term water future.
"It's an honor to represent California American Water in signing the Water Forum Agreement 2050," said Audie Foster. "This agreement shows a shared commitment to collaboration, long-term planning, and responsible water management across the Sacramento region."
The Water Forum Agreement 2050 builds on more than 25 years of regional partnership, following the original agreement signed in 2000. This updated agreement provides a shared framework to address challenges posed by climate change, including more frequent droughts, increased water demand, and impacts on the lower American River ecosystem.
The agreement maintains two primary objectives: a reliable and safe water supply for economic and community needs, and the protection of the fishery, wildlife, recreational, and aesthetic values of the lower American River.
"California American Water is proud to stand with regional partners in signing this agreement and continuing a proven model for collaboration that supports water supply reliability with environmental care," said Sarah Leeper, President of California American Water.
The agreement introduces new tools and strategies, including the American River Climate Adaptation Program (ARCAP), to improve regional water resilience by increasing storage, supporting groundwater recharge, improving conservation, and preserving colder river water for fish and wildlife.
These efforts will help the Sacramento region manage water more effectively under shifting climate conditions while maintaining flexibility to adapt over time.
California American Water is among the signatories in the Water Forum's Water Caucus and continues to be committed to working with regional stakeholders to implement the agreement's goals and priorities.
About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to more than 14 million people with regulated operations in 14 states and on 18 military installations. American Water's 6,700 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders.
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For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.
About California American Water
California American Water, a subsidiary of American Water, provides safe, clean, reliable and affordable water and wastewater services to approximately 750,000 people.Cision
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- 4 Stocks to Watch From the Challenging Water Supply Industry
May 12, 2026
The companies under the Zacks Utility - Water Supply industry operate continuously to deliver a steady supply of clean, potable water and dependable sewer services to millions across the United States. These services are vital for maintaining public health and hygiene. Traditionally, water demand tends to dip during the winter months, as colder weather limits outdoor usage. In the spring, demand remains moderate, influenced by milder temperatures and gradually increasing outdoor activities.
The aging of pipelines is concerning, but water utilities continue with their upgrade and maintenance projects to minimize disruptions in operations. American Water Works Company AWK, with its widespread operations, provides services to domestic customers and military bases and offers an excellent opportunity to stay invested in the water utility space. Other water utilities worth adding to your portfolio are Companhia de Saneamento Basico do Estado de Sao Paulo SBS, American States Water Company AWR and California Water Service Group CWT.
About the Utility-Water Supply Industry
The Zacks Utility-Water Supply industry comprises companies that deliver drinking water and wastewater services to residential, commercial, industrial customers and military installations. Water utilities manage an extensive network of nearly 2.2 million miles of aging pipelines. To maintain service reliability and expand coverage, operators regularly replace outdated infrastructure and invest in new pipeline systems. Operators also own and operate storage tanks, treatment facilities and desalination plants to meet customer demand. Despite the industry's fragmented nature, improved water efficiency across households and industries supports more sustainable usage. As capital-intensive businesses, water utilities stand to benefit from falling interest rates, which lower the cost of capital and support ongoing infrastructure investments.
Three Developments Redefining the Water Supply Industry
Aging Infrastructure Requires Investments: The U.S. water and wastewater infrastructure is deteriorating, with water main breaks occurring every two minutes, according to the American Society of Civil Engineers (“ASCE”). The Environmental Protection Agency estimates that $1.25 trillion in investments will be needed over the next 20 years to maintain and expand water services. The Bipartisan Infrastructure Law has committed $50 billion toward improving these systems, especially in underserved communities. ASCE currently rates U.S. drinking water infrastructure at C- and wastewater systems at D+, underscoring the urgent need for upgrades. The regulated water utilities are making investments to upgrade and maintain infrastructure.
Consolidation in a Fragmented Industry: The U.S. water industry remains highly fragmented, with more than 50,000 community water systems and 14,000 wastewater treatment systems. Many smaller utilities lack the financial resources to upgrade aging infrastructure, leading to operational inefficiencies and water loss. Consolidation through mergers and acquisitions — though progressing slowly — is critical for improving service quality, reducing costs and enabling broader infrastructure investment. Larger players are increasingly acquiring smaller systems to drive modernization and expand service reach.
Regulatory Pressure & Operational Challenges: The U.S. water supply industry is grappling with increasing regulatory and operational headwinds that are pressuring overall growth. Tightening environmental policies and stricter water quality requirements are driving up compliance expenses, compelling utilities to invest heavily in infrastructure modernization and advanced treatment systems. At the same time, aging water networks, escalating repair and maintenance costs, and exposure to severe weather conditions are intensifying operational difficulties. Rising labor and energy expenses are also weighing on margins, challenging utilities’ ability to ensure dependable service while maintaining financial health.
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Zacks Industry Rank Indicates Weak Prospects
The Zacks Utility Water Supply industry is a 13-stock group within the broader Zacks Utilities sector. The industry currently carries a Zacks Industry Rank #188, which places it in the bottom 23% of more than 244 Zacks industries.
The group’s Zacks Industry Rank, which is basically the average of the Zacks Rank of all the member stocks, indicates bearish prospects for the near term. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
The industry’s positioning in the bottom 50% of the Zacks-ranked industries is a result of a negative earnings outlook for the constituent companies in aggregate. Looking at the aggregate earnings estimate revisions, it appears that analysts are pessimistic about this group’s earnings growth.
Before we present a few stocks that you may want to consider for your portfolio, let’s take a look at the industry’s recent stock market performance and valuation.
Water Supply Industry Lags the Sector and the S&P 500
The Zacks Utility Water Supply industry has underperformed the Zacks S&P 500 composite and its sector in the past 12 months. The industry has gained 11.6% compared with the Utility sector’s rally of 19.8%. The Zacks S&P 500 composite has advanced 30.7% in the same time frame.
Price Performance (One year)
Industry Trading at a Premium to the Sector & the S&P 500
On the basis of the trailing 12-month enterprise value to EBITDA (EV/EBITDA), which is a commonly used multiple for valuing water utility stocks, the industry is currently trading at 24.85X compared with the S&P 500’s 18.48X and the sector’s trailing 12-month EV/EBITDA of 16.67X.
Over the past five years, the water supply industry has traded as high as 44.35X, as low as 12.91X and at the median of 27.39X.
Water Supply Industry vs. S&P 500 (Past 5 Years)
Water Supply Industry vs. Utility Sector (Past 5 Years)
Water Utility Industry Stocks to Watch Now
Despite challenges in the water and wastewater industry, investors can watch the following stocks from the water space.
Companhia de Saneamento Basico do Estado de Sao Paulo: Sao Paulo, Brazil-based SABESP supplies treated water and sewage services to residential, commercial and industrial private customers. The company plans to invest $14.3 billion (R$70 billion) in the 2024-2029 period to strengthen its water and wastewater infrastructure.
Over the past 60 days, the Zacks Consensus Estimate for 2026 earnings has moved up nearly 7.9%. The current dividend yield of the company is 1.59%, better than the Zacks S&P 500 composite’s yield of 1.41%. The company currently has a Zacks Rank #2 (Buy).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Price and Consensus: SBS
American States Water Company: San Dimas, CA-based American States Water, along with its subsidiaries, provides water, wastewater and electric services to customers. AWR provides long-term water and wastewater services to military bases and continues to pursue new long-term contracts from more military bases. The company aims to invest in the range of $185-$225 million in 2026 to upgrade its infrastructure. It is expected that the company will continue to make fresh investments to upgrade and expand operations.
The Zacks Consensus Estimate for 2026 earnings per share indicates an increase of 3.34% in the past 60 days. The company’s long-term (three to five years) earnings growth rate is 6.93%. The current dividend yield is 2.6%. The company currently has a Zacks Rank #2.
Price and Consensus: AWR
American Water Works Company: Camden, NJ-based American Water, along with its subsidiaries, provides water and wastewater services to millions of Americans. The company continues to expand operations through acquisitions and organic means. American Water Works plans to invest $3.7 billion in 2026 to strengthen and expand its existing infrastructure. AWK aims to invest $29 billion during the 2026-2030 period.
The Zacks Consensus Estimate for 2026 earnings per share has moved up nearly 8% year over year. The long-term earnings growth of the company is currently pegged at 7.44%. The current dividend yield of the company is 2.65%. The company currently has a Zacks Rank #3 (Hold).
Price and Consensus: AWK
California Water Service Group: The San Jose, CA-based company, along with its subsidiaries, provides water utility and other related services to customers in the United States. The company continues to expand operations through acquisitions and plans to invest nearly $1.3 billion in the 2026-2027 period to further strengthen its infrastructure, repair and upgrade aging assets.
Over the past 60 days, the Zacks Consensus Estimate for 2026 earnings per share has increased 0.39%. The long-term earnings growth is currently pegged at 10.62%. The current dividend yield of the company is 3.1%. The company currently has a Zacks Rank #3.
Price and Consensus: CWT
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American Water Works Company, Inc. (AWK) : Free Stock Analysis Report
Companhia de saneamento Basico Do Estado De Sao Paulo - Sabesp (SBS) : Free Stock Analysis Report
California Water Service Group (CWT) : Free Stock Analysis Report
American States Water Company (AWR) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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- Water Quality Reports Available Online for Virginia American Water Customers
May 11, 2026
(PRNewsfoto/American Water)
Reports show drinking water in all service areas meets quality standards
ALEXANDRIA, Va., May 11, 2026 /PRNewswire/ -- Virginia American Water announced today that its most recent Water Quality Reports are now available on its website for all service areas. The company is proud to report that once again, the drinking water provided to the 384,000 customers across the Commonwealth meets or surpasses both state and federal water quality standards for all regulated substances, including lead.
"At Virginia American Water, our mission is to provide safe, clean, reliable, and affordable water to our customers," said Laura Runkle, President, Virginia American Water. "Our annual reports provide customers with information about the quality of their water, the water source(s) for the system and information on the importance of protecting our drinking water sources."
Annual water quality reports, also known as "consumer confidence reports," detail the quality of water that the company provides to its customers using data collected from water quality testing in its local systems in the previous year, most recently between January and December 2025. They highlight the compounds detected in treated drinking water in comparison to the compliance standards established by the U.S. Environmental Protection Agency (EPA) and enforced by Virginia Department of Health and the Virginia Department of Environmental Quality.
Virginia American Water routinely meets or surpasses the strict water quality standards and has not received a drinking water Notice of Violation in the past 17 years. To enhance education and transparency, the reports also include results of tests conducted on certain unregulated compounds in areas where they are present.
Runkle added, "We take pride in the work our team does every day to deliver high-quality water service. Our water quality reports are one more way we demonstrate our commitment to our customers."
Customers can access the water quality report specific to their area by visiting https://amwater.com/vaaw/Water-Quality/Water-Quality-Reports and searching by zip code. Printed copies of the report are also available to customers who do not wish to access it online. Customers can call the company's customer service center at 1-800-452-6863, Monday through Friday, 7 a.m. to 7 p.m., to request a hard copy of their local report.
To learn more about Virginia American Water's commitment to water education, environmental stewardship, and quality service, visit us here.
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About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886 and celebrating 140 years in 2026, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to approximately 14 million people with regulated operations in 14 states and on 18 military installations. American Water's approximately 7,000 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders. For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.
About Virginia American Water
Virginia American Water, a subsidiary of American Water, is the largest regulated water company in the state, providing safe, clean, reliable and affordable water and wastewater services to approximately 384,000 people. For more information, visit www.virginiaamwater.com and join Virginia American Water on LinkedIn, Facebook, and X.Cision
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