(CWT) California Water Service - NYSE
Sector: Utilities | Industry: Utilities - Regulated Water | Exchange: NYSE (USA) | Market Cap: 2.742m USD | Total Return: -0.1% in 12m
Avg Turnover: 21.2M
EPS Trend: 52.7%
Qual. Beats: 0
Rev. Trend: 79.1%
Qual. Beats: 0
Warnings
High Debt while negative Cash Flow
Altman Z'' 0.89 < 1.0 - financial distress zone
Choppy
Tailwinds
No distinct edge detected
California Water Service Group (NYSE: CWT) is a regulated public utility holding company providing water and wastewater services across California, Washington, New Mexico, Hawaii, and Texas. Founded in 1926, the company manages the full lifecycle of water utility operations, including production, treatment, and distribution for domestic, industrial, and agricultural use.
The business model relies heavily on rate-regulated environments, where state commissions determine the pricing structures to ensure a fair return on capital investments in infrastructure. Unlike many other utility sectors, water utilities face high capital intensity due to the continuous need for pipeline replacement and compliance with evolving federal water quality standards.
In addition to its core regulated operations, CWT generates revenue through non-regulated services such as municipal system management, private meter reading, and the leasing of communication antenna sites on utility property. Examining the historical dividend growth of CWT on ValueRay can provide further insight into the companys long-term financial stability.
The company maintains a diverse geographic footprint, serving over 550,000 customer connections across dozens of distinct districts. This diversification helps mitigate localized drought risks and regulatory shifts within individual state jurisdictions.
- California Public Utilities Commission rate case outcomes dictate multi-year revenue stability
- Infrastructure capital expenditure recovery mechanisms drive long-term rate base growth
- Drought conditions and conservation mandates impact residential water consumption volumes
- Rising energy and chemical costs influence utility operating margin performance
- Strategic acquisitions in fragmented regional markets expand customer connection base
| Net Income: 118.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.04 > 0.02 and ΔFCF/TA -0.65 > 1.0 |
| NWC/Revenue: -16.80% < 20% (prev -29.37%; Δ 12.57% < -1%) |
| CFO/TA 0.05 > 3% & CFO 313.5m > Net Income 118.9m |
| Net Debt (1.60b) to EBITDA (324.0m): 4.94 < 3 |
| Current Ratio: 0.69 > 1.5 & < 3 |
| Outstanding Shares: last quarter (59.8m) vs 12m ago 0.34% < -2% |
| Gross Margin: 42.57% > 18% (prev 64.38%; Δ -21.81% > 0.5%) |
| Asset Turnover: 18.31% > 50% (prev 18.45%; Δ -0.13% > 0%) |
| Interest Coverage Ratio: 2.52 > 6 (EBIT TTM 175.1m / Interest Expense TTM 69.6m) |
| A: -0.03 (Total Current Assets 375.2m - Total Current Liabilities 545.0m) / Total Assets 5.78b |
| B: 0.12 (Retained Earnings 713.3m / Total Assets 5.78b) |
| C: 0.03 (EBIT TTM 175.1m / Avg Total Assets 5.52b) |
| D: 0.45 (Book Value of Equity 1.79b / Total Liabilities 3.99b) |
| Altman-Z'' = 0.89 = B |
| DSRI: 1.14 (Receivables 218.3m/184.0m, Revenue 1.01b/970.0m) |
| GMI: 1.51 (GM 64.38% / 42.57%) |
| AQI: 0.95 (AQ_t 0.13 / AQ_t-1 0.13) |
| SGI: 1.04 (Revenue 1.01b / 970.0m) |
| TATA: -0.03 (NI 118.9m - CFO 313.5m) / TA 5.78b) |
| Beneish M = -2.45 (Cap -4..+1) = BBB |
As of June 13, 2026, the stock is trading at USD 45.35 with a total of 782,435 shares traded.
Over the past week, the price has changed by +0.24%,
over one month by +5.76%,
over three months by +3.73% and
over the past year by -0.14%.
California Water Service has received a consensus analysts rating of 5.00. Therefore, it is recommended to buy CWT.
- StrongBuy: 5
- Buy: 0
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 51.7 | 13.9% |
P/E Trailing = 22.91
P/E Forward = 17.9533
P/S = 2.7133
P/B = 1.6319
P/EG = 2.0894
Revenue TTM = 1.01b USD
EBIT TTM = 175.1m USD
EBITDA TTM = 324.0m USD
Long Term Debt = 1.47b USD (from longTermDebt, last quarter)
Short Term Debt = 230.8m USD (from shortTermDebt, last quarter)
Debt = 1.70b USD (from shortLongTermDebtTotal, last quarter) + Leases 1.21m
Net Debt = 1.60b USD (calculated: Debt 1.70b - CCE 103.7m)
Enterprise Value = 4.34b USD (2.74b + Debt 1.70b - CCE 103.7m)
Interest Coverage Ratio = 2.52 (Ebit TTM 175.1m / Interest Expense TTM 69.6m)
EV/FCF = -19.49x (Enterprise Value 4.34b / FCF TTM -222.8m)
FCF Yield = -5.13% (FCF TTM -222.8m / Enterprise Value 4.34b)
FCF Margin = -22.05% (FCF TTM -222.8m / Revenue TTM 1.01b)
Net Margin = 11.77% (Net Income TTM 118.9m / Revenue TTM 1.01b)
Gross Margin = 42.57% ((Revenue TTM 1.01b - Cost of Revenue TTM 580.4m) / Revenue TTM)
Gross Margin QoQ = 29.68% (prev 30.49%)
Tobins Q-Ratio = 0.75 (Enterprise Value 4.34b / Total Assets 5.78b)
Interest Expense / Debt = 4.08% (Interest Expense 69.6m / Debt 1.70b)
Taxrate = 26.63% (1.47m / 5.50m)
NOPAT = 128.5m (EBIT 175.1m * (1 - 26.63%))
Current Ratio = 0.69 (Total Current Assets 375.2m / Total Current Liabilities 545.0m)
Debt / Equity = 0.95 (Debt 1.70b / totalStockholderEquity, last quarter 1.79b)
Debt / EBITDA = 4.94 (Net Debt 1.60b / EBITDA 324.0m)
Debt / FCF = -7.18 (negative FCF - burning cash) (Net Debt 1.60b / FCF TTM -222.8m)
Total Stockholder Equity = 1.71b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.15% (Net Income 118.9m / Total Assets 5.78b)
RoE = 6.96% (Net Income TTM 118.9m / Total Stockholder Equity 1.71b)
RoCE = 5.50% (EBIT 175.1m / Capital Employed (Equity 1.71b + L.T.Debt 1.47b))
RoIC = 2.37% (NOPAT 128.5m / Invested Capital 5.42b)
WACC = 4.26% (E(2.74b)/V(4.45b) * Re(5.04%) + D(1.70b)/V(4.45b) * Rd(4.08%) * (1-Tc(0.27)))
Discount Rate = 5.04% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 95.56 | Cagr: 1.54%
[DCF] Fair Price = unknown (Cash Flow -222.8m)
EPS Correlation: 52.74 | EPS CAGR: 34.52% | SUE: -0.50 | # QB: 0
Revenue Correlation: 79.07 | Revenue CAGR: 9.95% | SUE: 0.13 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.63 | Chg30d=-13.10% | Revisions=+20% | Analysts=1
EPS next Quarter (2026-09-30): EPS=1.07 | Chg30d=-14.74% | Revisions=+20% | Analysts=1
EPS current Year (2026-12-31): EPS=2.45 | Chg30d=-5.16% | Revisions=+20% | GrowthEPS=+14.0% | GrowthRev=+10.8%
EPS next Year (2027-12-31): EPS=2.76 | Chg30d=-0.36% | Revisions=+20% | GrowthEPS=+12.7% | GrowthRev=+4.5%
[Analyst] Revisions Ratio: +20%