H2O America (NASDAQ:HTO) Hits New 12-Month High on Strong Earnings

H2O America (NASDAQ:HTO)’s share price hit a new 52-week high during mid-day trading on Tuesday following a better than expected earnings announcement. The stock traded as high as $66.28 and last traded at $66.5350, with a volume of 67941 shares changing hands. The stock had previously closed at $63.50.

The utilities provider reported $0.72 EPS for the quarter, topping analysts’ consensus estimates of $0.70 by $0.02. The business had revenue of $210.47 million during the quarter. H2O America had a return on equity of 6.76% and a net margin of 12.87%.H2O America has set its FY 2026 guidance at 3.080-3.180 EPS.

H2O America Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 1st. Stockholders of record on Monday, August 10th will be issued a $0.44 dividend. This represents a $1.76 dividend on an annualized basis and a dividend yield of 2.6%. The ex-dividend date is Monday, August 10th. H2O America’s payout ratio is 60.27%.

Analysts Set New Price Targets

A number of research firms have commented on HTO. Weiss Ratings raised shares of H2O America from a “hold (c)” rating to a “hold (c+)” rating in a report on Wednesday, May 6th. Wells Fargo & Company assumed coverage on shares of H2O America in a report on Monday, May 11th. They set an “equal weight” rating and a $60.00 target price on the stock. Bank of America restated a “buy” rating on shares of H2O America in a research report on Wednesday, April 22nd. BTIG Research reaffirmed a “buy” rating and issued a $67.00 price target on shares of H2O America in a report on Thursday. Finally, TD Cowen initiated coverage on shares of H2O America in a research report on Thursday, April 16th. They set a “hold” rating and a $64.00 price objective for the company. One investment analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $64.33.

Insiders Place Their Bets

In related news, major shareholder Atlas Infrastructure Partners bought 2,784 shares of the company’s stock in a transaction on Tuesday, July 7th. The shares were purchased at an average cost of $62.03 per share, with a total value of $172,691.52. Following the completion of the transaction, the insider directly owned 4,615,265 shares of the company’s stock, valued at approximately $286,284,887.95. This represents a 0.06% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which is accessible through the SEC website. 0.52% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On H2O America

Several hedge funds and other institutional investors have recently modified their holdings of HTO. SG Americas Securities LLC acquired a new stake in H2O America in the fourth quarter worth about $1,375,000. Fideuram Intesa Sanpaolo Private Banking S.P.A. bought a new position in shares of H2O America in the fourth quarter valued at approximately $1,609,000. Prospera Financial Services Inc acquired a new position in shares of H2O America during the fourth quarter valued at approximately $4,305,000. Clean Yield Group acquired a new position in shares of H2O America during the fourth quarter valued at approximately $2,092,000. Finally, Ethic Inc. bought a new stake in H2O America during the fourth quarter worth approximately $1,069,000. Institutional investors and hedge funds own 84.29% of the company’s stock.

H2O America Stock Performance

The stock has a market cap of $2.80 billion, a P/E ratio of 22.87, a PEG ratio of 7.64 and a beta of 0.35. The company has a debt-to-equity ratio of 1.02, a current ratio of 2.02 and a quick ratio of 2.02. The company has a fifty day moving average of $59.64 and a 200 day moving average of $57.24.

H2O America Company Profile

SJW Group, through its subsidiaries, provides water utility and other related services in the United States. It operates in Water Utility Services and Real Estate Services segments. The company engages in the production, purchase, storage, purification, distribution, wholesale, and retail sale of water and wastewater services; and supplies groundwater from wells, surface water from watershed run-off and diversion, reclaimed water, and imported water purchased from the Santa Clara Valley Water District.