Aqua America stock: buy or sell?

WTR stock price: $51.86 -0.46% At close on January 24th, 2020

Updated on:
January 24th, 2020

5

After reaching all time highs on January/24, Aqua America declined -0.46% to $51.86. Jan 24th session broke a green streak of 4 days.

Aqua America, Inc., through its subsidiaries, operates regulated utilities that provide water or wastewater services in the United States.

Should I buy Aqua America stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

These 2 buy setups work for Aqua America stock right now:

Buy setupElegible
New all-time highYes
New 52 week highYes
Price crossing up 200d MANo
100d MA crossing up 200d MANo

Is Aqua America stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we gathered 5 ratings published for WTR stock in the last month.

The general sentiment of these ratings is bullish for WTR stock, with 4 positive ratings.
Is WTR a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-8UBS GroupBuyNeutral
2019-7-15Bank of American/aBuy
2019-6-28HSBCn/aBuy
2019-3-19UBS GroupNeutralBuy
2019-2-5Janney Montgomery Scottn/aBuy

Aqua America stock analysis

Daily outlook

After several days of continuous rises in past weeks, Aqua America declined -0.46% to $51.86.

After several days of continuous hikes in past weeks, Aqua America declined -0.46% to $51.86. On November WTR price bounced up over the SMA of 100 days demonstrating to be a significant support for this stock. Even closing in lows, the session peaked to new all time highs at $52.15.

WTR stock chart (daily)

Weekly outlook

After boosting a dazzling 7.42% in a week last week, Aqua America closed this week at $51.86 and jumped a good 2.55%. For 3 weeks in a row, price soared and marked a profit of 12.09%.

WTR shows a strong mid-term uptrend with several rising tops and rising bottoms. Since its last bottom by mid November 2019, WTR climbed unceasignly breaking out to new all time highs. It hit new all-time highs again this week, setting highs to $52.58. Late April 2019, SMA20w and SMA40w crossed up triggering a rise of 36.44%. Since price and SMA40w lines crossed up early February, WTR climbed $17.94 (52.89%).

WTR stock chart (weekly)

Aqua America stock price history

Aqua America IPO was on May 13th, 1985 at $0.00 per share1. Since then, WTR stock surged a inf%, with a yearly average of inf%. If you had invested $1,000 in Aqua America stock in 1985, it would worth $inf today.

1: Adjusted price after possible price splits or reverse-splits.

Aqua America stock historical price chart

WTR stock reached all-time highs on Jan 24th with a price of $52.58.

Aqua America stock price target is $45.30

How much a stock will be priced tomorrow or next week is quite unpredictable However, many stock price predictions are published every day by banks, financial institutions and independent analysts. You should not follow the analysts' WTR stock price predictions in the hope that they will be met as they may be wrong and not met. We have 3 price predictions for Aqua America stock published in the last 30 days:
WTR stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-8UBS GroupDowngrades$42.00$45.007.1%
2019-7-15Bank of AmericaInitiatesn/a$45.00-
2019-6-28HSBCSet Price Targetn/a$46.00-
(in average)$42.00$45.308.0%
The price forecast for Aqua America stock is $45.30, moving in a range between $46.00 and $45.00. In average, analysts' outlook on WTR price target is positive, improving the target by a 8.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

On February, Aqua America missed the forecasts of the experts and posted a disappointing EPS of $0.31 per share when experts were expecting $0.32.
WTR earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/a0.27n/a
2017-Q2-n/a0.34n/a
2017-Q32017-10-310.430.430.0%
2017-Q42018-02-270.310.323.2%
2018-Q12018-05-080.290.290.0%
2018-Q22018-08-010.360.372.8%
2018-Q32018-11-050.430.442.3%
2018-Q42019-02-180.320.31-3.1%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

Compared to 2017, last anual revenues report draw a nice increase of 3.53% to $838.09 M dollars. Nevertheless, its earnings margin (compared to sales) slipped to 22.91%, that is $191.99 million.

WTR annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$769 M-$205 M26.7%-
2014$780 M1.47%$233 M29.9%13.78%
2015$814 M4.40%$202 M24.8%-13.48%
2016$820 M0.70%$234 M28.6%16.05%
2017$810 M-1.26%$240 M29.6%2.37%
2018$838 M3.53%$192 M22.9%-19.92%

Quarterly financial results

Aqua America posted $205.75 M in sales for 2018-Q4, a -9.02% less compared to previous quarter. Reported quarter income marked $-3.66 million with a profit margin of -1.78%. Profit margin collapsed a -36.37% compared to previous quarter when profit margin was 34.59%. When comparing revenues to same quarter last year, Aqua America sales marked a tiny growth and appreciated a 1.20%.
WTR quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$188 M-$49 M26.1%-
2017-Q2$203 M8.32%$61 M30.0%24.25%
2017-Q3$215 M5.70%$76 M35.5%25.02%
2017-Q4$203 M-5.44%$53 M26.3%-29.85%
2018-Q1$194 M-4.41%$51 M26.2%-4.93%
2018-Q2$212 M9.01%$67 M31.4%30.98%
2018-Q3$226 M6.74%$78 M34.6%17.46%
2018-Q4$206 M-9.02%$-4 M-1.8%-104.68%

Aqua America ownership

When you are planning to invest in shares of a company, it's worth to review its ownership structure.

Aqua America shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.21% of all shares.

In case of Aqua America stock, 69.95% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for WTR stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to Aqua America:

WTR
Market cap$11.2 B
Total shares215.8 M
Float shares203.9 M
  - Institutional holdings (%)70.0%
  - Insider holdings (%)0.2%
Shares in short selling0.0%

Aqua America summary

Friday, January 24th, 2020
Open$52.07
Close$51.86
Day range$51.77 - $52.58
Previous close$52.10
Session gain-0.46%
Average true range$0.68
50d mov avg$46.06
100d mov avg$45.30
200d mov avg$42.72
Daily pattern
Weekly pattern lb03c

Aqua America performance

To measure stock performance is always good to compare with competitors or related stocks. For Aqua America, the benchmark is made against .
Stock3m6m12m
WTRAqua America14.10%26.27%55.08%

Aqua America competitors

Unfortunately, we could not find any public company that could be defined as Aqua America competitor. This doesn't mean Aqua America does not have any competitor in the market, it's just we could not detected it.