American Water Works Company, Inc. cash flow to debt ratio of 12.94% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

American Water Works Company, Inc.'s free cash flow has decreased 31.57% from $-811.00M last year to $-1.07B, signaling decreasing performance

American Water Works Company, Inc.'s debt to equity ratio is 1.38, which means that the company's assets are unhealthy financed, signaling financial risk.

American Water Works Company, Inc.'s debt has increased relative to shareholder equity from 1.37 last year to 1.38 today, signaling weakened financials

American Water Works Company, Inc. has a net debt to EBITDA ratio of 5.37x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

American Water Works Company, Inc.'s interest coverage ratio of 3.00 indicates that earnings with margin can cover interest payments on company debt

American Water Works Company, Inc.'s profit margin has decreased (4.86%) in the last year from 22.44% to 21.35%, signaling decreasing performance

American Water Works Company, Inc.'s short-term liabilities of $4.75B exceed its short-term assets of $2.19B, signaling financial risk

American Water Works Company, Inc.'s return on assets of 3.09% is lower than the 5.00% threshold, indicating inefficient asset utilization

American Water Works Company, Inc.'s return on equity of 10.15%, is lower than 15.00%, indicating bad performance

American Water Works Company, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

American Water Works Company, Inc. had positive net income in 5 out of 5 years, indicating stable and consistent earnings

American Water Works Company, Inc. has negative free cash flow, indicating the company is burning cash rather than generating it

American Water Works Company, Inc. has negative free cash flow, indicating cash burn

American Water Works Company, Inc.'s yearly earnings has increased 5.71% since last year from $1.05B to $1.11B, signaling increasing performance

American Water Works Company, Inc.'s yearly revenue has increased 9.74% since last year from $4.68B to $5.14B, signaling increasing performance

ROIC 4.36% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

American Water Works Company, Inc.'s 3-year revenue CAGR of 10.67% is positive, indicating growing revenue over the past 3 years

American Water Works Company, Inc. had revenue growth in 4 out of 5 years, indicating consistent revenue performance

American Water Works Company, Inc. had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

American Water Works Company, Inc. has insufficient data to evaluate this check.

American Water Works Company, Inc. has an earnings yield of 4.25%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

American Water Works Company, Inc. is overvalued relative to its fair value price of 18.50 based on EBITDA multiple model

American Water Works Company, Inc. has an EV/EBITDA ratio of 14.56x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

American Water Works Company, Inc. is undervalued relative to its fair value price of 165.34 based on Earnings Fair Value model

American Water Works Company, Inc. has a PEG-ratio over 1 which is considered overvalued

American Water Works Company, Inc. has a price-to-book ratio of 2.28x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

American Water Works Company, Inc. has a price-to-sales ratio of 5.02x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue