Essential Utilities Stock Price To Earning
WTRG Stock | USD 38.51 0.35 0.90% |
Essential Utilities fundamentals help investors to digest information that contributes to Essential Utilities' financial success or failures. It also enables traders to predict the movement of Essential Stock. The fundamental analysis module provides a way to measure Essential Utilities' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Essential Utilities stock.
Essential |
Essential Utilities Company Price To Earning Analysis
Essential Utilities' Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
Current Essential Utilities Price To Earning | 28.79 X |
Most of Essential Utilities' fundamental indicators, such as Price To Earning, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Essential Utilities is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Competition |
Based on the latest financial disclosure, Essential Utilities has a Price To Earning of 28.79 times. This is 4.67% lower than that of the Water Utilities sector and significantly higher than that of the Utilities industry. This indicator is about the same for all United States stocks average (which is currently at 28.72).
Essential Price To Earning Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Essential Utilities' direct or indirect competition against its Price To Earning to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Essential Utilities could also be used in its relative valuation, which is a method of valuing Essential Utilities by comparing valuation metrics of similar companies.Essential Utilities is currently under evaluation in price to earning category among its peers.
Essential Fundamentals
Return On Equity | 0.0984 | ||||
Return On Asset | 0.0272 | ||||
Profit Margin | 0.29 % | ||||
Operating Margin | 0.38 % | ||||
Current Valuation | 18.4 B | ||||
Shares Outstanding | 274.92 M | ||||
Shares Owned By Insiders | 0.21 % | ||||
Shares Owned By Institutions | 84.70 % | ||||
Number Of Shares Shorted | 5.01 M | ||||
Price To Earning | 28.79 X | ||||
Price To Book | 1.72 X | ||||
Price To Sales | 5.12 X | ||||
Revenue | 2.09 B | ||||
Gross Profit | 1.22 B | ||||
EBITDA | 1.25 B | ||||
Net Income | 595.31 M | ||||
Cash And Equivalents | 12.98 M | ||||
Cash Per Share | 0.05 X | ||||
Total Debt | 7.73 B | ||||
Debt To Equity | 1.17 % | ||||
Current Ratio | 0.76 X | ||||
Book Value Per Share | 22.56 X | ||||
Cash Flow From Operations | 770.34 M | ||||
Short Ratio | 3.20 X | ||||
Earnings Per Share | 2.17 X | ||||
Price To Earnings To Growth | 2.79 X | ||||
Target Price | 45.0 | ||||
Number Of Employees | 3.29 K | ||||
Beta | 0.79 | ||||
Market Capitalization | 10.68 B | ||||
Total Asset | 18.03 B | ||||
Retained Earnings | 1.95 B | ||||
Working Capital | (488.76 M) | ||||
Annual Yield | 0.03 % | ||||
Five Year Return | 2.20 % | ||||
Net Asset | 18.03 B | ||||
Last Dividend Paid | 1.26 |
About Essential Utilities Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Essential Utilities's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Essential Utilities using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Essential Utilities based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
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When determining whether Essential Utilities is a strong investment it is important to analyze Essential Utilities' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Essential Utilities' future performance. For an informed investment choice regarding Essential Stock, refer to the following important reports:Check out Essential Utilities Piotroski F Score and Essential Utilities Altman Z Score analysis. For more detail on how to invest in Essential Stock please use our How to Invest in Essential Utilities guide.You can also try the Idea Breakdown module to analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes.
Is Water Utilities space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Essential Utilities. If investors know Essential will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Essential Utilities listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Essential Utilities is measured differently than its book value, which is the value of Essential that is recorded on the company's balance sheet. Investors also form their own opinion of Essential Utilities' value that differs from its market value or its book value, called intrinsic value, which is Essential Utilities' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Essential Utilities' market value can be influenced by many factors that don't directly affect Essential Utilities' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Essential Utilities' value and its price as these two are different measures arrived at by different means. Investors typically determine if Essential Utilities is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Essential Utilities' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.