H2O America Acquires Quadvest Assets for $540 Million

An update from H2O America ( (HTO) ) is now available.

On July 7, 2025, H2O America, through its subsidiaries, entered into agreements to acquire the assets of Quadvest’s water and sewer utility businesses for a total of $540 million. This strategic acquisition is expected to significantly expand H2O America’s presence in Texas, particularly in the high-growth Houston region, and is projected to be accretive to the company’s long-term EPS growth rate. The transaction, which requires regulatory approvals, aims to enhance operational scale and customer service, positioning H2O America as the second largest investor-owned water utility in Texas by 2028.

The most recent analyst rating on (HTO) stock is a Hold with a $63.00 price target. To see the full list of analyst forecasts on H2O America stock, see the HTO Stock Forecast page.

Spark’s Take on HTO Stock

According to Spark, TipRanks’ AI Analyst, HTO is a Outperform.

H2O America is on a strong growth trajectory, evidenced by significant revenue and net income increases, and robust operational management. The earnings call provided positive guidance, though challenges like increasing leverage and high capital expenditures warrant attention. The valuation is fair, and the dividend yield is a positive aspect. Technical analysis suggests stability but presents potential buying opportunities.

To see Spark’s full report on HTO stock, click here.

More about H2O America

H2O America is a national investor-owned network of local water and wastewater utilities, focused on delivering clean, high-quality water to communities. The company invests in critical infrastructure to support approximately 407,000 water and wastewater service connections.

Average Trading Volume: 257,519

Technical Sentiment Signal: Sell

Current Market Cap: $1.79B

For detailed information about HTO stock, go to TipRanks’ Stock Analysis page.