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Missouri Approves Rate Increase for American Water

Story Highlights
  • Missouri American Water’s rate case settlement approved a $63 million revenue increase.
  • The rate increase follows $1.1 billion in infrastructure investments by Missouri American Water.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.

An update from American Water ( (AWK) ) is now available.

On May 7, 2025, the Missouri Public Service Commission approved a settlement for Missouri American Water‘s general rate case, resulting in a $63 million annualized revenue increase. This decision follows a $1.1 billion investment in infrastructure improvements. The new rates, effective by May 31, 2025, aim to maintain service quality while ensuring affordability for customers.

Spark’s Take on AWK Stock

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

American Water’s stock is supported by strong revenue growth, profitability, and positive earnings guidance. However, financial risks from high leverage and negative free cash flow, alongside a relatively high P/E ratio, moderate the overall score. Regulatory achievements and strategic investments are positive, but increased costs and reduced rate case settlements pose challenges.

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

More about American Water

American Water is the largest regulated water and wastewater utility company in the United States, providing services to over 14 million people across 14 states and 18 military installations. Missouri American Water, a subsidiary, is the largest regulated water utility in Missouri, serving approximately 1.6 million people.

Average Trading Volume: 1,668,284

Technical Sentiment Signal: Buy

Current Market Cap: $29.1B

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

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