The York Water Company (YORW) AI Stock Analysis

• Market Cap: $470.60M
• Dividend Yield: 2.68%
• Average Volume (3M): 65.83K
• Price to Earnings (P/E): 23.9
• Beta (1Y): 0.25
• Revenue Growth: 3.45%
• EPS Growth: -19.90%
• Country: US
• Employees: 127
• Sector: Utilities
• Sector Strength: 78
• Industry: Regulated Water
• EPS (TTM): 0.25
• Shares Outstanding: 14,400,277
• 10 Day Avg. Volume: 73,791
• 30 Day Avg. Volume: 65,831
• PEG Ratio: 4.17
• Price to Book (P/B): 3.03
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -19.68
• Enterprise Value/Market Cap: 1.63
• Enterprise Value/Revenue: 2.57
• Enterprise Value/Gross Profit: 14.63
• Enterprise Value/Ebitda: 4.62
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 58 Neutral
• Price Target: $33.00 ▲(1.10%Upside)

The York Water Company has strong financial performance with robust profitability and revenue growth, though cash flow volatility and leverage are concerns. Technical analysis highlights bearish market sentiment, which is a risk factor. Valuation metrics are reasonable, offering a balanced investment profile. Continued vigilance on financial stability and market trends will be key.

The York Water Company Business Overview & Revenue Model

Company Description

The York Water Company impounds, purifies, and distributes drinking water. It owns and operates three wastewater collection systems; five wastewater collection and treatment systems; and two reservoirs, including Lake Williams and Lake Redman, which hold approximately 2.2 billion gallons of water. The company also operates a 15-mile pipeline from the Susquehanna River to Lake Redman; and owns nine groundwater wells that supply water to customers in the Adams County. It serves customers in the fixtures and furniture, electrical machinery, food products, paper, ordnance units, textile products, air conditioning systems, laundry detergents, barbells, and motorcycle industries in 51 municipalities within three counties in south-central Pennsylvania. The York Water Company was incorporated in 1816 and is based in York, Pennsylvania.

How the Company Makes Money

The York Water Company generates revenue primarily through the sale of water to its customer base, which includes residential, commercial, and industrial users. The company's revenue model is primarily based on metered water sales, where customers are billed based on their water consumption. Additionally, York Water Company may receive income from fees associated with new customer connections, service line installations, and fire protection services. The company also invests in infrastructure improvements and expansions to increase its service capacity and efficiency, which can lead to increased revenues over time. Regulatory frameworks and rate approvals by state utility commissions significantly influence the company's pricing and revenue structure.

The York Water Company Financial Statement Overview

Summary

The York Water Company demonstrates solid financial health with strong profitability and revenue growth. The income statement is robust with high margins, but the balance sheet shows moderate leverage, and cash flow management requires improvement. Overall, a healthy financial position with areas for enhancement.

Income Statement

The York Water Company shows a strong financial performance with consistent revenue growth and profitability. Over the TTM, the company reported a Gross Profit Margin of 69.2% and a Net Profit Margin of 25.9%, reflecting efficient cost management. The Revenue Growth Rate is 11.9% from 2022 to 2023, indicating a positive upward trend. EBIT and EBITDA Margins are healthy at 37.1% and 54.3% respectively, underscoring operational efficiency.

Balance Sheet

The balance sheet indicates moderate leverage with a Debt-to-Equity Ratio of 0.91, suggesting a significant reliance on debt. However, the Return on Equity stands at 8.5%, showcasing decent profitability relative to equity. The Equity Ratio is 36.2%, indicating a balanced capital structure, though there's room for improvement in strengthening equity.

Cash Flow

The cash flow statement reflects some challenges with negative Free Cash Flow in previous years, but a positive shift to $13.9M in the TTM. Operating Cash Flow to Net Income Ratio is 1.55, indicating strong cash generation relative to net income. Despite improvements, the Free Cash Flow Growth Rate has been volatile, necessitating careful monitoring of capital expenditures and cash management.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
75.79M	74.96M	71.03M	60.06M	55.12M	53.85M
	Gross Profit
52.45M	55.29M	53.67M	45.93M	43.30M	43.07M
	EBIT
28.11M	28.04M	29.53M	24.48M	23.40M	24.43M
	EBITDA
41.15M	43.79M	43.83M	33.35M	31.04M	31.25M
	Net Income Common Stockholders
19.64M	20.32M	23.76M	19.58M	16.98M	16.60M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.00K	1.00K	1.00K	1.00K	1.00K	2.00K
	Total Assets
641.75M	646.85M	588.21M	510.60M	458.85M	406.96M
	Total Debt
211.64M	205.56M	180.01M	139.47M	146.37M	123.57M
	Net Debt
211.64M	205.56M	180.01M	139.46M	146.37M	123.57M
	Total Liabilities
409.61M	402.28M	367.03M	303.41M	306.23M	263.70M
	Stockholders Equity
232.14M	231.19M	221.18M	207.18M	152.62M	143.25M
Cash Flow		Free Cash Flow
13.90M	-18.45M	-32.73M	-31.90M	-23.44M	-13.06M
	Operating Cash Flow
30.43M	30.56M	31.91M	22.02M	22.96M	20.23M
	Investing Cash Flow
-49.79M	-49.01M	-65.27M	-53.92M	-46.40M	-32.63M
	Financing Cash Flow
16.04M	18.45M	33.36M	31.90M	18.44M	17.39M

The York Water Company Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 32.64
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YORW, the sentiment is Neutral. The current price of 32.64 is above the 20-day moving average (MA) of 32.53, below the 50-day MA of 33.70, and below the 200-day MA of 34.29, indicating a neutral trend. The MACD of -0.36 indicates Negative momentum. The RSI at 47.80 is Neutral, neither overbought nor oversold. The STOCH value of 61.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for YORW.

The York Water Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARTNA	75 Outperform	$352.78M	16.46	9.04%	3.59%	8.31%	21.97%
HTO	74 Outperform	$1.86B	18.21	7.49%	3.09%	12.34%	11.78%
MSEX	72 Outperform	$1.03B	23.94	9.80%	2.37%	16.02%	18.29%
AWR	69 Neutral	$3.03B	24.27	13.95%	2.37%	6.79%	5.96%
Sector *	64 Neutral	$8.54B	10.40	4.24%	4.63%	4.14%	-13.05%
CWT	63 Neutral	$2.81B	20.69	8.67%	2.54%	3.83%	-8.75%
YORW	58 Neutral	$470.60M	23.90	8.63%	2.68%	3.45%	-19.90%