WallStSmart

American Water Works (AWK)vsUGI Corporation (UGI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

UGI Corporation generates 43% more annual revenue ($7.34B vs $5.14B). AWK leads profitability with a 21.6% profit margin vs 8.2%. AWK appears more attractively valued with a PEG of 2.39. AWK earns a higher WallStSmart Score of 62/100 (C+).

AWK

Buy

62

out of 100

Grade: C+

Growth: 6.0Profit: 7.5Value: 4.7Quality: 3.3
Piotroski: 2/9Altman Z: 0.64

UGI

Buy

54

out of 100

Grade: C-

Growth: 2.7Profit: 6.5Value: 6.0Quality: 3.8
Piotroski: 3/9Altman Z: 1.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AWKOvervalued (-12.2%)

Margin of Safety

-12.2%

Fair Value

$110.27

Current Price

$128.42

$18.15 premium

UndervaluedFair: $110.27Overvalued
UGIUndervalued (+20.3%)

Margin of Safety

+20.3%

Fair Value

$47.85

Current Price

$37.57

$10.28 discount

UndervaluedFair: $47.85Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AWK3 strengths · Avg: 9.0/10
Operating MarginProfitability
32.2%10/10

Strong operational efficiency at 32.2%

Profit MarginProfitability
21.6%9/10

Keeps 22 of every $100 in revenue as profit

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

UGI3 strengths · Avg: 8.0/10
P/E RatioValuation
14.0x8/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Operating MarginProfitability
20.3%8/10

Strong operational efficiency at 20.3%

Areas to Watch

AWK4 concerns · Avg: 3.3/10
PEG RatioValuation
2.394/10

Expensive relative to growth rate

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-385.00M2/10

Negative free cash flow — burning cash

UGI4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
2.6%4/10

2.6% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
48.822/10

Expensive relative to growth rate

EPS GrowthGrowth
-23.0%2/10

Earnings declined 23.0%

Comparative Analysis Report

WallStSmart Research

Bull Case : AWK

The strongest argument for AWK centers on Operating Margin, Profit Margin, Price/Book. Profitability is solid with margins at 21.6% and operating margin at 32.2%.

Bull Case : UGI

The strongest argument for UGI centers on P/E Ratio, Price/Book, Operating Margin.

Bear Case : AWK

The primary concerns for AWK are PEG Ratio, EPS Growth, Piotroski F-Score.

Bear Case : UGI

The primary concerns for UGI are Revenue Growth, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

AWK profiles as a mature stock while UGI is a value play — different risk/reward profiles.

UGI carries more volatility with a beta of 1.07 — expect wider price swings.

AWK is growing revenue faster at 5.8% — sustainability is the question.

UGI generates stronger free cash flow (-155M), providing more financial flexibility.

Bottom Line

AWK scores higher overall (62/100 vs 54/100), backed by strong 21.6% margins. UGI offers better value entry with a 20.3% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

American Water Works

UTILITIES · UTILITIES - REGULATED WATER · USA

American Water is an American public utility company operating in the United States and Canada.

UGI Corporation

UTILITIES · UTILITIES - REGULATED GAS · USA

UGI Corporation distributes, stores, transports, and markets energy products and related services in the United States and internationally. The company is headquartered in King of Prussia, Pennsylvania.

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