WallStSmart

American States Water Company (AWR)vsPure Cycle Corporation (PCYO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

American States Water Company generates 2133% more annual revenue ($658.07M vs $29.47M). PCYO leads profitability with a 46.6% profit margin vs 19.8%. PCYO trades at a lower P/E of 18.1x. PCYO earns a higher WallStSmart Score of 61/100 (C+).

AWR

Buy

56

out of 100

Grade: C

Growth: 5.3Profit: 7.5Value: 4.7Quality: 5.5
Piotroski: 2/9Altman Z: 1.17

PCYO

Buy

61

out of 100

Grade: C+

Growth: 7.3Profit: 8.0Value: 8.3Quality: 8.0
Piotroski: 3/9Altman Z: 4.77
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AWRSignificantly Overvalued (-209.6%)

Margin of Safety

-209.6%

Fair Value

$22.92

Current Price

$73.40

$50.48 premium

UndervaluedFair: $22.92Overvalued
PCYOUndervalued (+49.0%)

Margin of Safety

+49.0%

Fair Value

$20.75

Current Price

$9.88

$10.87 discount

UndervaluedFair: $20.75Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AWR2 strengths · Avg: 8.0/10
Price/BookValuation
2.7x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.8%8/10

Strong operational efficiency at 28.8%

PCYO6 strengths · Avg: 9.7/10
Profit MarginProfitability
46.6%10/10

Keeps 47 of every $100 in revenue as profit

Operating MarginProfitability
48.0%10/10

Strong operational efficiency at 48.0%

Revenue GrowthGrowth
58.8%10/10

Revenue surging 58.8% year-over-year

Debt/EquityHealth
0.0510/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.7710/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Areas to Watch

AWR4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
2.612/10

Expensive relative to growth rate

EPS GrowthGrowth
-120.0%2/10

Earnings declined 120.0%

Free Cash FlowQuality
$-35.98M2/10

Negative free cash flow — burning cash

PCYO3 concerns · Avg: 2.7/10
Market CapQuality
$249.10M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-1.13M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : AWR

The strongest argument for AWR centers on Price/Book, Operating Margin. Profitability is solid with margins at 19.8% and operating margin at 28.8%. Revenue growth of 14.8% demonstrates continued momentum.

Bull Case : PCYO

The strongest argument for PCYO centers on Profit Margin, Operating Margin, Revenue Growth. Profitability is solid with margins at 46.6% and operating margin at 48.0%. Revenue growth of 58.8% demonstrates continued momentum.

Bear Case : AWR

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

Bear Case : PCYO

The primary concerns for PCYO are Market Cap, Piotroski F-Score, Free Cash Flow.

Key Dynamics to Monitor

AWR profiles as a mature stock while PCYO is a growth play — different risk/reward profiles.

PCYO carries more volatility with a beta of 1.32 — expect wider price swings.

PCYO is growing revenue faster at 58.8% — sustainability is the question.

PCYO generates stronger free cash flow (-1M), providing more financial flexibility.

Bottom Line

PCYO scores higher overall (61/100 vs 56/100), backed by strong 46.6% margins and 58.8% revenue growth. 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 States Water Company

UTILITIES · UTILITIES - REGULATED WATER · USA

American States Water Company provides water and electricity services to residential, commercial, industrial and other customers in the United States. The company is headquartered in San Dimas, California.

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Pure Cycle Corporation

UTILITIES · UTILITIES - REGULATED WATER · USA

Pure Cycle Corporation designs, builds, operates and maintains water and wastewater systems in the Denver metropolitan area and Colorado Front Range in the United States. The company is headquartered in Watkins, Colorado.

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