American States Water Company (AWR)vsStem Inc (STEM)
AWR
American States Water Company
$75.29
-3.31%
UTILITIES · Cap: $3.05B
STEM
Stem Inc
$10.70
+3.48%
UTILITIES · Cap: $96.73M
Smart Verdict
WallStSmart Research — data-driven comparison
American States Water Company generates 321% more annual revenue ($658.07M vs $156.27M). STEM leads profitability with a 88.2% profit margin vs 19.8%. AWR earns a higher WallStSmart Score of 56/100 (C).
AWR
Buy56
out of 100
Grade: C
STEM
Hold44
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-3.5%
Fair Value
$68.55
Current Price
$75.29
$6.74 premium
Margin of Safety
+77.9%
Fair Value
$52.09
Current Price
$10.70
$41.39 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Strong operational efficiency at 28.8%
Keeps 88 of every $100 in revenue as profit
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Earnings declined 1.2%
Negative free cash flow — burning cash
0.0% earnings growth
Smaller company, higher risk/reward
ROE of -5921.0% — below average capital efficiency
Revenue declined 15.6%
Comparative Analysis Report
WallStSmart ResearchBull 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 : STEM
The strongest argument for STEM centers on Profit Margin. Profitability is solid with margins at 88.2% and operating margin at 8.3%.
Bear Case : AWR
The primary concerns for AWR are Piotroski F-Score, PEG Ratio, EPS Growth.
Bear Case : STEM
The primary concerns for STEM are EPS Growth, Market Cap, Return on Equity.
Key Dynamics to Monitor
AWR profiles as a mature stock while STEM is a declining play — different risk/reward profiles.
STEM carries more volatility with a beta of 1.41 — expect wider price swings.
AWR is growing revenue faster at 14.8% — sustainability is the question.
STEM generates stronger free cash flow (7M), providing more financial flexibility.
Bottom Line
AWR scores higher overall (56/100 vs 44/100), backed by strong 19.8% margins and 14.8% revenue growth. STEM offers better value entry with a 77.9% margin of safety. Both earn "Buy" and "Hold" 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.
Visit Website →Stem Inc
UTILITIES · UTILITIES - RENEWABLE · USA
Stem, Inc. is an energy technology company in the United States. The company is headquartered in Millbrae, California.
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