WallStSmart

California Water Service Group (CWT)vsTXNM Energy, Inc. (TXNM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

TXNM Energy, Inc. generates 116% more annual revenue ($2.19B vs $1.01B). CWT leads profitability with a 11.8% profit margin vs 6.7%. CWT appears more attractively valued with a PEG of 1.96. CWT earns a higher WallStSmart Score of 53/100 (C-).

CWT

Buy

53

out of 100

Grade: C-

Growth: 4.7Profit: 5.0Value: 6.7Quality: 2.8
Piotroski: 1/9Altman Z: 0.74

TXNM

Hold

49

out of 100

Grade: D+

Growth: 2.7Profit: 5.0Value: 3.3Quality: 3.3
Piotroski: 2/9Altman Z: 0.48
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CWTUndervalued (+30.3%)

Margin of Safety

+30.3%

Fair Value

$63.31

Current Price

$43.47

$19.84 discount

UndervaluedFair: $63.31Overvalued
TXNMOvervalued (-10.8%)

Margin of Safety

-10.8%

Fair Value

$53.56

Current Price

$58.99

$5.43 premium

UndervaluedFair: $53.56Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CWT1 strengths · Avg: 8.0/10
Price/BookValuation
1.5x8/10

Reasonable price relative to book value

TXNM1 strengths · Avg: 8.0/10
Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Areas to Watch

CWT4 concerns · Avg: 3.0/10
PEG RatioValuation
1.964/10

Expensive relative to growth rate

Return on EquityProfitability
7.2%3/10

ROE of 7.2% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

EPS GrowthGrowth
-69.3%2/10

Earnings declined 69.3%

TXNM4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
4.6%4/10

4.6% revenue growth

Return on EquityProfitability
5.4%3/10

ROE of 5.4% — below average capital efficiency

Profit MarginProfitability
6.7%3/10

6.7% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : CWT

The strongest argument for CWT centers on Price/Book.

Bull Case : TXNM

The strongest argument for TXNM centers on Price/Book.

Bear Case : CWT

The primary concerns for CWT are PEG Ratio, Return on Equity, Piotroski F-Score.

Bear Case : TXNM

The primary concerns for TXNM are Revenue Growth, Return on Equity, Profit Margin. A P/E of 42.0x leaves little room for execution misses.

Key Dynamics to Monitor

CWT carries more volatility with a beta of 0.50 — expect wider price swings.

CWT is growing revenue faster at 5.2% — sustainability is the question.

CWT generates stronger free cash flow (-80M), providing more financial flexibility.

Monitor UTILITIES - REGULATED WATER industry trends, competitive dynamics, and regulatory changes.

Bottom Line

CWT scores higher overall (53/100 vs 49/100). 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.

California Water Service Group

UTILITIES · UTILITIES - REGULATED WATER · USA

California Water Service Group provides public water and related services in California, Washington, New Mexico and Hawaii. The company is headquartered in San Jose, California.

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TXNM Energy, Inc.

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

TXNM Energy, Inc., provides electricity and electric services in the United States. The company is headquartered in Albuquerque, New Mexico.

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