California Water Service Group (CWT)vsEssential Utilities Inc (WTRG)
CWT
California Water Service Group
$48.22
-1.31%
UTILITIES · Cap: $3.06B
WTRG
Essential Utilities Inc
$41.07
-1.75%
UTILITIES · Cap: $11.90B
Smart Verdict
WallStSmart Research — data-driven comparison
Essential Utilities Inc generates 144% more annual revenue ($2.57B vs $1.05B). WTRG leads profitability with a 21.6% profit margin vs 12.6%. CWT appears more attractively valued with a PEG of 2.22. CWT earns a higher WallStSmart Score of 67/100 (B-).
CWT
Strong Buy67
out of 100
Grade: B-
WTRG
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+21.4%
Fair Value
$56.20
Current Price
$48.22
$7.98 discount
Margin of Safety
+45.1%
Fair Value
$68.22
Current Price
$41.07
$27.15 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Strong operational efficiency at 28.2%
16.5% revenue growth
Earnings expanding 31.4% YoY
Strong operational efficiency at 35.4%
Keeps 22 of every $100 in revenue as profit
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
ROE of 6.7% — below average capital efficiency
Weak financial health signals
Negative free cash flow — burning cash
3.1% revenue growth
ROE of 7.9% — below average capital efficiency
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : CWT
The strongest argument for CWT centers on Price/Book, Operating Margin, Revenue Growth. Revenue growth of 16.5% demonstrates continued momentum.
Bull Case : WTRG
The strongest argument for WTRG centers on Operating Margin, Profit Margin, Price/Book. Profitability is solid with margins at 21.6% and operating margin at 35.4%.
Bear Case : CWT
The primary concerns for CWT are PEG Ratio, Return on Equity, Piotroski F-Score.
Bear Case : WTRG
The primary concerns for WTRG are Revenue Growth, Return on Equity, Debt/Equity.
Key Dynamics to Monitor
CWT profiles as a growth stock while WTRG is a value play — different risk/reward profiles.
WTRG carries more volatility with a beta of 0.63 — expect wider price swings.
CWT is growing revenue faster at 16.5% — sustainability is the question.
WTRG generates stronger free cash flow (-51M), providing more financial flexibility.
Bottom Line
CWT scores higher overall (67/100 vs 56/100) and 16.5% revenue growth. WTRG offers better value entry with a 45.1% margin of safety. Both earn "Strong 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.
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.
Visit Website →Essential Utilities Inc
UTILITIES · UTILITIES - REGULATED WATER · USA
Essential Utilities, Inc. operates regulated utilities that provide water, wastewater, or natural gas services in the United States. The company is headquartered in Bryn Mawr, Pennsylvania.
Visit Website →Compare with Other UTILITIES - REGULATED WATER Stocks
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