WallStSmart

H2O America (HTO)vsMiddlesex Water Company (MSEX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

H2O America generates 311% more annual revenue ($800.59M vs $194.69M). MSEX leads profitability with a 22.0% profit margin vs 12.8%. HTO appears more attractively valued with a PEG of 2.49. MSEX earns a higher WallStSmart Score of 49/100 (D+).

HTO

Hold

49

out of 100

Grade: D+

Growth: 3.3Profit: 5.5Value: 7.3Quality: 5.0

MSEX

Hold

49

out of 100

Grade: D+

Growth: 3.3Profit: 7.0Value: 4.7Quality: 4.0
Piotroski: 1/9Altman Z: 0.81
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HTOSignificantly Overvalued (-161.7%)

Margin of Safety

-161.7%

Fair Value

$19.86

Current Price

$56.72

$36.86 premium

UndervaluedFair: $19.86Overvalued
MSEXSignificantly Overvalued (-222.2%)

Margin of Safety

-222.2%

Fair Value

$16.05

Current Price

$51.11

$35.06 premium

UndervaluedFair: $16.05Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HTO1 strengths · Avg: 10.0/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

MSEX3 strengths · Avg: 8.3/10
Profit MarginProfitability
22.0%9/10

Keeps 22 of every $100 in revenue as profit

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
26.3%8/10

Strong operational efficiency at 26.3%

Areas to Watch

HTO4 concerns · Avg: 2.8/10
PEG RatioValuation
2.494/10

Expensive relative to growth rate

Return on EquityProfitability
7.1%3/10

ROE of 7.1% — below average capital efficiency

Revenue GrowthGrowth
-1.8%2/10

Revenue declined 1.8%

EPS GrowthGrowth
-34.4%2/10

Earnings declined 34.4%

MSEX4 concerns · Avg: 2.5/10
Market CapQuality
$943.14M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
18.452/10

Expensive relative to growth rate

Revenue GrowthGrowth
-0.3%2/10

Revenue declined 0.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : HTO

The strongest argument for HTO centers on Price/Book.

Bull Case : MSEX

The strongest argument for MSEX centers on Profit Margin, Price/Book, Operating Margin. Profitability is solid with margins at 22.0% and operating margin at 26.3%.

Bear Case : HTO

The primary concerns for HTO are PEG Ratio, Return on Equity, Revenue Growth.

Bear Case : MSEX

The primary concerns for MSEX are Market Cap, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

MSEX carries more volatility with a beta of 0.86 — expect wider price swings.

MSEX is growing revenue faster at -0.3% — sustainability is the question.

MSEX generates stronger free cash flow (-6M), providing more financial flexibility.

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

Bottom Line

HTO scores higher overall (49/100 vs 49/100). Both earn "Hold" 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.

H2O America

UTILITIES · UTILITIES - REGULATED WATER · USA

H2O America, provides water utility and other related services in the United States. The company is headquartered in San Jose, California.

Middlesex Water Company

UTILITIES · UTILITIES - REGULATED WATER · USA

Middlesex Water Company owns and operates regulated water and wastewater utility systems. The company is headquartered in Iselin, New Jersey.

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