WallStSmart

Middlesex Water Company (MSEX)vsEssential Utilities Inc (WTRG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Essential Utilities Inc generates 1182% more annual revenue ($2.55B vs $199.11M). MSEX leads profitability with a 22.1% profit margin vs 21.8%. WTRG appears more attractively valued with a PEG of 3.57. WTRG earns a higher WallStSmart Score of 60/100 (C+).

MSEX

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 7.0Value: 4.0Quality: 3.0
Piotroski: 1/9Altman Z: 0.81

WTRG

Buy

60

out of 100

Grade: C+

Growth: 4.0Profit: 7.0Value: 6.7Quality: 3.3
Piotroski: 2/9Altman Z: 0.74
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MSEXOvervalued (-12.8%)

Margin of Safety

-12.8%

Fair Value

$45.83

Current Price

$51.56

$5.73 premium

UndervaluedFair: $45.83Overvalued
WTRGUndervalued (+48.9%)

Margin of Safety

+48.9%

Fair Value

$73.19

Current Price

$37.47

$35.72 discount

UndervaluedFair: $73.19Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MSEX3 strengths · Avg: 8.3/10
Profit MarginProfitability
22.1%9/10

Keeps 22 of every $100 in revenue as profit

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
29.3%8/10

Strong operational efficiency at 29.3%

WTRG4 strengths · Avg: 8.8/10
Operating MarginProfitability
36.0%10/10

Strong operational efficiency at 36.0%

Profit MarginProfitability
21.8%9/10

Keeps 22 of every $100 in revenue as profit

P/E RatioValuation
17.1x8/10

Attractively priced relative to earnings

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Areas to Watch

MSEX4 concerns · Avg: 2.5/10
Market CapQuality
$948.54M3/10

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

Free Cash FlowQuality
$-8.91M2/10

Negative free cash flow — burning cash

WTRG4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
3.572/10

Expensive relative to growth rate

EPS GrowthGrowth
-23.3%2/10

Earnings declined 23.3%

Free Cash FlowQuality
$-240.78M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : MSEX

The strongest argument for MSEX centers on Profit Margin, Price/Book, Operating Margin. Profitability is solid with margins at 22.1% and operating margin at 29.3%.

Bull Case : WTRG

The strongest argument for WTRG centers on Operating Margin, Profit Margin, P/E Ratio. Profitability is solid with margins at 21.8% and operating margin at 36.0%.

Bear Case : MSEX

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

Bear Case : WTRG

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

Key Dynamics to Monitor

MSEX carries more volatility with a beta of 0.78 — expect wider price swings.

WTRG is growing revenue faster at 10.0% — sustainability is the question.

MSEX generates stronger free cash flow (-9M), providing more financial flexibility.

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

Bottom Line

WTRG scores higher overall (60/100 vs 59/100), backed by strong 21.8% margins. 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.

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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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.

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