Essential Utilities (NYSE:WTRG) Cut to “Sell” at StockNews.com

StockNews.com lowered shares of Essential Utilities (NYSE:WTRG) from a hold rating to a sell rating in a research note issued to investors on Saturday.

Other equities analysts have also recently issued research reports about the stock. Wells Fargo & Company boosted their price target on shares of Essential Utilities from $39.00 to $41.00 and gave the company an “equal weight” rating in a research report on Thursday, February 27th. UBS Group reduced their target price on Essential Utilities from $45.00 to $42.00 and set a “buy” rating on the stock in a report on Tuesday, January 14th. Jefferies Financial Group upgraded Essential Utilities from a “hold” rating to a “buy” rating and set a $41.00 target price for the company in a research note on Tuesday, January 28th. Finally, Evercore ISI upped their price target on Essential Utilities from $45.00 to $46.00 and gave the stock an “outperform” rating in a research note on Wednesday, March 5th. One equities research analyst has rated the stock with a sell rating, one has given a hold rating and five have assigned a buy rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $43.50.

Essential Utilities Stock Performance

Essential Utilities stock opened at $40.13 on Friday. The company has a current ratio of 0.55, a quick ratio of 0.39 and a debt-to-equity ratio of 1.17. The firm has a market cap of $11.06 billion, a P/E ratio of 20.07, a P/E/G ratio of 2.57 and a beta of 0.80. Essential Utilities has a 1-year low of $33.18 and a 1-year high of $41.78. The firm has a 50-day moving average of $38.02 and a 200-day moving average of $37.84.

Essential Utilities (NYSE:WTRG) last released its quarterly earnings data on Wednesday, February 26th. The company reported $0.67 earnings per share for the quarter, topping the consensus estimate of $0.66 by $0.01. Essential Utilities had a return on equity of 7.89% and a net margin of 27.84%. The business had revenue of $604.38 million during the quarter, compared to analysts’ expectations of $698.77 million. Sell-side analysts expect that Essential Utilities will post 1.99 EPS for the current year.

Essential Utilities Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, June 2nd. Shareholders of record on Tuesday, May 13th will be issued a $0.3255 dividend. This represents a $1.30 annualized dividend and a yield of 3.24%. The ex-dividend date is Tuesday, May 13th. Essential Utilities’s dividend payout ratio (DPR) is 59.91%.

Hedge Funds Weigh In On Essential Utilities

Institutional investors and hedge funds have recently modified their holdings of the stock. Norges Bank purchased a new stake in Essential Utilities during the 4th quarter valued at about $102,600,000. Vanguard Group Inc. lifted its stake in shares of Essential Utilities by 8.1% in the fourth quarter. Vanguard Group Inc. now owns 30,061,135 shares of the company’s stock worth $1,091,820,000 after buying an additional 2,245,256 shares in the last quarter. Pictet Asset Management Holding SA grew its holdings in shares of Essential Utilities by 31.2% during the fourth quarter. Pictet Asset Management Holding SA now owns 6,726,215 shares of the company’s stock valued at $244,296,000 after buying an additional 1,597,672 shares during the last quarter. Cohen & Steers Inc. bought a new stake in shares of Essential Utilities during the fourth quarter valued at approximately $52,355,000. Finally, Nordea Investment Management AB raised its holdings in Essential Utilities by 16.7% in the 4th quarter. Nordea Investment Management AB now owns 6,811,851 shares of the company’s stock worth $247,134,000 after acquiring an additional 972,803 shares during the last quarter. 74.78% of the stock is currently owned by institutional investors.

About Essential Utilities

Essential Utilities, Inc, through its subsidiaries, operates regulated utilities that provide water, wastewater, or natural gas services in the United States. The company operates through Regulated Water and Regulated Natural Gas segments. It offers water services through operating and maintenance contract with municipal authorities and other parties.