Essential Utilities (NYSE:WTRG) Shares Up 4.2% – Here’s Why

Shares of Essential Utilities, Inc. (NYSE:WTRG) traded up 4.2% on Thursday . The company traded as high as $41.17 and last traded at $41.06. 441,066 shares changed hands during trading, a decline of 70% from the average session volume of 1,450,424 shares. The stock had previously closed at $39.39.

Analyst Upgrades and Downgrades

WTRG has been the topic of several research analyst reports. StockNews.com upgraded shares of Essential Utilities from a “sell” rating to a “hold” rating in a research report on Friday. Jefferies Financial Group raised shares of Essential Utilities from a “hold” rating to a “buy” rating and set a $41.00 price objective for the company in a research note on Tuesday, January 28th. Evercore ISI upped their target price on Essential Utilities from $45.00 to $46.00 and gave the company an “outperform” rating in a research note on Wednesday, March 5th. UBS Group dropped their price target on Essential Utilities from $45.00 to $42.00 and set a “buy” rating for the company in a research report on Tuesday, January 14th. Finally, Wells Fargo & Company upped their price objective on Essential Utilities from $39.00 to $41.00 and gave the company an “equal weight” rating in a research report on Thursday, February 27th. Two equities research analysts have rated the stock with a hold rating and five have given a buy rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $43.50.

Essential Utilities Stock Performance

The company has a quick ratio of 0.39, a current ratio of 0.55 and a debt-to-equity ratio of 1.17. The firm has a market cap of $10.92 billion, a price-to-earnings ratio of 19.81, a PEG ratio of 2.57 and a beta of 0.80. The company has a 50 day moving average of $37.56 and a 200 day moving average of $37.84.

Essential Utilities (NYSE:WTRG) last posted its quarterly earnings results on Wednesday, February 26th. The company reported $0.67 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.66 by $0.01. Essential Utilities had a net margin of 27.84% and a return on equity of 7.89%. The company had revenue of $604.38 million for the quarter, compared to the consensus estimate of $698.77 million. As a group, equities research analysts expect that Essential Utilities, Inc. will post 1.99 EPS for the current fiscal year.

Essential Utilities Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, June 2nd. Stockholders of record on Tuesday, May 13th will be given a dividend of $0.3255 per share. The ex-dividend date of this dividend is Tuesday, May 13th. This represents a $1.30 annualized dividend and a dividend yield of 3.29%. Essential Utilities’s dividend payout ratio is currently 59.91%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Synergy Asset Management LLC lifted its holdings in Essential Utilities by 92.8% in the 4th quarter. Synergy Asset Management LLC now owns 148,009 shares of the company’s stock valued at $5,529,000 after acquiring an additional 71,222 shares during the last quarter. Nordea Investment Management AB increased its stake 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 valued at $247,134,000 after buying an additional 972,803 shares during the period. Brighton Jones LLC purchased a new stake in Essential Utilities in the 4th quarter worth approximately $638,000. JPMorgan Chase & Co. boosted its stake in shares of Essential Utilities by 33.1% during the 3rd quarter. JPMorgan Chase & Co. now owns 953,984 shares of the company’s stock valued at $36,795,000 after buying an additional 237,096 shares during the period. Finally, RWC Asset Management LLP purchased a new position in shares of Essential Utilities during the 4th quarter valued at $2,119,000. 74.78% of the stock is owned by institutional investors and hedge funds.

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.