A Look at H2O America's Upcoming Earnings Report

H2O America (NASDAQ:HTO) is preparing to release its quarterly earnings on Monday, 2025-10-27. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect H2O America to report an earnings per share (EPS) of $1.17.

The announcement from H2O America is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.

It's worth noting for new investors that guidance can be a key determinant of stock price movements.

Past Earnings Performance

Last quarter the company beat EPS by $0.04, which was followed by a 1.51% increase in the share price the next day.

Here's a look at H2O America's past performance and the resulting price change:

H2O America Share Price Analysis

Shares of H2O America were trading at $50.74 as of October 23. Over the last 52-week period, shares are down 12.24%. Given that these returns are generally negative, long-term shareholders are likely a little upset going into this earnings release.

Analyst Observations about H2O America

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding H2O America.

A total of 1 analyst ratings have been received for H2O America, with the consensus rating being Neutral. The average one-year price target stands at $58.0, suggesting a potential 14.31% upside.

Analyzing Analyst Ratings Among Peers

In this comparison, we explore the analyst ratings and average 1-year price targets of California Water Servs Gr, Consolidated Water Co and Essential Utilities, three prominent industry players, offering insights into their relative performance expectations and market positioning.

• Analysts currently favor an Outperform trajectory for California Water Servs Gr, with an average 1-year price target of $55.0, suggesting a potential 8.4% upside.
• Analysts currently favor an Buy trajectory for Consolidated Water Co, with an average 1-year price target of $40.0, suggesting a potential 21.17% downside.
• Analysts currently favor an Outperform trajectory for Essential Utilities, with an average 1-year price target of $45.2, suggesting a potential 10.92% downside.

Overview of Peer Analysis

The peer analysis summary outlines pivotal metrics for California Water Servs Gr, Consolidated Water Co and Essential Utilities, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

H2O America ranks at the bottom for Revenue Growth among its peers. It is also at the bottom for Gross Profit. However, it is in the middle for Return on Equity. Overall, H2O America's performance is below average compared to its peers in the water utilities sector.

About H2O America

H2O America is a national investor-owned network of local water and wastewater utilities united by one purpose: delivering clean, high-quality water to the communities it calls home. Across approximately 407,000 water and wastewater service connections, the company invests in critical infrastructure to strengthen the water supply for generations to come.

Unraveling the Financial Story of H2O America

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Over the 3 months period, H2O America showcased positive performance, achieving a revenue growth rate of 12.53% as of 30 June, 2025. This reflects a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Utilities sector.

Net Margin: H2O America's net margin is impressive, surpassing industry averages. With a net margin of 12.45%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 1.72%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): H2O America's ROA excels beyond industry benchmarks, reaching 0.52%. This signifies efficient management of assets and strong financial health.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 1.28, caution is advised due to increased financial risk.

To track all earnings releases for H2O America visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.