Essential Utilities (WTRG) is a Top-Ranked Growth Stock: Should You Buy?
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why This 1 Growth Stock Should Be On Your Watchlist
Growth investors build their portfolios around companies that are financially strong and have a bright future, and the Growth Style Score helps take projected and historical earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.
Essential Utilities (WTRG)
Bryn Mawr, PA-based Essential Utilities, Inc. — through its subsidiaries — operates regulated utilities that provide water, wastewater and natural gas services in the United States. The company provides utility services to nearly five million people in the United States. Essential Utilities completed the acquisition of Peoples Gas on Mar 16, 2020 and began to provide natural gas services, in addition to water and wastewater services. Prior to its name change on Feb 3, 2020, Essential Utilities was known as Aqua America, Inc.
WTRG boasts a Growth Style Score of B and VGM Score of B, and holds a Zacks Rank #3 (Hold) rating. Its bottom-line is projected to rise 5.1% year-over-year for 2023, while Wall Street anticipates its top line to improve by 3%.
One analyst revised their earnings estimate higher in the last 60 days for fiscal 2023, while the Zacks Consensus Estimate has increased $0 to $1.86 per share. WTRG also boasts an average earnings surprise of 2%.
Essential Utilities is also cash rich. The company has generated cash flow growth of 15.7%, and is expected to report cash flow expansion of 7.8% in 2023.
WTRG should be on investors' short lists because of its impressive growth fundamentals, a good Zacks Rank, and strong Growth and VGM Style Scores.
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Essential Utilities Inc. (WTRG) : Free Stock Analysis Report
