AWK American Water Works Company, Inc.
Price Chart
Executive Summary
American Water Works (AWK) subsidiaries reached partial settlements in two general rate cases. California American Water (Cal Am) filed a partial settlement for $24M incremental annualized revenue in 2027 (vs. $43M requested), with CWIP treatment still pending. Virginia American Water settled for a $16M annualized revenue increase (vs. $22M requested), with an agreed ROE of 9.75%. Both settlements are subject to regulatory approval and represent routine regulatory outcomes for a regulated utility — the revenue awards are below initial requests but provide rate base recovery visibility.
Actionable Insight
Monitor CPUC decision on Cal Am CWIP treatment — if excluded, 2027 revenue drops by ~17% from settlement level. Virginia settlement provides modestly improved ROE (9.75% vs 9.70%) and significantly higher equity component (51.79% vs 45.67%), which supports future filings. Both outcomes are within normal regulatory range for water utilities and unlikely to move AWK materially.
Key Facts
- Cal Am partial settlement: $24M incremental annualized revenue in 2027 test year, $21M in 2028, $22M in 2029 (vs. revised proposed $43M/$22M/$26M)
- Cal Am CWIP treatment remains the only unresolved issue; if excluded, 2027 revenue drops to $20M and 2028 to $19M
- Virginia American Water settlement: $16M annualized revenue increase (vs. $22M requested), driven by ~$115M in capital investments
- Virginia American Water agreed ROE of 9.75% (vs. 9.70% previously) and equity component of 51.79% (vs. 45.67% previously)
- Both settlements subject to regulatory approval; Cal Am rates effective Jan 1, 2027; Virginia interim rates effective May 2, 2026 with refund mechanism
Financial Impact
Combined incremental annualized revenue of ~$40M (Cal Am $24M + Virginia $16M) vs. ~$65M originally requested, representing a ~38% reduction from ask but providing regulatory certainty for ~$865M in planned capital investments
Risk Factors
- CPUC may exclude CWIP from rate base, reducing Cal Am revenue by ~$4M in 2027 and ~$2M in 2028
- Potential condemnation of Cal Am's Monterey peninsula assets remains a risk factor per filing
- Final CPUC/VSCC orders may deviate from settlement terms
Market Snapshot
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001410636-26-000105 |
| Exhibit: exhibit991-2026californiag.htm | 0001410636-26-000105 |
| Exhibit: exhibit992-pressreleaseofv.htm | 0001410636-26-000105 |
| Document: 0001410636-26-000105-index-headers.html | 0001410636-26-000105 |
| Document: 0001410636-26-000105-index.html | 0001410636-26-000105 |
| Document: 0001410636-26-000105.txt | 0001410636-26-000105 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
|
Jun 9, 2026
5d ago
|
8-K
| $125.53 awaiting T+1 | awaiting T+1 | — | $126.31 (+0.63%) |
|
Jun 4, 2026
10d ago
|
425
| $122.17 $124.40 | ▲ +1.83% | ▲ +4.42% | $126.31 (+3.39%) |
|
Jun 1, 2026
13d ago
|
8-K
| $123.55 $123.71 | ▲ +0.13% | ▲ +0.85% | $126.31 (+2.24%) |
|
May 29, 2026
16d ago
|
425
| $123.14 $121.09 | ▼ −1.66% | ▼ −1.92% | $126.31 (+2.58%) |
|
May 29, 2026
16d ago
|
425
| $123.14 $121.09 | ▼ −1.66% | ▼ −1.92% | $126.31 (+2.58%) |
|
May 28, 2026
18d ago
|
Court Ruling
| $122.25 $123.14 | ▲ +0.73% | ▲ +0.49% | $126.31 (+3.32%) |
|
May 20, 2026
25d ago
|
8-K
| $122.24 $123.76 | ▲ +1.24% | ▲ +1.05% | $126.31 (+3.33%) |
|
May 14, 2026
4w ago
|
425
| $124.22 $124.76 | ▲ +0.43% | ▲ +0.50% | $126.31 (+1.68%) |
|
May 8, 2026
5w ago
|
DEFA14A
| $125.71 $127.40 | ▲ +1.34% | ▲ +1.48% | $126.31 (+0.48%) |
|
Apr 29, 2026
6w ago
|
8-K
| $128.31 $127.33 | ▲ +0.76% | ▲ +0.98% | $126.31 (+1.56%) |
US Market Status
Subscribe to SecBot
Get Real-Time SEC Filing Intelligence
Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.
Try SecBot Free Coming soon: SecBot Pro with alerts, watchlists, and API access