Valuation check: AWK's P/E ratio is 23.21, above the Utilities sector average of 21.28.
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+ Follow23.21
The P/E ratio compares a company's stock price to its earnings per share. A lower P/E ratio may indicate that the stock is undervalued.
American Water Works Inc. (AWK) currently reports a P/E ratio of 23.21. That is above the Utilities sector average of 21.28. Use the charts on this page to explore American Water Works Inc.'s P/E ratio history and peer comparisons.
American Water Works Inc.'s P/E ratio of 23.21 is higher than the Utilities sector average of 21.28. That is roughly 9.1% above the sector mean. A reading higher peers can reflect different growth expectations, capital structure, or profitability — so it is worth checking the peer comparison chart before drawing conclusions.
The P/E ratio is a valuation multiple that relates American Water Works Inc.'s market price to a fundamental measure such as earnings, sales, or book value. At 23.21, AWK can look expensive or cheap only in context — versus its own history, growth rate, and Utilities peers. Higher multiples often price in stronger expected growth; lower ones can signal value or concern.
Start with the current P/E ratio of 23.21, then check the historical chart for trend and the peer comparison chart for relative positioning. The Utilities average is 21.28. From there, open related valuation or income-statement pages for American Water Works Inc., and consider following AWK for alerts when major investors trade the stock.
American Water Works Inc. is classified in the Utilities sector. On P/E ratio, it currently shows 23.21 versus a sector average near 21.28. Sector peers often share similar capital intensity and growth regimes, so relative rankings inside Utilities are usually more informative than comparing AWK with unrelated industries.