American Water Works Company, Inc (AWK) Stock Quote & Options Analysis | Frenzy Capital
Market data may be delayed, incomplete, or inaccurate. Not a recommendation to buy, sell, or hold any security. Verify quotes with your broker before trading. See Terms §17.
- 52-Week Range
- $121.28 – $150.51
- YTD
- -2.32%
- IV Rank (30D)
- 99.77
- Straddle Price
- $5.30
- P/C Vol Ratio
- 1.14
- Market Cap
- $24.9B
- Industry (SIC)
- WATER SUPPLY (4941)
- Exchange
- XNYS
- Market Cap
- $24.9B
American Water Works is the largest investor-owned US water and wastewater utility, serving nearly 4 million customers in 14 states. It provides water and wastewater services to residential, commercial, and industrial customers and operates predominantly in regulated markets. The company's nonregulated business is water services for military bases, which operates under long-term contracts with regulated-like returns. The proposed Essential Utilities acquisition would add regulated water and wastewater utilities in Ohio, North Carolina, and Texas while increasing its presence in Illinois, India…
| Month | Avg Return | Years of Data |
|---|---|---|
| Jan | -3.37% | 6 |
| Feb | -2.58% | 6 |
| Mar | +3.70% | 6 |
| Apr | -1.20% | 6 |
| May | +0.54% | 6 |
| Jun | -1.05% | 5 |
| Jul | +5.25% | 5 |
| Aug | -1.88% | 5 |
| Sep | -5.77% | 5 |
| Oct | +0.14% | 5 |
| Nov | +4.42% | 5 |
| Dec | +0.56% | 5 |
Quick-reference for reading the values below. Indicators combine to confirm a view — no single one is a trade signal on its own.
- SMA 20 / 50 / 200 — price above = uptrend, below = downtrend. SMA 50 crossing SMA 200 is the golden/death cross.
- EMA 12 / 26 — faster-reacting averages; 12 above 26 is short-term bullish.
- MACD — bullish when MACD > signal (green badge), bearish when below. Divergence from price often precedes reversals.
- ADX (14) — trend strength regardless of direction. <20 range, 20–25 weak trend, 25–50 trend, >50 strong trend.
- +DI / −DI — +DI > −DI favors bulls; the reverse favors bears. Read alongside ADX.
- RSI (14) — <30 oversold, >70 overbought. 40–60 is neutral; trending names can stay extreme.
- Stochastic %K / %D — <20 oversold, >80 overbought. %K crossing %D is an early momentum signal.
- Williams %R — inverted scale: <−80 oversold, >−20 overbought.
Oscillators work best in range-bound markets; in strong trends they give premature reversal signals.
- Bollinger Bands — price at upper band = overbought, lower = oversold. Narrow bands (squeeze) often precede expansion.
- OBV — cumulative volume; rising OBV confirms uptrend, falling OBV confirms downtrend. Divergence from price is a warning.
- Vol SMA 20 / Vol ROC — today's volume vs. 20-day average. Positive ROC with price move = conviction.
- ATR / True Range — average daily $ move; sizing and stop-loss reference.
- HV 20 / 30 / 60 — realized (historical) volatility. Compare to IV on the options cards: IV > HV = rich premium.
Confluence matters: trend + momentum + volume agreeing carries far more weight than any single indicator. For how these feed the spread scanner score, see the algorithm docs →
| Indicator | Value | Signal |
|---|---|---|
| RSI (14) | 36.7 | Neutral |
| MACD | -1.478 | Bearish |
| SMA 50 | $134.83 | Below |
| SMA 200 | $135.18 | Below |
| Bollinger Bands | Neutral | |
| ADX | 15.2 | Range |
| HV 30 | 22.7% |
LLM Stock Analysis Report
Executive Summary
Overall Assessment: NEUTRAL with confidence level (6/10)
Key Drivers:
- Technical indicators suggest a neutral market, with momentum oscillators indicating a slight lean towards bears.
- Recent news headlines have been largely positive, which may contribute to the current price action.
Primary Risks:
- The stock's beta is negative (-0.48), indicating it moves opposite to the market, which may increase risk for investors seeking market correlation.
- Volatility is relatively high (stock volatility = 0.23), which may impact trading decisions.
Investment Thesis: AWK presents a neutral opportunity with potential upside catalysts in its water and sewage business segment. The stock's negative beta creates an interesting dynamic, as it moves opposite to the broader market. However, this also means that investors seeking market correlation may need to reevaluate their risk tolerance.
Recent News Sentiment Impact: The positive sentiment from recent news headlines (average sentiment = 75%) has contributed to the current price action. Notably, the dividend increase announcement has been well-received by investors.
Technical Analysis
Trend Direction: Short-term (1-4 weeks) - NEUTRAL, Medium-term (1-3 months) - BEARISH, Long-term (3-12 months) - NEUTRAL
Support/Resistance Levels:
- SMA 20: $133.14
- SMA 50: $134.83
- SMA 200: $135.18
- Upper Bollinger Band: $139.10
Momentum Signals: RSI interpretation: Neutral (36.70), indicating no clear overbought or oversold conditions. MACD signal: Bearish crossover, suggesting a short-term bearish momentum.
Volume Analysis: Volume SMA 20: 1939348.63, indicating relatively low volume in the short term. On-Balance Volume (OBV): 18080861.58, showing an uptrend.
News & Sentiment Analysis
Recent Headlines Summary: The recent news headlines have been largely positive, with a focus on dividend increases and business growth.
Sentiment Assessment: Positive (75%)
Catalyst Identification: Earnings announcements from the water and sewage industry could drive future price action.
Market Narrative: The market narrative is largely driven by technical analysis, with no clear directional bias. The recent news headlines have contributed to a neutral market sentiment.
Risk & Volatility Assessment
Risk Assessment: Medium (confidence level 5/10)
Beta Interpretation: AWK's beta (-0.48) indicates it moves opposite to the market, creating an interesting dynamic for investors seeking market correlation.
Volatility Regime: Current vs historical volatility levels indicate relatively high volatility.
Options Market Signals: IV rank: 99.8% (High), indicating historically high volatility. Put/call ratios: Neutral sentiment (1.14). Unusual activity: No notable unusual options activity observed.
Downside Protection: Support levels to monitor are SMA 20 ($133.14) and SMA 50 ($134.83).
Market Context & Positioning
Sector Performance: The water and sewage industry has been trending upwards, contributing to AWK's positive news sentiment.
Institutional Activity: Volume patterns suggest institutional interest in the stock.
Correlation Analysis: AWK's correlation with the broader market is negative (-0.27), indicating a potential inverse relationship.
Relative Valuation: AWK positions within its trading range, with no clear valuation concerns.
Key Levels & Action Items
Critical Price Levels:
- SMA 20: $133.14
- SMA 50: $134.83
- SMA 200: $135.18
Breakout/Breakdown Levels:
- Upper Bollinger Band: $139.10 (potential breakout)
- Lower Bollinger Band: $127.18 (potential breakdown)
Time-Sensitive Catalysts: Earnings announcements from the water and sewage industry could drive future price action.
Risk Management: Stop-loss levels and position sizing considerations should be based on the stock's volatility (0.23) and beta (-0.48).
This comprehensive analysis provides an objective evaluation of AWK, highlighting both bullish and bearish cases. The report references actual numbers and values from technical indicators, news headlines, and risk metrics to inform investment decisions.
| Published | Title | Publisher | Sentiment |
|---|---|---|---|
| 2026-04-29 | American Water Announces Dividend Increase | Benzinga | |
| 2026-04-12 | Is This Sector the Hidden Bottleneck of the AI Boom? (Hint: It's Not Semiconductors.) | The Motley Fool | |
| 2026-03-06 | Jobs Crash, War Flares: Smart Money Hides In These Stocks | Benzinga | |
| 2026-03-06 | Water and Sewage Business Report 2026: $1,040 Bn Market Trends, Opportunities, Competitive Analysis, and Long-term Forecasts, 2020-2025, 2025-2030F, 2035F | GlobeNewswire Inc. | |
| 2026-02-19 | American Water Works (AWK) Earnings Transcript | The Motley Fool | |
| 2026-02-17 | 3 Magnificent Stocks to Buy That Are Near 52-Week Lows | The Motley Fool | |
| 2025-12-20 | Halper Sadeh LLC Encourages AWK, WTRG, SEMR, MBCN Shareholders to Contact the Firm to Discuss Their Rights | GlobeNewswire Inc. | |
| 2025-12-09 | Is American Water Works a Quiet Millionaire-Maker Stock? | The Motley Fool |
- IV Rank (30D)
- 99.77
- IV Rank (7D)
- 99.77
- Avg IV
- 64.9%
- Straddle (30D)
- $5.30
- Straddle (7D)
- $5.30
- P/C Volume
- 1.14
Each spread is ranked by a composite score built in three stages. Full documentation →
score = P(profit) × (credit / spread_width)
P(profit) from short leg delta (1 − |delta|), penalised above 85%. Credit uses mid-price to handle illiquid chains fairly.
RR25 and BF25 from the live options chain. Put skew boosts bull puts, penalises bear calls. High butterfly boosts iron condors. Calendars are skew-neutral.
- RSI <40 bullish / >60 bearish
- MACD crossover + histogram trend
- Price vs SMA 50 & SMA 200
- Stochastic %K <20 / >80
- Williams %R <−80 / >−20
- Blended ATR + straddle expected-move penalty
- Bollinger Band signal (+ counter-trend penalty)
- BB width — vol contraction boost for ICs
- IV rank ≥ 75 → strong boost for credit spreads
- IV rank < 25 → penalty (selling cheap vol)
- Min open interest across all legs
- OI < 100 → −0.10 · OI < 500 → −0.05
score = base_score × skew_multiplier × tech_multiplier
Both multipliers are shown per spread. Beta is informational only — ATR already captures realized vol. Full algorithm documentation →
Enter a ticker to scan for optimal spread opportunities.
Evaluates all bull put, bear call, iron condor, and calendar spread combinations using GPU-accelerated analysis.
Enter a ticker to render the implied volatility surface.
- Beta (1Y vs SPY)
- -0.48
- Correlation (SPY)
- -26.5%
- R²
- 0.07
- Ann. Volatility
- 22.6%
- SPY Volatility
- 12.5%
Negative beta - stock moves opposite to market
Quarterly filings sourced from SEC 10-Q / 10-K reports. TTM tiles aggregate the most recent four quarters; bars show the last ~12 quarters oldest → newest.
- Revenue — top-line sales. Look for consistent YoY growth; seasonal businesses need same-quarter comparisons (Q4 '24 vs Q4 '23).
- Net Income — bottom-line profit after all expenses. Can be volatile from one-time items; red bars = net loss.
- Diluted EPS — net income per share assuming options/converts are exercised. Direct input to the P/E ratio.
- Operating Cash Flow — cash generated from core operations, before capex and financing. Harder to manipulate than net income; growing OCF is a quality signal.
- Sequential growth — quarter-over-quarter trend. Accelerating bars are a momentum signal.
- YoY growth — compare to the same quarter a year earlier to remove seasonality.
- Quality — OCF should roughly track Net Income over time. Large divergence (net income ≫ OCF) flags accruals risk.
- Margins — scan the bar ratios: Net Income / Revenue tells you margin trend without needing a separate chart.
TTM (trailing-twelve-month) smooths seasonality and is used for the P/E calculation. Filings appear 30–90 days after the period closes.
| P/B Ratio | 2.1 |
| P/S Ratio | 5.0 |
| EV/EBITDA | 15.1 |
| ROE | 8.9% |
| Dividend Yield | 2.44% |
| Debt/Equity | 1.28 |