Why American Water Works Shareholders Have Nothing to Worry About
Flooding investors with a variety of emotions, earnings season can often leave investors feeling excited, relieved, or confused -- and overwhelmed. And, in the case of a company missing analysts' estimates or coming up short of management's guidance, investors may even find themselves doubting their convictions, wondering if they should start to look for new opportunities.
Having recently released its second quarter earning, American Water Works (NYSE: AWK) may have left some investors frustrated -- even fearful. For one, the company reported sales of $844 million, which was below analysts' estimates of $863 million. The company also reported diluted earnings per share of $0.73, dropping from the $0.77 which it reported during the same period last year and falling short of the $0.80 which analysts had anticipated. Should investors consider jumping ship? Absolutely not. This is one water utility which finds itself in anything but deep water.
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Source: Fool.com
