American States Water Co Dividend Stock Analysis 2016

American States Water Co (AWR) together with its subsidiaries, provides water and electric services to residential, industrial, and other customers in the United States. It operates through three segments: Water, Electric, and Contracted Services. American States Water Co differentiates itself from the competition due to its long term contracts with the US military. Due to the nature of the contracts, the company has enjoyed stable revenue and earnings growth over the past several years. According to the last quarterly report, approx. ¼ of its earnings come from the long term military contracts. Most recently, the company won a 50-yr contract to operate and maintain water and wastewater systems at Elgin Air Force Base in Florida. The contract is estimated to be a value of $510M over 50 years.

awr-sws1

American States Water Co boasts one of the best dividend growth streaks. With 62 years of consecutive dividend raises, not many companies can stand up to challenge that record. Running a company in one of the most fundamental requirements for human survival – water, the company has enjoyed extremely stable revenue and earnings over the decades

Continue Reading Here >

4 thoughts on “American States Water Co Dividend Stock Analysis 2016

    • Its hard to beat 62 consecutive years of dividend growth. The model really helps them out — when you strike deals with the US government to provide water facilities to US military bases for 50 years, thats a pretty rock solid expected revenues over the coming decades.

      R2R

Leave a Reply

Your email address will not be published. Required fields are marked *