Water Utility Stock #3: California Water Service
California Water Service (CWT) is the third-largest publicly traded water utility in the country—and the largest west of the Mississippi River. The company has raised its dividend for 47 years in a row.
On February 26, CWT reported fourth-quarter net income of $5.66 million, a 12% increase over the year-ago quarter. Investors responded well, pushing the water utility stock up almost 2% after the earnings announcement.
However, at a price/earnings ratio of just over 23x earnings, the stock does trade at a slightly richer premium than our other two choices. CWT may be one utility to put on your watchlist.
Dividend Yield: 2.7%
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