California Water Service Group (CWT)
NYSEUtilitiesRegulated WaterSnapshot 2026-09-04
$50.03-0.99%
Close 2026-09-04 · 1-day change
NYSEUtilitiesRegulated WaterSnapshot 2026-09-04
QuarterlyIQ Insights · CWT
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within utilities on a research-validated quality screen. As of 2026-09-04.
The screen ranks CWT against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 4 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 1 of the last 3 quarter-over-quarter moves. Historically, Utilities names rated neutral grew net income 67% of the time over the next year (vs 64% for the rest of the cohort, n=1452).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
Implement rate increases authorized by the 2024 California General Rate Case to increase revenue by $90.5 million in 2026 and further increases in 2027 and 2028.
Stated as a priority in 3 of last 3 quarters. The 2024 CA GRC final decision authorizes rate increases adding $90.5 million revenue in 2026 (10.9%), with further increases of $43.2 million in 2027 and $48.9 million in 2028. Q2 2026 revenue rose to $308.6 million from $265.0 million in Q2 2025, reflecting delivery on this priority.
“The decision authorizes rate adjustments expected to increase revenue by $90.5 million, or 10.9%, in 2026.”
“Cal Water received a revised PD on its 2024 CA GRC authorizing rate increases adding $90.5 million of revenue in 2026, an increase of 10.9%.”
“The PD authorizes additional revenues of $92.3 million in 2026 (a rate increase of 11.1%).”
Continue record-level infrastructure investments to modernize and strengthen water systems, targeting up to $627 million in 2026.
Stated as a priority in 3 of last 3 quarters. Infrastructure investments reached $147 million in Q2 2026 and $129.4 million in Q1 2026, both increases over prior year quarters. The Company anticipates up to $627 million invested in 2026, showing delivery and growth in capital allocation.
Continue paying a quarterly dividend of $0.3350 per common share, marking the 326th consecutive quarterly dividend.
Stated as a priority in 2 of last 2 quarters. The Company declared and maintained a quarterly dividend of $0.3350 per share in Q1 and Q2 2026, marking the 326th consecutive quarterly dividend, demonstrating consistent capital allocation to shareholders.
“Declared 326th consecutive quarterly dividend of $0.3350 per share payable August 21, 2026.”
Acquire Nexus Water Group's water and wastewater systems in Nevada and Oregon to expand regulated footprint and customer base.
Stated as a priority in 3 of last 3 quarters. The Company announced and progressed on acquiring Nexus Water Group's subsidiaries for $218 million, filing regulatory applications and continuing integration activities. The transaction remains on track for completion by end of 2026, showing ongoing delivery.
“Made meaningful progress on planned acquisition of Nexus Water Group's systems, including filing Change of Control applications.”
Implement revenue stabilization mechanisms including Water Revenue Adjustment Mechanism and Sales Reconciliation Mechanism to mitigate impacts of customer usage variability.
Stated as a priority in 2 of last 2 quarters. The 2024 CA GRC decision renews and establishes revenue stabilization mechanisms designed to mitigate financial impacts of customer usage variability. While no direct financial metrics are cited, management emphasizes these mechanisms as key to predictable cost recovery, indicating ongoing regulatory focus.
“The decision renews key revenue stabilization mechanisms including Monterey-style Water Revenue Adjustment Mechanism and establishes a new Sales Reconciliation Mechanism.”
Over the trailing year it converted 1.61x of net income into operating cash flow. Historically, Utilities names rated neutral grew net income 68% of the time over the next year (vs 64% for the rest of the cohort, n=1211).
Most sensitive to long-term interest rates.
Not enough signal to read sensitivity to the US dollar, the broad stock market, real (inflation-adjusted) rates, Fed net liquidity (low R² over the window).
12 material management or governance events in the past 24 months, led by capital-allocation actions. Historically, Utilities names rated neutral grew net income 71% of the time over the next year (vs 64% for the rest of the cohort, n=224).
Not investment advice. As of 2026-09-04.
“In Q2 2026, the Company invested $147 million in infrastructure, compared to $119 million in Q2 2025.”
“In Q1 2026, Group invested $129.4 million in infrastructure, compared to $110.1 million in Q1 2025.”
“Overall, based on the revised PD, Group anticipates investing up to $627 million in 2026.”
“Declared quarterly dividend of $0.3350 per common share payable May 22, 2026.”
“Announced agreement to acquire Nexus Water Group's systems in Nevada and Oregon for approximately $218 million.”
“Announced agreement to acquire Nexus Water Group's water and wastewater systems in Nevada and Oregon for approximately $218 million.”
“The revised PD authorizes revenue stabilization mechanisms including continuation of Monterey-Style Water Revenue Adjustment Mechanism and a new Sales Reconciliation Mechanism.”