U.S. stocks lower as investors rotate out of tech ahead of Jackson Hole
CAMDEN, N.J. - American Water Works Company, Inc. (NYSE:AWK), the largest regulated water and wastewater utility in the United States, announced the appointment of Raffiq Nathoo to its board of directors, effective today. Nathoo, a seasoned figure in the financial sector, brings over three decades of experience to the utility company’s governance team. The appointment comes as American Water maintains strong financial metrics, with InvestingPro data showing a healthy gross profit margin of 60% and a market capitalization of $27.3 billion.
Nathoo’s background includes significant roles in investment banking and equity businesses, notably his tenure as a Senior Managing Director at Blackstone, where he led the firm’s advisory practice in the energy, power, and utilities sectors for 14 years. He has also served as an Executive-in-Residence at New Mountain Capital and is a current board member of Cabot Corporation (NYSE:CBT), where he sits on the Audit Committee. According to InvestingPro, American Water has demonstrated strong dividend commitment, having maintained payments for 18 consecutive years with an impressive dividend growth of 17% over the last twelve months.
Karl Kurz, Board Chair of American Water, expressed confidence in Nathoo’s ability to strengthen the board with his extensive financial and capital markets expertise, particularly in the utility sector. John Griffith, President and CEO of American Water, echoed Kurz’s sentiments, highlighting Nathoo’s utility sector finance expertise as a valuable asset to the company.
Nathoo’s academic credentials include an MBA from Harvard University and a Bachelor of Arts in Government from Dartmouth College. His appointment expands American Water’s board to nine members.
American Water, with its long-standing history dating back to 1886, serves over 14 million people in 14 states and on 18 military installations. The company prides itself on providing safe, reliable, and affordable water services, employing approximately 6,700 professionals across the nation. Recent InvestingPro data reveals the company’s solid performance with revenue growth of 12% and three analysts revising earnings estimates upward for the upcoming period. Discover more insights and 8 additional ProTips about American Water’s performance in the comprehensive Pro Research Report.
This announcement is based on a press release statement from American Water.
In other recent news, American Water Works Company, Inc. has reported its first-quarter 2025 financial results, revealing a revenue of $1.14 billion, which exceeded the anticipated $1.12 billion. However, the company’s earnings per share (EPS) of $1.05 fell slightly short of the forecasted $1.09. The revenue growth was attributed to strategic rate increases and acquisitions, reflecting the company’s ongoing expansion efforts. In a significant development, American Water has entered an agreement to acquire water and wastewater systems from Nexus Regulated Utilities, LLC for approximately $315 million, pending regulatory approval. This acquisition is expected to enhance American Water’s customer base by nearly 47,000 connections across eight states. Analyst firm Argus has maintained its Buy rating on American Water, citing consistent revenue and earnings growth, with a price target of $155.00. The company’s commitment to infrastructure investment and strategic acquisitions continues to position it favorably in the market. Additionally, American Water has announced an 8% increase in its dividend, underscoring its strong financial position and commitment to shareholder returns.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.