American Water Works Co

American Water Works Co ROCE

The Return on Capital Employed (ROCE) of American Water Works Co (AWK) as of Nov 5, 2026 is 17.34 %. In the previous year, Return on Capital Employed (ROCE) was 16.63 % — a change of 4.27% (higher).

ROCE

17.34 %

YoY

4.27%

Last updated:

In 2025, American Water Works Co's return on capital employed (ROCE) was 17.34 %, a 4.27% increase from the 16.63 % ROCE in the previous year.

The American Water Works Co ROCE history

  • 3 Years

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  • 25 Years

  • Max

ROCE
Date
ROCE
Jan 1, 2018
19.58 USD
Jan 1, 2019
19.92 USD
Jan 1, 2020
20.47 USD
Jan 1, 2021
17.46 USD
Jan 1, 2022
16.55 USD
Jan 1, 2023
15.35 USD
Jan 1, 2024
16.63 USD
Jan 1, 2025
17.34 USD
The American Water Works Co ROCE history
YEARROCEYoY
17.34 %+4.27%
16.63 %+8.31%
15.35 %-7.23%
16.55 %-5.21%
17.46 %-14.71%
20.47 %+2.78%
19.92 %+1.73%
19.58 %-16.86%
23.55 %+10.79%
21.25 %-0.18%
21.29 %+4.39%
20.40 %—

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American Water Works Co Stock analysis

What does American Water Works Co do? American Water Works Company is a leading company in the water supply industry, founded in 1886. The company is headquartered in Camden, New Jersey, and operates in all 50 states of the USA and in Canada. American Water Works is listed on the New York Stock Exchange and employs over 7,000 employees. Business model American Water Works is a service company that operates and manages water and wastewater systems, as well as related services. The company provides water and wastewater services to residential households, commercial customers, and government facilities. Since its founding, the company has focused on acquiring water supply companies. American Water Works has a strong growth strategy aimed at increasing its market share through acquisitions and partnerships. This strategy has allowed the company to expand its business and offer services in different regions. Water supply American Water Works operates over 50 water supply systems nationwide, covering an area of approximately 47,000 square kilometers and serving around 15 million people. The company offers water treatment and distribution, water quality control, system repair and maintenance, and other related services. Wastewater processing American Water Works also operates wastewater processing facilities in over 40 states and Canada. The company provides wastewater treatment and disposal, wastewater management, wastewater quality control, system repair and maintenance, and other related services. Products and services American Water Works offers a variety of products and services, including: - Household services - American Water Works provides basic water supply and wastewater services to residential households to ensure they have clean water and effective wastewater disposal. - Commercial services - the company offers water and wastewater services to business customers to ensure their water supply and disposal systems are functioning and the environment is clean. - Government services - American Water Works works with local, state, and federal agencies to ensure their water supply and disposal is effective and efficient. - Engineering and consulting services - the company offers engineering and consulting services to assist customers in the planning, design, and implementation of water supply systems and wastewater disposal systems. - Emergency services - in case of emergencies such as water pipe breaks, the company is available to its customers 24/7 to provide quick solutions. In conclusion, American Water Works is a leading service company in the water supply industry, offering a wide range of products and services. The company has a strong growth strategy that has allowed it to expand its presence in different regions. American Water Works has extensive experience and a long history in water supply. American Water Works Co is one of the most popular companies on Eulerpool.

ROCE Details

Unraveling American Water Works Co's Return on Capital Employed (ROCE)

American Water Works Co's Return on Capital Employed (ROCE) is a financial metric that measures the company's profitability and efficiency with respect to the capital employed. It is calculated by dividing earnings before interest and tax (EBIT) by the employed capital. A higher ROCE indicates that the company is effectively utilizing its capital to generate profits.

Year-to-Year Comparison

Analyzing American Water Works Co's ROCE annually provides valuable insights into its efficiency in using its capital to generate profits. An increasing ROCE indicates improved profitability and operational efficiency, whereas a decrease might signal potential issues in capital utilization or business operations.

Impact on Investments

American Water Works Co's ROCE is a critical factor for investors and analysts for evaluating the company’s efficiency and profitability. A higher ROCE can make the company an attractive investment, as it often signifies that the firm is generating adequate profits from its employed capital.

Interpreting ROCE Fluctuations

Changes in American Water Works Co’s ROCE are attributed to variations in EBIT or the capital employed. These fluctuations offer insights into the company’s operational efficiency, financial performance, and strategic financial management, assisting investors in making informed investment decisions.

Frequently Asked Questions about American Water Works Co stock

Return on Capital Employed (ROCE) of American Water Works Co is 17.34 % in 2025.

Return on Capital Employed (ROCE) of American Water Works Co changed from 16.63 % to 17.34 %, representing a 4.27% change. The value is higher than the previous year.

On Eulerpool you can find the complete historical development of Return on Capital Employed (ROCE) American Water Works Co since 2006 – with annual values, charts, and detailed analysis.

ROCE is a profitability measure and stands for Return on Capital Employed or the return on invested capital. The measure shows the ratio of operating profit to the interest-bearing capital employed. The higher the return on capital employed, the more profitable a company operates and the higher the important free cash flow. The free cash flow refers to the portion of profits that is not needed for expanding the company at the end of a period, but is available to shareholders.

A 'good' varies by industry and company stage. On Eulerpool, you can compare Return on Capital Employed (ROCE)'s American Water Works Co with sector peers and the industry average to assess whether it is attractive.

To evaluate Return on Capital Employed (ROCE)'s, it is essential to compare it with peers in the same industry and sector. On Eulerpool, you can find direct industry comparisons for Return on Capital Employed (ROCE).

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Profitability — American Water Works Co

ROEROAROCEROICAsset TurnoverInventory TurnoverReceivables TurnoverDays Sales OutstandingDays Inventory OutstandingDays Payable OutstandingCash Conversion CycleCROICGross Profit/AssetsFixed Asset TurnoverEquity TurnoverWorking Capital TurnoverPayables TurnoverCapital IntensityReceivables/RevenueInventory/RevenueEBIT/Assets

All Key Metrics — American Water Works Co