AI Spotlight on SJW
Company Description
SJW Group, through its subsidiaries, provides water utility services in the United States.It engages in the production, purchase, storage, purification, distribution, wholesale, and retail sale of water and wastewater services.The company also provides non-tariffed services, including water system operations, maintenance agreements, and antenna site leases; contracted services and sewer operations to water utilities; and a Linebacker protection plan for public drinking water customers in Connecticut and Maine.
Its water supply consists of groundwater from wells, surface water from watershed run-off and diversion, reclaimed water, and imported water purchased from the Santa Clara Valley Water District.The company offers water service to approximately 231,000 connections that serve approximately one million people residing in portions of the cities of San Jose and Cupertino, as well as in the cities of Campbell, Monte Sereno, Saratoga, and the Town of Los Gatos; and adjacent unincorporated territories in the County of Santa Clara in the State of California.In addition, it provides water service to approximately 140,000 connections, which serve approximately 456,000 people in 81 municipalities with a service area comprising approximately 269 square miles throughout Connecticut and Maine, as well as approximately 24,000 connections that serve approximately 70,000 people in a service area comprising approximately 266 square miles in the region between San Antonio and Austin, Texas; and approximately 3,000 wastewater connections in Southbury, Connecticut.
Further, the company owns undeveloped land in California and Tennessee; and owns and operates commercial buildings and warehouse properties in Tennessee.The company was formerly known as SJW Corp.and changed its name to SJW Group in November 2016.
SJW Group was incorporated in 1985 and is headquartered in San Jose, California.
Market Data
Last Price | 50.23 |
Change Percentage | 1.23% |
Open | 49.5 |
Previous Close | 49.62 |
Market Cap ( Millions) | 1670 |
Volume | 601517 |
Year High | 62.18 |
Year Low | 44.91 |
M A 50 | 50.87 |
M A 200 | 55.37 |
Financial Ratios
FCF Yield | -10.06% |
Dividend Yield | 2.39% |
ROE | 7.08% |
Debt / Equity | 133.08% |
Net Debt / EBIDTA | 636.73% |
Price To Book | 1.24 |
Price Earnings Ratio | 18.36 |
Price To FCF | -9.94 |
Price To sales | 2.31 |
EV / EBITDA | 12.37 |
News
- Jan -29 - SJW Group Declares Dividend and Announces 2025 Dividend Increase
- Jan -21 - SJW Group Named One of America's Most Responsible Companies 2025 by Newsweek
- Jan -17 - 4 Stocks to Buy for "Higher for Longer" Interest Rates
- Jan -16 - SJW Group Announces Deferral of San Jose Water Company's Cost of Capital Filing to May 1, 2026
- Jan -15 - Buy 3 'Safer' Dividend Kings Of 25 From 53Β For January
- Jan -10 - SJW Group: Snatch Up This Discounted Dividend King Now
- Jan -03 - My Top 10 Utilities For 2025
- Dec -30 - SJW vs. AWR: Which Stock Should Value Investors Buy Now?
- Dec -23 - SJW Group Announces CPUC Decision Approving San Jose Water's General Rate Case
- Dec -18 - 3 Stocks to Consider From the Challenging Water Supply Industry
- Dec -16 - MSEX or SJW: Which is a Better Utility Water Supply Stock?
- Dec -13 - Buy 6 December Dividend Kings But Watch 22 With 'Safer' Dividends
- Dec -09 - SJW Group Appoints Douwe Busschops as Chief Information Officer
- Dec -02 - Reasons to Add SJW Group Stock to Your Portfolio Right Now
- Nov -27 - SJW vs. AWR: Which Stock Is the Better Value Option?
- Nov -12 - Ann P. Kelly Joins SJW Group as Chief Accounting Officer and Principal Accounting Officer
- Nov -11 - SJW or AWR: Which Is the Better Value Stock Right Now?
- Oct -29 - SJW Group (SJW) Q3 2024 Earnings Call Transcript
- Oct -28 - SJW (SJW) Q3 Earnings Match Estimates
- Oct -28 - SJW Group Announces Third Quarter 2024 Financial Results
Business Breakdown
Expected Mid-Term Growth
Segment nΒ°1 -> Water Utility Services
Expected Growth : 4 %
What the company do ?
SJW Group's Water Utility Services provide safe, reliable, and high-quality water supply to residential, commercial, and industrial customers in California and Texas.
Why we expect these perspectives ?
SJW Group's Water Utility Services segment growth is driven by increasing water demand, infrastructure investments, and acquisitions. California's growing population and economy, coupled with water conservation efforts, contribute to steady revenue growth. Additionally, SJW Group's strategic acquisitions, such as the purchase of New Mexico Water, expand its customer base and enhance its growth prospects.
Segment nΒ°2 -> Real Estate Services
Expected Growth : 4 %
What the company do ?
SJW Group's Real Estate Services provide water utility and infrastructure development solutions to residential and commercial projects, ensuring efficient and sustainable community growth.
Why we expect these perspectives ?
SJW Group's Real Estate Services segment growth is driven by increasing demand for water infrastructure development, strategic acquisitions, and expansion into new markets. Additionally, favorable demographics, urbanization, and government initiatives to upgrade aging infrastructure are contributing to the segment's 4% growth.
Sjw Group Products
Product Range | What is it ? |
---|---|
Water Utility Services | SJW Group provides water utility services to residential, commercial, and industrial customers through its subsidiaries, San Jose Water and SJWTX, Inc. |
Wastewater Services | SJW Group offers wastewater services, including collection, treatment, and disposal of wastewater, through its subsidiaries, San Jose Water and SJWTX, Inc. |
Real Estate Development | SJW Group develops and manages commercial and residential properties, including office buildings, retail centers, and residential communities. |
Land Management | SJW Group manages and maintains large tracts of land, including open spaces, parks, and natural areas. |
SJW Group's Porter Forces
Threat Of Substitutes
SJW Group operates in the water utility industry, which has a moderate threat of substitutes. While there are alternative sources of water, such as private wells and recycled water, they are not always available or cost-effective.
Bargaining Power Of Customers
SJW Group's customers have low bargaining power due to the essential nature of water services and the lack of alternative providers in many areas.
Bargaining Power Of Suppliers
SJW Group's suppliers, such as equipment and material providers, have low bargaining power due to the company's large scale and diversified supply chain.
Threat Of New Entrants
The threat of new entrants in the water utility industry is low due to the high barriers to entry, including significant capital requirements and regulatory hurdles.
Intensity Of Rivalry
The intensity of rivalry in the water utility industry is moderate, with a few large players competing for market share, but with limited opportunities for expansion.
Capital Structure
Value | |
---|---|
Debt Weight | 58.62% |
Debt Cost | 4.23% |
Equity Weight | 41.38% |
Equity Cost | 6.85% |
WACC | 5.31% |
Leverage | 141.66% |
SJW Group : Quality Control
SJW Group passed 3 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
Company | Rational |
---|---|
GWRS | Global Water Resources, Inc., a water resource management company, owns, operates, and manages regulated water, wastewater, and recycled water utilities primarily in metropolitan Phoenix, Arizona. As of December 31, 2020, β¦ |
PCYO | Pure Cycle Corporation designs, constructs, operates, and maintains water and wastewater systems in the Denver metropolitan area and Colorado Front Range in the United States. It operates in two segments, β¦ |
ARIS | Aris Water Solutions, Inc., an environmental infrastructure and solutions company, provides water handling and recycling solutions. The company's produced water handling business gathers, transports, unless recycled, and handles produced water β¦ |
ARTNA | Artesian Resources Corporation, through its subsidiaries, provides water, wastewater, and other services in Delaware, Maryland, and Pennsylvania. The company distributes and sells water to residential, commercial, industrial, governmental, municipal, and β¦ |
MSEX | Middlesex Water Company owns and operates regulated water utility and wastewater systems. It operates in two segments, Regulated and Non-Regulated. The Regulated segment collects, treats, and distributes water on a β¦ |