What Do Hedge Funds Think About Water Stocks Amid Increasing Concerns Over Water Scarcity?

#2. American States Water Co (NYSE:AWR)

– Investors with long positions as of March 31: 9

– Aggregate value of investors’ holdings as of March 31: $46.88 Million

American States Water Co (NYSE:AWR) received more attention from the segment of the hedge fund industry followed by Insider Monkey during the first three months of 2016, when the number of funds from our system with long positions in the company spiked to nine from five quarter-over-quarter. The overall value of those positions rose by a little less than 2% sequentially to $46.88 million despite a 6% decline in the value of American States Water shares. The provider of water and electric services to residential, industrial and other customers in the U.S. has increased its annual dividend for 61 consecutive years, with the company residing the exclusive list of Dividend Kings. For income-seeking investors, American States Water provides an annual dividend of 2.07% or $0.896 per share. The company’s share price has gained 3% since the beginning of 2016. Paul Tudor Jones’ Tudor Investment Corp added an 11,600-share position in American States Water Co (NYSE:AWR) to its portfolio during the March quarter.

#1. American Water Works Company Inc. (NYSE:AWK)

– Investors with long positions as of March 31: 21

– Aggregate value of investors’ holdings as of March 31: $329.67 Million

The hedge fund sentiment towards American Water Works Company Inc. (NYSE:AWK) increased during the January-March period, with the number of funds from our database invested in the company climbing to 21 from 19 quarter-over-quarter. The dollar value of those funds’ equity investments in American Water Works rose by 14% sequentially to $329.67 million. The increase was mainly attributable to a 16% gain in the share price of the company’s stock, so some funds were actually trimming their exposure to the company during the first quarter. The largest publicly-traded water and wastewater utility company in the United States has seen its market value increase by 41% since the beginning of 2016. Investors do not necessarily need to sacrifice growth to receive stable dividend payments. Shares of American Water Works Company have skyrocketed by an impressive 298% since the company’s initial public offering in April of 2008. In late April, the company’s Board declared a quarterly cash dividend of $0.375 per share, up from the dividend of $0.34 per share paid in the first quarter. John Osterweis’ Osterweis Capital Management owns 1.19 million shares of American Water Works Company Inc. (NYSE:AWK) as of March 31.

Disclosure: None