California Water Service Group (CWT) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-218.4%

-$58.21

vs $49.18 price

Levered DCF

-$148.70

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

0.9

Distress zone

Rating

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	20.15×	13.9×	57×	34.26×	36.66×	27.43×	39.36×	35.04×
P/B	1.53×	1.62×	2.07×	2.5×	3.18×	2.89×	3.18×	3.14×
P/S	2.58×	2.56×	3.72×	3.89×	4.69×	3.35×	3.48×	3.28×
EV / EBITDA	11.51×	9.43×	18.92×	16.52×	18.2×	15.06×	16.12×	15.21×
Gross margin	64.3%	95.4%	45.7%	62.7%	61.2%	49.3%	47.7%	60.3%
Operating margin	18.3%	21.7%	9.7%	15.1%	16.0%	17.2%	13.9%	15.8%
Net margin	12.8%	18.4%	6.5%	11.3%	12.8%	12.2%	8.8%	9.4%
Current ratio	0.85×	0.6×	0.69×	1×	1.1×	0.45×	0.51×	0.59×
Debt / equity	0.96×	0.85×	0.87×	0.87×	0.94×	1.27×	1.28×	1.21×
Interest coverage	2.75×	3.91×	1.55×	2.88×	2.93×	3.26×	2.41×	2.92×
Dividend yield	2.9%	2.5%	2.0%	1.6%	1.3%	1.6%	1.5%	1.6%
Payout ratio	57.6%	34.3%	113.7%	56.4%	46.9%	43.1%	60.2%	55.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	7.6%	11.6%	3.6%	7.3%	8.7%	10.5%	8.1%	9.0%
Return on invested capital	3.0%	3.7%	1.7%	3.2%	3.6%	3.8%	2.5%	3.3%
Return on assets	2.3%	3.7%	1.1%	2.4%	2.8%	2.9%	2.0%	2.3%
Free cash flow yield	-8.3%	-6.8%	-5.6%	-2.5%	-1.7%	-6.8%	-4.2%	-4.0%
Earnings yield	5.0%	7.2%	1.8%	2.9%	2.7%	3.6%	2.5%	2.9%
Enterprise value	$4.1B	$4B	$4.1B	$4.3B	$4.7B	$3.8B	$3.4B	$3.1B
Net debt / EBITDA	4.34×	3.17×	5.34×	4.01×	3.92×	4.48×	4.48×	4.05×
Cash conversion cycle (days)	-99	-1,059	-41	-76	-99	-76	-41	-92