American Water price target lowered to $139 from $140 at BofA

BofA analyst Julien Dumoulin-Smith lowered the firm’s price target on American Water Works to $139 from $140 and keeps an Underperform rating on the shares. The firm has increased adjusted EPS estimates about 50 basis points in 2024-2025 to reflect the net accretion from the convertible note transaction, partially offset by higher financing costs for the balance of the business, but reiterates an Underperform rating, “primarily on valuation considerations.”