AWK vs EXC: How American Water Works and Exelon Compare (2026)

Same yardstick, side by side (as of July 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.

Reading it: EXC is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.

The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. AWK and EXC share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.

This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined AWK and EXC exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.

American Water Works is the largest publicly traded, regulated water and wastewater utility in the United States, serving roughly 14 million people through regulated operations in 14 states plus 18 military installations. Its business model is classic rate-base utility economics: the company invests heavily in pipes, treatment plants, and water systems, then earns an allowed regulated return on that invested capital once state utility commissions approve rate cases. Growth comes from two levers, ongoing infrastructure spending and acquisitions of small municipal and investor-owned water systems that fold into its existing footprint.

Full AWK guide

Exelon is one of the largest US utility companies by customer count, serving roughly 11 million customers through six fully regulated transmission and distribution utilities: Commonwealth Edison (ComEd) in Illinois, PECO in Pennsylvania, Baltimore Gas and Electric (BGE) and Potomac Electric Power (Pepco) in the Mid-Atlantic, plus Delmarva Power and Atlantic City Electric. After spinning off its competitive generation business (now Constellation Energy) in 2022, Exelon is a pure wires-and-poles operator, meaning it delivers power and gas rather than generating it, and earns regulated returns on the infrastructure it builds.

Full EXC guide

Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.

• AWK drivers: Rate-base growth and capital investment; Acquisitions of municipal and small water systems.
• EXC drivers: Rate-base growth and the capital plan; Data-center and high-density load growth.

A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: The biggest risk is regulatory: earnings depend on state utility commissions approving rate cases at constructive returns, and regulatory lag (the gap between when capital is spent and when rates are allowed to recover it) can pressure results. For EXC, as a capital-intensive regulated utility, Exelon is sensitive to interest rates, since higher rates raise financing costs and can make the dividend yield less competitive versus bonds.

Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick AWK if you believe its drivers more; EXC if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the AWK and EXC guides.

AWK. AWK typically trades at a premium P/E to the broader market, reflecting its regulated, low-volatility earnings and long runway of rate-base growth. In the first quarter of 2026 revenue rose year over year to about $1.21 billion while adjusted EPS was roughly $1.01 (versus about $1.02 a year earlier), and management reaffirmed full-year 2026 EPS guidance of about $6.02 to $6.12. The dividend yields roughly 2.5-2.8%, modest in absolute terms but growing near the top of the utility peer group.

EXC. Exelon trades at a mid-teens to high-teens earnings multiple, roughly in line with regulated-utility peers, reflecting steady but modest growth. Q1 2026 revenue was about $7.24 billion with adjusted operating earnings of $0.91 per share, ahead of consensus, and management reaffirmed full-year adjusted EPS guidance of $2.81 to $2.91. Valuation largely turns on rate-base growth expectations and the interest-rate backdrop.

Headline figures (approximate, JULY 2026): AWK shows market cap ~$26 billion, share price ~$135, q1 2026 revenue ~$1.21 billion, q1 2026 adjusted eps ~$1.01; EXC shows revenue (ttm) ~$24B, market cap ~$47B, share price ~$46-47, 2026 adjusted eps guidance ~$2.81-$2.91.

AWK and EXC are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined AWK and EXC exposure against your real portfolio. It is not an investment adviser.