>>> American Water
Arm & Flo by Moen Unite to Stop Water Wastage
July 8, 2020 https://finance.yahoo.com/news/american-water-arm-flo-moen-133401777.html
American Water Works AWK announced that its unit, American Water Resources has entered into a partnership with Flo by Moen. The primary objective of the partnership is to offer its customers the all-in-one water leak detection system, Flo by Moen Smart Water Shutoff.
The Smart Water Shutoff is a tool that will assist customers to detect water leaks within their home’s plumbing, avoid over usage that can result in unexpected increase in water bills and conserve freshwater resources that may be wasted due to undetected leaks.
Aim to Save Potable Water
The undetected average household water leaks result in wastage of nearly 10,000 gallons of water per year. When the Smart Water Shutoff is installed in a home’s main water supply line, the device provides round-the-clock, reliable monitoring of water usage, temperature, pressure, and flow to provide peace of mind that a home is being protected from water damage.
Due to the novel coronavirus outbreak, people are staying at home to check the spread of the virus. In addition, the hot summer season will further increase the demand for water from the residential group. Amid the rising usage of potable water, this tool will stop the wastage of potable water and help lower utility bills of an average household.
Aging Water Infrastructure
The U.S. water and wastewater infrastructure is aging, and a major portion of the same is nearing the end of effective life. Per a finding from American Society of Civil Engineers, there are 240,000 water main breaks per year in the United States
, resulting in the wastage of more than 2 trillion gallons of treated drinking water.
So, it is quite essential to make repairs and upgrade old and soiled water and wastewater mains to prevent wastage, as well as lower the possibility of potable water contamination. American Water is quite active in making regular investments in its service territories and maintaining the water mains. American Water has plans to invest $8.8-$9.4 billion in the 2020-2024 time period and $20-$22 billion in the next decade.
These investments will allow it to maintain and expand its existing water infrastructure and provide reliable water services to the expanding customer base.
In addition to American Water, Essential Utilities WTRG
is also making regular investments in water and wastewater systems. Its long-term plan is to invest $2.8 billion in the 2020-2022 time period to rehabilitate, and strengthen the existing water and natural gas pipeline systems
. Similarly, California Water Service Group CWT is planning to invest within $260-$290 million in 2020 for strengthening its existing water infrastructure.
Shares of American Water have outperformed the industry in the past 12 months.
Zacks Rank & Key Pick
Currently, the company has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.