American Water Works Company, Inc.

AWK

Not Compliant
Exchange
Sector
Headquarters
Group
NYSE
Utilities
USA
Large Cap

American Water Works Company, Inc. is not Shariah Compliant because it fails the financial ratios.

0.22%

Impure Income*

$0.015

Purification*

-

Zakat*

Financials

Market cap Group
Analysts' Rating
Price Target (Mean)
Total Analysts
Revenue Growth
Large Cap
HOLD
6.19%
Operating Margin
Net Profit Margin
Quick Ratio
Current Ratio
EPS Growth
36.56%
21.61%
0.44
0.46
6.76%

Shariah Compliance

  • Updated on September 15, 2026
Debt
57.19%
✗
Non-Compliant Assets
✓
Impure Income
0.22%
✓

AAOIFI Rulebook:

  • Non-compliant Liabilities (like Interest-based Debt) < 30% of Market cap
  • Non-compliant Assets (like Interest-based Investments) < 30% of Market cap
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: AAOIFI SS21

Debt
61.45%
✗
Impure Income
0.22%
✓

S&P Sharia Rulebook:

  • Interest-based Debt < 33% of 36-mo avg. Market cap
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: S&P Shariah Methodology

Debt
60.23%
✗
Impure Income
0.22%
✓

Dow Jones Islamic Market (DJIM) Rulebook:

  • Interest-based Debt < 33% of 24-mo avg. Market cap
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: DJIM Methodology

Debt
43.87%
✗
Cash
0.52%
✓
Cash & AR
1.89%
✓
Impure Income
0.22%
✓

FTSE Shariah Rulebook:

  • Interest-based Debt < 33.33% of Total Assets
  • Cash and interest-bearing items < 33.33% of Total Assets
  • Accounts receivable and cash < 50% of Total Assets
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: FTSE RUSSELL

Debt
43.87%
✗
Cash
0.52%
✓
Cash & AR
1.89%
✓
Impure Income
0.22%
✓

MSCI Islamic Rulebook:

  • Interest-based Debt < 33.33% of Total Assets
  • Cash and interest-bearing items < 33.33% of Total Assets
  • Accounts receivable and cash < 33.33% of Total Assets
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: MSCI Islamic Indexes

Impure Income Breakdown

-
-
Interest Income
0.22%

Note on Purification and Zakat:

  • Purification and Zakat (for long-term investing) calculations are in USD per share and based on AAOIFI methodology. AAOIFI requires purification every financial period (e.g. quarterly). 
  • If you follow S&P Shariah’s Dividend-only purification, then remove the impure income % from the dividends you receive. No purification required for non-dividend paying stocks, according to S&P Shariah.
  • For Zakat, if you did not invest in a company from a long term perspective, then consider the shares as trading goods and give 2.5% of the total value if a year has passed on them. 

Company Profile

American Water Works Company, Inc. is a water and wastewater utility company. The Company’s primary business involves the ownership of utilities that provide water and wastewater services to residential, commercial, industrial, public authority, fire service and sale for resale customers. The Company also operates other businesses that provide water and wastewater services to the United States government on military installations, as well as municipalities. The Company operates its business through the Regulated Businesses segment. The Regulated Businesses segment includes subsidiaries that provide water and wastewater services to customers in 14 states. The Company’s utilities operate in states such as Georgia, Hawaii, Indiana, Iowa, Kentucky, Maryland, Tennessee, Virginia, West Virginia, Pennsylvania, New Jersey, Missouri, Illinois, and California. It serves commercial customers, fire service customers, industrial customers, public authorities, and other utilities.