American Water Works Company, Inc. (NYSE:AWK) is one of the best stocks for a retirement stock portfolio.
The stock was recently added to CNBC’s ‘All-Weather Stock List’ because of its defensive qualities. Before this, it was also featured in a list by Trivariate Research highlighting the top-performing S&P stocks during the tariff-related market correction from February 18 to April 8.
A technician in a deep-water treatment facility, ensuring clean water for public safety.
According to the firm, led by former Morgan Stanley chief strategist Adam Parker, American Water Works Company, Inc. (NYSE:AWK) gained over 10% during that period. Parker shared defensive stock ideas as a precaution, even though many of his clients expected the market to continue its upward trend.
American Water Works Company, Inc. (NYSE:AWK) likely attracted attention during the correction because its revenue is entirely domestic, making it unaffected by tariffs. In addition, its earnings are seen as stable even in a potential recession.
American Water Works Company, Inc. (NYSE:AWK) is a strong dividend stock, having raised its payouts for 17 consecutive years.
With a dividend yield of 2.34%, the water utility provides investors with steady income and a buffer against market volatility tied to trade tensions. As seen in April, traders quickly turned to this stock, and would likely do so again in similar conditions.
AWK has surged by over 14% since the start of 2025.
American Water Works Company, Inc. (NYSE:AWK) stands as the largest regulated provider of water and wastewater services in the US. Founded in 1886, the company serves over 14 million people through its regulated operations across 14 states and 18 military bases, delivering safe, clean, dependable, and affordable water and wastewater solutions.
While we acknowledge the potential of AWK as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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Disclosure. None.
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