Ausbil Investment Management Ltd has significantly increased its stake in H2O America, acquiring 191,163 shares valued at approximately $10.41 million, according to an SEC filing dated April 7, 2026. This transaction boosts Ausbil’s holdings in H2O America to 7.1% of its reportable assets under management, reflecting a growing confidence in the utility sector.
The move comes as H2O America shares have appreciated 18.5% over the past year, with a year-to-date gain of 20%. The company’s strong dividend yield of nearly 3.0% and a consistent history of dividend increases over the past 58 years enhance its appeal, particularly as defensive stocks gain traction amid broader market volatility. Despite the rally, H2O America’s price-to-earnings ratio of 20x remains attractive compared to its five-year average of 25x, suggesting potential for further upside.
For investors, Ausbil’s substantial purchase underscores H2O America’s stability and growth potential, making it a noteworthy consideration for value-oriented portfolios.
Source: fool.com