Freedom Broker analyst Matvey Tayts lowered the price target on Global Water Resources, Inc. (NASDAQ: GWRS) to $7.10 (from $9.20) while maintaining a Hold rating.

The analyst comments "GWRS reported weak Q1’26 results. Revenue increased by 6.7% YoY to $13.3mn on the back of organic connection growth, the Tucson Water acquisition, higher consumption and rate increases, while operating income dropped by 69% YoY to $0.4mn as operating expenses increased sharply by 15.1% YoY to $12.9mn, mainly due to a spike in the depreciation charge. Consequently, EBITDA remained almost unchanged YoY at $5.4mn. The bottom line was negative at $0.4mn compared to net income of $0.6mn in Q1’25. The results came in below our estimates at all levels. We incorporate the published results, a new macro forecast and new regulatory expectations into our model, and we downgrade our price target to $7.1 and maintain our Hold rating on the stock."