Watts Water Technologies Inc
NYSE:WTS
Intrinsic Value
Watts Water Technologies, Inc. engages in the manufacture and provision of products for water conservation, safety, and flow control. [ Read More ]
The intrinsic value of one WTS stock under the Base Case scenario is 162.82 USD. Compared to the current market price of 212.55 USD, Watts Water Technologies Inc is Overvalued by 23%.
Valuation Backtest
Watts Water Technologies Inc
Run backtest to discover the historical profit from buying and selling WTS stocks based on their intrinsic value.
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Fundamental Analysis
Watts Water Technologies Projects Cautious Growth
2023-Q4 Earnings Call
Watts Water Technologies wrapped up a strong 2023, growing sales by 9% to $548 million and boosting adjusted operating margins by 150 basis points to 15.8%. They achieved this while investing an additional $24 million in strategic projects. Looking ahead to 2024, the company expects more moderate revenue growth of 3-5% on an organic basis, and anticipates margins to be squeezed by inflation and incremental investments, guiding an adjusted operating margin range of 13.5% to 14.5%. They forecast overall 2024 sales growth between 6-12%, factoring in recent acquisitions but anticipate organic revenue could vary widely, from a 5% decrease to a 1% increase. Operating margin headwinds are expected, with projected EBITDA margins ranging from 19.4% to 20%, possibly declining by up to 50 basis points or improving by 10 basis points year-over-year.
Balance Sheet Decomposition
Watts Water Technologies Inc
Current Assets | 1.1B |
Cash & Short-Term Investments | 350.1m |
Receivables | 259.8m |
Other Current Assets | 451.1m |
Non-Current Assets | 1.2B |
PP&E | 248.2m |
Intangibles | 909.1m |
Other Non-Current Assets | 91.1m |
Current Liabilities | 405.8m |
Accounts Payable | 131.8m |
Accrued Liabilities | 274m |
Non-Current Liabilities | 390.3m |
Long-Term Debt | 298.3m |
Other Non-Current Liabilities | 92m |
Earnings Waterfall
Watts Water Technologies Inc
Revenue
|
2.1B
USD
|
Cost of Revenue
|
-1.1B
USD
|
Gross Profit
|
960.9m
USD
|
Operating Expenses
|
-604.5m
USD
|
Operating Income
|
356.4m
USD
|
Other Expenses
|
-94.3m
USD
|
Net Income
|
262.1m
USD
|
Free Cash Flow Analysis
Watts Water Technologies Inc
What is Free Cash Flow?
WTS Profitability Score
Profitability Due Diligence
Watts Water Technologies Inc's profitability score is 60/100. The higher the profitability score, the more profitable the company is.
Score
Watts Water Technologies Inc's profitability score is 60/100. The higher the profitability score, the more profitable the company is.
WTS Solvency Score
Solvency Due Diligence
Watts Water Technologies Inc's solvency score is 87/100. The higher the solvency score, the more solvent the company is.
Score
Watts Water Technologies Inc's solvency score is 87/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
WTS Price Targets Summary
Watts Water Technologies Inc
According to Wall Street analysts, the average 1-year price target for WTS is 208.69 USD with a low forecast of 176.75 USD and a high forecast of 227.85 USD.
Ownership
WTS Insider Trading
Buy and sell transactions by insiders
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Shareholder Return
WTS Price
Watts Water Technologies Inc
Average Annual Return | 20.84% |
Standard Deviation of Annual Returns | 34.66% |
Max Drawdown | -33% |
Market Capitalization | 7.1B USD |
Shares Outstanding | 33 310 000 |
Percentage of Shares Shorted | 2.47% |
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
Watts Water Technologies, Inc. engages in the manufacture and provision of products for water conservation, safety, and flow control. The company is headquartered in North Andover, Massachusetts and currently employs 4,597 full-time employees. Its product lines include residential & commercial flow control products, such as backflow preventers, water pressure regulators, temperature and pressure relief valves, and leak detection products; heating, ventilation and air conditioning and gas products, which include water heaters and heating solutions, hydronic and electric heating systems for under-floor radiant applications, custom heat and hot water solutions and hydronic pump groups; drainage & water re-use products, which includes drainage and engineered rainwater harvesting solutions for commercial, industrial, marine and residential applications, and water quality products, such as point-of-use and point-of-entry water filtration and scale prevention systems for commercial, marine and residential applications.
Contact
IPO
Employees
Officers
The intrinsic value of one WTS stock under the Base Case scenario is 162.82 USD.
Compared to the current market price of 212.55 USD, Watts Water Technologies Inc is Overvalued by 23%.