WATERS CORP (WAT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WAT - US9418481035 - Common Stock
393.98 USD
-2.67 (-0.67%)
WAT gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 57 industry peers in the Life Sciences Tools & Services industry. WAT has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. WAT is not valued too expensively and it also shows a decent growth rate. These ratings would make WAT suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year WAT was profitable.
WAT had a positive operating cash flow in the past year.
Each year in the past 5 years WAT has been profitable.
WAT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of WAT (13.34%) is better than 94.74% of its industry peers.
Looking at the Return On Equity, with a value of 27.84%, WAT belongs to the top of the industry, outperforming 92.98% of the companies in the same industry.
The Return On Invested Capital of WAT (19.60%) is better than 92.98% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WAT is significantly above the industry average of 14.00%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.34% | ||
| ROE | 27.84% | ||
| ROIC | 19.6% |
ROA(3y)16.49%
ROA(5y)18.04%
ROE(3y)77%
ROE(5y)128.85%
ROIC(3y)22.94%
ROIC(5y)25.43%
1.3 Margins
Looking at the Profit Margin, with a value of 20.89%, WAT belongs to the top of the industry, outperforming 96.49% of the companies in the same industry.
In the last couple of years the Profit Margin of WAT has declined.
WAT has a better Operating Margin (26.54%) than 94.74% of its industry peers.
WAT's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 58.96%, WAT is in the better half of the industry, outperforming 75.44% of the companies in the same industry.
WAT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.54% | ||
| PM (TTM) | 20.89% | ||
| GM | 58.96% |
OM growth 3Y-1.6%
OM growth 5Y-0.88%
PM growth 3Y-4.65%
PM growth 5Y-2.61%
GM growth 3Y0.51%
GM growth 5Y0.43%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so WAT is creating value.
WAT has more shares outstanding than it did 1 year ago.
WAT has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, WAT has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 9.90 indicates that WAT is not in any danger for bankruptcy at the moment.
WAT's Altman-Z score of 9.90 is amongst the best of the industry. WAT outperforms 89.47% of its industry peers.
WAT has a debt to FCF ratio of 2.34. This is a good value and a sign of high solvency as WAT would need 2.34 years to pay back of all of its debts.
The Debt to FCF ratio of WAT (2.34) is better than 85.96% of its industry peers.
A Debt/Equity ratio of 0.41 indicates that WAT is not too dependend on debt financing.
WAT's Debt to Equity ratio of 0.41 is in line compared to the rest of the industry. WAT outperforms 42.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 2.34 | ||
| Altman-Z | 9.9 |
ROIC/WACC1.81
WACC10.85%
2.3 Liquidity
WAT has a Current Ratio of 1.53. This is a normal value and indicates that WAT is financially healthy and should not expect problems in meeting its short term obligations.
WAT has a Current ratio of 1.53. This is in the lower half of the industry: WAT underperforms 71.93% of its industry peers.
A Quick Ratio of 1.08 indicates that WAT should not have too much problems paying its short term obligations.
WAT has a Quick ratio of 1.08. This is in the lower half of the industry: WAT underperforms 77.19% of its industry peers.
WAT does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
WAT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.50%, which is quite good.
The Earnings Per Share has been growing slightly by 5.53% on average over the past years.
Looking at the last year, WAT shows a small growth in Revenue. The Revenue has grown by 6.90% in the last year.
The Revenue has been growing slightly by 4.21% on average over the past years.
EPS 1Y (TTM)11.5%
EPS 3Y1.89%
EPS 5Y5.53%
EPS Q2Q%16.04%
Revenue 1Y (TTM)6.9%
Revenue growth 3Y2.02%
Revenue growth 5Y4.21%
Sales Q2Q%8.05%
3.2 Future
Based on estimates for the next years, WAT will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.36% on average per year.
The Revenue is expected to grow by 6.46% on average over the next years.
EPS Next Y11.59%
EPS Next 2Y10.26%
EPS Next 3Y10.23%
EPS Next 5Y10.36%
Revenue Next Year7.43%
Revenue Next 2Y6.88%
Revenue Next 3Y6.69%
Revenue Next 5Y6.46%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 31.02 indicates a quite expensive valuation of WAT.
WAT's Price/Earnings ratio is a bit cheaper when compared to the industry. WAT is cheaper than 71.93% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.00, WAT is valued at the same level.
WAT is valuated quite expensively with a Price/Forward Earnings ratio of 27.30.
Based on the Price/Forward Earnings ratio, WAT is valued a bit cheaper than the industry average as 77.19% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.70, WAT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.02 | ||
| Fwd PE | 27.3 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, WAT is valued a bit cheaper than the industry average as 68.42% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, WAT is valued a bit cheaper than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.94 | ||
| EV/EBITDA | 23.92 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates WAT does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of WAT may justify a higher PE ratio.
PEG (NY)2.68
PEG (5Y)5.61
EPS Next 2Y10.26%
EPS Next 3Y10.23%
5. Dividend
5.1 Amount
No dividends for WAT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NYSE:WAT (1/9/2026, 11:28:20 AM)
393.98
-2.67 (-0.67%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners100.29%
Inst Owner Change0%
Ins Owners0.12%
Ins Owner Change0.1%
Market Cap23.45B
Revenue(TTM)3.11B
Net Income(TTM)648.81M
Analysts73.33
Price Target416.74 (5.78%)
Short Float %3.89%
Short Ratio3.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.14%
Min EPS beat(2)-0.8%
Max EPS beat(2)5.07%
EPS beat(4)3
Avg EPS beat(4)1.32%
Min EPS beat(4)-0.8%
Max EPS beat(4)5.07%
EPS beat(8)7
Avg EPS beat(8)2.54%
EPS beat(12)10
Avg EPS beat(12)2.85%
EPS beat(16)14
Avg EPS beat(16)3.89%
Revenue beat(2)2
Avg Revenue beat(2)1.71%
Min Revenue beat(2)1.4%
Max Revenue beat(2)2.01%
Revenue beat(4)4
Avg Revenue beat(4)1.07%
Min Revenue beat(4)0.06%
Max Revenue beat(4)2.01%
Revenue beat(8)6
Avg Revenue beat(8)0.75%
Revenue beat(12)7
Avg Revenue beat(12)0.2%
Revenue beat(16)11
Avg Revenue beat(16)0.91%
PT rev (1m)4.54%
PT rev (3m)14.83%
EPS NQ rev (1m)-0.03%
EPS NQ rev (3m)-1.66%
EPS NY rev (1m)0.01%
EPS NY rev (3m)0.95%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)0.34%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.02 | ||
| Fwd PE | 27.3 | ||
| P/S | 7.55 | ||
| P/FCF | 38.94 | ||
| P/OCF | 32.21 | ||
| P/B | 10.06 | ||
| P/tB | 55.64 | ||
| EV/EBITDA | 23.92 |
EPS(TTM)12.7
EY3.22%
EPS(NY)14.43
Fwd EY3.66%
FCF(TTM)10.12
FCFY2.57%
OCF(TTM)12.23
OCFY3.1%
SpS52.17
BVpS39.15
TBVpS7.08
PEG (NY)2.68
PEG (5Y)5.61
Graham Number105.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.34% | ||
| ROE | 27.84% | ||
| ROCE | 22.83% | ||
| ROIC | 19.6% | ||
| ROICexc | 22.45% | ||
| ROICexgc | 56.94% | ||
| OM | 26.54% | ||
| PM (TTM) | 20.89% | ||
| GM | 58.96% | ||
| FCFM | 19.39% |
ROA(3y)16.49%
ROA(5y)18.04%
ROE(3y)77%
ROE(5y)128.85%
ROIC(3y)22.94%
ROIC(5y)25.43%
ROICexc(3y)26.72%
ROICexc(5y)31.12%
ROICexgc(3y)50.26%
ROICexgc(5y)55.59%
ROCE(3y)26.72%
ROCE(5y)29.62%
ROICexgc growth 3Y-9.19%
ROICexgc growth 5Y-5.06%
ROICexc growth 3Y-18.41%
ROICexc growth 5Y-11.04%
OM growth 3Y-1.6%
OM growth 5Y-0.88%
PM growth 3Y-4.65%
PM growth 5Y-2.61%
GM growth 3Y0.51%
GM growth 5Y0.43%
F-Score4
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 2.34 | ||
| Debt/EBITDA | 0.92 | ||
| Cap/Depr | 62.23% | ||
| Cap/Sales | 4.05% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 70.93% | ||
| Profit Quality | 92.83% | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 9.9 |
F-Score4
WACC10.85%
ROIC/WACC1.81
Cap/Depr(3y)103.92%
Cap/Depr(5y)115.41%
Cap/Sales(3y)5.47%
Cap/Sales(5y)5.95%
Profit Quality(3y)75.5%
Profit Quality(5y)85.71%
High Growth Momentum
Growth
EPS 1Y (TTM)11.5%
EPS 3Y1.89%
EPS 5Y5.53%
EPS Q2Q%16.04%
EPS Next Y11.59%
EPS Next 2Y10.26%
EPS Next 3Y10.23%
EPS Next 5Y10.36%
Revenue 1Y (TTM)6.9%
Revenue growth 3Y2.02%
Revenue growth 5Y4.21%
Sales Q2Q%8.05%
Revenue Next Year7.43%
Revenue Next 2Y6.88%
Revenue Next 3Y6.69%
Revenue Next 5Y6.46%
EBIT growth 1Y-2.9%
EBIT growth 3Y0.39%
EBIT growth 5Y3.3%
EBIT Next Year25.53%
EBIT Next 3Y15.6%
EBIT Next 5Y11.27%
FCF growth 1Y54.36%
FCF growth 3Y2.29%
FCF growth 5Y5.27%
OCF growth 1Y27.43%
OCF growth 3Y0.66%
OCF growth 5Y3.45%
WATERS CORP / WAT FAQ
Can you provide the ChartMill fundamental rating for WATERS CORP?
ChartMill assigns a fundamental rating of 6 / 10 to WAT.
What is the valuation status for WAT stock?
ChartMill assigns a valuation rating of 4 / 10 to WATERS CORP (WAT). This can be considered as Fairly Valued.
Can you provide the profitability details for WATERS CORP?
WATERS CORP (WAT) has a profitability rating of 8 / 10.
What are the PE and PB ratios of WATERS CORP (WAT) stock?
The Price/Earnings (PE) ratio for WATERS CORP (WAT) is 31.02 and the Price/Book (PB) ratio is 10.06.
How financially healthy is WATERS CORP?
The financial health rating of WATERS CORP (WAT) is 7 / 10.