SELECT WATER SOLUTIONS INC (WTTR) Stock Fundamental Analysis
USA - NYSE:WTTR - US81617J3014 - Common Stock
9.74 USD
-0.24 (-2.4%)
9.74 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to WTTR. WTTR was compared to 60 industry peers in the Energy Equipment & Services industry. Both the profitability and financial health of WTTR have multiple concerns. WTTR does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
WTTR had positive earnings in the past year.
WTTR had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: WTTR reported negative net income in multiple years.
WTTR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a Return On Assets value of 2.17%, WTTR perfoms like the industry average, outperforming 43.33% of the companies in the same industry.
With a Return On Equity value of 4.21%, WTTR is not doing good in the industry: 61.67% of the companies in the same industry are doing better.
WTTR's Return On Invested Capital of 3.39% is on the low side compared to the rest of the industry. WTTR is outperformed by 70.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WTTR is below the industry average of 7.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.17% | ||
| ROE | 4.21% | ||
| ROIC | 3.39% |
ROA(3y)4.1%
ROA(5y)-6.17%
ROE(3y)6.6%
ROE(5y)-8.89%
ROIC(3y)3.87%
ROIC(5y)N/A
1.3 Margins
WTTR has a worse Profit Margin (2.30%) than 68.33% of its industry peers.
In the last couple of years the Profit Margin of WTTR has grown nicely.
WTTR has a worse Operating Margin (4.32%) than 66.67% of its industry peers.
WTTR's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 15.09%, WTTR is not doing good in the industry: 78.33% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of WTTR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.32% | ||
| PM (TTM) | 2.3% | ||
| GM | 15.09% |
OM growth 3YN/A
OM growth 5Y8.23%
PM growth 3YN/A
PM growth 5Y58%
GM growth 3Y76.83%
GM growth 5Y5.59%
2. Health
2.1 Basic Checks
WTTR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, WTTR has more shares outstanding
The number of shares outstanding for WTTR has been increased compared to 5 years ago.
WTTR has a worse debt/assets ratio than last year.
2.2 Solvency
WTTR has an Altman-Z score of 2.05. This is not the best score and indicates that WTTR is in the grey zone with still only limited risk for bankruptcy at the moment.
WTTR has a Altman-Z score of 2.05. This is comparable to the rest of the industry: WTTR outperforms 56.67% of its industry peers.
WTTR has a Debt/Equity ratio of 0.34. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of WTTR (0.34) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.05 |
ROIC/WACC0.38
WACC8.89%
2.3 Liquidity
A Current Ratio of 2.00 indicates that WTTR has no problem at all paying its short term obligations.
WTTR has a Current ratio (2.00) which is in line with its industry peers.
WTTR has a Quick Ratio of 1.81. This is a normal value and indicates that WTTR is financially healthy and should not expect problems in meeting its short term obligations.
WTTR's Quick ratio of 1.81 is fine compared to the rest of the industry. WTTR outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2 | ||
| Quick Ratio | 1.81 |
3. Growth
3.1 Past
The earnings per share for WTTR have decreased strongly by -44.07% in the last year.
WTTR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 33.78% yearly.
WTTR shows a decrease in Revenue. In the last year, the revenue decreased by -8.41%.
Measured over the past years, WTTR shows a small growth in Revenue. The Revenue has been growing by 2.37% on average per year.
EPS 1Y (TTM)-44.07%
EPS 3YN/A
EPS 5Y33.78%
EPS Q2Q%13.33%
Revenue 1Y (TTM)-8.41%
Revenue growth 3Y23.84%
Revenue growth 5Y2.37%
Sales Q2Q%-13.22%
3.2 Future
WTTR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 37.46% yearly.
WTTR is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.05% yearly.
EPS Next Y-3.63%
EPS Next 2Y28.39%
EPS Next 3Y34.99%
EPS Next 5Y37.46%
Revenue Next Year-4.57%
Revenue Next 2Y-3.05%
Revenue Next 3Y0.45%
Revenue Next 5Y-0.05%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 29.52 indicates a quite expensive valuation of WTTR.
65.00% of the companies in the same industry are cheaper than WTTR, based on the Price/Earnings ratio.
WTTR's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.56.
With a Price/Forward Earnings ratio of 19.70, WTTR is valued on the expensive side.
WTTR's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of WTTR to the average of the S&P500 Index (34.62), we can say WTTR is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.52 | ||
| Fwd PE | 19.7 |
4.2 Price Multiples
WTTR's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.3 |
4.3 Compensation for Growth
A more expensive valuation may be justified as WTTR's earnings are expected to grow with 34.99% in the coming years.
PEG (NY)N/A
PEG (5Y)0.87
EPS Next 2Y28.39%
EPS Next 3Y34.99%
5. Dividend
5.1 Amount
WTTR has a Yearly Dividend Yield of 2.46%.
WTTR's Dividend Yield is a higher than the industry average which is at 2.96.
WTTR's Dividend Yield is comparable with the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.46% |
5.2 History
WTTR has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
95.24% of the earnings are spent on dividend by WTTR. This is not a sustainable payout ratio.
DP95.24%
EPS Next 2Y28.39%
EPS Next 3Y34.99%
9.74
-0.24 (-2.4%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners87.19%
Inst Owner Change6.08%
Ins Owners6.58%
Ins Owner Change-0.61%
Market Cap1.18B
Revenue(TTM)1.45B
Net Income(TTM)33.60M
Analysts84.62
Price Target15.15 (55.54%)
Short Float %6.4%
Short Ratio5.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.46% |
Yearly Dividend0.25
Dividend Growth(5Y)N/A
DP95.24%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.08%
Min EPS beat(2)-16.33%
Max EPS beat(2)24.49%
EPS beat(4)2
Avg EPS beat(4)-27.16%
Min EPS beat(4)-122.49%
Max EPS beat(4)24.49%
EPS beat(8)4
Avg EPS beat(8)-13.47%
EPS beat(12)5
Avg EPS beat(12)-14.28%
EPS beat(16)7
Avg EPS beat(16)30.61%
Revenue beat(2)1
Avg Revenue beat(2)-0.28%
Min Revenue beat(2)-2.29%
Max Revenue beat(2)1.73%
Revenue beat(4)3
Avg Revenue beat(4)1.44%
Min Revenue beat(4)-2.29%
Max Revenue beat(4)3.75%
Revenue beat(8)3
Avg Revenue beat(8)-1.06%
Revenue beat(12)5
Avg Revenue beat(12)-1.07%
Revenue beat(16)9
Avg Revenue beat(16)0.46%
PT rev (1m)6.12%
PT rev (3m)-0.95%
EPS NQ rev (1m)-20.45%
EPS NQ rev (3m)-70.6%
EPS NY rev (1m)-5.21%
EPS NY rev (3m)-42.72%
Revenue NQ rev (1m)-1.01%
Revenue NQ rev (3m)-14.47%
Revenue NY rev (1m)-0.57%
Revenue NY rev (3m)-6.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.52 | ||
| Fwd PE | 19.7 | ||
| P/S | 0.81 | ||
| P/FCF | N/A | ||
| P/OCF | 5.97 | ||
| P/B | 1.48 | ||
| P/tB | 1.77 | ||
| EV/EBITDA | 6.3 |
EPS(TTM)0.33
EY3.39%
EPS(NY)0.49
Fwd EY5.08%
FCF(TTM)-0.16
FCFYN/A
OCF(TTM)1.63
OCFY16.76%
SpS12.03
BVpS6.59
TBVpS5.49
PEG (NY)N/A
PEG (5Y)0.87
Graham Number6.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.17% | ||
| ROE | 4.21% | ||
| ROCE | 4.75% | ||
| ROIC | 3.39% | ||
| ROICexc | 3.53% | ||
| ROICexgc | 3.94% | ||
| OM | 4.32% | ||
| PM (TTM) | 2.3% | ||
| GM | 15.09% | ||
| FCFM | N/A |
ROA(3y)4.1%
ROA(5y)-6.17%
ROE(3y)6.6%
ROE(5y)-8.89%
ROIC(3y)3.87%
ROIC(5y)N/A
ROICexc(3y)4%
ROICexc(5y)N/A
ROICexgc(3y)4.61%
ROICexgc(5y)N/A
ROCE(3y)5.42%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y4.14%
ROICexc growth 3YN/A
ROICexc growth 5Y10.86%
OM growth 3YN/A
OM growth 5Y8.23%
PM growth 3YN/A
PM growth 5Y58%
GM growth 3Y76.83%
GM growth 5Y5.59%
F-Score6
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.19 | ||
| Cap/Depr | 132.93% | ||
| Cap/Sales | 14.94% | ||
| Interest Coverage | 4.51 | ||
| Cash Conversion | 87.2% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2 | ||
| Quick Ratio | 1.81 | ||
| Altman-Z | 2.05 |
F-Score6
WACC8.89%
ROIC/WACC0.38
Cap/Depr(3y)89.6%
Cap/Depr(5y)66.58%
Cap/Sales(3y)8.56%
Cap/Sales(5y)6.88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-44.07%
EPS 3YN/A
EPS 5Y33.78%
EPS Q2Q%13.33%
EPS Next Y-3.63%
EPS Next 2Y28.39%
EPS Next 3Y34.99%
EPS Next 5Y37.46%
Revenue 1Y (TTM)-8.41%
Revenue growth 3Y23.84%
Revenue growth 5Y2.37%
Sales Q2Q%-13.22%
Revenue Next Year-4.57%
Revenue Next 2Y-3.05%
Revenue Next 3Y0.45%
Revenue Next 5Y-0.05%
EBIT growth 1Y21.21%
EBIT growth 3YN/A
EBIT growth 5Y10.8%
EBIT Next Year286.26%
EBIT Next 3Y66.15%
EBIT Next 5Y51.5%
FCF growth 1Y-221.21%
FCF growth 3YN/A
FCF growth 5Y-7.95%
OCF growth 1Y58.91%
OCF growth 3YN/A
OCF growth 5Y2.88%
SELECT WATER SOLUTIONS INC / WTTR FAQ
Can you provide the ChartMill fundamental rating for SELECT WATER SOLUTIONS INC?
ChartMill assigns a fundamental rating of 3 / 10 to WTTR.
Can you provide the valuation status for SELECT WATER SOLUTIONS INC?
ChartMill assigns a valuation rating of 2 / 10 to SELECT WATER SOLUTIONS INC (WTTR). This can be considered as Overvalued.
How profitable is SELECT WATER SOLUTIONS INC (WTTR) stock?
SELECT WATER SOLUTIONS INC (WTTR) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for WTTR stock?
The Price/Earnings (PE) ratio for SELECT WATER SOLUTIONS INC (WTTR) is 29.52 and the Price/Book (PB) ratio is 1.48.
Is the dividend of SELECT WATER SOLUTIONS INC sustainable?
The dividend rating of SELECT WATER SOLUTIONS INC (WTTR) is 2 / 10 and the dividend payout ratio is 95.24%.