SELECT WATER SOLUTIONS INC (WTTR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WTTR - US81617J3014 - Common Stock
11.2 USD
-0.03 (-0.27%)
11.2 USD
0 (0%)
WTTR gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 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.
Of the past 5 years WTTR 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of WTTR (1.25%) is worse than 68.33% of its industry peers.
The Return On Equity of WTTR (2.47%) is worse than 66.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 2.06%, WTTR is doing worse than 75.00% of the companies in the same industry.
WTTR had an Average Return On Invested Capital over the past 3 years of 3.94%. This is below the industry average of 7.66%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.25% | ||
| ROE | 2.47% | ||
| ROIC | 2.06% |
ROA(3y)4.1%
ROA(5y)-6.17%
ROE(3y)6.6%
ROE(5y)-8.89%
ROIC(3y)3.94%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of WTTR (1.41%) is worse than 68.33% of its industry peers.
In the last couple of years the Profit Margin of WTTR has grown nicely.
Looking at the Operating Margin, with a value of 2.74%, WTTR is doing worse than 70.00% of the companies in the same industry.
In the last couple of years the Operating Margin of WTTR has grown nicely.
The Gross Margin of WTTR (14.28%) is worse than 80.00% of its industry peers.
In the last couple of years the Gross Margin of WTTR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.74% | ||
| PM (TTM) | 1.41% | ||
| GM | 14.28% |
OM growth 3YN/A
OM growth 5Y8.42%
PM growth 3YN/A
PM growth 5Y57.64%
GM growth 3Y76.83%
GM growth 5Y5.59%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), WTTR 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.
Compared to 1 year ago, WTTR has a worse debt to assets ratio.
2.2 Solvency
WTTR has an Altman-Z score of 1.96. 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 1.96. This is comparable to the rest of the industry: WTTR outperforms 50.00% of its industry peers.
WTTR has a Debt/Equity ratio of 0.35. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.35, WTTR perfoms like the industry average, outperforming 56.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.96 |
ROIC/WACC0.23
WACC8.87%
2.3 Liquidity
WTTR has a Current Ratio of 1.64. This is a normal value and indicates that WTTR is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.64, WTTR is not doing good in the industry: 63.33% of the companies in the same industry are doing better.
WTTR has a Quick Ratio of 1.48. 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 1.48 is in line compared to the rest of the industry. WTTR outperforms 51.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.48 |
3. Growth
3.1 Past
The earnings per share for WTTR have decreased strongly by -44.07% in the last year.
The Earnings Per Share has been growing by 33.78% on average over the past years. This is a very strong growth
WTTR shows a decrease in Revenue. In the last year, the revenue decreased by -4.60%.
The Revenue has been growing slightly by 2.37% on average over the past years.
EPS 1Y (TTM)-44.07%
EPS 3YN/A
EPS 5Y33.78%
EPS Q2Q%13.33%
Revenue 1Y (TTM)-4.6%
Revenue growth 3Y23.84%
Revenue growth 5Y2.37%
Sales Q2Q%-13.22%
3.2 Future
The Earnings Per Share is expected to grow by 37.46% on average over the next years. This is a very strong growth
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 33.94 indicates a quite expensive valuation of WTTR.
Based on the Price/Earnings ratio, WTTR is valued a bit more expensive than 65.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of WTTR to the average of the S&P500 Index (26.46), we can say WTTR is valued slightly more expensively.
WTTR is valuated rather expensively with a Price/Forward Earnings ratio of 22.65.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WTTR is on the same level as its industry peers.
WTTR's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 36.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.94 | ||
| Fwd PE | 22.65 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WTTR is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.94 |
4.3 Compensation for Growth
WTTR's earnings are expected to grow with 34.99% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)1
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 2.95.
Compared to an average S&P500 Dividend Yield of 2.32, WTTR has a dividend comparable with the average S&P500 company.
| 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
WTTR pays out 166.84% of its income as dividend. This is not a sustainable payout ratio.
DP166.84%
EPS Next 2Y28.39%
EPS Next 3Y34.99%
11.2
-0.03 (-0.27%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners87.19%
Inst Owner Change6.19%
Ins Owners6.58%
Ins Owner Change-0.1%
Market Cap1.36B
Revenue(TTM)1.41B
Net Income(TTM)19.93M
Analysts84.62
Price Target15.74 (40.54%)
Short Float %6.01%
Short Ratio5.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.46% |
Yearly Dividend0.25
Dividend Growth(5Y)N/A
DP166.84%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)132.31%
Min EPS beat(2)-16.33%
Max EPS beat(2)280.95%
EPS beat(4)2
Avg EPS beat(4)41.66%
Min EPS beat(4)-122.49%
Max EPS beat(4)280.95%
EPS beat(8)5
Avg EPS beat(8)26.81%
EPS beat(12)5
Avg EPS beat(12)6.21%
EPS beat(16)8
Avg EPS beat(16)53.83%
Revenue beat(2)1
Avg Revenue beat(2)-1.12%
Min Revenue beat(2)-2.29%
Max Revenue beat(2)0.05%
Revenue beat(4)3
Avg Revenue beat(4)0.52%
Min Revenue beat(4)-2.29%
Max Revenue beat(4)2.57%
Revenue beat(8)4
Avg Revenue beat(8)-0.41%
Revenue beat(12)5
Avg Revenue beat(12)-1.34%
Revenue beat(16)9
Avg Revenue beat(16)0.33%
PT rev (1m)10.2%
PT rev (3m)10.2%
EPS NQ rev (1m)-50%
EPS NQ rev (3m)-48.15%
EPS NY rev (1m)-5.21%
EPS NY rev (3m)-35.08%
Revenue NQ rev (1m)0.29%
Revenue NQ rev (3m)0.17%
Revenue NY rev (1m)-0.43%
Revenue NY rev (3m)-0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.94 | ||
| Fwd PE | 22.65 | ||
| P/S | 0.96 | ||
| P/FCF | N/A | ||
| P/OCF | 6.25 | ||
| P/B | 1.68 | ||
| P/tB | 2.08 | ||
| EV/EBITDA | 7.94 |
EPS(TTM)0.33
EY2.95%
EPS(NY)0.49
Fwd EY4.42%
FCF(TTM)-0.5
FCFYN/A
OCF(TTM)1.79
OCFY16.01%
SpS11.64
BVpS6.67
TBVpS5.39
PEG (NY)N/A
PEG (5Y)1
Graham Number7.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.25% | ||
| ROE | 2.47% | ||
| ROCE | 2.84% | ||
| ROIC | 2.06% | ||
| ROICexc | 2.09% | ||
| ROICexgc | 2.36% | ||
| OM | 2.74% | ||
| PM (TTM) | 1.41% | ||
| GM | 14.28% | ||
| FCFM | N/A |
ROA(3y)4.1%
ROA(5y)-6.17%
ROE(3y)6.6%
ROE(5y)-8.89%
ROIC(3y)3.94%
ROIC(5y)N/A
ROICexc(3y)4.07%
ROICexc(5y)N/A
ROICexgc(3y)4.68%
ROICexgc(5y)N/A
ROCE(3y)5.43%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y4.33%
ROICexc growth 3YN/A
ROICexc growth 5Y11.06%
OM growth 3YN/A
OM growth 5Y8.42%
PM growth 3YN/A
PM growth 5Y57.64%
GM growth 3Y76.83%
GM growth 5Y5.59%
F-Score4
Asset Turnover0.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.38 | ||
| Cap/Depr | 165.06% | ||
| Cap/Sales | 19.72% | ||
| Interest Coverage | 2.68 | ||
| Cash Conversion | 104.92% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.48 | ||
| Altman-Z | 1.96 |
F-Score4
WACC8.87%
ROIC/WACC0.23
Cap/Depr(3y)89.59%
Cap/Depr(5y)66.57%
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)-4.6%
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 1Y-35.95%
EBIT growth 3YN/A
EBIT growth 5Y10.99%
EBIT Next Year286.26%
EBIT Next 3Y66.15%
EBIT Next 5Y51.5%
FCF growth 1Y-153.37%
FCF growth 3YN/A
FCF growth 5Y-8.03%
OCF growth 1Y-8.54%
OCF growth 3YN/A
OCF growth 5Y2.87%
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 33.94 and the Price/Book (PB) ratio is 1.68.
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 166.84%.