SELECT WATER SOLUTIONS INC (WTTR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WTTR - US81617J3014 - Common Stock
10.1 USD
+0.12 (+1.2%)
10.13 USD
+0.03 (+0.3%)
Taking everything into account, WTTR scores 3 out of 10 in our fundamental rating. 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
In the past year WTTR was profitable.
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 1.25%, WTTR is not doing good in the industry: 68.33% of the companies in the same industry are doing better.
WTTR's Return On Equity of 2.47% is on the low side compared to the rest of the industry. WTTR is outperformed by 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
WTTR's Profit Margin of 1.41% is on the low side compared to the rest of the industry. WTTR is outperformed by 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.
With a Gross Margin value of 14.28%, WTTR is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
WTTR's Gross Margin has improved in the last couple of years.
| 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.
WTTR has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, WTTR has more shares outstanding
Compared to 1 year ago, WTTR has a worse debt to assets ratio.
2.2 Solvency
WTTR has an Altman-Z score of 1.85. 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.
With a Altman-Z score value of 1.85, WTTR perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
A Debt/Equity ratio of 0.35 indicates that WTTR is not too dependend on debt financing.
WTTR's Debt to Equity ratio of 0.35 is in line compared to the rest of the industry. WTTR outperforms 56.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.85 |
ROIC/WACC0.24
WACC8.75%
2.3 Liquidity
A Current Ratio of 1.64 indicates that WTTR should not have too much problems paying its short term obligations.
WTTR has a Current ratio of 1.64. This is in the lower half of the industry: WTTR underperforms 63.33% of its industry peers.
A Quick Ratio of 1.48 indicates that WTTR should not have too much problems paying 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.
Measured over the past years, WTTR shows a very strong growth in Earnings Per Share. The EPS has been growing by 33.78% on average per year.
The Revenue has decreased by -4.60% in the past year.
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)-4.6%
Revenue growth 3Y23.84%
Revenue growth 5Y2.37%
Sales Q2Q%-13.22%
3.2 Future
Based on estimates for the next years, WTTR will show a very strong growth in Earnings Per Share. The EPS will grow by 37.46% on average per year.
The Revenue is expected to decrease by -0.05% on average over the next years.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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
With a Price/Earnings ratio of 30.61, WTTR can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of WTTR indicates a slightly more expensive valuation: WTTR is more expensive than 63.33% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.31. WTTR is around the same levels.
WTTR is valuated rather expensively with a Price/Forward Earnings ratio of 20.42.
WTTR's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.59, WTTR is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.61 | ||
| Fwd PE | 20.42 |
4.2 Price Multiples
WTTR's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.21 |
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)0.91
EPS Next 2Y28.39%
EPS Next 3Y34.99%
5. Dividend
5.1 Amount
WTTR has a Yearly Dividend Yield of 2.46%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.03, WTTR pays a bit more dividend than its industry peers.
WTTR's Dividend Yield is comparable with the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.46% |
5.2 History
WTTR has been paying a dividend for less than 5 years, so it still needs to build a track record.
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%
10.1
+0.12 (+1.2%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners87.19%
Inst Owner Change6.05%
Ins Owners6.58%
Ins Owner Change-0.1%
Market Cap1.22B
Revenue(TTM)1.41B
Net Income(TTM)19.93M
Analysts84.62
Price Target15.74 (55.84%)
Short Float %6.48%
Short Ratio5.16
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)-66.88%
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 | 30.61 | ||
| Fwd PE | 20.42 | ||
| P/S | 0.87 | ||
| P/FCF | N/A | ||
| P/OCF | 5.63 | ||
| P/B | 1.51 | ||
| P/tB | 1.88 | ||
| EV/EBITDA | 7.21 |
EPS(TTM)0.33
EY3.27%
EPS(NY)0.49
Fwd EY4.9%
FCF(TTM)-0.5
FCFYN/A
OCF(TTM)1.79
OCFY17.76%
SpS11.64
BVpS6.67
TBVpS5.39
PEG (NY)N/A
PEG (5Y)0.91
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 | 1.85 |
F-Score4
WACC8.75%
ROIC/WACC0.24
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 30.61 and the Price/Book (PB) ratio is 1.51.
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%.