SELECT WATER SOLUTIONS INC (WTTR)
US81617J3014 - Common Stock
Overall WTTR gets a fundamental rating of 4 out of 10. We evaluated WTTR against 58 industry peers in the Energy Equipment & Services industry. WTTR scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. While showing a medium growth rate, WTTR is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year WTTR was profitable.
In the past year WTTR had a positive cash flow from operations.
In multiple years WTTR reported negative net income over the last 5 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 4.45%, WTTR perfoms like the industry average, outperforming 55.17% of the companies in the same industry.
WTTR's Return On Equity of 7.52% is in line compared to the rest of the industry. WTTR outperforms 46.55% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.22%, WTTR is doing worse than 68.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.45% | ||
| ROE | 7.52% | ||
| ROIC | 4.22% |
ROA(3y)1.87%
ROA(5y)-6.57%
ROE(3y)2.94%
ROE(5y)-9.6%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
WTTR has a Profit Margin (4.05%) which is comparable to the rest of the industry.
WTTR's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 4.07%, WTTR is doing worse than 74.14% of the companies in the same industry.
In the last couple of years the Operating Margin of WTTR has declined.
The Gross Margin of WTTR (15.55%) is worse than 82.76% of its industry peers.
In the last couple of years the Gross Margin of WTTR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.07% | ||
| PM (TTM) | 4.05% | ||
| GM | 15.55% |
OM growth 3YN/A
OM growth 5Y-5.04%
PM growth 3YN/A
PM growth 5Y14.47%
GM growth 3YN/A
GM growth 5Y2.39%
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.
WTTR has less shares outstanding than it did 1 year ago.
WTTR has more shares outstanding than it did 5 years ago.
WTTR has a better debt/assets ratio than last year.
2.2 Solvency
WTTR has an Altman-Z score of 2.98. 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 better Altman-Z score (2.98) than 74.14% of its industry peers.
WTTR has a debt to FCF ratio of 0.81. This is a very positive value and a sign of high solvency as it would only need 0.81 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.81, WTTR belongs to the best of the industry, outperforming 86.21% of the companies in the same industry.
A Debt/Equity ratio of 0.10 indicates that WTTR is not too dependend on debt financing.
WTTR's Debt to Equity ratio of 0.10 is fine compared to the rest of the industry. WTTR outperforms 74.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.81 | ||
| Altman-Z | 2.98 |
ROIC/WACC0.45
WACC9.39%
2.3 Liquidity
A Current Ratio of 1.78 indicates that WTTR should not have too much problems paying its short term obligations.
WTTR has a Current ratio (1.78) which is comparable to the rest of the industry.
A Quick Ratio of 1.62 indicates that WTTR should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.62, WTTR is in the better half of the industry, outperforming 65.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.62 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.32% over the past year.
The Earnings Per Share has been decreasing by -3.22% on average over the past years.
The Revenue has decreased by -7.18% in the past year.
Measured over the past years, WTTR shows a small growth in Revenue. The Revenue has been growing by 0.73% on average per year.
EPS 1Y (TTM)11.32%
EPS 3YN/A
EPS 5Y-3.22%
EPS Q2Q%7.14%
Revenue 1Y (TTM)-7.18%
Revenue growth 3Y37.86%
Revenue growth 5Y0.73%
Sales Q2Q%-4.6%
3.2 Future
WTTR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 33.41% yearly.
Based on estimates for the next years, WTTR will show a small growth in Revenue. The Revenue will grow by 3.17% on average per year.
EPS Next Y-36.51%
EPS Next 2Y15.23%
EPS Next 3Y33.41%
EPS Next 5YN/A
Revenue Next Year-9.44%
Revenue Next 2Y-1.81%
Revenue Next 3Y3.17%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 23.39, the valuation of WTTR can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of WTTR is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.41. WTTR is around the same levels.
With a Price/Forward Earnings ratio of 14.24, WTTR is valued correctly.
The rest of the industry has a similar Price/Forward Earnings ratio as WTTR.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.69, WTTR is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.39 | ||
| Fwd PE | 14.24 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, WTTR is valued a bit more expensive than 63.79% of the companies in the same industry.
WTTR's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.68 | ||
| EV/EBITDA | 8.05 |
4.3 Compensation for Growth
WTTR's earnings are expected to grow with 33.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y15.23%
EPS Next 3Y33.41%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.93%, WTTR has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.59, WTTR pays a bit more dividend than its industry peers.
WTTR's Dividend Yield is comparable with the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.93% |
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
47.69% of the earnings are spent on dividend by WTTR. This is a bit on the high side, but may be sustainable.
DP47.69%
EPS Next 2Y15.23%
EPS Next 3Y33.41%
SELECT WATER SOLUTIONS INC
NYSE:WTTR (1/3/2025, 8:10:57 PM)
After market: 13.8 0 (0%)13.8
+0.04 (+0.29%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners82.8%
Inst Owner Change3.99%
Ins Owners3.84%
Ins Owner Change0.02%
Market Cap1.65B
Analysts85.45
Price Target16.93 (22.68%)
Short Float %6.21%
Short Ratio6.15
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.93% |
Dividend Growth(5Y)N/A
DP47.69%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.08%
Min EPS beat(2)5.67%
Max EPS beat(2)12.5%
EPS beat(4)3
Avg EPS beat(4)11.96%
Min EPS beat(4)-45.64%
Max EPS beat(4)75.3%
EPS beat(8)3
Avg EPS beat(8)-11.51%
EPS beat(12)6
Avg EPS beat(12)57.89%
EPS beat(16)6
Avg EPS beat(16)30.57%
Revenue beat(2)1
Avg Revenue beat(2)0.06%
Min Revenue beat(2)-3.64%
Max Revenue beat(2)3.75%
Revenue beat(4)1
Avg Revenue beat(4)-1.33%
Min Revenue beat(4)-3.64%
Max Revenue beat(4)3.75%
Revenue beat(8)2
Avg Revenue beat(8)-2.27%
Revenue beat(12)6
Avg Revenue beat(12)0.26%
Revenue beat(16)9
Avg Revenue beat(16)0.77%
PT rev (1m)0%
PT rev (3m)16.08%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-58.03%
EPS NY rev (1m)0%
EPS NY rev (3m)-10.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-15.47%
Revenue NY rev (1m)-0.34%
Revenue NY rev (3m)-0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.39 | ||
| Fwd PE | 14.24 | ||
| P/S | 1.11 | ||
| P/FCF | 16.68 | ||
| P/OCF | 6.58 | ||
| P/B | 2.07 | ||
| P/tB | 2.58 | ||
| EV/EBITDA | 8.05 |
EPS(TTM)0.59
EY4.28%
EPS(NY)0.97
Fwd EY7.02%
FCF(TTM)0.83
FCFY6%
OCF(TTM)2.1
OCFY15.2%
SpS12.39
BVpS6.68
TBVpS5.35
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.45% | ||
| ROE | 7.52% | ||
| ROCE | 5.35% | ||
| ROIC | 4.22% | ||
| ROICexc | 4.27% | ||
| ROICexgc | 4.97% | ||
| OM | 4.07% | ||
| PM (TTM) | 4.05% | ||
| GM | 15.55% | ||
| FCFM | 6.68% |
ROA(3y)1.87%
ROA(5y)-6.57%
ROE(3y)2.94%
ROE(5y)-9.6%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-6.45%
ROICexc growth 3YN/A
ROICexc growth 5Y-0.37%
OM growth 3YN/A
OM growth 5Y-5.04%
PM growth 3YN/A
PM growth 5Y14.47%
GM growth 3YN/A
GM growth 5Y2.39%
F-Score5
Asset Turnover1.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.81 | ||
| Debt/EBITDA | 0.38 | ||
| Cap/Depr | 99.44% | ||
| Cap/Sales | 10.25% | ||
| Interest Coverage | 10.87 | ||
| Cash Conversion | 117.77% | ||
| Profit Quality | 164.88% | ||
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.62 | ||
| Altman-Z | 2.98 |
F-Score5
WACC9.39%
ROIC/WACC0.45
Cap/Depr(3y)67.23%
Cap/Depr(5y)62.75%
Cap/Sales(3y)6.33%
Cap/Sales(5y)6.2%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.32%
EPS 3YN/A
EPS 5Y-3.22%
EPS Q2Q%7.14%
EPS Next Y-36.51%
EPS Next 2Y15.23%
EPS Next 3Y33.41%
EPS Next 5YN/A
Revenue 1Y (TTM)-7.18%
Revenue growth 3Y37.86%
Revenue growth 5Y0.73%
Sales Q2Q%-4.6%
Revenue Next Year-9.44%
Revenue Next 2Y-1.81%
Revenue Next 3Y3.17%
Revenue Next 5YN/A
EBIT growth 1Y-17.54%
EBIT growth 3YN/A
EBIT growth 5Y-4.34%
EBIT Next Year221.62%
EBIT Next 3Y64.44%
EBIT Next 5YN/A
FCF growth 1Y251.19%
FCF growth 3Y20.9%
FCF growth 5Y17.41%
OCF growth 1Y5788.05%
OCF growth 3Y39.2%
OCF growth 5Y4.19%