SELECT WATER SOLUTIONS INC (WTTR)
US81617J3014 - Common Stock
Overall WTTR gets a fundamental rating of 4 out of 10. We evaluated WTTR against 60 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. WTTR is not valued too expensively and it also shows a decent growth rate.
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.
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
The Return On Assets of WTTR (4.41%) is comparable to the rest of the industry.
WTTR has a Return On Equity of 7.47%. This is comparable to the rest of the industry: WTTR outperforms 50.00% of its industry peers.
WTTR has a worse Return On Invested Capital (3.73%) than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.41% | ||
| ROE | 7.47% | ||
| ROIC | 3.73% |
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
With a Profit Margin value of 3.90%, WTTR perfoms like the industry average, outperforming 46.67% of the companies in the same industry.
In the last couple of years the Profit Margin of WTTR has grown nicely.
The Operating Margin of WTTR (3.50%) is worse than 75.00% of its industry peers.
WTTR's Operating Margin has declined in the last couple of years.
The Gross Margin of WTTR (14.95%) is worse than 81.67% of its industry peers.
In the last couple of years the Gross Margin of WTTR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.5% | ||
| PM (TTM) | 3.9% | ||
| GM | 14.95% |
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.
Compared to 1 year ago, WTTR has less shares outstanding
The number of shares outstanding for WTTR has been increased compared to 5 years ago.
Compared to 1 year ago, WTTR has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.54 indicates that WTTR is not a great score, but indicates only limited risk for bankruptcy at the moment.
WTTR has a Altman-Z score of 2.54. This is in the better half of the industry: WTTR outperforms 71.67% of its industry peers.
The Debt to FCF ratio of WTTR is 0.55, which is an excellent value as it means it would take WTTR, only 0.55 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.55, WTTR belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
WTTR has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
WTTR's Debt to Equity ratio of 0.12 is fine compared to the rest of the industry. WTTR outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.55 | ||
| Altman-Z | 2.54 |
ROIC/WACC0.4
WACC9.24%
2.3 Liquidity
A Current Ratio of 1.81 indicates that WTTR should not have too much problems paying its short term obligations.
WTTR has a Current ratio (1.81) which is in line with its industry peers.
WTTR has a Quick Ratio of 1.63. This is a normal value and indicates that WTTR is financially healthy and should not expect problems in meeting its short term obligations.
WTTR has a Quick ratio of 1.63. This is in the better half of the industry: WTTR outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.81 | ||
| Quick Ratio | 1.63 |
3. Growth
3.1 Past
WTTR shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.92%.
WTTR shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.22% yearly.
The Revenue has decreased by -5.21% in the past year.
The Revenue has been growing slightly by 0.73% on average over the past years.
EPS 1Y (TTM)-4.92%
EPS 3YN/A
EPS 5Y-3.22%
EPS Q2Q%-35%
Revenue 1Y (TTM)-5.21%
Revenue growth 3Y37.86%
Revenue growth 5Y0.73%
Sales Q2Q%-9.76%
3.2 Future
The Earnings Per Share is expected to grow by 31.60% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 3.17% on average over the next years.
EPS Next Y-29.72%
EPS Next 2Y15.96%
EPS Next 3Y31.6%
EPS Next 5YN/A
Revenue Next Year-9.01%
Revenue Next 2Y-1.12%
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.
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 18.22 indicates a rather expensive valuation of WTTR.
Based on the Price/Earnings ratio, WTTR is valued a bit cheaper than 66.67% of the companies in the same industry.
WTTR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 30.20.
Based on the Price/Forward Earnings ratio of 10.77, the valuation of WTTR can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WTTR indicates a somewhat cheap valuation: WTTR is cheaper than 61.67% of the companies listed in the same industry.
WTTR's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.22 | ||
| Fwd PE | 10.77 |
4.2 Price Multiples
WTTR's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of WTTR indicates a somewhat cheap valuation: WTTR is cheaper than 78.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.62 | ||
| EV/EBITDA | 6.49 |
4.3 Compensation for Growth
WTTR's earnings are expected to grow with 31.60% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y15.96%
EPS Next 3Y31.6%
5. Dividend
5.1 Amount
WTTR has a Yearly Dividend Yield of 2.36%.
Compared to an average industry Dividend Yield of 3.56, WTTR pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.26, WTTR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.36% |
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 Years1
Div Non Decr Years1
5.3 Sustainability
WTTR pays out 46.83% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP46.83%
EPS Next 2Y15.96%
EPS Next 3Y31.6%
SELECT WATER SOLUTIONS INC
NYSE:WTTR (11/4/2024, 8:04:00 PM)
After market: 10.57 0 (0%)10.57
+0.26 (+2.52%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.26B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.36% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.22 | ||
| Fwd PE | 10.77 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.41% | ||
| ROE | 7.47% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 3.5% | ||
| PM (TTM) | 3.9% | ||
| GM | 14.95% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.81 | ||
| Quick Ratio | 1.63 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-4.92%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-29.72%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-5.21%
Revenue growth 3Y37.86%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y