ZURN ELKAY WATER SOLUTIONS C (ZWS) Stock Fundamental Analysis
NYSE:ZWS • US98983L1089
51.3 USD
-0.08 (-0.16%)
At close: Feb 13, 2026
51.3 USD
0 (0%)
After Hours: 2/13/2026, 8:04:00 PM
Taking everything into account, ZWS scores 6 out of 10 in our fundamental rating. ZWS was compared to 42 industry peers in the Building Products industry. ZWS scores excellent points on both the profitability and health parts. This is a solid base for a good stock. ZWS is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year ZWS was profitable.
- In the past year ZWS had a positive cash flow from operations.
- In the past 5 years ZWS has always been profitable.
- ZWS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- ZWS has a Return On Assets of 7.39%. This is in the better half of the industry: ZWS outperforms 64.29% of its industry peers.
- ZWS has a Return On Equity of 12.35%. This is in the better half of the industry: ZWS outperforms 61.90% of its industry peers.
- ZWS's Return On Invested Capital of 9.05% is in line compared to the rest of the industry. ZWS outperforms 54.76% of its industry peers.
- ZWS had an Average Return On Invested Capital over the past 3 years of 7.99%. This is below the industry average of 12.11%.
- The 3 year average ROIC (7.99%) for ZWS is below the current ROIC(9.05%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.39% | ||
| ROE | 12.35% | ||
| ROIC | 9.05% |
ROA(3y)5.89%
ROA(5y)6.21%
ROE(3y)9.83%
ROE(5y)25.79%
ROIC(3y)7.99%
ROIC(5y)7.53%
1.3 Margins
- ZWS has a better Profit Margin (11.68%) than 66.67% of its industry peers.
- ZWS's Profit Margin has improved in the last couple of years.
- ZWS has a better Operating Margin (17.01%) than 66.67% of its industry peers.
- In the last couple of years the Operating Margin of ZWS has remained more or less at the same level.
- The Gross Margin of ZWS (45.10%) is better than 90.48% of its industry peers.
- In the last couple of years the Gross Margin of ZWS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.01% | ||
| PM (TTM) | 11.68% | ||
| GM | 45.1% |
OM growth 3Y21.19%
OM growth 5Y0.12%
PM growth 3Y34.36%
PM growth 5Y7.82%
GM growth 3Y7.49%
GM growth 5Y2.66%
2. Health
2.1 Basic Checks
- ZWS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- ZWS has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, ZWS has more shares outstanding
- The debt/assets ratio for ZWS has been reduced compared to a year ago.
2.2 Solvency
- ZWS has an Altman-Z score of 5.42. This indicates that ZWS is financially healthy and has little risk of bankruptcy at the moment.
- ZWS has a Altman-Z score of 5.42. This is in the better half of the industry: ZWS outperforms 71.43% of its industry peers.
- ZWS has a debt to FCF ratio of 1.57. This is a very positive value and a sign of high solvency as it would only need 1.57 years to pay back of all of its debts.
- ZWS's Debt to FCF ratio of 1.57 is amongst the best of the industry. ZWS outperforms 80.95% of its industry peers.
- ZWS has a Debt/Equity ratio of 0.31. This is a healthy value indicating a solid balance between debt and equity.
- Looking at the Debt to Equity ratio, with a value of 0.31, ZWS is in the better half of the industry, outperforming 69.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.57 | ||
| Altman-Z | 5.42 |
ROIC/WACC1.03
WACC8.8%
2.3 Liquidity
- A Current Ratio of 3.13 indicates that ZWS has no problem at all paying its short term obligations.
- The Current ratio of ZWS (3.13) is better than 78.57% of its industry peers.
- A Quick Ratio of 2.07 indicates that ZWS has no problem at all paying its short term obligations.
- Looking at the Quick ratio, with a value of 2.07, ZWS belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.13 | ||
| Quick Ratio | 2.07 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 18.75% over the past year.
- ZWS shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.16% yearly.
- Looking at the last year, ZWS shows a quite strong growth in Revenue. The Revenue has grown by 8.26% in the last year.
- The Revenue has been decreasing by -3.89% on average over the past years.
EPS 1Y (TTM)18.75%
EPS 3Y15.75%
EPS 5Y-3.16%
EPS Q2Q%12.5%
Revenue 1Y (TTM)8.26%
Revenue growth 3Y9.78%
Revenue growth 5Y-3.89%
Sales Q2Q%9.85%
3.2 Future
- The Earnings Per Share is expected to grow by 10.08% on average over the next years. This is quite good.
- Based on estimates for the next years, ZWS will show a small growth in Revenue. The Revenue will grow by 5.84% on average per year.
EPS Next Y10.14%
EPS Next 2Y9.66%
EPS Next 3Y11.03%
EPS Next 5Y10.08%
Revenue Next Year5.57%
Revenue Next 2Y5.25%
Revenue Next 3Y5.72%
Revenue Next 5Y5.84%
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
- With a Price/Earnings ratio of 33.75, ZWS can be considered very expensive at the moment.
- 66.67% of the companies in the same industry are cheaper than ZWS, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 26.68. ZWS is valued slightly more expensive when compared to this.
- Based on the Price/Forward Earnings ratio of 30.64, the valuation of ZWS can be described as expensive.
- Based on the Price/Forward Earnings ratio, ZWS is valued a bit more expensive than 69.05% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 28.06. ZWS is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.75 | ||
| Fwd PE | 30.64 |
4.2 Price Multiples
- ZWS's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. ZWS is more expensive than 66.67% of the companies in the same industry.
- ZWS's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.06 | ||
| EV/EBITDA | 23.23 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ZWS does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of ZWS may justify a higher PE ratio.
PEG (NY)3.33
PEG (5Y)N/A
EPS Next 2Y9.66%
EPS Next 3Y11.03%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.94%, ZWS is not a good candidate for dividend investing.
- ZWS's Dividend Yield is a higher than the industry average which is at 0.62.
- With a Dividend Yield of 0.94, ZWS pays less dividend than the S&P500 average, which is at 1.84.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
5.2 History
- On average, the dividend of ZWS grows each year by 9.35%, which is quite nice.
- ZWS has been paying a dividend for over 5 years, so it has already some track record.
- The dividend of ZWS decreased recently.
Dividend Growth(5Y)9.35%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- ZWS pays out 32.27% of its income as dividend. This is a sustainable payout ratio.
- The dividend of ZWS is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP32.27%
EPS Next 2Y9.66%
EPS Next 3Y11.03%
51.3
-0.08 (-0.16%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)02-03 2026-02-03/amc
Earnings (Next)04-20 2026-04-20/amc
Inst Owners94.67%
Inst Owner Change-88.64%
Ins Owners2.35%
Ins Owner Change-0.15%
Market Cap8.57B
Revenue(TTM)1.70B
Net Income(TTM)198.00M
Analysts76
Price Target52.47 (2.28%)
Short Float %3.24%
Short Ratio5.42
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
Yearly Dividend0.38
Dividend Growth(5Y)9.35%
DP32.27%
Div Incr Years1
Div Non Decr Years1
Ex-Date02-20 2026-02-20 (0.11)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.15%
Min EPS beat(2)4.94%
Max EPS beat(2)7.36%
EPS beat(4)4
Avg EPS beat(4)8.41%
Min EPS beat(4)4.94%
Max EPS beat(4)15.51%
EPS beat(8)8
Avg EPS beat(8)8.39%
EPS beat(12)12
Avg EPS beat(12)8.93%
EPS beat(16)15
Avg EPS beat(16)7.86%
Revenue beat(2)2
Avg Revenue beat(2)1.21%
Min Revenue beat(2)0.55%
Max Revenue beat(2)1.87%
Revenue beat(4)4
Avg Revenue beat(4)1.57%
Min Revenue beat(4)0.3%
Max Revenue beat(4)3.54%
Revenue beat(8)7
Avg Revenue beat(8)0.81%
Revenue beat(12)10
Avg Revenue beat(12)1.21%
Revenue beat(16)11
Avg Revenue beat(16)0.6%
PT rev (1m)0.38%
PT rev (3m)8.47%
EPS NQ rev (1m)2%
EPS NQ rev (3m)2.52%
EPS NY rev (1m)0.41%
EPS NY rev (3m)1.1%
Revenue NQ rev (1m)0.97%
Revenue NQ rev (3m)1.28%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.75 | ||
| Fwd PE | 30.64 | ||
| P/S | 5.05 | ||
| P/FCF | 27.06 | ||
| P/OCF | 24.72 | ||
| P/B | 5.34 | ||
| P/tB | N/A | ||
| EV/EBITDA | 23.23 |
EPS(TTM)1.52
EY2.96%
EPS(NY)1.67
Fwd EY3.26%
FCF(TTM)1.9
FCFY3.7%
OCF(TTM)2.08
OCFY4.05%
SpS10.16
BVpS9.6
TBVpS-0.16
PEG (NY)3.33
PEG (5Y)N/A
Graham Number18.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.39% | ||
| ROE | 12.35% | ||
| ROCE | 11.92% | ||
| ROIC | 9.05% | ||
| ROICexc | 10.33% | ||
| ROICexgc | 44.74% | ||
| OM | 17.01% | ||
| PM (TTM) | 11.68% | ||
| GM | 45.1% | ||
| FCFM | 18.67% |
ROA(3y)5.89%
ROA(5y)6.21%
ROE(3y)9.83%
ROE(5y)25.79%
ROIC(3y)7.99%
ROIC(5y)7.53%
ROICexc(3y)8.8%
ROICexc(5y)8.31%
ROICexgc(3y)37.39%
ROICexgc(5y)30.7%
ROCE(3y)10.53%
ROCE(5y)9.91%
ROICexgc growth 3Y47.22%
ROICexgc growth 5Y5.13%
ROICexc growth 3Y39.63%
ROICexc growth 5Y0.22%
OM growth 3Y21.19%
OM growth 5Y0.12%
PM growth 3Y34.36%
PM growth 5Y7.82%
GM growth 3Y7.49%
GM growth 5Y2.66%
F-Score8
Asset Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.57 | ||
| Debt/EBITDA | 1.31 | ||
| Cap/Depr | 33.71% | ||
| Cap/Sales | 1.76% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.86% | ||
| Profit Quality | 159.9% | ||
| Current Ratio | 3.13 | ||
| Quick Ratio | 2.07 | ||
| Altman-Z | 5.42 |
F-Score8
WACC8.8%
ROIC/WACC1.03
Cap/Depr(3y)27.54%
Cap/Depr(5y)25.33%
Cap/Sales(3y)1.52%
Cap/Sales(5y)1.54%
Profit Quality(3y)178.63%
Profit Quality(5y)169.29%
High Growth Momentum
Growth
EPS 1Y (TTM)18.75%
EPS 3Y15.75%
EPS 5Y-3.16%
EPS Q2Q%12.5%
EPS Next Y10.14%
EPS Next 2Y9.66%
EPS Next 3Y11.03%
EPS Next 5Y10.08%
Revenue 1Y (TTM)8.26%
Revenue growth 3Y9.78%
Revenue growth 5Y-3.89%
Sales Q2Q%9.85%
Revenue Next Year5.57%
Revenue Next 2Y5.25%
Revenue Next 3Y5.72%
Revenue Next 5Y5.84%
EBIT growth 1Y11.78%
EBIT growth 3Y33.05%
EBIT growth 5Y-3.78%
EBIT Next Year33.31%
EBIT Next 3Y16.49%
EBIT Next 5Y14.38%
FCF growth 1Y16.53%
FCF growth 3Y52.43%
FCF growth 5Y4.24%
OCF growth 1Y18.06%
OCF growth 3Y52.87%
OCF growth 5Y3.02%
ZURN ELKAY WATER SOLUTIONS C / ZWS FAQ
What is the fundamental rating for ZWS stock?
ChartMill assigns a fundamental rating of 6 / 10 to ZWS.
What is the valuation status for ZWS stock?
ChartMill assigns a valuation rating of 1 / 10 to ZURN ELKAY WATER SOLUTIONS C (ZWS). This can be considered as Overvalued.
Can you provide the profitability details for ZURN ELKAY WATER SOLUTIONS C?
ZURN ELKAY WATER SOLUTIONS C (ZWS) has a profitability rating of 7 / 10.
What is the financial health of ZURN ELKAY WATER SOLUTIONS C (ZWS) stock?
The financial health rating of ZURN ELKAY WATER SOLUTIONS C (ZWS) is 8 / 10.
What is the earnings growth outlook for ZURN ELKAY WATER SOLUTIONS C?
The Earnings per Share (EPS) of ZURN ELKAY WATER SOLUTIONS C (ZWS) is expected to grow by 10.14% in the next year.