MUELLER WATER PRODUCTS INC-A (MWA)
US6247581084 - Common Stock
Overall MWA gets a fundamental rating of 5 out of 10. We evaluated MWA against 132 industry peers in the Machinery industry. MWA has an average financial health and profitability rating. MWA 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 MWA was profitable.
MWA had a positive operating cash flow in the past year.
Each year in the past 5 years MWA has been profitable.
MWA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.06%, MWA is in line with its industry, outperforming 60.00% of the companies in the same industry.
MWA has a Return On Equity (10.57%) which is comparable to the rest of the industry.
With a decent Return On Invested Capital value of 8.16%, MWA is doing good in the industry, outperforming 62.31% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MWA is below the industry average of 10.80%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.06% | ||
| ROE | 10.57% | ||
| ROIC | 8.16% |
ROA(3y)5.14%
ROA(5y)5.07%
ROE(3y)11.2%
ROE(5y)11.13%
ROIC(3y)8.18%
ROIC(5y)8.41%
1.3 Margins
MWA has a Profit Margin of 6.35%. This is comparable to the rest of the industry: MWA outperforms 56.92% of its industry peers.
MWA's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 11.23%, MWA is in line with its industry, outperforming 58.46% of the companies in the same industry.
MWA's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 30.61%, MWA perfoms like the industry average, outperforming 54.62% of the companies in the same industry.
MWA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.23% | ||
| PM (TTM) | 6.35% | ||
| GM | 30.61% |
OM growth 3Y-7.12%
OM growth 5Y-4.32%
PM growth 3Y-3.54%
PM growth 5Y-10.28%
GM growth 3Y-4.39%
GM growth 5Y-1.23%
2. Health
2.1 Basic Checks
MWA 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, MWA has about the same amount of shares outstanding.
Compared to 5 years ago, MWA has less shares outstanding
MWA has a better debt/assets ratio than last year.
2.2 Solvency
MWA has an Altman-Z score of 3.31. This indicates that MWA is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.31, MWA perfoms like the industry average, outperforming 56.92% of the companies in the same industry.
MWA has a debt to FCF ratio of 3.20. This is a good value and a sign of high solvency as MWA would need 3.20 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.20, MWA is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
MWA has a Debt/Equity ratio of 0.61. This is a neutral value indicating MWA is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.61, MWA is not doing good in the industry: 61.54% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 3.2 | ||
| Altman-Z | 3.31 |
ROIC/WACC0.93
WACC8.74%
2.3 Liquidity
A Current Ratio of 3.29 indicates that MWA has no problem at all paying its short term obligations.
The Current ratio of MWA (3.29) is better than 79.23% of its industry peers.
A Quick Ratio of 1.89 indicates that MWA should not have too much problems paying its short term obligations.
MWA has a better Quick ratio (1.89) than 76.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.29 | ||
| Quick Ratio | 1.89 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 42.86% over the past year.
MWA shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.46% yearly.
MWA shows a small growth in Revenue. In the last year, the Revenue has grown by 2.27%.
Measured over the past years, MWA shows a small growth in Revenue. The Revenue has been growing by 6.85% on average per year.
EPS 1Y (TTM)42.86%
EPS 3Y7.86%
EPS 5Y3.46%
EPS growth Q2Q114.29%
Revenue 1Y (TTM)2.27%
Revenue growth 3Y9.78%
Revenue growth 5Y6.85%
Revenue growth Q2Q6.16%
3.2 Future
Based on estimates for the next years, MWA will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.85% on average per year.
Based on estimates for the next years, MWA will show a small growth in Revenue. The Revenue will grow by 1.95% on average per year.
EPS Next Y7.05%
EPS Next 2Y11.89%
EPS Next 3Y9.85%
EPS Next 5YN/A
Revenue Next Year-3.22%
Revenue Next 2Y1.41%
Revenue Next 3Y1.95%
Revenue Next 5YN/A
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 accelerating.
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 24.00 indicates a rather expensive valuation of MWA.
MWA's Price/Earnings ratio is in line with the industry average.
MWA is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.15, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 23.96, which indicates a rather expensive current valuation of MWA.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MWA is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 20.20. MWA is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24 | ||
| Fwd PE | 23.96 |
4.2 Price Multiples
MWA's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, MWA is valued a bit cheaper than 66.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.42 | ||
| EV/EBITDA | 16.06 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MWA does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)3.4
PEG (5Y)6.94
EPS Next 2Y11.89%
EPS Next 3Y9.85%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.34%, MWA has a reasonable but not impressive dividend return.
MWA's Dividend Yield is a higher than the industry average which is at 1.66.
With a Dividend Yield of 1.34, MWA pays less dividend than the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.34% |
5.2 History
The dividend of MWA has a limited annual growth rate of 5.11%.
MWA has been paying a dividend for at least 10 years, so it has a reliable track record.
MWA has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.11%
Div Incr Years9
Div Non Decr Years17
5.3 Sustainability
MWA pays out 49.94% of its income as dividend. This is a bit on the high side, but may be sustainable.
MWA's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP49.94%
EPS Next 2Y11.89%
EPS Next 3Y9.85%
MUELLER WATER PRODUCTS INC-A
NYSE:MWA (5/17/2024, 7:15:12 PM)
After market: 19.1 -0.1 (-0.52%)19.2
+0.03 (+0.16%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap3.00B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.34% |
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)
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Min EPS beat(4)
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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)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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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 | 24 | ||
| Fwd PE | 23.96 | ||
| 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)3.4
PEG (5Y)6.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.06% | ||
| ROE | 10.57% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 11.23% | ||
| PM (TTM) | 6.35% | ||
| GM | 30.61% | ||
| 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 Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.29 | ||
| Quick Ratio | 1.89 | ||
| 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)
Growth
EPS 1Y (TTM)42.86%
EPS 3Y7.86%
EPS 5Y
EPS growth Q2Q
EPS Next Y7.05%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2.27%
Revenue growth 3Y9.78%
Revenue growth 5Y
Revenue growth 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