SELECT WATER SOLUTIONS INC (WTTR) Stock Fundamental Analysis
USA - NYSE:WTTR - US81617J3014 - Common Stock
10.96 USD
-0.37 (-3.27%)
10.96 USD
0 (0%)
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. WTTR scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. WTTR has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year WTTR was profitable.
WTTR had a positive operating cash flow in the past year.
In multiple years WTTR reported negative net income over the last 5 years.
Of the past 5 years WTTR 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 2.14%, WTTR perfoms like the industry average, outperforming 46.67% of the companies in the same industry.
WTTR has a Return On Equity of 4.13%. This is in the lower half of the industry: WTTR underperforms 60.00% of its industry peers.
WTTR's Return On Invested Capital of 3.42% is on the low side compared to the rest of the industry. WTTR is outperformed by 70.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WTTR is below the industry average of 7.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.14% | ||
| ROE | 4.13% | ||
| ROIC | 3.42% |
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
The Profit Margin of WTTR (2.26%) is worse than 65.00% of its industry peers.
In the last couple of years the Profit Margin of WTTR has grown nicely.
WTTR's Operating Margin of 4.29% is on the low side compared to the rest of the industry. WTTR is outperformed by 68.33% of its industry peers.
WTTR's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 15.09%, WTTR is doing worse than 78.33% of the companies in the same industry.
WTTR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.29% | ||
| PM (TTM) | 2.26% | ||
| GM | 15.09% |
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
WTTR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for WTTR has been increased compared to 1 year ago.
The number of shares outstanding for WTTR has been increased compared to 5 years ago.
Compared to 1 year ago, WTTR has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.18 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 2.18. This is in the better half of the industry: WTTR outperforms 63.33% of its industry peers.
A Debt/Equity ratio of 0.34 indicates that WTTR is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.34, WTTR is in line with its industry, outperforming 56.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.18 |
ROIC/WACC0.39
WACC8.85%
2.3 Liquidity
A Current Ratio of 2.01 indicates that WTTR has no problem at all paying its short term obligations.
WTTR has a Current ratio (2.01) which is comparable to the rest of the industry.
A Quick Ratio of 1.82 indicates that WTTR should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.82, WTTR is in the better half of the industry, outperforming 68.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.01 | ||
| Quick Ratio | 1.82 |
3. Growth
3.1 Past
The earnings per share for WTTR have decreased strongly by -67.80% in the last year.
WTTR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 33.78% yearly.
The Revenue has decreased by -8.41% 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)-67.8%
EPS 3YN/A
EPS 5Y33.78%
EPS Q2Q%-80%
Revenue 1Y (TTM)-8.41%
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.
Based on estimates for the next years, WTTR will show a decrease in Revenue. The Revenue will decrease by -0.05% on average per year.
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
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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
WTTR is valuated quite expensively with a Price/Earnings ratio of 57.68.
Based on the Price/Earnings ratio, WTTR is valued a bit more expensive than 66.67% of the companies in the same industry.
When comparing the Price/Earnings ratio of WTTR to the average of the S&P500 Index (25.83), we can say WTTR is valued expensively.
With a Price/Forward Earnings ratio of 22.16, WTTR is valued on the expensive side.
The rest of the industry has a similar Price/Forward Earnings ratio as WTTR.
WTTR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 32.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 57.68 | ||
| Fwd PE | 22.16 |
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 | 7.05 |
4.3 Compensation for Growth
WTTR's earnings are expected to grow with 34.99% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)1.71
EPS Next 2Y28.39%
EPS Next 3Y34.99%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.46%, WTTR has a reasonable but not impressive dividend return.
WTTR's Dividend Yield is a higher than the industry average which is at 2.94.
WTTR's Dividend Yield is comparable with the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.46% |
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 Years2
Div Non Decr Years2
5.3 Sustainability
95.70% of the earnings are spent on dividend by WTTR. This is not a sustainable payout ratio.
DP95.7%
EPS Next 2Y28.39%
EPS Next 3Y34.99%
10.96
-0.37 (-3.27%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners87.19%
Inst Owner Change2.74%
Ins Owners6.58%
Ins Owner Change-0.23%
Market Cap1.33B
Revenue(TTM)1.45B
Net Income(TTM)33.04M
Analysts84.62
Price Target15.15 (38.23%)
Short Float %6.4%
Short Ratio5.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.46% |
Yearly Dividend0.25
Dividend Growth(5Y)N/A
DP95.7%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.08%
Min EPS beat(2)-16.33%
Max EPS beat(2)24.49%
EPS beat(4)2
Avg EPS beat(4)-27.16%
Min EPS beat(4)-122.49%
Max EPS beat(4)24.49%
EPS beat(8)4
Avg EPS beat(8)-13.47%
EPS beat(12)5
Avg EPS beat(12)-14.28%
EPS beat(16)7
Avg EPS beat(16)30.61%
Revenue beat(2)1
Avg Revenue beat(2)-0.28%
Min Revenue beat(2)-2.29%
Max Revenue beat(2)1.73%
Revenue beat(4)3
Avg Revenue beat(4)1.44%
Min Revenue beat(4)-2.29%
Max Revenue beat(4)3.75%
Revenue beat(8)3
Avg Revenue beat(8)-1.06%
Revenue beat(12)5
Avg Revenue beat(12)-1.07%
Revenue beat(16)9
Avg Revenue beat(16)0.46%
PT rev (1m)6.12%
PT rev (3m)-2.04%
EPS NQ rev (1m)-20.45%
EPS NQ rev (3m)-70.93%
EPS NY rev (1m)0%
EPS NY rev (3m)-39.57%
Revenue NQ rev (1m)-0.42%
Revenue NQ rev (3m)-13.85%
Revenue NY rev (1m)-0.14%
Revenue NY rev (3m)-5.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 57.68 | ||
| Fwd PE | 22.16 | ||
| P/S | 0.91 | ||
| P/FCF | N/A | ||
| P/OCF | 6.73 | ||
| P/B | 1.66 | ||
| P/tB | 2 | ||
| EV/EBITDA | 7.05 |
EPS(TTM)0.19
EY1.73%
EPS(NY)0.49
Fwd EY4.51%
FCF(TTM)-0.17
FCFYN/A
OCF(TTM)1.63
OCFY14.85%
SpS12.03
BVpS6.59
TBVpS5.49
PEG (NY)N/A
PEG (5Y)1.71
Graham Number5.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.14% | ||
| ROE | 4.13% | ||
| ROCE | 4.71% | ||
| ROIC | 3.42% | ||
| ROICexc | 3.55% | ||
| ROICexgc | 3.97% | ||
| OM | 4.29% | ||
| PM (TTM) | 2.26% | ||
| GM | 15.09% | ||
| 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-Score6
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.2 | ||
| Cap/Depr | 133.31% | ||
| Cap/Sales | 14.94% | ||
| Interest Coverage | 4.42 | ||
| Cash Conversion | 87.33% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.01 | ||
| Quick Ratio | 1.82 | ||
| Altman-Z | 2.18 |
F-Score6
WACC8.85%
ROIC/WACC0.39
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)-67.8%
EPS 3YN/A
EPS 5Y33.78%
EPS Q2Q%-80%
EPS Next Y-3.63%
EPS Next 2Y28.39%
EPS Next 3Y34.99%
EPS Next 5Y37.46%
Revenue 1Y (TTM)-8.41%
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 1Y20.19%
EBIT growth 3YN/A
EBIT growth 5Y10.99%
EBIT Next Year286.26%
EBIT Next 3Y66.15%
EBIT Next 5Y51.5%
FCF growth 1Y-224.7%
FCF growth 3YN/A
FCF growth 5Y-8.03%
OCF growth 1Y58.44%
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 57.68 and the Price/Book (PB) ratio is 1.66.
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 95.7%.