(WAT) Waters - Overview
Sector: Healthcare | Industry: Diagnostics & Research | Exchange: NYSE (USA) | Market Cap: 33.616m USD | Total Return: -5.5% in 12m
Avg Turnover: 343M
EPS Trend: 76.5%
Qual. Beats: 1
Rev. Trend: 65.1%
Qual. Beats: 1
Warnings
Share dilution 37.6% YoY
Choppy
Tailwinds
Shakeout, Pead
Waters Corporation (NYSE: WAT) is a specialized manufacturer of analytical instruments, primarily focusing on liquid chromatography, mass spectrometry, and thermal analysis. The company operates through two distinct segments, Waters and TA, providing end-to-end laboratory solutions that include hardware, consumable columns, and integrated software interfaces. Its technology serves a diverse client base across pharmaceutical, industrial, and academic sectors for applications in drug discovery, quality assurance, and environmental testing.
The company utilizes a razor-and-blade business model, where the initial sale of high-cost instrument systems creates a recurring revenue stream through the ongoing sale of proprietary consumables and service contracts. As a major player in the Life Sciences Tools & Services sub-industry, Waters benefits from the high switching costs associated with validated laboratory workflows and regulatory compliance requirements. Investors may find it useful to examine ValueRay for deeper insights into the companys valuation metrics.
- Pharma R&D spending levels dictate demand for high-performance liquid chromatography systems
- Recurring consumables and service revenue provide stability against cyclical instrument sales cycles
- Bioprocessing expansion and large molecule drug development drive mass spectrometry adoption
- China market recovery and geopolitical trade tensions impact regional revenue growth
- High interest rates and capital expenditure constraints delay laboratory equipment replacement cycles
| Net Income: 449.2m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA -12.41 > 1.0 |
| NWC/Revenue: 47.50% < 20% (prev 26.11%; Δ 21.39% < -1%) |
| CFO/TA 0.02 > 3% & CFO 390.0m > Net Income 449.2m |
| Net Debt (5.46b) to EBITDA (924.5m): 5.91 < 3 |
| Current Ratio: 1.79 > 1.5 & < 3 |
| Outstanding Shares: last quarter (82.1m) vs 12m ago 37.56% < -2% |
| Gross Margin: 55.02% > 18% (prev 0.59%; Δ 5.44k% > 0.5%) |
| Asset Turnover: 25.89% > 50% (prev 64.97%; Δ -39.08% > 0%) |
| Interest Coverage Ratio: 6.72 > 6 (EBITDA TTM 924.5m / Interest Expense TTM 91.6m) |
| A: 0.07 (Total Current Assets 4.06b - Total Current Liabilities 2.27b) / Total Assets 24.5b |
| B: 0.42 (Retained Earnings 10.4b / Total Assets 24.5b) |
| C: 0.04 (EBIT TTM 615.6m / Avg Total Assets 14.6b) |
| D: 1.10 (Book Value of Equity 10.2b / Total Liabilities 9.24b) |
| Altman-Z'' = 3.30 = A |
| DSRI: 1.94 (Receivables 1.75b/713.3m, Revenue 3.77b/2.98b) |
| GMI: 1.08 (GM 55.02% / 59.27%) |
| AQI: 1.63 (AQ_t 0.76 / AQ_t-1 0.46) |
| SGI: 1.26 (Revenue 3.77b / 2.98b) |
| TATA: 0.00 (NI 449.2m - CFO 390.0m) / TA 24.5b) |
| Beneish M = -1.61 (Cap -4..+1) = CCC |
As of May 27, 2026, the stock is trading at USD 338.64 with a total of 431,692 shares traded.
Over the past week, the price has changed by +1.94%,
over one month by +12.96%,
over three months by +4.90% and
over the past year by -5.50%.
Waters has received a consensus analysts rating of 3.59. Therefore, it is recommended to hold WAT.
- StrongBuy: 6
- Buy: 1
- Hold: 15
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 400.5 | 18.3% |
P/E Trailing = 43.5032
P/E Forward = 23.6407
P/S = 8.916
P/B = 2.1894
P/EG = 1.5137
Revenue TTM = 3.77b USD
EBIT TTM = 615.6m USD
EBITDA TTM = 924.5m USD
Long Term Debt = 4.86b USD (from longTermDebt, last quarter)
Short Term Debt = 413.0m USD (from shortTermDebt, last quarter)
Debt = 5.92b USD (from shortLongTermDebtTotal, last quarter) + Leases 355.0m
Net Debt = 5.46b USD (calculated: Debt 5.92b - CCE 462.0m)
Enterprise Value = 39.1b USD (33.6b + Debt 5.92b - CCE 462.0m)
Interest Coverage Ratio = 6.72 (Ebit TTM 615.6m / Interest Expense TTM 91.6m)
EV/FCF = 148.0x (Enterprise Value 39.1b / FCF TTM 264.0m)
FCF Yield = 0.68% (FCF TTM 264.0m / Enterprise Value 39.1b)
FCF Margin = 7.00% (FCF TTM 264.0m / Revenue TTM 3.77b)
Net Margin = 11.91% (Net Income TTM 449.2m / Revenue TTM 3.77b)
Gross Margin = 55.02% ((Revenue TTM 3.77b - Cost of Revenue TTM 1.70b) / Revenue TTM)
Gross Margin QoQ = 46.96% (prev 59.79%)
Tobins Q-Ratio = 1.59 (Enterprise Value 39.1b / Total Assets 24.5b)
Interest Expense / Debt = 1.55% (Interest Expense 91.6m / Debt 5.92b)
Taxrate = 14.87% (112.2m / 754.9m)
NOPAT = 524.1m (EBIT 615.6m * (1 - 14.87%))
Current Ratio = 1.79 (Total Current Assets 4.06b / Total Current Liabilities 2.27b)
Debt / Equity = 0.39 (Debt 5.92b / totalStockholderEquity, last quarter 15.3b)
Debt / EBITDA = 5.91 (Net Debt 5.46b / EBITDA 924.5m)
Debt / FCF = 20.69 (Net Debt 5.46b / FCF TTM 264.0m)
Total Stockholder Equity = 5.59b (last 4 quarters mean from totalStockholderEquity)
RoA = 3.09% (Net Income 449.2m / Total Assets 24.5b)
RoE = 8.04% (Net Income TTM 449.2m / Total Stockholder Equity 5.59b)
RoCE = 5.90% (EBIT 615.6m / Capital Employed (Equity 5.59b + L.T.Debt 4.86b))
RoIC = 2.31% (NOPAT 524.1m / Invested Capital 22.7b)
WACC = 8.46% (E(33.6b)/V(39.5b) * Re(9.72%) + D(5.92b)/V(39.5b) * Rd(1.55%) * (1-Tc(0.15)))
Discount Rate = 9.72% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 82.22 | Cagr: 15.57%
[DCF] Terminal Value 72.68% ; FCFF base≈406.1m ; Y1≈356.1m ; Y5≈287.7m
[DCF] Fair Price = N/A (negative equity: EV 4.54b - Net Debt 5.46b = -927.6m; debt exceeds intrinsic value)
EPS Correlation: 76.54 | EPS CAGR: 4.97% | SUE: 4.0 | # QB: 1
Revenue Correlation: 65.08 | Revenue CAGR: 5.37% | SUE: 4.0 | # QB: 1
EPS current Quarter (2026-06-30): EPS=3.03 | Chg30d=-0.53% | Revisions=+47% | Analysts=17
EPS next Quarter (2026-09-30): EPS=3.98 | Chg30d=-2.30% | Revisions=-44% | Analysts=17
EPS current Year (2026-12-31): EPS=14.50 | Chg30d=+0.78% | Revisions=+75% | GrowthEPS=+10.4% | GrowthRev=+103.4%
EPS next Year (2027-12-31): EPS=16.41 | Chg30d=+0.33% | Revisions=-4% | GrowthEPS=+13.2% | GrowthRev=+10.4%
[Analyst] Revisions Ratio: +75%