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Watts Water Technologies, Inc. WTS R2K

Industrials · Specialty Industrial Machinery · United States
https://www.watts.com

Watts Water Technologies, Inc., together with its subsidiaries, supplies products and solutions that manage and conserve the flow of fluids and energy into, through, and out of buildings in the commercial, industrial, and residential markets. The company offers residential and commercial flow control and protection products, including backflow preventers, water pressure regulators, temperature and pressure relief valves, thermostatic mixing valves, leak detection and protection products, commercial washroom solutions, hydration solutions, and emergency safety products and equipment for plumbing and hot water applications. It also provides heating, ventilation, and air conditioning and gas products comprising commercial, institutional, and industrial boilers; water heaters and heating solutions; hydronic and electric heating systems for under-floor radiant applications; custom heat and hot water solutions; hydronic pump groups for boiler manufacturers and alternative energy control packages; and flexible stainless-steel connectors for natural and liquid propane gas in commercial food service and residential applications. In addition, the company offers drainage and water re-use products, such as drainage products, engineered rainwater harvesting solutions for commercial, industrial, marine, and residential applications; connected roof drain systems; and water quality products, including point-of-use and point-of-entry, closed loop, cooling tower, and other water applications for commercial, marine, and residential applications. It sells its products to plumbing, heating, and mechanical wholesale distributors and dealers; original equipment manufacturers; specialty product distributors; and do-it-yourself and retail chains, as well as wholesalers and private label accounts in the Americas, Europe, Asia-Pacific, Middle East, and Africa. Watts Water Technologies, Inc. was founded in 1874 and is headquartered in North Andover, Massachusetts.

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$308.98
+28.29% 1Y

Market & Price

Market Cap
$10.32B
Current Price
$308.98
High / Low (52W)
$335.65 / $237.58
Beta
1.19

Valuation

Stock P/E
28.24
Industry PE
28.38
Forward P/E
23.74
PEG Ratio
3.39
Book Value
$60.81
Price to Book
5.08
P/S
4.03
EV/EBITDA
18.35
Dividend Yield
0.71%

Profitability & Returns

ROCE
19.28%
ROE
18.94%
ROA
11.49%
Profit Margin
14.32%
Op Margin
19.67%
EPS (Latest Qtr)
$2.97
EPS (TTM)
$10.94

Balance Sheet & Liquidity

Debt/Equity
0.15
Quick Ratio
1.52
Current Ratio
2.72
Debt
$305.00M
Total Assets
$2.88B
Current Assets
$1.29B
Working Capital
$773.70M

Ownership

Promoter Holding
0.97%
Chg in Prom Hold
-0.00%
FII / Inst Holding
101.59%
Chg in FII Hold
-0.02%

Financial Snapshot

Enterprise Value
$10.25B
Total Revenue (TTM)
$2.56B
EBITDA
$558.50M
Free Cash Flow
$184.41M
Operating Cash Flow
$364.70M
Shares Outstanding
27.47M
Gross Margin
49.24%
Payout Ratio
19.03%

Growth (CAGR)

Revenue 5Y
7.20%
Profit 5Y
10.66%
Revenue (YoY)
21.40%
Earnings (YoY)
34.50%

PROS

  • Profit CAGR of 10.7% over 5 years.
  • Generates positive free cash flow.
  • In a confirmed uptrend (50-DMA above 200-DMA).

CONS

No notable concerns flagged.

* The pros and cons are auto-generated from financial metrics.

Price Chart

Robinhood TradingView StockAnalysis

Fundamental Growth

Figures from the latest reported periods. CAGR is computed across the displayed window (quarterly CAGR is annualised assuming 4 quarters per year).

Peer comparison

Peer companies in the same sector (Industrials).

#NameCMP $P/E Mkt CapDiv Yld % ROCE %ROE % Rev CAGR 5Y %Profit CAGR 5Y %
1 WTS Watts Water Technologies, Inc. R2K 308.98 28.24 $10.32B 0.71% 19.28% 18.94% 7.20% 10.66%
2 CAT Caterpillar Inc. SPX 875.87 43.66 $403.42B 0.69% 19.42% 51.33% 4.38% 9.83%
3 GE GE Aerospace SPX 323.76 40.17 $338.27B 0.58% 11.89% 45.43% 16.32% 195.89%
4 GEV GE Vernova Inc. SPXAI 968.32 28.33 $260.21B 0.21% 6.30% 75.71% 8.68% 92.84%
5 RTX RTX Corporation SPX 179.66 33.64 $241.95B 1.54% 9.41% 11.57% 9.72% 9.01%
6 UNP Union Pacific Corporation SPX 262.64 21.60 $155.93B 2.10% 16.19% 40.69% -0.49% 0.66%
7 ETN Eaton Corporation plc SPXAI 400.60 39.20 $155.55B 1.10% 16.23% 20.84% 9.77% 18.41%
8 HON Honeywell International Inc. NDXSPX 237.86 38.00 $150.72B 2.00% 13.57% 24.26% 1.82% -1.62%
9 DE Deere & Company SPX 542.18 30.67 $146.45B 1.20% 12.82% 18.35% -4.50% -11.00%
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Quarterly Results

Figures in USD.

Metric Sep 2015Dec 2015Apr 2016Jul 2016Oct 2016Dec 2016Apr 2017Jul 2017Oct 2017Dec 2017Apr 2018Jul 2018Sep 2018Dec 2018Mar 2019Jun 2019Sep 2019Dec 2019Mar 2020Jun 2020Sep 2020Dec 2020Mar 2021Jun 2021Sep 2021Mar 2022Jun 2022Sep 2022Mar 2023Jun 2023Sep 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Revenue ------347.20M378.50M364.70M366.30M378.50M407.90M390.90M387.60M388.70M416.80M394.70M400.30M382.60M338.70M383.90M403.40M413.30M467.00M455.00M463.20M526.60M487.80M471.70M532.80M504.30M570.90M597.30M543.60M-558.00M643.70M611.70M625.10M677.30M
Cost of Revenue -----------------------------------285.50M317.80M313.30M315.80M351.20M
Gross Profit 142.20M134.60M135.20M150.70M142.00M137.70M143.80M156.70M152.70M149.20M156.70M169.40M164.50M165.90M164.20M174.60M168.60M170.10M162.80M134.90M158.50M169.20M173.70M200.10M194.00M198.60M239.20M217.90M218.10M252.80M234.40M267.50M284.80M257.10M252.60M272.50M325.90M298.40M-326.10M
Operating Expenses -----------------------------------167.50M187.20M185.10M194.50M192.90M
Operating Income -30.20M-31.20M45.70M36.50M-35.70M44.80M44.30M-43.90M52.20M46.90M-46.70M54.30M48.80M-47.80M31.00M47.90M-59.60M52.70M64.70M71.50M95.90M80.40M84.70M100.40M87.10M96.70M111.50M93.20M-105.00M138.70M113.30M114.80M133.20M
EBITDA -----------------------------------103.30M151.90M128.50M131.30M150.00M
Interest Expense -----------------------------------2.70M2.70M2.70M2.70M2.60M
Pretax Income -----------------------------------86.90M134.70M111.00M113.20M131.40M
Tax Provision -----------------------------------12.90M33.80M28.80M29.50M31.80M
Net Income ----------28.20M36.00M31.50M-31.00M36.40M32.30M-32.00M20.20M32.90M-41.70M37.50M46.40M54.50M69.70M58.70M64.70M75.90M65.80M72.60M82.00M69.10M-74.00M100.90M82.20M83.70M99.60M
Diluted EPS -0.73-3.410.470.830.630.510.630.790.77-0.070.821.050.920.940.911.060.940.930.940.590.970.861.231.111.371.612.071.751.932.261.962.172.442.06-2.213.012.452.502.97
R&D Expense 5.60M-6.60M6.40M6.60M-7.10M7.20M7.30M-8.50M8.30M8.70M-9.30M9.50M9.80M-11.50M9.80M10.10M-10.90M11.00M11.00M11.90M12.30M14.20M16.10M16.00M15.20M18.50M17.90M17.60M-16.80M17.40M18.80M-19.20M

Profit & Loss (Annual)

Figures in USD.

Metric Dec 2008Dec 2009Dec 2010Dec 2011Dec 2012Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Revenue --------1.40B1.46B1.56B1.60B1.51B-1.98B2.06B2.25B2.44B
Cost of Revenue --------------1.11B1.10B1.19B1.23B
Gross Profit 481.80M435.10M464.90M508.40M513.50M526.50M541.80M553.10M565.60M602.40M656.50M677.50M625.40M-874.30M960.90M1.06B1.21B
Operating Expenses --------------548.70M604.50M664.40M734.20M
Operating Income 98.60M92.20M114.20M133.50M123.30M111.50M105.40M-90.10M145.00M162.30M188.40M197.10M181.10M-325.60M356.40M397.60M471.80M
EBITDA --------------354.30M401.00M455.10M515.00M
Interest Expense --------------7.00M8.20M14.70M10.80M
Pretax Income --------------307.60M349.50M386.00M445.80M
Tax Provision --------------56.10M87.40M94.80M105.00M
Net Income 46.60M17.40M58.80M-68.40M58.60M50.30M-112.90M84.20M73.10M128.00M131.50M114.30M-251.50M262.10M291.20M340.80M
Diluted EPS 1.260.471.571.781.901.651.42-3.242.442.123.733.853.36-7.487.828.6910.17
R&D Expense -17.80M18.60M20.50M20.40M21.50M22.50M23.50M26.50M29.00M34.50M39.60M42.20M45.60M59.40M67.10M70.40M73.50M

Compounded Sales Growth

5 Years:7.20%
1 Year:21.40%

Compounded Profit Growth

5 Years:10.66%
1 Year:34.50%

Stock Price Performance

1 Year:+28.29%
6 Months:+11.61%
3 Months:-6.01%
1 Month:+3.94%

Balance Sheet (Annual)

Figures in USD.

Metric Dec 2007Dec 2008Dec 2009Dec 2010Dec 2011Dec 2012Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Total Assets --1.60B1.65B1.69B1.71B1.74B1.95B1.69B1.76B1.74B1.65B1.72B1.74B-1.93B2.31B2.40B2.88B
Current Assets ---------------950.60M1.06B1.08B1.29B
Cash & Equivalents 290.30M165.60M258.20M329.20M250.60M271.80M267.90M301.10M296.20M338.40M280.20M204.10M219.70M218.90M-310.80M350.10M386.90M405.50M
Inventory ---------------375.60M399.30M392.10M524.30M
Receivables ---------------233.80M259.80M253.20M294.00M
Total Liabilities ---------------630.30M796.10M689.10M853.50M
Current Liabilities --314.80M278.60M285.60M368.40M326.90M345.70M295.00M425.50M327.40M348.70M419.30M312.80M-378.70M405.80M417.90M512.40M
Long Term Debt --304.00M378.00M397.40M307.50M305.50M577.80M574.20M511.30M474.60M323.40M204.20M198.20M-147.60M298.30M197.00M197.70M
Total Debt ---------------147.60M298.30M197.00M197.70M
Total Equity -842.40M879.60M901.50M919.80M939.50M1.00B912.40M704.90M736.30M829.00M891.30M978.00M1.07B-1.30B1.51B1.71B2.03B
Shares Outstanding ---------------33.27M33.31M33.32M33.34M

Cash Flows (Annual)

Figures in USD.

Metric Dec 2008Dec 2009Dec 2010Dec 2011Dec 2012Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Operating Cash Flow -------109.40M138.10M155.90M169.40M194.00M228.80M-224.00M310.80M361.10M402.00M
Investing Cash Flow --------17.30M-114.00M-27.30M-35.90M-71.80M-54.80M--22.90M-343.10M-124.70M-302.80M
Financing Cash Flow --------70.90M27.70M-205.30M-202.90M-105.60M-181.90M--121.70M69.00M-190.50M-96.90M
Capital Expenditure -26.20M-24.20M-24.60M-22.50M-30.50M-27.70M-23.70M-27.70M-36.00M-29.40M-35.90M-29.20M-43.80M--28.10M-29.70M-35.30M-45.70M
Free Cash Flow -------81.70M102.10M126.50M133.50M164.80M185.00M-195.90M281.10M325.80M356.30M
Net Change in Cash --------------79.40M36.70M45.90M2.30M
Share Buybacks 44.50M--27.20M65.80M23.00M39.60M44.60M26.80M18.20M26.00M19.50M28.90M16.00M69.40M16.00M17.00M16.00M

Ratios (Annual)

Figures in %.

Metric Dec 2008Dec 2009Dec 2010Dec 2011Dec 2012Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Gross Margin % --------40.4%41.4%42.0%42.3%41.5%-44.2%46.7%47.2%49.5%
Operating Margin % --------10.4%11.1%12.0%12.3%12.0%-16.4%17.3%17.7%19.3%
Net Margin % --------6.0%5.0%8.2%8.2%7.6%-12.7%12.7%12.9%14.0%
ROE % 5.5%2.0%6.5%-7.3%5.8%5.5%-16.0%11.4%8.8%14.4%13.4%10.7%-19.3%17.3%17.1%16.8%
ROCE % -7.2%8.4%9.5%9.2%7.9%6.6%-6.5%10.8%11.5%14.4%15.1%12.7%-21.0%18.7%20.1%19.9%

Shareholding Pattern

Insiders
0.97%
Institutions
101.59%
Public Float
102.59%

Top Institutional Holders

#Holder% HeldSharesValue
1 Blackrock Inc. 13.37% 3.67M $1.14B
2 Kayne Anderson Rudnick Investment Management LLC 7.74% 2.13M $657.30M
3 Vanguard Portfolio Management LLC 6.04% 1.66M $513.13M
4 Vanguard Capital Management LLC 4.46% 1.23M $378.93M
5 State Street Corporation 3.61% 991.14K $306.24M
6 Geode Capital Management, LLC 3.34% 918.92K $283.93M
7 Price (T.Rowe) Associates Inc 3.16% 868.75K $268.43M
8 Boston Partners 2.75% 755.90K $233.56M
9 Impax Asset Management Group plc 2.14% 588.02K $181.69M
10 First Trust Advisors LP 1.99% 545.40K $168.52M

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