HVAC ServicesInjection MoldingCleanTechSmart Water Networks (SWN)Water PurificationEnergy EfficiencySmart BuildingManufacturingOil and GasWater
Description
Watts Water Technologies, Inc. (Watts) operates as a manufacturer and provider of water technologies and solutions that are designed to promote safety, energy efficiency, and water conservation for commercial and residential buildings.
The company's…
Analysis
Hope premium
Watts Water Technologies, Inc. is priced well ahead of what the underlying numbers justify, a pattern we describe as a hope premium. Worth noting: the cash the business generates has lagged behind what the income statement shows.
On valuation, the picture is expensive. The owner-earnings multiple stands at 28.3×; owner earnings: the cash an owner could take out each year. The implied growth embedded in that price is around 11% a year, against analyst forecasts of 8%. The price, in other words, assumes less than the experts do.
Growth is moderate; the safety picture is sturdy. The company scores 18/20 on our value-creation score: strong value creator.
Flags to be aware of: Some accounting patterns deserve a closer look. Reported profits have run ahead of actual cash for several periods. As always: this describes the company's numbers; it is not a recommendation.
360° rank · history
1007550250
Jan 202345
44
2023202420252026
All-time high
86
Jan 2024
All-time low
44
Jun 2026
Average rank
64
across all years
Detailed & Historical Ranks
Deep dive into 15 detailed ranks and 3 years of history.
Current202520242023
Price/Sales
33
25
13
21
Price/Earnings
26
26
23
8
Price/Book
25
39
29
28
Dividend Yield
63
56
55
57
Value (overall)
33
33
24
15
Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.