ScoreWhy is Watts Water Technologies, Inc. ?
1
High Management Efficiency with a high ROE of 16.84%
2
Company has a low Debt to Equity ratio (avg) at times
3
Healthy long term growth as Operating profit has grown by an annual rate 18.75%
4
Positive results in Jun 25
- OPERATING CASH FLOW(Y) Highest at USD 352.8 MM
- INTEREST COVERAGE RATIO(Q) Highest at 5,674.07
- DIVIDEND PER SHARE(HY) Highest at USD 7.05
5
With ROE of 17.59%, it has a fair valuation with a 4.61 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 25.49%, its profits have risen by 13.3% ; the PEG ratio of the company is 2
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Watts Water Technologies, Inc. should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Watts Water Technologies, Inc. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
Watts Water Technologies, Inc.
36.64%
1.69
28.98%
S&P 500
14.9%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
10.08%
EBIT Growth (5y)
19.71%
EBIT to Interest (avg)
35.22
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.08
Sales to Capital Employed (avg)
1.16
Tax Ratio
22.53%
Dividend Payout Ratio
19.56%
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
23.91%
ROE (avg)
16.84%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
28
Industry P/E
Price to Book Value
4.95
EV to EBIT
20.82
EV to EBITDA
19.10
EV to Capital Employed
5.40
EV to Sales
4.03
PEG Ratio
1.30
Dividend Yield
0.57%
ROCE (Latest)
25.92%
ROE (Latest)
17.77%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
Bullish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend10What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 402 MM
DEBT-EQUITY RATIO
(HY)
Lowest at -10.25 %
DIVIDEND PER SHARE(HY)
Highest at USD 8.91
RAW MATERIAL COST(Y)
Fallen by -5.9% (YoY
CASH AND EQV(HY)
Highest at USD 863.2 MM
DEBTORS TURNOVER RATIO(HY)
Highest at 8.91 times
-2What is not working for the Company
INVENTORY TURNOVER RATIO(HY)
Lowest at 2.69 times
OPERATING PROFIT MARGIN(Q)
Lowest at 18.37 %
Here's what is working for Watts Water Technologies, Inc.
Operating Cash Flow
Highest at USD 402 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Debt-Equity Ratio
Lowest at -10.25 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Dividend per share
Highest at USD 8.91 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Cash and Eqv
Highest at USD 863.2 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debtors Turnover Ratio
Highest at 8.91 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -5.9% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Watts Water Technologies, Inc.
Operating Profit Margin
Lowest at 18.37 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Inventory Turnover Ratio
Lowest at 2.69 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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