Watts Water Technologies designs, manufactures, and sells water safety and flow control products in the Americas and Europe, Middle East and Africa, and Asia-Pacific. It offers residential and commercial flow control products, including backflow preventers, water pressure regulators, temperature and pressure relief valves, and thermostatic mixing valves. The company was founded in 1874 and is based in North Andover, Massachusetts.
WTS Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Watts Water Technologies Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Watts Water Technologies Inc ranked in the 35th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. The most interesting components of our discounted cash flow analysis for Watts Water Technologies Inc ended up being:
The company's balance sheet shows it gets 94% of its capital from equity, and 6% of its capital from debt. Its equity weight surpasses that of 86.33% of free cash flow generating stocks in the Industrials sector.
The business' balance sheet suggests that 6% of the company's capital is sourced from debt; this is greater than merely 17.27% of the free cash flow producing stocks we're observing.
WTS's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 41.73% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
ROAD, AME, FAST, FSS, and RBA can be thought of as valuation peers to WTS, in the sense that they are in the Industrials sector and have a similar price forecast based on DCF valuation.
NORTH ANDOVER, Mass.--(BUSINESS WIRE)--Watts Water Technologies, Inc. (NYSE: WTS) today announced that Robert J. Pagano, Jr., CEO; Shashank Patel, CFO and Timothy M. MacPhee, Treasurer & Vice President of Investor Relations, will participate in the Seaport Global Annual Virtual Summer Investor Conference on Wednesday, August 26, 2020 starting at 8:30 a.m. Eastern Time. Watts Water Technologies, Inc., through its family of companies, is a global manufacturer headquartered in the USA that pro
Watts Water Technologies, Inc. (WTS) Q2 2020 Results Earnings Conference Call August 4, 2020, 08:00 AM ET Company Participants Timothy MacPhee - Treasurer, Vice President, Investor Relations Robert Pagano, Jr. - Chief Executive Officer and President Shashank Patel - Chief Financial Officer Conference Call Participants Nathan Jones - Stifel Nicolaus...
NORTH ANDOVER, Mass.--(BUSINESS WIRE)--Watts Water Technologies, Inc. (NYSE:WTS) today announced second quarter 2020 results. Chief Executive Officer Robert J. Pagano Jr. commented, “During the past quarter, our employees worldwide continued to manufacture, assemble and deliver essential products, supporting our customer needs under very challenging circumstances. I want to thank everyone for their outstanding efforts. As a company, we continue to promote policies to ensure employees are workin
Watts Water Technologies (WTS) declares $0.23/share quarterly dividend, in line with previous.Forward yield 1.08%Payable Sept. 15; for shareholders of record Sept. 1; ex-div Aug. 31.See WTS Dividend Scorecard, Yield Chart, & Dividend Growth....