WTS

BuyPremium GrowerAI neutral

Watts Water Technologies, Inc. · Industrials · United States · $12.0B cap · $84.2M/day traded

$367.75 +2.5% · close 26 Oct · scored 27 Oct

StockRank down 1.4 since 24 Oct.

Premium Grower: Strong business with the market behind it, priced at a premium.

79
StockRank
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Report expected 28 Oct: the next-year EPS estimate has risen 6.5% over the last 14 weeks.

Quality
83
Value
24
Momentum
69

As of 27 Oct 2026, MoatMap's StockRank for Watts Water Technologies, Inc. (WTS) is 79/100, ranked against 24,000+ stocks in 35 markets (Quality 83, Value 24, Momentum 69, each scored against its sector).

Does StockRank work? Each month we publish how every decile did, whichever way it went. See the record →

P/E (TTM)
31.3x
peers 25.9x
ROE
18.8%
peers 8.8%
D/E
0.1x
peers 0.6x
Dividend %
0.6%
trailing yield
AI CONVICTION THESIS

Watts Water makes valves, backflow preventers, water heating and water quality products for commercial and residential buildings, much of it specified by code, which gives it steady replacement demand and pricing power. It reported a record second quarter and has strong quality scores, but the valuation already reflects this and there is no clear macro catalyst creating a mispricing.

ABOUT WATTS WATER TECHNOLOGIES, INC.

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Watts Water Technologies, Inc. manufactures and sells products and systems for water quality, water safety, water flow control, and drainage solutions across residential, commercial, and industrial applications. It is a global leader in water solutions, offering a comprehensive portfolio of established brands and engineered products that meet stringent safety and efficiency standards. The company is an essential supplier in the water infrastructure and building materials sectors, benefiting from regulatory tailwinds and demand for sustainable water management.

FINANCIAL SUMMARY (USD)

Year2022202320242025CAGRTTM2026E2027EFwd CAGR
Revenue2.0B2.1B2.3B2.4B7.2%2.7B2.8B3.0B10.7%
EPS7.517.858.7010.1710.6%11.4512.2113.4815.1%
Shares33.3M33.3M33.3M33.3M+0.2%27.5M———
Debt147.6M298.3M197.0M197.7M10.2%211.8M———
Equity1.3B1.5B1.7B2.0B16.0%————
Op CF224.0M310.8M361.1M402.0M21.5%397.9M———
Inv CF-22.9M-343.1M-124.7M-302.8M—————
Fin CF-121.7M69.0M-190.5M-96.9M—————
Loading 1Y...
PRICE (1Y) · USD+4.9%
34735235736336815 Sep6 Oct26 Oct
SMA 50SMA 200

Price checkIn an uptrendExperimental

Above its 200-day average and 7% below its 52-week high.

SwingsCalm

Calmer than 78% of stocks we rank over the past year (27% a year).

How this is worked out

StockRank judges the business. The price check reads only the chart: it is the price side of the Momentum score, in words.

The rules: Still falling is a new 52-week low in the last two weeks, at least 25% below the high. Finding a floor is no new low since. Turning up is 20 or more trading days without a new low, at least 10% off it, and back above a rising 50-day average. In an uptrend is above the 200-day average and within 15% of the high.

In 2,112 US drawdowns since 2001, buying while the price was still falling was followed by a further 20% drop 42% of the time. Waiting for a turn like this one cut that to 33%, at about 7% higher prices and with no better returns. Part of that cut is simply not buying: 13% of falls never turned, and waiting kept those out. Among turns that were bought, 38% still fell another 20%, and 33% of turns were followed by a new low within six months. The benefit was largest in crashes such as 2008 and 2020.

What it measures: day-to-day price moves over the past year, as a yearly figure, ranked against every stock we cover. Very calm under 20% a year, Calm 20 to 30%, Average 30 to 40%, Bumpy 40 to 55%, Very bumpy above that.

What we found: across about 13,500 stocks in 34 markets (2002 to 2025), past swings were a good guide to the next year's, and bumpier stocks fell further. How much further changed too much between eras to put a number on it.

Calm is not safe: a calm stock can still slide steadily.

Rules fixed before any data was fetched. Describes the chart, not a recommendation.

Close
$367.75
RSI (14)
55.1
52-Week Range-6.6% from high
Low $258.13High $393.86

SCORE BREAKDOWN

Quality
83
ROIC
21.9%88.7
ROE
18.8%82.8
GP/Assets
45.4%91.1
Op. Margin
20.9%86.8
FCF/Assets
12.1%89.5
Piotroski
654.8
Int. Cover
50.0x88.5
D/E Ratio
0.10x74.5
Current Ratio
2.66x76.9
Value
24
P/E (TTM)
31.3x27.6
EV/EBITDA
20.4x25.3
P/FCF
34.3x29.3
P/B
5.5x14.7
P/S
4.5x17.5
Div Yield
0.6%19.2
Momentum
69
52W High %
93%89.9
RS 6M
15%81.5
SMA 50/200
1.09x80.4
EPS Rev 4W
-0.1%42.8
EPS Rev 12W
+6.5%84.4
EPS Improve
+22%35.0
Q Growth
17%52.0

FUNDAMENTALS

Market Cap
$12.0B
P/E (Forward)
25.6x
Gross Margin
48.9%

SECTOR PEERS

Closest peers in Industrials, ranked by industry match, size, and score similarity. Cross-listings of WTS are excluded.

TickerCompanyMkt CapStockRankSignal
WTSWatts Water Technologies, Inc.(you)$12.0B79Buy
DCIDonaldson Company, Inc.$9.8B70Buy
NDSNNordson Corporation$17.8B73Buy
AOSA. O. Smith Corporation$8.4B71Buy
IEXIDEX Corporation$16.9B71Buy
GGGGraco Inc.$10.7B62Hold
CRCrane Company$10.6B61Hold
OTISOtis Worldwide Corporation$28.6B74Buy
GTESGates Industrial Corporation Ltd.$6.3B68Buy
FLSFlowserve Corporation$8.7B55Hold

Peer medians: ROE 8.8% · P/E 25.9x · Gross margin 29.2%

Company Deep Dive

Business segments breakdown, earnings transcript analysis, management credibility scoring, competitive landscape, and scenario modelling.

Request Deep Dive(50 Feathers)

Watts Water Technologies, Inc. (WTS): Stock Score Summary

Watts Water Technologies, Inc. (WTS) has a MoatMap StockRank of 79/100 based on Quality (83/100), Value (24/100), and Momentum (69/100) factor scores. The current signal is BUY. Watts Water makes valves, backflow preventers, water heating and water quality products for commercial and residential buildings, much of it specified by code, which gives it steady replacement demand and pricing power. It reported a record second quarter and has strong quality scores, but the valuation already reflects this and there is no clear macro catalyst creating a mispricing.

Watts Water Technologies, Inc. manufactures and sells products and systems for water quality, water safety, water flow control, and drainage solutions across residential, commercial, and industrial applications. It is a global leader in water solutions, offering a comprehensive portfolio of established brands and engineered products that meet stringent safety and efficiency standards. The company is an essential supplier in the water infrastructure and building materials sectors, benefiting from regulatory tailwinds and demand for sustainable water management.

Key Financial Metrics

Price$367.75
Market Cap$12.0B
P/E (TTM)31.33
P/E (Forward)25.58
Price/Book5.47
Return on Equity18.8%
Return on Invested Capital21.9%
Debt/Equity0.10x
Gross Margin48.9%
Operating Margin20.9%
Revenue Growth18.6%
Dividend Yield0.6%
Free Cash Flow$349M

Watts Water Technologies, Inc. operates in the Specialty Industrial Machinery industry, part of the Industrials sector (United States).

Frequently Asked Questions

What is Watts Water Technologies, Inc.’s (WTS) StockRank?
MoatMap’s StockRank for Watts Water Technologies, Inc. (WTS) is 79/100, with a Buy signal. It is a composite of Quality (83), Value (24), and Momentum (69), each scored against its sector. The composite is then ranked across MoatMap’s universe of 24,000+ stocks.
Does Watts Water Technologies, Inc. have an economic moat?
Watts Water Technologies, Inc. (WTS) has a Quality factor score of 83/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage: the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is Watts Water Technologies, Inc. a buy, hold, or sell?
MoatMap’s current signal for Watts Water Technologies, Inc. (WTS) is Buy, based on a StockRank of 79/100. Signals are derived mechanically from the StockRank composite and should be one input among many; combine with your own thesis on management, competitive position, and valuation.
What sector is Watts Water Technologies, Inc. in?
Watts Water Technologies, Inc. (WTS) operates in the Industrials sector, specifically the Specialty Industrial Machinery industry (United States).