NYSE: WTS
Watts Water Technologies, Inc.
Industrials · Industrial - Machinery
Market Cap
$12.72B
52w High
$394.54
52w Low
$260.00
P/E
33.26
Volume
26.68K
Outstanding Shares
33.39M
Price vs Fundamentals
Why The Stock Is Moving
What changed
The stock rose 46.32% over the last year. Revenue grew 17.13% over the trailing twelve months. Operating margin moved from 17.73% to 19.24%. Free cash flow grew 12.34% over the trailing twelve months.
What the market seems to be pricing
The stock is trading toward the richer end of its historical P/FCF range (93rd percentile) while business metrics are improving. More of the upside is already embedded in the multiple now.
What would invalidate this read
Operating margin is at 19.24% — continued expansion would be needed to justify the premium. Revenue growth of 17.13% is encouraging, but any deceleration puts the stretched multiple at risk. This read changes if revenue, margins, and cash flow continue to improve faster than expected — in that case the richer multiple could still prove conservative.
Company profile
Watts Water Technologies, Inc. is a global enterprise that creates, produces, and distributes a comprehensive range of products and systems designed to regulate and optimize the movement and conservation of liquids and energy within and around both commercial and residential structures.
Valuation
Stock splits
Every 2500 shares became 1801
Every 1 shares became 2
Profitability & growth
Analyst consensus
9
Buy
14
Hold
0
Sell
Analyst ratings tend to be lagging indicators. Use as one signal among many.
Earnings
Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.
Next report
Nov 4, 2026
Q4 FY26 · EPS est $2.93 · Revenue est $674.95M
View
Dividends
$2.30/shareQuarterlyDividend Aristocrat · 25yrEx-div Sep 1, 2026 · in 25dSafeWTS pays a dividend with a 0.6% declared yield, 25 consecutive years of growth, growing at 18.6% annually, covered 5.3× by free cash flow.
Declared Yield
0.6%
Annual Div / Share
$2.30
TTM $2.19
5yr CAGR
+18.6%
Doubles every ~4.1yr
Payout Ratio
23.76%
Safe
Dividend Growth Rate
3yr CAGR
+20.33%
5yr CAGR
+18.6%
10yr CAGR
+12.63%
Dividend History
Annualized dividend cycles per share
Income Projection
Today
$1/mo
In 5 yrs
$1/mo
In 10 yrs
$2/mo
| Today | In 5 yrs | In 10 yrs |
|---|---|---|
$6/yr $1/mo | $11/yr+76% $1/mo | $19/yr+211% $2/mo |
Long-range projections use a capped 12% annual growth assumption.
Yield-on-cost grows from 0.6% → 1.87% over 10yr
Analysis
Dividend Strengths
Dividend Aristocrat
WTS has raised its dividend for 25 consecutive years — qualifying as a Dividend Aristocrat, demonstrating long-term commitment to shareholder income.
Well-covered by free cash flow
The dividend is covered 5.3× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.
Strong dividend growth rate
The 5-year CAGR of 18.6% meaningfully outpaces inflation, compounding real income growth for long-term holders.
Risks to Watch
No strong risk signal stands out from the latest period pair.