NYSE:AQUA

Stock Analysis Report

Evoqua Water Technologies

Executive Summary

Evoqua Water Technologies Corp. provides a range of water and wastewater treatment systems and technologies, and mobile and emergency water supply solutions and services.

Snowflake

Fundamentals

Moderate growth potential with mediocre balance sheet.

Risks

  • Evoqua Water Technologies has significant price volatility in the past 3 months.

Share Price & News

How has Evoqua Water Technologies's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

5.3%

NYSE:AQUA

3.1%

US Machinery

1.1%

US Market


1 Year Return

-5.8%

NYSE:AQUA

-3.4%

US Machinery

2.1%

US Market

AQUA underperformed the Machinery industry which returned -2.2% over the past year.

AQUA underperformed the Market in United States of America which returned 2% over the past year.


Share holder returns

AQUAIndustryMarket
7 Day5.3%3.1%1.1%
30 Day12.9%9.1%3.7%
90 Day28.3%1.8%2.3%
1 Year-5.8%-5.8%-1.4%-3.4%4.4%2.1%
3 Yearn/a52.7%42.8%47.0%37.4%
5 Yearn/a55.6%36.3%61.6%43.8%

Price Volatility Vs. Market

How volatile is Evoqua Water Technologies's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Evoqua Water Technologies undervalued based on future cash flows and its price relative to the stock market?

5.38x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Evoqua Water Technologies's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Evoqua Water Technologies's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Evoqua Water Technologies is loss making, we can't compare its value to the US Machinery industry average.

Evoqua Water Technologies is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Evoqua Water Technologies, we can't assess if its growth is good value.


Price Based on Value of Assets

Evoqua Water Technologies is overvalued based on assets compared to the US Machinery industry average.


Next Steps

Future Growth

How is Evoqua Water Technologies expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

106.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Evoqua Water Technologies's revenue is expected to grow by 3.4% yearly, however this is not considered high growth (20% yearly).

Evoqua Water Technologies's earnings are expected to grow significantly at over 20% yearly.

Evoqua Water Technologies's revenue growth is positive but not above the United States of America market average.

Evoqua Water Technologies's earnings growth is expected to exceed the United States of America market average.

Evoqua Water Technologies's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Evoqua Water Technologies is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Evoqua Water Technologies performed over the past 5 years?

80.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Evoqua Water Technologies does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

Unable to compare Evoqua Water Technologies's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Evoqua Water Technologies's 1-year growth to the US Machinery industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Evoqua Water Technologies has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

Evoqua Water Technologies used its assets less efficiently than the US Machinery industry average last year based on Return on Assets.


Return on Capital Employed

It is difficult to establish if Evoqua Water Technologies improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Evoqua Water Technologies's financial position?


Financial Position Analysis

Evoqua Water Technologies is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Evoqua Water Technologies's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Evoqua Water Technologies's level of debt (260.8%) compared to net worth is high (greater than 40%).

Unable to establish if Evoqua Water Technologies's debt level has increased without past 5-year debt data.


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.6x debt.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Whilst loss making Evoqua Water Technologies has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.

Whilst loss making Evoqua Water Technologies has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -52.1% per year.


Next Steps

Dividend

What is Evoqua Water Technologies's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Evoqua Water Technologies's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Evoqua Water Technologies's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Evoqua Water Technologies has not reported any payouts.

Unable to verify if Evoqua Water Technologies's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Evoqua Water Technologies has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Evoqua Water Technologies's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of Evoqua Water Technologies's salary, the management and board of directors tenure and is there insider trading?

3.9yrs

Average management tenure


CEO

Ron Keating (50yo)

4.8yrs

Tenure

US$12,283,463

Compensation

Mr. Ronald C. Keating, also known as Ron, has been President, Chief Executive Officer and Director of EWT Holdings I Corp. since December 2014. Mr. Keating has been Chief Executive Officer and President of ...


CEO Compensation Analysis

Ron's remuneration is higher than average for companies of similar size in United States of America.

Ron's compensation has increased whilst company is loss making.


Management Age and Tenure

3.9yrs

Average Tenure

51yo

Average Age

The tenure for the Evoqua Water Technologies management team is about average.


Board Age and Tenure

5.5yrs

Average Tenure

59yo

Average Age

The tenure for the Evoqua Water Technologies board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUS$244,83506 Dec 18
James Kohosek
EntityIndividual
Role
Chief Administrative Officer
Executive VP & Chief Administrative Officer
Shares25,000
Max PriceUS$9.79
BuyUS$92,99203 Dec 18
Snehal Desai
EntityIndividual
Shares10,927
Max PriceUS$8.52
BuyUS$500,78803 Dec 18
Ronald Keating
EntityIndividual
Role
Chief Executive Officer
President
Shares54,418
Max PriceUS$9.37
BuyUS$72,18403 Dec 18
Benedict Stas
EntityIndividual
Role
Chief Financial Officer
Executive VP
Shares8,000
Max PriceUS$9.02

Ownership Breakdown


Management Team

  • Dan Brailer (61yo)

    Vice President of Investor Relations

    • Tenure: 1.8yrs
  • Gary Cappeline (69yo)

    Executive Officer & Director

    • Tenure: 5.7yrs
  • Ron Keating (50yo)

    President

    • Tenure: 4.8yrs
    • Compensation: US$12.28m
  • Ed May (51yo)

    Executive VP & Chief Supply Chain Officer

    • Tenure: 4.9yrs
  • James Irwin (47yo)

    Executive Vice President of Corporate Development and Mergers & Acquisitions

    • Tenure: 3.3yrs
  • Jim Kohosek (60yo)

    Executive VP & Chief Administrative Officer

    • Tenure: 1.7yrs
    • Compensation: US$1.06m
  • Rodney Aulick (52yo)

    Executive VP of Integrated Solutions & President of Services Segment

    • Tenure: 3.9yrs
    • Compensation: US$2.81m
  • Vince Grieco (50yo)

    Executive VP

    • Tenure: 4.7yrs
    • Compensation: US$628.48k
  • Anthony Webster (50yo)

    Executive VP & Chief Human Resources Officer

    • Tenure: 3.5yrs
    • Compensation: US$2.50m
  • Ben Stas (51yo)

    Executive VP

    • Tenure: 4.5yrs
    • Compensation: US$5.34m

Board Members

  • Pete Wilver (59yo)

    Independent Director

    • Tenure: 1.7yrs
    • Compensation: US$170.49k
  • Gary Cappeline (69yo)

    Executive Officer & Director

    • Tenure: 5.7yrs
  • Lynn Swann (67yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$101.60k
  • Vinay Kumar (41yo)

    Director

    • Tenure: 5.7yrs
  • Ron Keating (50yo)

    President

    • Tenure: 4.8yrs
    • Compensation: US$12.28m
  • Judd Gregg (72yo)

    Director

    • Tenure: 5.5yrs
    • Compensation: US$158.24k
  • Nick Bhambri (56yo)

    Director

    • Tenure: 5.5yrs
    • Compensation: US$164.99k
  • Martin Lamb (59yo)

    Non-Executive Chairman

    • Tenure: 5.5yrs
    • Compensation: US$206.12k
  • Brian Hoesterey (51yo)

    Director

    • Tenure: 5.7yrs

Company Information

Evoqua Water Technologies Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Evoqua Water Technologies Corp.
  • Ticker: AQUA
  • Exchange: NYSE
  • Founded: 2013
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: US$1.939b
  • Shares outstanding: 114.34m
  • Website: https://www.evoqua.com

Number of Employees


Location

  • Evoqua Water Technologies Corp.
  • 210 Sixth Avenue
  • Pittsburgh
  • Pennsylvania
  • 15222
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AQUANYSE (New York Stock Exchange)YesCommon StockUSUSDNov 2017
E0WDB (Deutsche Boerse AG)YesCommon StockDEEURNov 2017

Biography

Evoqua Water Technologies Corp. provides a range of water and wastewater treatment systems and technologies, and mobile and emergency water supply solutions and services. It operates in three segments: Ind ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/17 00:44
End of Day Share Price2019/09/16 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.