Waters Corporation

NYSE:WAT Stock Report

Market Cap: US$20.0b

Waters Valuation

Is WAT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of WAT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: WAT ($342.42) is trading below our estimate of fair value ($399.37)

Significantly Below Fair Value: WAT is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for WAT?

Other financial metrics that can be useful for relative valuation.

WAT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue7.5x
Enterprise Value/EBITDA21.8x
PEG Ratio4.1x

Price to Earnings Ratio vs Peers

How does WAT's PE Ratio compare to its peers?

The above table shows the PE ratio for WAT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average49.3x
WST West Pharmaceutical Services
41.8x12.2%US$21.8b
AVTR Avantor
48.4x25.1%US$17.0b
MTD Mettler-Toledo International
38.8x8.4%US$30.2b
TECH Bio-Techne
68.2x18.3%US$11.3b
WAT Waters
34.1x8.2%US$20.0b

Price-To-Earnings vs Peers: WAT is good value based on its Price-To-Earnings Ratio (34.1x) compared to the peer average (49.3x).

Price to Earnings Ratio vs Industry

How does WAT's PE Ratio compare vs other companies in the Global Life Sciences Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a17.8%
 n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a17.8%
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No more companies

Price-To-Earnings vs Industry: WAT is expensive based on its Price-To-Earnings Ratio (34.1x) compared to the Global Life Sciences industry average (33.5x).

Price to Earnings Ratio vs Fair Ratio

What is WAT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

WAT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio34.1x
Fair PE Ratio25x

Price-To-Earnings vs Fair Ratio: WAT is expensive based on its Price-To-Earnings Ratio (34.1x) compared to the estimated Fair Price-To-Earnings Ratio (25x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst WAT forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$342.42
US$337.73
-1.4%
6.3%US$375.00US$300.00n/a16
Aug ’25US$352.53
US$337.73
-4.2%
6.3%US$375.00US$300.00n/a16
Jul ’25US$282.70
US$324.14
+14.7%
5.7%US$358.00US$275.00n/a16
Jun ’25US$308.90
US$326.01
+5.5%
4.8%US$358.00US$295.00n/a16
May ’25US$315.92
US$325.36
+3.0%
4.9%US$350.00US$300.00n/a17
Apr ’25US$344.51
US$323.50
-6.1%
4.8%US$350.00US$300.00n/a16
Mar ’25US$346.04
US$323.50
-6.5%
4.8%US$350.00US$300.00n/a16
Feb ’25US$324.45
US$299.47
-7.7%
8.2%US$346.50US$250.00n/a16
Jan ’25US$329.23
US$281.03
-14.6%
10.4%US$346.50US$230.00n/a17
Dec ’24US$288.85
US$272.06
-5.8%
8.7%US$323.00US$230.00n/a17
Nov ’24US$240.84
US$289.18
+20.1%
6.1%US$323.00US$260.00n/a17
Oct ’24US$274.21
US$299.47
+9.2%
5.2%US$333.00US$270.00n/a17
Sep ’24US$281.02
US$302.88
+7.8%
4.5%US$333.00US$275.00n/a17
Aug ’24US$274.40
US$296.49
+8.1%
5.8%US$325.00US$270.00US$352.5317
Jul ’24US$266.54
US$309.20
+16.0%
7.4%US$375.00US$280.00US$282.7017
Jun ’24US$256.04
US$313.20
+22.3%
7.3%US$375.00US$280.00US$308.9017
May ’24US$298.22
US$344.91
+15.7%
5.9%US$376.00US$280.00US$315.9217
Apr ’24US$309.63
US$349.88
+13.0%
6.6%US$385.00US$280.00US$344.5116
Mar ’24US$309.25
US$348.20
+12.6%
6.6%US$385.00US$280.00US$346.0415
Feb ’24US$338.03
US$342.00
+1.2%
7.3%US$380.00US$280.00US$324.4516
Jan ’24US$342.58
US$334.25
-2.4%
6.7%US$376.00US$280.00US$329.2316
Dec ’23US$346.93
US$333.20
-4.0%
6.8%US$376.00US$280.00US$288.8515
Nov ’23US$307.44
US$336.00
+9.3%
7.5%US$378.00US$280.00US$240.8415
Oct ’23US$269.53
US$344.53
+27.8%
7.9%US$378.00US$263.00US$274.2115
Sep ’23US$300.35
US$346.53
+15.4%
8.2%US$378.00US$263.00US$281.0215
Aug ’23US$365.55
US$340.71
-6.8%
8.0%US$375.00US$263.00US$274.4014

Analyst Forecast: Target price is lower than the current share price.

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