Recent News
On August 15, 2025 the company announced a $1.0 billion normal course issuer bid to repurchase up to 10 million shares between August 19, 2025 and August 18, 2026. On September 4, 2025 the company put an automatic share purchase plan in place to permit purchases under the NCIB during pre-determined blackout windows.
Technical Analysis
ADX at 46.33 signals a very strong trend in place, indicating the current directional move carries substantive strength and may persist near term.
Directional indicators show bearish pressure: DI+ at 10.45 follows a decreasing trend while DI- at 39.43 follows an increasing trend, which together signal dominant downside directional bias relative to upside momentum.
MACD at -5.92 sits below its signal line (-5.15) and follows a decreasing trend, indicating bearish momentum and no recent bullish MACD crossover.
MRO registers -33.73 with a decreasing trend; the negative value indicates price below the model target and therefore potential upward pressure toward that target, though the ongoing decline in the oscillator increases the signal’s magnitude.
RSI at 36.58 and trending downward reflects weakening buying conviction and continued momentum to the downside from a momentum-oscillator standpoint.
Price sits beneath major moving averages: 20-day average $163.42, 50-day average $177.62, and 200-day average $178.45, while the 12-day EMA sits at $161.33 and trends downward; the position below averages aligns with the momentum indicators and signals near-term negative price bias.
Bollinger metrics place the 1x lower band at $156.04 while the close at $155.33 trades below that band, suggesting the intraday price sits slightly extended relative to recent volatility bands. Short-term volume at 1,416,136 undercuts the 10-day average of 1,678,072, showing muted participation on the latest move.
Fundamental Analysis
Revenue and earnings trends show mixed timing: total revenue $1,785,000,000 with YoY revenue change -21.31% and QoQ revenue growth +11.85%. Earnings growth YoY registers -59.98% while QoQ trends also show contraction; EPS actual $0.87 versus estimate $0.83 produced an EPS surprise of 4.82%, reflecting a modest beat on the reported period. Those results appear alongside the company’s published second-quarter statement.
Profitability metrics compare favorably to peers in select areas: EBIT margin 21.74% sits above the industry peer mean (13.31%) and above the industry peer median (18.65%), and remains below the industry peer high (24.21%), supporting relative operating strength versus peers. Operating margin 24.43% aligns with that profile.
Capital structure and liquidity show conservative leverage and compressed short-term liquidity: debt-to-assets 10.25% and debt-to-equity 14.59% sit well below the industry peer mean levels, while current ratio 0.79 falls below the industry peer mean (1.49%), indicating tighter near-term liquidity coverage.
Valuation multiples diverge from peers: trailing P/E at 226.01 exceeds the industry peer mean (91.38) and industry peer high (139.14); price-to-book at 6.67 sits above the industry peer mean (4.27) but under the peer high (7.33). Free cash flow yield registers 0.69%, below the industry peer mean (1.60%), while free cash flow of $583,000,000 and operating cash flow $746,000,000 demonstrate cash generation capacity. WMDST values the stock as over-valued, and the consensus price target mean stands at $149.21 versus the close at $155.33.
Other fundamentals: gross margin 75.46% and cash-flow-to-earnings 404% show strong cash conversion characteristics, while return on equity 2.48% sits slightly below the industry peer mean (2.68%). Dividend payout ratio at 83.39% yields 0.31% and dividend coverage 1.20 times; management continues capital returns in the form of the announced NCIB and ASPP.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-06-30 |
| REPORT DATE: | 2025-08-06 |
| NEXT REPORT DATE: | 2025-10-30 |
| CASH FLOW | Begin Period Cash Flow | $ 1.4 B |
| Operating Cash Flow | $ 746.0 M | |
| Capital Expenditures | $ -163.00 M | |
| Change In Working Capital | $ 107.0 M | |
| Dividends Paid | $ -261.00 M | |
| Cash Flow Delta | $ -707.00 M | |
| End Period Cash Flow | $ 664.0 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 1.8 B | |
| Forward Revenue | $ 645.8 M | |
| COSTS | ||
| Cost Of Revenue | $ 438.0 M | |
| Depreciation | $ 28.0 M | |
| Depreciation and Amortization | $ 230.0 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 1.3 B | |
| PROFITABILITY | ||
| Gross Profit | $ 1.3 B | |
| EBITDA | $ 629.0 M | |
| EBIT | $ 399.0 M | |
| Operating Income | $ 443.0 M | |
| Interest Income | $ 11.0 M | |
| Interest Expense | $ 46.0 M | |
| Net Interest Income | $ -33.00 M | |
| Income Before Tax | $ 353.0 M | |
| Tax Provision | $ 52.0 M | |
| Tax Rate | 14.731 % | |
| Net Income | $ 313.0 M | |
| Net Income From Continuing Operations | $ 297.0 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.83 | |
| EPS Actual | $ 0.87 | |
| EPS Difference | $ 0.04 | |
| EPS Surprise | 4.819 % | |
| Forward EPS | $ 1.00 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 18.0 B | |
| Intangible Assets | $ 12.6 B | |
| Net Tangible Assets | $ 11.0 M | |
| Total Current Assets | $ 2.3 B | |
| Cash and Short-Term Investments | $ 727.0 M | |
| Cash | $ 664.0 M | |
| Net Receivables | $ 1.1 B | |
| Inventory | — | |
| Long-Term Investments | $ 392.0 M | |
| LIABILITIES | ||
| Accounts Payable | $ 135.0 M | |
| Short-Term Debt | $ 499.0 M | |
| Total Current Liabilities | $ 2.9 B | |
| Net Debt | $ 1.2 B | |
| Total Debt | $ 2.1 B | |
| Total Liabilities | $ 5.3 B | |
| EQUITY | ||
| Total Equity | $ 12.6 B | |
| Retained Earnings | $ 9.9 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 27.99 | |
| Shares Outstanding | 450.700 M | |
| Revenue Per-Share | $ 3.96 | |
| VALUATION | Market Capitalization | $ 84.1 B |
| Enterprise Value | $ 85.2 B | |
| Enterprise Multiple | 137.892 | |
| Enterprise Multiple QoQ | 34.629 % | |
| Enterprise Multiple YoY | 17.306 % | |
| Enterprise Multiple IPRWA | high: 171.369 TRI: 137.892 median: 61.804 mean: 59.85 low: -118.296 |
|
| EV/R | 47.741 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.424 | |
| Asset To Liability | 3.358 | |
| Debt To Capital | 0.127 | |
| Debt To Assets | 0.102 | |
| Debt To Assets QoQ | -32.692 % | |
| Debt To Assets YoY | 48.982 % | |
| Debt To Assets IPRWA | high: 0.943 median: 0.411 mean: 0.365 TRI: 0.102 low: 0.012 |
|
| Debt To Equity | 0.146 | |
| Debt To Equity QoQ | -36.211 % | |
| Debt To Equity YoY | 34.102 % | |
| Debt To Equity IPRWA | high: 2.453 median: 0.96 mean: 0.888 TRI: 0.146 low: 0.013 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 6.666 | |
| Price To Book QoQ | 4.579 % | |
| Price To Book YoY | 5.116 % | |
| Price To Book IPRWA | high: 7.326 TRI: 6.666 mean: 4.266 median: 3.859 low: 0.627 |
|
| Price To Earnings (P/E) | 226.006 | |
| Price To Earnings QoQ | 45.461 % | |
| Price To Earnings YoY | 17.261 % | |
| Price To Earnings IPRWA | TRI: 226.006 high: 139.144 mean: 91.377 median: 83.057 low: -61.189 |
|
| PE/G Ratio | -24.107 | |
| Price To Sales (P/S) | 47.117 | |
| Price To Sales QoQ | 14.213 % | |
| Price To Sales YoY | 11.287 % | |
| Price To Sales IPRWA | TRI: 47.117 high: 24.96 mean: 12.275 median: 12.186 low: 0.602 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 187.284 | |
| Forward PE/G | -19.977 | |
| Forward P/S | 130.234 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 5.256 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.098 | |
| Asset Turnover Ratio QoQ | -4.838 % | |
| Asset Turnover Ratio YoY | 4.703 % | |
| Asset Turnover Ratio IPRWA | high: 0.495 mean: 0.181 median: 0.129 TRI: 0.098 low: 0.019 |
|
| Receivables Turnover | 1.666 | |
| Receivables Turnover Ratio QoQ | -7.368 % | |
| Receivables Turnover Ratio YoY | 2.108 % | |
| Receivables Turnover Ratio IPRWA | high: 4.437 TRI: 1.666 mean: 1.532 median: 1.495 low: 0.685 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 54.776 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | — | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | — | |
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | -2.985 | |
| CapEx To Revenue | -0.091 | |
| CapEx To Depreciation | -5.821 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 14.0 B | |
| Net Invested Capital | $ 14.5 B | |
| Invested Capital | $ 14.5 B | |
| Net Tangible Assets | $ 11.0 M | |
| Net Working Capital | $ -598.00 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.255 | |
| Current Ratio | 0.79 | |
| Current Ratio QoQ | -13.565 % | |
| Current Ratio YoY | -9.771 % | |
| Current Ratio IPRWA | high: 8.802 mean: 1.491 median: 1.287 TRI: 0.79 low: 0.417 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 2.979 | |
| Cost Of Debt | 1.218 % | |
| Interest Coverage Ratio | 11.086 | |
| Interest Coverage Ratio QoQ | -39.861 % | |
| Interest Coverage Ratio YoY | -4.296 % | |
| Interest Coverage Ratio IPRWA | high: 38.382 TRI: 11.086 mean: 6.525 median: 5.921 low: -21.373 |
|
| Operating Cash Flow Ratio | 0.444 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 104.693 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 1.199 | |
| Dividend Payout Ratio | 0.834 | |
| Dividend Rate | $ 0.58 | |
| Dividend Yield | 0.003 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -2.771 % | |
| Revenue Growth | -6.053 % | |
| Revenue Growth QoQ | 1185.138 % | |
| Revenue Growth YoY | -21.308 % | |
| Revenue Growth IPRWA | high: 32.288 % median: 5.052 % mean: 4.554 % TRI: -6.053 % low: -18.439 % |
|
| Earnings Growth | -9.375 % | |
| Earnings Growth QoQ | -186.08 % | |
| Earnings Growth YoY | -59.975 % | |
| Earnings Growth IPRWA | high: 141.176 % median: 30.303 % mean: 17.378 % TRI: -9.375 % low: -117.647 % |
|
| MARGINS | ||
| Gross Margin | 75.462 % | |
| Gross Margin QoQ | -1.255 % | |
| Gross Margin YoY | 199.845 % | |
| Gross Margin IPRWA | high: 89.341 % TRI: 75.462 % median: 56.76 % mean: 48.454 % low: 1.685 % |
|
| EBIT Margin | 21.737 % | |
| EBIT Margin QoQ | -25.315 % | |
| EBIT Margin YoY | -9.301 % | |
| EBIT Margin IPRWA | high: 24.209 % TRI: 21.737 % median: 18.645 % mean: 13.306 % low: -41.816 % |
|
| Return On Sales (ROS) | 24.426 % | |
| Return On Sales QoQ | -16.076 % | |
| Return On Sales YoY | 1.919 % | |
| Return On Sales IPRWA | high: 24.668 % TRI: 24.426 % median: 16.855 % mean: 12.762 % low: -31.925 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 583.0 M | |
| Free Cash Flow Yield | 0.693 % | |
| Free Cash Flow Yield QoQ | 84.8 % | |
| Free Cash Flow Yield YoY | -7.723 % | |
| Free Cash Flow Yield IPRWA | high: 8.815 % mean: 1.595 % median: 0.907 % TRI: 0.693 % low: -2.825 % |
|
| Free Cash Growth | 98.299 % | |
| Free Cash Growth QoQ | -463.438 % | |
| Free Cash Growth YoY | 6.059 % | |
| Free Cash Growth IPRWA | high: 193.85 % TRI: 98.299 % median: 19.948 % mean: -18.783 % low: -688.42 % |
|
| Free Cash To Net Income | 1.863 | |
| Cash Flow Margin | 70.924 % | |
| Cash Flow To Earnings | 4.045 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 1.718 % | |
| Return On Assets QoQ | -26.925 % | |
| Return On Assets YoY | -62.008 % | |
| Return On Assets IPRWA | high: 4.179 % TRI: 1.718 % median: 1.609 % mean: 1.286 % low: -6.317 % |
|
| Return On Capital Employed (ROCE) | 2.567 % | |
| Return On Equity (ROE) | 0.025 | |
| Return On Equity QoQ | -29.717 % | |
| Return On Equity YoY | -65.732 % | |
| Return On Equity IPRWA | high: 0.144 median: 0.037 mean: 0.027 TRI: 0.025 low: -0.317 |
|
| DuPont ROE | 2.513 % | |
| Return On Invested Capital (ROIC) | 2.288 % | |
| Return On Invested Capital QoQ | -24.138 % | |
| Return On Invested Capital YoY | -102.808 % | |
| Return On Invested Capital IPRWA | high: 6.29 % median: 2.317 % TRI: 2.288 % mean: 2.104 % low: -4.278 % |
|