Recent News
On October 13, 2025 the company announced plans to release third-quarter 2025 results after market close. On October 27, 2025 the company reported third-quarter 2025 results and disclosed an interim $0.50 per share cash dividend and backlog growth to approximately $7.0 billion driven by recent contract awards and fixtures. The company also noted additional contract value additions since its prior fleet status update made in August 2025.
Technical Analysis
ADX at 13.72 indicates no trend, suggesting limited directional conviction for near-term moves and raising sensitivity to momentum shifts when trend drivers appear.
Directional indicators show DI+ at 18.42 decreasing (bearish) while DI- at 14.16 decreasing (bullish); the simultaneous decreases suggest directional pressure has eased and that short-term directional signal carries mixed implications for price bias.
MACD sits at 0.26 above its signal at 0.24, which constitutes a bullish MACD crossover signal; however, the MACD trend shows a peak-and-reversal, signalling bearish momentum despite the recent crossover, creating conflicting momentum clues for the coming weeks.
MRO at -13.74 (negative) indicates price sits below the model target and implies upside potential toward fair-value target levels, with the magnitude of the negative MRO indicating moderate upward pressure if other indicators permit.
RSI at 52.81 with a peak-and-reversal describes recent exhaustion from higher readings and implies reduced bullish momentum versus prior strength, tempering upside conviction while leaving room for range-bound action.
Price sits at $30.17, above the 200-day average ($26.15) and slightly above the 20-day average ($29.72); the 12-day EMA is increasing, which favors short-term positive bias, while Bollinger bands place price near the 1x upper band, indicating limited immediate volatility runway to the upside. SuperTrend lower support lies near $28.40 and provides a nearby structural level for short-term support.
Fundamental Analysis
Revenue totaled $798.0 million with EBITDA of $198.4 million and EBIT of $51.1 million, producing an EBIT margin of 6.41%. EBIT margin declined QoQ by -61.15% and YoY by -56.45%, reflecting margin compression versus the prior periods. The company delivered operating margin of 13.41% and gross margin of 17.58%, both down QoQ and YoY. These margin moves speak to rising operating costs relative to revenue in the recent period.
Reported diluted EPS equaled -$0.13 versus an estimate of $0.17, a negative surprise of -176.47%, aligning with a modest net loss of $21.1 million for the period; adjusted non-GAAP metrics reported elsewhere show stronger cash generation, but GAAP EPS weakness affected reported profitability.
Liquidity and cash flow show $477.9 million in cash and short-term investments, operating cash flow of $277.1 million, and free cash flow of $139.5 million, producing a free cash flow yield of 3.10%, which sits below the industry peer mean of 4.05% on a yield basis. The current ratio equals 1.75, above the industry peer mean of 1.58, supporting near-term liquidity coverage of current obligations.
Leverage metrics present mixed signals: total debt stands at $1.98 billion with net debt near $1.50 billion; debt-to-EBITDA equals 9.97x, indicating elevated leverage relative to cash-generation capacity. Debt-to-assets of 25.88% sits below the industry peer mean of 29.44%, while debt-to-equity at 0.44 remains below the industry peer mean of 0.60. Interest coverage of 1.26 shows constrained coverage of interest expense.
Valuation multiples read P/E ~148.9x and enterprise multiple ~30.21x, while the price-to-book ratio equals 0.99, which sits above the industry peer mean book ratio of 0.82 but remains near historical capital intensity for the group. Price-to-sales at 5.63 sits above the industry peer mean of 4.11. WMDST values the stock as over-valued based on the current combination of multiples, cash-flow yield, and leverage.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-10-27 |
| NEXT REPORT DATE: | 2026-01-26 |
| CASH FLOW | Begin Period Cash Flow | $ 345.5 M |
| Operating Cash Flow | $ 277.1 M | |
| Capital Expenditures | $ -137.66 M | |
| Change In Working Capital | $ 200.9 M | |
| Dividends Paid | $ -79.52 M | |
| Cash Flow Delta | $ 139.1 M | |
| End Period Cash Flow | $ 484.5 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 798.0 M | |
| Forward Revenue | $ -1.24 B | |
| COSTS | ||
| Cost Of Revenue | $ 657.7 M | |
| Depreciation | $ 147.3 M | |
| Depreciation and Amortization | $ 147.3 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 691.0 M | |
| PROFITABILITY | ||
| Gross Profit | $ 140.3 M | |
| EBITDA | $ 198.4 M | |
| EBIT | $ 51.1 M | |
| Operating Income | $ 107.0 M | |
| Interest Income | $ 726.0 K | |
| Interest Expense | $ 40.5 M | |
| Net Interest Income | $ -39.76 M | |
| Income Before Tax | $ 10.6 M | |
| Tax Provision | $ 31.7 M | |
| Tax Rate | 21.0 % | |
| Net Income | $ -21.09 M | |
| Net Income From Continuing Operations | $ -21.09 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.17 | |
| EPS Actual | $ -0.13 | |
| EPS Difference | $ -0.30 | |
| EPS Surprise | -176.471 % | |
| Forward EPS | $ 0.83 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 7.6 B | |
| Intangible Assets | — | |
| Net Tangible Assets | $ 4.5 B | |
| Total Current Assets | $ 1.4 B | |
| Cash and Short-Term Investments | $ 477.9 M | |
| Cash | $ 477.9 M | |
| Net Receivables | $ 678.3 M | |
| Inventory | — | |
| Long-Term Investments | $ 543.1 M | |
| LIABILITIES | ||
| Accounts Payable | $ 305.0 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 779.3 M | |
| Net Debt | $ 1.5 B | |
| Total Debt | $ 2.0 B | |
| Total Liabilities | $ 3.1 B | |
| EQUITY | ||
| Total Equity | $ 4.5 B | |
| Retained Earnings | $ 280.1 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 28.54 | |
| Shares Outstanding | 158.846 M | |
| Revenue Per-Share | $ 5.02 | |
| VALUATION | Market Capitalization | $ 4.5 B |
| Enterprise Value | $ 6.0 B | |
| Enterprise Multiple | 30.207 | |
| Enterprise Multiple QoQ | 45.116 % | |
| Enterprise Multiple YoY | -5.028 % | |
| Enterprise Multiple IPRWA | NE: 30.207 high: 29.3 median: 14.282 mean: 11.445 low: -5.665 |
|
| EV/R | 7.509 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.685 | |
| Asset To Liability | 2.46 | |
| Debt To Capital | 0.304 | |
| Debt To Assets | 0.259 | |
| Debt To Assets QoQ | 0.306 % | |
| Debt To Assets YoY | 4.952 % | |
| Debt To Assets IPRWA | high: 0.584 mean: 0.294 NE: 0.259 median: 0.251 low: 0.155 |
|
| Debt To Equity | 0.436 | |
| Debt To Equity QoQ | 2.022 % | |
| Debt To Equity YoY | 3.102 % | |
| Debt To Equity IPRWA | high: 1.803 mean: 0.596 median: 0.475 NE: 0.436 low: 0.22 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 0.991 | |
| Price To Book QoQ | 6.273 % | |
| Price To Book YoY | -16.079 % | |
| Price To Book IPRWA | high: 1.417 NE: 0.991 mean: 0.819 median: 0.667 low: 0.442 |
|
| Price To Earnings (P/E) | 148.89 | |
| Price To Earnings QoQ | -27.74 % | |
| Price To Earnings YoY | 150.266 % | |
| Price To Earnings IPRWA | NE: 148.89 high: 54.099 mean: -15.502 median: -40.107 low: -180.305 |
|
| PE/G Ratio | 3.226 | |
| Price To Sales (P/S) | 5.631 | |
| Price To Sales QoQ | 10.716 % | |
| Price To Sales YoY | -18.523 % | |
| Price To Sales IPRWA | high: 5.821 NE: 5.631 mean: 4.108 median: 3.476 low: 1.831 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 33.76 | |
| Forward PE/G | 0.731 | |
| Forward P/S | -3.615 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 10.638 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.104 | |
| Asset Turnover Ratio QoQ | -4.304 % | |
| Asset Turnover Ratio YoY | -11.29 % | |
| Asset Turnover Ratio IPRWA | high: 0.212 mean: 0.114 NE: 0.104 median: 0.089 low: 0.06 |
|
| Receivables Turnover | 1.108 | |
| Receivables Turnover Ratio QoQ | -0.872 % | |
| Receivables Turnover Ratio YoY | -3.827 % | |
| Receivables Turnover Ratio IPRWA | high: 1.957 mean: 1.593 median: 1.497 low: 1.276 NE: 1.108 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 82.33 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 38.829 | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 135.555 mean: 46.757 NE: 38.829 median: 27.455 low: -90.47 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 1.364 | |
| CapEx To Revenue | -0.172 | |
| CapEx To Depreciation | -0.935 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 6.5 B | |
| Net Invested Capital | $ 6.5 B | |
| Invested Capital | $ 6.5 B | |
| Net Tangible Assets | $ 4.5 B | |
| Net Working Capital | $ 585.2 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.613 | |
| Current Ratio | 1.751 | |
| Current Ratio QoQ | -2.749 % | |
| Current Ratio YoY | 11.765 % | |
| Current Ratio IPRWA | high: 1.891 NE: 1.751 median: 1.643 mean: 1.579 low: 1.081 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 9.965 | |
| Cost Of Debt | 1.618 % | |
| Interest Coverage Ratio | 1.263 | |
| Interest Coverage Ratio QoQ | -63.917 % | |
| Interest Coverage Ratio YoY | -73.25 % | |
| Interest Coverage Ratio IPRWA | high: 9.671 NE: 1.263 median: 1.0 mean: -0.571 low: -11.318 |
|
| Operating Cash Flow Ratio | 0.222 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 43.501 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | -0.265 | |
| Dividend Payout Ratio | -3.77 | |
| Dividend Rate | $ 0.50 | |
| Dividend Yield | 0.018 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -0.361 % | |
| Revenue Growth | -5.967 % | |
| Revenue Growth QoQ | 101.997 % | |
| Revenue Growth YoY | -138.385 % | |
| Revenue Growth IPRWA | high: 4.049 % mean: -0.716 % median: -3.17 % low: -3.714 % NE: -5.967 % |
|
| Earnings Growth | 46.154 % | |
| Earnings Growth QoQ | -192.308 % | |
| Earnings Growth YoY | -337.369 % | |
| Earnings Growth IPRWA | high: 200.0 % NE: 46.154 % median: -23.077 % mean: -34.776 % low: -666.667 % |
|
| MARGINS | ||
| Gross Margin | 17.583 % | |
| Gross Margin QoQ | -12.627 % | |
| Gross Margin YoY | -38.342 % | |
| Gross Margin IPRWA | high: 86.431 % mean: 41.814 % median: 25.684 % NE: 17.583 % low: 4.807 % |
|
| EBIT Margin | 6.407 % | |
| EBIT Margin QoQ | -61.153 % | |
| EBIT Margin YoY | -56.451 % | |
| EBIT Margin IPRWA | high: 40.423 % NE: 6.407 % median: 4.132 % mean: -36.669 % low: -169.553 % |
|
| Return On Sales (ROS) | 13.41 % | |
| Return On Sales QoQ | -16.198 % | |
| Return On Sales YoY | -8.85 % | |
| Return On Sales IPRWA | high: 35.438 % median: 21.168 % mean: 16.211 % NE: 13.41 % low: -2.378 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 139.5 M | |
| Free Cash Flow Yield | 3.104 % | |
| Free Cash Flow Yield QoQ | 34.256 % | |
| Free Cash Flow Yield YoY | 9.527 % | |
| Free Cash Flow Yield IPRWA | high: 6.576 % mean: 4.051 % median: 3.7 % NE: 3.104 % low: 0.471 % |
|
| Free Cash Growth | 39.79 % | |
| Free Cash Growth QoQ | -208.538 % | |
| Free Cash Growth YoY | -107.134 % | |
| Free Cash Growth IPRWA | high: 142.992 % median: 125.962 % NE: 39.79 % mean: -298.596 % low: -1700.269 % |
|
| Free Cash To Net Income | -6.612 | |
| Cash Flow Margin | 21.71 % | |
| Cash Flow To Earnings | -8.213 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | -0.276 % | |
| Return On Assets QoQ | -150.182 % | |
| Return On Assets YoY | -130.701 % | |
| Return On Assets IPRWA | high: 4.115 % median: -0.27 % NE: -0.276 % mean: -2.309 % low: -11.317 % |
|
| Return On Capital Employed (ROCE) | 0.745 % | |
| Return On Equity (ROE) | -0.005 | |
| Return On Equity QoQ | -150.216 % | |
| Return On Equity YoY | -135.578 % | |
| Return On Equity IPRWA | high: 0.077 median: -0.004 NE: -0.005 mean: -0.05 low: -0.238 |
|
| DuPont ROE | -0.46 % | |
| Return On Invested Capital (ROIC) | 0.62 % | |
| Return On Invested Capital QoQ | -62.963 % | |
| Return On Invested Capital YoY | -87.313 % | |
| Return On Invested Capital IPRWA | high: 5.913 % NE: 0.62 % median: -0.484 % mean: -1.335 % low: -9.63 % |
|