Recent News
On October 6, 2025 the company filed an 8‑K announcing the appointment of Koti Vadlamudi as President and Chief Executive Officer, effective November 10, 2025; media outlets published coverage on October 7, 2025 confirming the appointment and outlining Vadlamudi’s industry background.
Technical Analysis
ADX at 28.76 indicates a strong directional market environment; that strength increases the relevance of short-term directional signals for price movement.
DIpositive shows a dip & reversal while DInegative shows a peak & reversal; both directional shifts read as bullish momentum in near-term price dynamics despite DInegative remaining numerically higher than DIpositive.
MACD sits negative at -3.61 while the MACD trend shows a dip & reversal; this combination signals recovering bullish momentum but no confirmed bullish cross above the signal line at present (MACDsignal -2.58).
MRO registers -21.22, indicating price below modeled target and a potential for upward mean reversion given the negative MRO reading.
RSI at 52.19 with a dip & reversal indicates neutral-to-firming internals rather than an overbought condition, supporting room for additional upside without immediate momentum exhaustion.
Price trades just above short-term averages: the 12‑day EMA equals 122.29 with a dip & reversal, the 20‑day average equals 122.17, and the 50‑day average equals 131.97; current close $123.61 sits inside the 1‑standard‑deviation Bollinger band (lower 116.81, upper 127.53), implying contained volatility around recent consolidation levels.
Volume at 631,381 trails the 10‑, 50‑, and 200‑day averages, suggesting limited participation during the latest move; 42‑day beta (2.34) signals elevated short‑term sensitivity to market swings versus the 52‑week beta (1.41).
Fundamental Analysis
Revenue expanded sharply year‑over‑year: YoY revenue growth equals 178.71%, while revenue growth QoQ registers 3.35%, reflecting large annual project wins alongside steady sequential activity.
Operating performance shows an operating (EBIT) margin of 6.34%; that margin sits below the industry peer mean of 9.79% but well above the industry low, indicating modest margin compression relative to peers while retaining positive operating leverage year‑over‑year (EBIT margin YoY +4.31%, EBIT margin QoQ -5.15%).
Profitability metrics present mixed signals: net income $94.6M and EBIT $138.0M accompany EPS actual $1.88 versus estimate $1.35, producing an EPS surprise of +39.26% (difference $0.53). Earnings growth shows a conflicting snapshot (reported 11.91% for one metric and earnings growth YoY -31.22% for another), signaling cadence variability across reporting periods.
Cash and capital structure remain supportive: cash and short‑term investments total $431.4M, net debt only $54.6M, and interest coverage at 19.84x provides ample buffer on interest obligations even with total debt of $961.8M; debt to EBITDA equals 5.94x, indicating elevated leverage relative to conservative benchmarks but manageable with strong operating cash flow ($182.9M) and free cash flow $148.4M.
Efficiency and returns: asset turnover 0.47 exceeds the industry peer mean of 0.36, showing relatively efficient asset use; return on equity 5.81% sits marginally below the industry peer mean of 6.12%, while return on invested capital 4.71% tracks in line with moderate capital returns.
Valuation multiples show compressed market expectations versus some peers: trailing P/E equals 66.50x and price/book equals 4.15x, both below the industry peer means (P/E mean 84.18x; P/B mean 6.46x). Forward P/E near 111.52x and PEG ~5.59 reflect elevated forward growth expectations baked into multiples. Free cash flow yield equals 2.20%, modestly above the industry peer mean of 1.76%.
WMDST values the stock as under‑valued given the combination of substantial YoY revenue expansion, positive free cash generation, and margins that remain below the industry peer mean but show YoY improvement; balance sheet liquidity and high interest coverage support the valuation thesis while elevated debt‑to‑EBITDA and volatile short‑term beta represent risk factors.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-11-03 |
| NEXT REPORT DATE: | 2026-02-02 |
| CASH FLOW | Begin Period Cash Flow | $ 396.2 M |
| Operating Cash Flow | $ 182.9 M | |
| Capital Expenditures | $ -34.46 M | |
| Change In Working Capital | $ 68.2 M | |
| Dividends Paid | $ -4.32 M | |
| Cash Flow Delta | $ 41.1 M | |
| End Period Cash Flow | $ 437.3 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 2.2 B | |
| Forward Revenue | $ 304.8 M | |
| COSTS | ||
| Cost Of Revenue | $ 1.9 B | |
| Depreciation | $ 23.8 M | |
| Depreciation and Amortization | $ 23.8 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 2.0 B | |
| PROFITABILITY | ||
| Gross Profit | $ 235.7 M | |
| EBITDA | $ 161.8 M | |
| EBIT | $ 138.0 M | |
| Operating Income | $ 138.0 M | |
| Interest Income | — | |
| Interest Expense | $ 7.0 M | |
| Net Interest Income | $ -6.96 M | |
| Income Before Tax | $ 131.1 M | |
| Tax Provision | $ 36.4 M | |
| Tax Rate | 27.81 % | |
| Net Income | $ 94.6 M | |
| Net Income From Continuing Operations | $ 94.6 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.35 | |
| EPS Actual | $ 1.88 | |
| EPS Difference | $ 0.53 | |
| EPS Surprise | 39.259 % | |
| Forward EPS | $ 0.98 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 4.6 B | |
| Intangible Assets | $ 1.1 B | |
| Net Tangible Assets | $ 576.6 M | |
| Total Current Assets | $ 2.6 B | |
| Cash and Short-Term Investments | $ 431.4 M | |
| Cash | $ 431.4 M | |
| Net Receivables | $ 1.3 B | |
| Inventory | — | |
| Long-Term Investments | $ 18.4 M | |
| LIABILITIES | ||
| Accounts Payable | $ 945.6 M | |
| Short-Term Debt | $ 63.8 M | |
| Total Current Liabilities | $ 2.1 B | |
| Net Debt | $ 54.6 M | |
| Total Debt | $ 961.8 M | |
| Total Liabilities | $ 3.0 B | |
| EQUITY | ||
| Total Equity | $ 1.6 B | |
| Retained Earnings | $ 1.3 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 30.13 | |
| Shares Outstanding | 54.029 M | |
| Revenue Per-Share | $ 40.32 | |
| VALUATION | Market Capitalization | $ 6.8 B |
| Enterprise Value | $ 7.3 B | |
| Enterprise Multiple | 45.012 | |
| Enterprise Multiple QoQ | 13.993 % | |
| Enterprise Multiple YoY | 95.213 % | |
| Enterprise Multiple IPRWA | high: 131.097 median: 62.996 mean: 53.83 PRIM: 45.012 low: -45.941 |
|
| EV/R | 3.344 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.857 | |
| Asset To Liability | 1.539 | |
| Debt To Capital | 0.371 | |
| Debt To Assets | 0.207 | |
| Debt To Assets QoQ | -12.434 % | |
| Debt To Assets YoY | 1042.762 % | |
| Debt To Assets IPRWA | high: 0.792 median: 0.241 PRIM: 0.207 mean: 0.206 low: 0.003 |
|
| Debt To Equity | 0.591 | |
| Debt To Equity QoQ | -15.38 % | |
| Debt To Equity YoY | 945.364 % | |
| Debt To Equity IPRWA | high: 1.946 PRIM: 0.591 mean: 0.589 median: 0.553 low: 0.006 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 4.149 | |
| Price To Book QoQ | 22.575 % | |
| Price To Book YoY | 81.289 % | |
| Price To Book IPRWA | high: 11.745 mean: 6.461 median: 5.222 PRIM: 4.149 low: -0.303 |
|
| Price To Earnings (P/E) | 66.5 | |
| Price To Earnings QoQ | 39.4 % | |
| Price To Earnings YoY | 40.195 % | |
| Price To Earnings IPRWA | high: 138.015 median: 86.428 mean: 84.177 PRIM: 66.5 low: -31.573 |
|
| PE/G Ratio | 5.586 | |
| Price To Sales (P/S) | 3.101 | |
| Price To Sales QoQ | 12.854 % | |
| Price To Sales YoY | 64.507 % | |
| Price To Sales IPRWA | high: 24.589 mean: 7.007 median: 6.737 PRIM: 3.101 low: 0.204 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 111.519 | |
| Forward PE/G | 9.367 | |
| Forward P/S | 22.163 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 0.609 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.474 | |
| Asset Turnover Ratio QoQ | 9.789 % | |
| Asset Turnover Ratio YoY | 19.216 % | |
| Asset Turnover Ratio IPRWA | high: 0.588 PRIM: 0.474 mean: 0.364 median: 0.32 low: 0.019 |
|
| Receivables Turnover | 1.682 | |
| Receivables Turnover Ratio QoQ | 0.857 % | |
| Receivables Turnover Ratio YoY | 16.011 % | |
| Receivables Turnover Ratio IPRWA | high: 6.931 mean: 1.785 PRIM: 1.682 median: 1.665 low: 0.72 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 54.24 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 5.51 | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | -81.869 % | |
| Cash Conversion Cycle Days IPRWA | high: 152.993 median: 28.775 mean: 28.504 PRIM: 5.51 low: -36.642 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 5.125 | |
| CapEx To Revenue | -0.016 | |
| CapEx To Depreciation | -1.446 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 2.1 B | |
| Net Invested Capital | $ 2.1 B | |
| Invested Capital | $ 2.1 B | |
| Net Tangible Assets | $ 576.6 M | |
| Net Working Capital | $ 425.1 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.202 | |
| Current Ratio | 1.199 | |
| Current Ratio QoQ | -1.554 % | |
| Current Ratio YoY | -13.048 % | |
| Current Ratio IPRWA | high: 3.71 mean: 1.522 median: 1.27 PRIM: 1.199 low: 0.103 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 5.943 | |
| Cost Of Debt | 0.494 % | |
| Interest Coverage Ratio | 19.845 | |
| Interest Coverage Ratio QoQ | 18.65 % | |
| Interest Coverage Ratio YoY | 253.829 % | |
| Interest Coverage Ratio IPRWA | high: 88.977 PRIM: 19.845 mean: 15.845 median: 8.075 low: -42.909 |
|
| Operating Cash Flow Ratio | 0.083 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 48.73 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 21.892 | |
| Dividend Payout Ratio | 0.046 | |
| Dividend Rate | $ 0.08 | |
| Dividend Yield | 0.001 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 2.511 % | |
| Revenue Growth | 15.215 % | |
| Revenue Growth QoQ | 3.349 % | |
| Revenue Growth YoY | 178.714 % | |
| Revenue Growth IPRWA | high: 45.722 % PRIM: 15.215 % median: 8.216 % mean: 6.772 % low: -26.255 % |
|
| Earnings Growth | 11.905 % | |
| Earnings Growth QoQ | -83.333 % | |
| Earnings Growth YoY | -31.217 % | |
| Earnings Growth IPRWA | high: 156.25 % mean: 20.663 % median: 12.5 % PRIM: 11.905 % low: -96.429 % |
|
| MARGINS | ||
| Gross Margin | 10.82 % | |
| Gross Margin QoQ | -11.717 % | |
| Gross Margin YoY | -10.14 % | |
| Gross Margin IPRWA | high: 49.439 % median: 24.054 % mean: 21.68 % PRIM: 10.82 % low: -13.331 % |
|
| EBIT Margin | 6.336 % | |
| EBIT Margin QoQ | -5.15 % | |
| EBIT Margin YoY | 4.313 % | |
| EBIT Margin IPRWA | high: 23.417 % median: 9.891 % mean: 9.789 % PRIM: 6.336 % low: -57.616 % |
|
| Return On Sales (ROS) | 6.336 % | |
| Return On Sales QoQ | -5.812 % | |
| Return On Sales YoY | 4.313 % | |
| Return On Sales IPRWA | high: 19.158 % median: 9.968 % mean: 9.445 % PRIM: 6.336 % low: -84.559 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 148.4 M | |
| Free Cash Flow Yield | 2.198 % | |
| Free Cash Flow Yield QoQ | 151.775 % | |
| Free Cash Flow Yield YoY | -56.961 % | |
| Free Cash Flow Yield IPRWA | high: 16.122 % PRIM: 2.198 % median: 1.862 % mean: 1.757 % low: -20.785 % |
|
| Free Cash Growth | 227.386 % | |
| Free Cash Growth QoQ | 194.412 % | |
| Free Cash Growth YoY | -111.085 % | |
| Free Cash Growth IPRWA | high: 1011.419 % PRIM: 227.386 % median: 30.667 % mean: 0.423 % low: -1052.696 % |
|
| Free Cash To Net Income | 1.569 | |
| Cash Flow Margin | 8.146 % | |
| Cash Flow To Earnings | 1.875 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 2.06 % | |
| Return On Assets QoQ | 6.902 % | |
| Return On Assets YoY | 46.099 % | |
| Return On Assets IPRWA | high: 5.967 % median: 2.467 % mean: 2.373 % PRIM: 2.06 % low: -12.201 % |
|
| Return On Capital Employed (ROCE) | 5.5 % | |
| Return On Equity (ROE) | 0.058 | |
| Return On Equity QoQ | 5.769 % | |
| Return On Equity YoY | 35.069 % | |
| Return On Equity IPRWA | high: 0.131 median: 0.064 mean: 0.061 PRIM: 0.058 low: -0.333 |
|
| DuPont ROE | 5.983 % | |
| Return On Invested Capital (ROIC) | 4.714 % | |
| Return On Invested Capital QoQ | 12.372 % | |
| Return On Invested Capital YoY | -118.289 % | |
| Return On Invested Capital IPRWA | high: 12.406 % mean: 5.44 % PRIM: 4.714 % median: 3.699 % low: -6.036 % |
|