Recent News
Jan 2, 2026 — The company completed the previously announced merger with CAC Group, creating a larger specialty and middle-market brokerage platform. Feb 25–26, 2026 — Announced a strategic partnership with Fairway Independent Mortgage Corporation and released fourth-quarter and full-year 2025 results alongside a $250 million share repurchase authorization. The company also priced a $600 million incremental Term Loan B add-on to fund acquisitions and refinance revolver balances. These items together reflect accelerated inorganic expansion and a near-term lift to scale and liquidity.
Technical Analysis
ADX sits at 42.32, indicating very strong trend strength; that strength amplifies the immediate price bias and raises the probability that recent directional moves persist.
Directional indicators show DI+ at 21.65 and DI- at 24.21; DI+ is increasing while DI- is decreasing, which presents a bullish directional shift that supports the valuation-driven recovery thesis.
MACD currently reads -0.38 with the signal at -1.18 and a rising MACD_trend; the MACD has crossed above its signal line, signaling a bullish momentum shift after a negative phase.
MRO registers -27.37 with a dip & reversal pattern, indicating the price sits below the model target and implies upside potential as momentum normalizes toward fair value.
RSI at 44.29 with a dip & reversal suggests momentum recovering from a short-term pullback rather than a fresh overbought condition, consistent with a controlled rebound scenario.
Price sits at $22.05 above the 20-day average ($18.57) and 12-day EMA ($20.04, dip & reversal), slightly below the 50-day average ($22.24) and well below the 200-day average ($29.76); this alignment implies a short-term bullish posture inside a longer-term mean reversion context.
Bollinger placement shows price just above the 1x upper band ($21.67) but below the 2x upper band ($24.77), reflecting a modestly stretched move that still leaves room to run before extreme overextension. SuperTrendLower at $19.43 offers a nearby technical support level.
Volume prints at ~1.16M vs a 10-day average of ~1.89M and a 50-day average of ~1.45M; the rebound currently lacks aggressive participation, suggesting momentum could remain fragile until volume confirms the move.
Fundamental Analysis
Revenue totaled $362.61M with YoY revenue growth of 2.997% and QoQ revenue contraction of -62.679%, reflecting seasonality and recent transaction timing that compressed comparable quarterly sales. YoY growth near 3.0% contrasts with the sharp QoQ swing tied to timing of acquisitions and divestitures.
Operating (EBIT) margin stands at 1.433% with QoQ change of -79.358% and YoY change of -66.682%; the margin level sits well below the industry peer mean and median operating margin figures (industry peer mean ≈ 27.269%, industry peer median ≈ 26.729%), indicating material operating leverage opportunity following integration and scale actions.
Net income showed a loss of $18.727M while EPS actual reached $0.31 versus an estimate of $0.29, producing an EPS surprise of 6.90%. Adjusted EBITDA and adjusted EPS trends reported in the most recent release show sequential improvement on an adjusted basis despite GAAP-level losses.
Leverage remains elevated: total debt $1.739B, net debt $1.571B, debt-to-EBITDA ~46.7x, and debt-to-equity ~2.81x. Interest-coverage sits at 0.16, materially below the industry peer mean interest-coverage level (industry peer mean ≈ 8.882), underscoring sensitivity to earnings and cash-flow normalization.
Liquidity snapshots show cash & short-term investments at $89.72M and a current ratio of 1.15 (above the industry peer mean current ratio ≈ 0.992), while operating cash flow of $41.02M and free cash flow yield at 1.556% slightly exceed the industry peer mean free cash flow yield (~1.362%), suggesting modest free-cash performance given current market capitalization and enterprise adjustments.
Valuation context: P/E near 93.3 sits closely to the industry peer mean P/E (~92.71), P/B at 3.33 exceeds the industry peer mean (~1.05), and EV/Revenue and enterprise multiple appear elevated (enterprise multiple ~99.77). The current valuation, as determined by WMDST, reads as under-valued relative to WMDST’s model-adjusted target, driven by post-merger scale expectations and free-cash flow recovery potential.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2026-02-26 |
| NEXT REPORT DATE: | 2026-05-28 |
| CASH FLOW | Begin Period Cash Flow | $ 383.7 M |
| Operating Cash Flow | $ 41.0 M | |
| Capital Expenditures | $ -8.86 M | |
| Change In Working Capital | $ 15.4 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -57.76 M | |
| End Period Cash Flow | $ 325.9 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 362.6 M | |
| Forward Revenue | $ -222.05 M | |
| COSTS | ||
| Cost Of Revenue | $ 272.1 M | |
| Depreciation | $ 1.6 M | |
| Depreciation and Amortization | $ 32.0 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 357.4 M | |
| PROFITABILITY | ||
| Gross Profit | $ 90.5 M | |
| EBITDA | $ 37.2 M | |
| EBIT | $ 5.2 M | |
| Operating Income | $ 5.2 M | |
| Interest Income | $ -31.13 M | |
| Interest Expense | — | |
| Net Interest Income | $ -31.13 M | |
| Income Before Tax | $ -30.24 M | |
| Tax Provision | — | |
| Tax Rate | — | |
| Net Income | $ -18.73 M | |
| Net Income From Continuing Operations | $ -30.24 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.29 | |
| EPS Actual | $ 0.31 | |
| EPS Difference | $ 0.02 | |
| EPS Surprise | 6.897 % | |
| Forward EPS | $ 0.64 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 3.8 B | |
| Intangible Assets | $ 2.5 B | |
| Net Tangible Assets | $ -1.91 B | |
| Total Current Assets | $ 1.1 B | |
| Cash and Short-Term Investments | $ 89.7 M | |
| Cash | $ 89.7 M | |
| Net Receivables | $ 346.5 M | |
| Inventory | — | |
| Long-Term Investments | $ 68.9 M | |
| LIABILITIES | ||
| Accounts Payable | $ 68.7 M | |
| Short-Term Debt | $ 27.1 M | |
| Total Current Liabilities | $ 959.7 M | |
| Net Debt | $ 1.6 B | |
| Total Debt | $ 1.7 B | |
| Total Liabilities | $ 2.7 B | |
| EQUITY | ||
| Total Equity | $ 619.7 M | |
| Retained Earnings | $ -219.38 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 8.68 | |
| Shares Outstanding | 71.417 M | |
| Revenue Per-Share | $ 5.08 | |
| VALUATION | Market Capitalization | $ 2.1 B |
| Enterprise Value | $ 3.7 B | |
| Enterprise Multiple | 99.774 | |
| Enterprise Multiple QoQ | 27.16 % | |
| Enterprise Multiple YoY | 32.117 % | |
| Enterprise Multiple IPRWA | high: 189.281 BWIN: 99.774 mean: 74.955 median: 68.864 low: -31.078 |
|
| EV/R | 10.246 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 6.122 | |
| Asset To Liability | 1.423 | |
| Debt To Capital | 0.737 | |
| Debt To Assets | 0.458 | |
| Debt To Assets QoQ | 0.562 % | |
| Debt To Assets YoY | 653.517 % | |
| Debt To Assets IPRWA | high: 1.606 median: 0.73 mean: 0.702 BWIN: 0.458 low: 0.003 |
|
| Debt To Equity | 2.807 | |
| Debt To Equity QoQ | 3.865 % | |
| Debt To Equity YoY | 676.027 % | |
| Debt To Equity IPRWA | high: 13.542 BWIN: 2.807 median: 0.265 mean: 0.214 low: -13.223 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 3.334 | |
| Price To Book QoQ | -19.409 % | |
| Price To Book YoY | -38.108 % | |
| Price To Book IPRWA | high: 33.181 median: 6.391 BWIN: 3.334 mean: 1.046 low: -22.92 |
|
| Price To Earnings (P/E) | 93.318 | |
| Price To Earnings QoQ | -2.174 % | |
| Price To Earnings YoY | -35.148 % | |
| Price To Earnings IPRWA | high: 357.224 BWIN: 93.318 mean: 92.707 median: 92.027 low: -85.409 |
|
| PE/G Ratio | -3.563 | |
| Price To Sales (P/S) | 5.698 | |
| Price To Sales QoQ | -18.274 % | |
| Price To Sales YoY | -40.298 % | |
| Price To Sales IPRWA | high: 30.539 mean: 17.518 median: 17.023 BWIN: 5.698 low: 0.325 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 68.915 | |
| Forward PE/G | -2.631 | |
| Forward P/S | -12.196 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 25.593 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.096 | |
| Asset Turnover Ratio QoQ | -6.269 % | |
| Asset Turnover Ratio YoY | 3.416 % | |
| Asset Turnover Ratio IPRWA | high: 0.723 mean: 0.197 median: 0.164 BWIN: 0.096 low: 0.056 |
|
| Receivables Turnover | 1.042 | |
| Receivables Turnover Ratio QoQ | -5.23 % | |
| Receivables Turnover Ratio YoY | 119.958 % | |
| Receivables Turnover Ratio IPRWA | high: 44.676 mean: 9.344 median: 4.611 low: 1.185 BWIN: 1.042 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 87.586 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 63.737 | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 77.037 BWIN: 63.737 median: 4.037 mean: 2.606 low: -73.834 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 2.475 | |
| CapEx To Revenue | -0.024 | |
| CapEx To Depreciation | -5.375 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 2.3 B | |
| Net Invested Capital | $ 2.3 B | |
| Invested Capital | $ 2.3 B | |
| Net Tangible Assets | $ -1.91 B | |
| Net Working Capital | $ 146.5 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.093 | |
| Current Ratio | 1.153 | |
| Current Ratio QoQ | -6.328 % | |
| Current Ratio YoY | 17.225 % | |
| Current Ratio IPRWA | high: 3.125 BWIN: 1.153 median: 1.0 mean: 0.992 low: 0.031 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 46.704 | |
| Cost Of Debt | 1.447 % | |
| Interest Coverage Ratio | 0.165 | |
| Interest Coverage Ratio QoQ | -80.002 % | |
| Interest Coverage Ratio YoY | -64.051 % | |
| Interest Coverage Ratio IPRWA | high: 45.223 mean: 8.882 median: 5.825 BWIN: 0.165 low: -5.084 |
|
| Operating Cash Flow Ratio | 0.014 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 23.85 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 1.465 % | |
| Revenue Growth | -3.126 % | |
| Revenue Growth QoQ | -62.679 % | |
| Revenue Growth YoY | 299.744 % | |
| Revenue Growth IPRWA | high: 26.865 % median: 2.484 % mean: 2.091 % BWIN: -3.126 % low: -13.106 % |
|
| Earnings Growth | -26.19 % | |
| Earnings Growth QoQ | -25.986 % | |
| Earnings Growth YoY | 790.513 % | |
| Earnings Growth IPRWA | high: 114.563 % mean: 6.113 % median: 0.94 % BWIN: -26.19 % low: -175.0 % |
|
| MARGINS | ||
| Gross Margin | 24.949 % | |
| Gross Margin QoQ | -11.277 % | |
| Gross Margin YoY | -5.643 % | |
| Gross Margin IPRWA | high: 86.593 % mean: 42.2 % median: 41.646 % BWIN: 24.949 % low: 8.241 % |
|
| EBIT Margin | 1.433 % | |
| EBIT Margin QoQ | -79.358 % | |
| EBIT Margin YoY | -66.682 % | |
| EBIT Margin IPRWA | high: 52.4 % mean: 27.269 % median: 26.729 % BWIN: 1.433 % low: -25.213 % |
|
| Return On Sales (ROS) | 1.433 % | |
| Return On Sales QoQ | -79.358 % | |
| Return On Sales YoY | -66.682 % | |
| Return On Sales IPRWA | high: 47.382 % mean: 27.499 % median: 26.729 % BWIN: 1.433 % low: -27.119 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 32.2 M | |
| Free Cash Flow Yield | 1.556 % | |
| Free Cash Flow Yield QoQ | -244.475 % | |
| Free Cash Flow Yield YoY | -717.46 % | |
| Free Cash Flow Yield IPRWA | high: 10.115 % BWIN: 1.556 % mean: 1.362 % median: 1.118 % low: -12.37 % |
|
| Free Cash Growth | -214.432 % | |
| Free Cash Growth QoQ | 248.868 % | |
| Free Cash Growth YoY | 92.271 % | |
| Free Cash Growth IPRWA | high: 271.747 % mean: 40.279 % median: 29.31 % BWIN: -214.432 % low: -516.758 % |
|
| Free Cash To Net Income | -1.717 | |
| Cash Flow Margin | 3.642 % | |
| Cash Flow To Earnings | -0.705 | |
| VALUE & RETURNS | ||
| Economic Value Added | — | |
| Return On Assets (ROA) | -0.497 % | |
| Return On Assets QoQ | 471.264 % | |
| Return On Assets YoY | 114.224 % | |
| Return On Assets IPRWA | high: 8.233 % mean: 2.918 % median: 2.639 % BWIN: -0.497 % low: -8.455 % |
|
| Return On Capital Employed (ROCE) | 0.183 % | |
| Return On Equity (ROE) | -0.03 | |
| Return On Equity QoQ | 501.992 % | |
| Return On Equity YoY | 114.783 % | |
| Return On Equity IPRWA | high: 0.405 median: 0.05 mean: 0.027 BWIN: -0.03 low: -0.352 |
|
| DuPont ROE | -2.995 % | |
| Return On Invested Capital (ROIC) | — | |
| Return On Invested Capital QoQ | — | |
| Return On Invested Capital YoY | — | |
| Return On Invested Capital IPRWA | — | |