Technical Analysis
Directional indicators (ADX/DI+/DI-): ADX at 26.77 signals a strong directional move in place. DI+ sits at 30.46 and shows a peak-and-reversal, which reads as a waning bullish push; DI- at 17.69 shows a dip-and-reversal, which reinforces near-term bearish pressure. Together they imply trend strength with a shift from prior upside to short-term distribution.
MACD: MACD at 3.66 remains above its signal line (3.07) but the MACD trend shows a peak-and-reversal; momentum therefore appears to be topping even while the histogram remains positive, indicating bullish momentum losing steam.
MRO (Momentum/Regression Oscillator): MRO equals -3.79 and the MRO trend increases. The negative reading indicates price sits below model target and implies potential upside pressure; the increasing MRO suggests that target convergence may proceed over coming weeks.
RSI: RSI at 56.82 with a peak-and-reversal shows momentum rolling off from a neutral-to-slightly-extended reading, consistent with MACD signaling that near-term bullish force softened.
Price vs moving averages & bands: Last close $96.90 sits below the 20-day average ($98.12) and the 12-day EMA shows a peak-and-reversal, while the 50-day and 200-day averages ($90.09 and $78.95) remain well below price, keeping the medium- and long-term technical bias constructive. Price rests inside the 1x Bollinger band range ($93.99–$102.25), with the nearest super-trend support at $94.62 and intraday range $92.68–$101.35.
Volume & volatility: Daily volume (152,785) exceeds the 10-day average (90,179) and 50-day average (114,797), showing recent participation on swings; 42-day and 52-week volatility at 4% indicate moderate realized volatility. Short-term momentum appears to have peaked, but support levels and elevated volume suggest any pullback may find buyers before retesting the 50-day average.
Fundamental Analysis
Mesa operates across Sterilization & Disinfection Control, Clinical Genomics, Biopharmaceutical Development, and Calibration Solutions, producing diversified revenue streams and recurring consumables demand.
Profitability: EBIT equals $7,632,000 and EBIT margin stands at 11.72%. That margin rose sharply QoQ (up 46.43%) and improved YoY by 10.78%, reflecting operational leverage and cost control. Operating income equals $7,975,000 and operating margin sits at 12.25%, also expanding materially QoQ and YoY.
Earnings and cash conversion: Reported EPS came in at $1.76 versus an estimate of $1.47, a positive surprise of 19.73%. Free cash flow reached $18,022,000, producing a free cash flow yield of 4.07% and a cash-flow-to-earnings multiple near 4.96x, indicating strong cash conversion relative to net income. Operating cash flow of $18,754,000 and ending cash of $28,975,000 support liquidity.
Balance sheet and leverage: Total debt equals $180,979,000 with net debt of $137,152,000, producing debt-to-EBITDA near 13.56x; interest coverage sits at 2.51x. Current and quick ratios measure 1.94 and 1.45, respectively, while cash ratio equals 0.53. Debt metrics indicate leverage above typical peer means, and interest coverage remains modest but improved year-over-year.
Growth and efficiency: Total revenue equals $65,126,000 with YoY revenue growth of 7.23% and a QoQ revenue change of 2.60%. Gross margin registers 64.18%, roughly in line with the industry peer mean, while asset turnover equals 0.1506, slightly above the industry peer mean of 0.1266, indicating relatively efficient use of assets for the peer set provided.
Relative fundamental positioning: Price-to-book at 2.37 sits below the industry peer mean for P/B (mean 5.98), and reported P/E of 45.51 remains below the industry peer mean P/E (mean 119.74). WMDST values the stock as under-valued based on the supplied valuation model, reflecting margin improvement, cash generation, and a P/B and P/E profile below the peer means. The company’s forward EPS and forward P/E (forward EPS $1.3475; forward P/E ~57.09) show continued earnings carry into the coming year.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-02-03 |
| NEXT REPORT DATE: | 2026-05-05 |
| CASH FLOW | Begin Period Cash Flow | $ 20.4 M |
| Operating Cash Flow | $ 18.8 M | |
| Capital Expenditures | $ -732.00 K | |
| Change In Working Capital | $ 4.5 M | |
| Dividends Paid | $ -884.00 K | |
| Cash Flow Delta | $ 8.6 M | |
| End Period Cash Flow | $ 29.0 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 65.1 M | |
| Forward Revenue | $ 33.4 M | |
| COSTS | ||
| Cost Of Revenue | $ 23.3 M | |
| Depreciation | $ 1.3 M | |
| Depreciation and Amortization | $ 5.7 M | |
| Research and Development | $ 5.0 M | |
| Total Operating Expenses | $ 57.2 M | |
| PROFITABILITY | ||
| Gross Profit | $ 41.8 M | |
| EBITDA | $ 13.3 M | |
| EBIT | $ 7.6 M | |
| Operating Income | $ 8.0 M | |
| Interest Income | — | |
| Interest Expense | $ 3.0 M | |
| Net Interest Income | $ -3.04 M | |
| Income Before Tax | $ 4.6 M | |
| Tax Provision | $ 966.0 K | |
| Tax Rate | 21.0 % | |
| Net Income | $ 3.6 M | |
| Net Income From Continuing Operations | $ 3.6 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.47 | |
| EPS Actual | $ 1.76 | |
| EPS Difference | $ 0.29 | |
| EPS Surprise | 19.728 % | |
| Forward EPS | $ 1.35 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 434.8 M | |
| Intangible Assets | $ 278.9 M | |
| Net Tangible Assets | $ -92.26 M | |
| Total Current Assets | $ 105.6 M | |
| Cash and Short-Term Investments | $ 29.0 M | |
| Cash | $ 29.0 M | |
| Net Receivables | $ 40.2 M | |
| Inventory | $ 26.6 M | |
| Long-Term Investments | $ 17.2 M | |
| LIABILITIES | ||
| Accounts Payable | $ 5.3 M | |
| Short-Term Debt | $ 5.2 M | |
| Total Current Liabilities | $ 54.4 M | |
| Net Debt | $ 137.2 M | |
| Total Debt | $ 181.0 M | |
| Total Liabilities | $ 248.2 M | |
| EQUITY | ||
| Total Equity | $ 186.7 M | |
| Retained Earnings | $ -180.73 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 33.79 | |
| Shares Outstanding | 5.525 M | |
| Revenue Per-Share | $ 11.79 | |
| VALUATION | Market Capitalization | $ 442.5 M |
| Enterprise Value | $ 594.5 M | |
| Enterprise Multiple | 44.543 | |
| Enterprise Multiple QoQ | -17.325 % | |
| Enterprise Multiple YoY | -65.041 % | |
| Enterprise Multiple IPRWA | high: 158.913 median: 85.622 mean: 82.979 MLAB: 44.543 low: -144.328 |
|
| EV/R | 9.129 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.329 | |
| Asset To Liability | 1.752 | |
| Debt To Capital | 0.492 | |
| Debt To Assets | 0.416 | |
| Debt To Assets QoQ | -5.946 % | |
| Debt To Assets YoY | 80.294 % | |
| Debt To Assets IPRWA | high: 0.828 MLAB: 0.416 mean: 0.282 median: 0.262 low: 0.002 |
|
| Debt To Equity | 0.969 | |
| Debt To Equity QoQ | -9.15 % | |
| Debt To Equity YoY | 49.104 % | |
| Debt To Equity IPRWA | high: 2.909 MLAB: 0.969 mean: 0.54 median: 0.472 low: -1.334 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 2.37 | |
| Price To Book QoQ | 3.932 % | |
| Price To Book YoY | -48.189 % | |
| Price To Book IPRWA | high: 15.074 mean: 5.978 median: 5.854 MLAB: 2.37 low: -0.373 |
|
| Price To Earnings (P/E) | 45.508 | |
| Price To Earnings QoQ | 29.79 % | |
| Price To Earnings YoY | -109.054 % | |
| Price To Earnings IPRWA | high: 269.298 mean: 119.739 median: 101.834 MLAB: 45.508 low: -315.07 |
|
| PE/G Ratio | 0.156 | |
| Price To Sales (P/S) | 6.795 | |
| Price To Sales QoQ | 1.394 % | |
| Price To Sales YoY | -39.869 % | |
| Price To Sales IPRWA | high: 52.884 median: 23.476 mean: 20.203 MLAB: 6.795 low: -13.339 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 57.092 | |
| Forward PE/G | 0.196 | |
| Forward P/S | 13.252 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 7.889 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.151 | |
| Asset Turnover Ratio QoQ | 7.344 % | |
| Asset Turnover Ratio YoY | 6.758 % | |
| Asset Turnover Ratio IPRWA | high: 0.512 MLAB: 0.151 median: 0.133 mean: 0.127 low: -0.209 |
|
| Receivables Turnover | 1.622 | |
| Receivables Turnover Ratio QoQ | 5.671 % | |
| Receivables Turnover Ratio YoY | 1.774 % | |
| Receivables Turnover Ratio IPRWA | high: 2.907 mean: 1.881 median: 1.867 MLAB: 1.622 low: 0.47 |
|
| Inventory Turnover | 0.859 | |
| Inventory Turnover Ratio QoQ | 2.52 % | |
| Inventory Turnover Ratio YoY | 7.69 % | |
| Inventory Turnover Ratio IPRWA | high: 2.05 MLAB: 0.859 mean: 0.67 median: 0.548 low: 0.16 |
|
| Days Sales Outstanding (DSO) | 56.273 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 141.954 | |
| Cash Conversion Cycle Days QoQ | -4.892 % | |
| Cash Conversion Cycle Days YoY | -8.238 % | |
| Cash Conversion Cycle Days IPRWA | high: 453.393 mean: 171.699 median: 165.533 MLAB: 141.954 low: -118.454 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 1.271 | |
| CapEx To Revenue | -0.011 | |
| CapEx To Depreciation | -0.576 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 347.7 M | |
| Net Invested Capital | $ 352.8 M | |
| Invested Capital | $ 352.8 M | |
| Net Tangible Assets | $ -92.26 M | |
| Net Working Capital | $ 51.2 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.533 | |
| Current Ratio | 1.942 | |
| Current Ratio QoQ | -3.743 % | |
| Current Ratio YoY | 173.09 % | |
| Current Ratio IPRWA | high: 20.133 mean: 2.709 MLAB: 1.942 median: 1.893 low: 0.042 |
|
| Quick Ratio | 1.454 | |
| Quick Ratio QoQ | 0.734 % | |
| Quick Ratio YoY | 173.923 % | |
| Quick Ratio IPRWA | high: 12.347 mean: 2.035 median: 1.469 MLAB: 1.454 low: 0.366 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 13.56 | |
| Cost Of Debt | 1.291 % | |
| Interest Coverage Ratio | 2.514 | |
| Interest Coverage Ratio QoQ | 48.006 % | |
| Interest Coverage Ratio YoY | 1043.066 % | |
| Interest Coverage Ratio IPRWA | high: 60.521 median: 25.964 mean: 20.927 MLAB: 2.514 low: -107.569 |
|
| Operating Cash Flow Ratio | 0.194 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 20.161 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 4.106 | |
| Dividend Payout Ratio | 0.244 | |
| Dividend Rate | $ 0.16 | |
| Dividend Yield | 0.002 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 1.045 % | |
| Revenue Growth | 7.226 % | |
| Revenue Growth QoQ | 260.399 % | |
| Revenue Growth YoY | -16.54 % | |
| Revenue Growth IPRWA | high: 54.001 % median: 12.969 % mean: 10.187 % MLAB: 7.226 % low: -28.254 % |
|
| Earnings Growth | 291.111 % | |
| Earnings Growth QoQ | 2279.524 % | |
| Earnings Growth YoY | -319.706 % | |
| Earnings Growth IPRWA | MLAB: 291.111 % high: 100.0 % mean: 10.242 % median: 6.667 % low: -142.105 % |
|
| MARGINS | ||
| Gross Margin | 64.176 % | |
| Gross Margin QoQ | 4.414 % | |
| Gross Margin YoY | 1.445 % | |
| Gross Margin IPRWA | high: 96.557 % median: 64.538 % MLAB: 64.176 % mean: 62.783 % low: -16.207 % |
|
| EBIT Margin | 11.719 % | |
| EBIT Margin QoQ | 46.433 % | |
| EBIT Margin YoY | 1077.789 % | |
| EBIT Margin IPRWA | high: 33.51 % median: 20.883 % mean: 20.746 % MLAB: 11.719 % low: -144.871 % |
|
| Return On Sales (ROS) | 12.245 % | |
| Return On Sales QoQ | 57.431 % | |
| Return On Sales YoY | 1130.653 % | |
| Return On Sales IPRWA | high: 35.479 % mean: 22.001 % median: 21.965 % MLAB: 12.245 % low: -169.778 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 18.0 M | |
| Free Cash Flow Yield | 4.073 % | |
| Free Cash Flow Yield QoQ | 132.477 % | |
| Free Cash Flow Yield YoY | 64.102 % | |
| Free Cash Flow Yield IPRWA | MLAB: 4.073 % high: 3.107 % median: 0.969 % mean: 0.898 % low: -15.714 % |
|
| Free Cash Growth | 152.763 % | |
| Free Cash Growth QoQ | -78.379 % | |
| Free Cash Growth YoY | -62.379 % | |
| Free Cash Growth IPRWA | high: 265.331 % MLAB: 152.763 % mean: 4.868 % median: -0.761 % low: -303.638 % |
|
| Free Cash To Net Income | 4.965 | |
| Cash Flow Margin | 16.195 % | |
| Cash Flow To Earnings | 2.906 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 0.839 % | |
| Return On Assets QoQ | 46.678 % | |
| Return On Assets YoY | -323.138 % | |
| Return On Assets IPRWA | high: 15.87 % mean: 2.025 % median: 1.556 % MLAB: 0.839 % low: -29.663 % |
|
| Return On Capital Employed (ROCE) | 2.006 % | |
| Return On Equity (ROE) | 0.019 | |
| Return On Equity QoQ | 40.159 % | |
| Return On Equity YoY | -280.0 % | |
| Return On Equity IPRWA | high: 0.357 mean: 0.03 median: 0.028 MLAB: 0.019 low: -0.518 |
|
| DuPont ROE | 1.988 % | |
| Return On Invested Capital (ROIC) | 1.708 % | |
| Return On Invested Capital QoQ | 57.13 % | |
| Return On Invested Capital YoY | 153.037 % | |
| Return On Invested Capital IPRWA | high: 6.199 % mean: 2.689 % median: 2.127 % MLAB: 1.708 % low: -19.559 % |
|