Recent News
May 21, 2026 — a shareholder alert named a law firm investigation into the company’s officers and directors. Mid‑June filings and press coverage disclose an Agreement and Plan of Merger executed with an affiliate of Altaris, with press reporting the proposed cash consideration at $18.50 per share. These items dominate headlines and may drive near-term liquidity and attention.
Technical Analysis
ADX at 37.85 indicates a strong trend environment; that strength amplifies directional signals and increases the likelihood that recent momentum will persist in the short term.
DI+ measures 26.89 and shows a decreasing trajectory while DI- registers 13.26 and trends upward; that pair indicates directional pressure favoring sellers and supports a near-term bearish bias against the current valuation level.
MACD sits at 0.17 below its signal line at 0.23 and shows a decreasing trend; the MACD below its signal line confirms weakening bullish momentum and aligns with a short-term loss of upward impulse.
MRO reads 21.12 with a peak-and-reversal pattern; the positive MRO plus the reversal pattern implies price currently exceeds short-term target levels and increases the probability of a pullback toward modeled targets.
RSI at 62.58 with a peak-and-reversal signal points to momentum exhaustion rather than oversold conditions, consistent with near-term topping pressure despite remaining below extreme overbought levels.
Price action sits essentially at the 20‑day average ($18.32) and above the 50‑day ($17.86) and 200‑day ($16.26) averages, so intermediate support exists beneath current levels; however, the 12‑day EMA shows a peak-and-reversal, reinforcing short-term downside risk even while longer-term averages remain constructive.
Bollinger band width remains extremely narrow (upper ≈ $18.35, lower ≈ $18.29), indicating low volatility and a compressed range; volume remains below 50‑ and 200‑day averages, showing limited conviction behind recent moves and leaving room for volatility if news flow intensifies.
Fundamental Analysis
Total revenue reached $21,886,000 for the period ending 2026-05-31, with YoY revenue growth of +7.35% and quarter-over-quarter revenue change of -131.07% (QoQ). Gross profit totaled $15,127,000 and gross margin at 69.12% improved YoY by +7.999% and QoQ by +4.003%, supporting operating leverage on higher‑margin product and services mix.
Operating income (EBIT) measured $4,499,000 with an operating margin of 20.56%. Operating margin rose YoY by +39.77% but contracted QoQ by -11.30%. The operating margin of 20.56% sits slightly below the industry peer mean of 22.91% and below the industry peer median of 30.93% on the same metric, indicating margin performance close to, but under, the peer average.
Net income totaled $3,575,000 and EPS came in at $0.30 versus an estimate of $0.23, producing an EPS surprise ratio of +30.44%. Free cash flow reached $7,948,000 and free cash flow yield stands at 2.42%, below the industry peer mean free cash flow yield of 3.14% but reflecting healthy cash generation relative to reported earnings (cash flow to earnings ≈ 2.22x).
Balance sheet liquidity remains a strength: cash and short‑term investments total $49,990,000, current ratio 5.54, and cash ratio 3.68. Total debt equals $487,000, producing a debt-to-equity of roughly 0.35% and a debt-to-assets ratio near 0.32%, supporting low financial risk and capital flexibility. Interest coverage sits at 6.12x, indicating the company covers interest obligations comfortably.
Valuation multiples show higher market expectations: trailing P/E ≈ 54.17 and forward P/E ≈ 65.61, while price-to-sales ≈ 15.01 and enterprise/revenue (EVR) ≈ 12.75 with an enterprise multiple of ≈ 47.56. Book value per share stands at $6.88 and the price‑to‑book ratio equals 2.36, below the industry peer mean price‑to‑book of 3.53 and below the industry peer median of 3.87, indicating the market prices the company below peer book multiples despite elevated earnings multiples.
Operational efficiency measures: asset turnover at 0.146 sits above the industry peer mean of 0.1107 and the industry peer median of 0.0975, signaling relatively efficient revenue generation from assets. Cash conversion cycle of 56.73 days sits slightly below the industry peer mean of 57.95 days, supporting cash conversion versus peers.
WMDST values the stock as under‑valued. The valuation view anchors on a strong cash position, minimal leverage, positive free cash flow, and a price‑to‑book below peer averages, offset by elevated P/E multiples and a lower free cash flow yield versus the industry peer mean.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-05-31 |
| REPORT DATE: | 2026-07-09 |
| NEXT REPORT DATE: | 2026-10-08 |
| CASH FLOW | Begin Period Cash Flow | $ 25.7 M |
| Operating Cash Flow | $ 8.7 M | |
| Capital Expenditures | $ -761.00 K | |
| Change In Working Capital | — | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 9.6 M | |
| End Period Cash Flow | $ 35.3 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 21.9 M | |
| Forward Revenue | $ 6.8 M | |
| COSTS | ||
| Cost Of Revenue | $ 6.8 M | |
| Depreciation | $ 1.4 M | |
| Depreciation and Amortization | $ 1.4 M | |
| Research and Development | $ 3.4 M | |
| Total Operating Expenses | $ 17.4 M | |
| PROFITABILITY | ||
| Gross Profit | $ 15.1 M | |
| EBITDA | $ 5.9 M | |
| EBIT | $ 4.5 M | |
| Operating Income | $ 4.5 M | |
| Interest Income | $ 344.0 K | |
| Interest Expense | — | |
| Net Interest Income | $ 344.0 K | |
| Income Before Tax | $ 4.8 M | |
| Tax Provision | $ 1.2 M | |
| Tax Rate | 26.0 % | |
| Net Income | $ 3.6 M | |
| Net Income From Continuing Operations | $ 3.6 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.23 | |
| EPS Actual | $ 0.30 | |
| EPS Difference | $ 0.07 | |
| EPS Surprise | 30.435 % | |
| Forward EPS | $ 0.22 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 153.0 M | |
| Intangible Assets | $ 71.4 M | |
| Net Tangible Assets | $ 67.6 M | |
| Total Current Assets | $ 75.1 M | |
| Cash and Short-Term Investments | $ 50.0 M | |
| Cash | $ 35.3 M | |
| Net Receivables | $ 17.2 M | |
| Inventory | — | |
| Long-Term Investments | $ 1.4 M | |
| LIABILITIES | ||
| Accounts Payable | $ 2.2 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 13.6 M | |
| Net Debt | — | |
| Total Debt | $ 487.0 K | |
| Total Liabilities | $ 13.9 M | |
| EQUITY | ||
| Total Equity | $ 139.0 M | |
| Retained Earnings | $ -25.58 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 6.88 | |
| Shares Outstanding | 20.216 M | |
| Revenue Per-Share | $ 1.08 | |
| VALUATION | Market Capitalization | $ 328.5 M |
| Enterprise Value | $ 279.0 M | |
| Enterprise Multiple | 47.561 | |
| Enterprise Multiple QoQ | 44.688 % | |
| Enterprise Multiple YoY | -20.434 % | |
| Enterprise Multiple IPRWA | high: 137.95 median: 73.952 mean: 67.88 SLP: 47.561 low: -20.4 |
|
| EV/R | 12.75 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.1 | |
| Asset To Liability | 10.973 | |
| Debt To Capital | 0.003 | |
| Debt To Assets | 0.003 | |
| Debt To Assets QoQ | -8.357 % | |
| Debt To Assets YoY | -40.561 % | |
| Debt To Assets IPRWA | high: 0.576 mean: 0.042 median: 0.011 low: 0.009 SLP: 0.003 |
|
| Debt To Equity | 0.004 | |
| Debt To Equity QoQ | -7.895 % | |
| Debt To Equity YoY | -39.759 % | |
| Debt To Equity IPRWA | high: 3.104 mean: 0.107 median: 0.014 low: 0.011 SLP: 0.004 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 2.363 | |
| Price To Book QoQ | 14.016 % | |
| Price To Book YoY | -15.297 % | |
| Price To Book IPRWA | high: 5.885 median: 3.869 mean: 3.531 SLP: 2.363 low: 0.094 |
|
| Price To Earnings (P/E) | 54.171 | |
| Price To Earnings QoQ | 38.178 % | |
| Price To Earnings YoY | 0.456 % | |
| Price To Earnings IPRWA | high: 220.299 median: 77.436 mean: 72.271 SLP: 54.171 low: -35.545 |
|
| PE/G Ratio | -3.792 | |
| Price To Sales (P/S) | 15.012 | |
| Price To Sales QoQ | 31.524 % | |
| Price To Sales YoY | -11.478 % | |
| Price To Sales IPRWA | high: 50.378 median: 32.011 mean: 26.968 SLP: 15.012 low: 0.761 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 65.611 | |
| Forward PE/G | -4.593 | |
| Forward P/S | 48.129 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 2.029 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.146 | |
| Asset Turnover Ratio QoQ | -14.455 % | |
| Asset Turnover Ratio YoY | 20.513 % | |
| Asset Turnover Ratio IPRWA | high: 0.353 SLP: 0.146 mean: 0.111 median: 0.098 low: 0.028 |
|
| Receivables Turnover | 1.237 | |
| Receivables Turnover Ratio QoQ | -22.759 % | |
| Receivables Turnover Ratio YoY | -4.975 % | |
| Receivables Turnover Ratio IPRWA | high: 2.963 SLP: 1.237 mean: 1.099 median: 0.966 low: 0.949 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 73.739 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 56.733 | |
| Cash Conversion Cycle Days QoQ | 21.064 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 94.513 median: 69.215 mean: 57.951 SLP: 56.733 low: -15.96 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.356 | |
| CapEx To Revenue | -0.035 | |
| CapEx To Depreciation | -0.556 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 139.0 M | |
| Net Invested Capital | $ 139.0 M | |
| Invested Capital | $ 139.0 M | |
| Net Tangible Assets | $ 67.6 M | |
| Net Working Capital | $ 61.6 M | |
| LIQUIDITY | ||
| Cash Ratio | 3.685 | |
| Current Ratio | 5.538 | |
| Current Ratio QoQ | 1.173 % | |
| Current Ratio YoY | 8.359 % | |
| Current Ratio IPRWA | high: 9.945 SLP: 5.538 median: 4.738 mean: 4.343 low: 1.021 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 0.083 | |
| Cost Of Debt | 109.867 % | |
| Interest Coverage Ratio | 6.123 | |
| Interest Coverage Ratio QoQ | -20.089 % | |
| Interest Coverage Ratio YoY | 50.217 % | |
| Interest Coverage Ratio IPRWA | high: 33.284 median: 9.029 mean: 8.316 SLP: 6.123 low: -15.488 |
|
| Operating Cash Flow Ratio | 0.541 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 17.006 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 4.432 % | |
| Revenue Growth | -9.901 % | |
| Revenue Growth QoQ | -131.071 % | |
| Revenue Growth YoY | 7.351 % | |
| Revenue Growth IPRWA | high: 7.736 % median: 5.622 % mean: 4.758 % SLP: -9.901 % low: -12.762 % |
|
| Earnings Growth | -14.286 % | |
| Earnings Growth QoQ | -108.442 % | |
| Earnings Growth YoY | -131.633 % | |
| Earnings Growth IPRWA | high: 122.222 % mean: 8.999 % median: 8.738 % SLP: -14.286 % low: -200.0 % |
|
| MARGINS | ||
| Gross Margin | 69.117 % | |
| Gross Margin QoQ | 4.003 % | |
| Gross Margin YoY | 7.999 % | |
| Gross Margin IPRWA | high: 89.522 % median: 74.979 % mean: 72.554 % SLP: 69.117 % low: 12.388 % |
|
| EBIT Margin | 20.557 % | |
| EBIT Margin QoQ | -11.304 % | |
| EBIT Margin YoY | 39.767 % | |
| EBIT Margin IPRWA | high: 30.932 % median: 30.932 % mean: 22.914 % SLP: 20.557 % low: -79.321 % |
|
| Return On Sales (ROS) | 20.557 % | |
| Return On Sales QoQ | -11.304 % | |
| Return On Sales YoY | 39.767 % | |
| Return On Sales IPRWA | high: 30.932 % median: 30.932 % mean: 23.055 % SLP: 20.557 % low: -81.621 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 7.9 M | |
| Free Cash Flow Yield | 2.419 % | |
| Free Cash Flow Yield QoQ | 20.169 % | |
| Free Cash Flow Yield YoY | 18.404 % | |
| Free Cash Flow Yield IPRWA | high: 6.843 % median: 3.988 % mean: 3.135 % SLP: 2.419 % low: -14.954 % |
|
| Free Cash Growth | 42.437 % | |
| Free Cash Growth QoQ | -37.006 % | |
| Free Cash Growth YoY | -13.183 % | |
| Free Cash Growth IPRWA | high: 219.25 % SLP: 42.437 % mean: -13.127 % median: -52.29 % low: -308.543 % |
|
| Free Cash To Net Income | 2.223 | |
| Cash Flow Margin | 33.547 % | |
| Cash Flow To Earnings | 2.054 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 2.388 % | |
| Return On Assets QoQ | -25.141 % | |
| Return On Assets YoY | -105.956 % | |
| Return On Assets IPRWA | high: 2.882 % median: 2.882 % SLP: 2.388 % mean: 2.239 % low: -10.518 % |
|
| Return On Capital Employed (ROCE) | 3.227 % | |
| Return On Equity (ROE) | 0.026 | |
| Return On Equity QoQ | -24.159 % | |
| Return On Equity YoY | -104.727 % | |
| Return On Equity IPRWA | high: 0.064 median: 0.036 mean: 0.027 SLP: 0.026 low: -0.174 |
|
| DuPont ROE | 2.621 % | |
| Return On Invested Capital (ROIC) | 2.407 % | |
| Return On Invested Capital QoQ | -25.779 % | |
| Return On Invested Capital YoY | 9.409 % | |
| Return On Invested Capital IPRWA | high: 3.643 % median: 2.808 % SLP: 2.407 % mean: 2.053 % low: -10.271 % |
|