Recent News
June 25, 2026: Company named by TIME as one of the World’s Most Sustainable Companies for 2026; mid-June recognition also noted for Bay Area workplace honors. July 29, 2026: Robert Half published a hiring outlook survey indicating two-thirds of U.S. employers plan to increase hiring in the second half of 2026. August 5, 2026: Forbes recognized the firm on its America’s Best Employers for Women 2026 list.
Technical Analysis
Directional indicators: ADX at 30.61 signals a strong directional environment; DI+ measures 34.7 and shows an increasing reading, which biases price direction upward versus DI- at 15.98 that recorded a dip-and-reversal (a bearish reversal on the negative-direction line). Together, the strength reading with DI+ above DI- supports a bullish directional bias that aligns with the notion of accelerating recovery.
MACD behavior: The MACD sits at 2.01 while its signal line reads 1.98, producing a marginal crossover above the signal line (a bullish technical cue). Simultaneously, the MACD trend registers a peak-and-reversal, indicating momentum has started to fade from prior highs; the combination implies a short-lived bullish crossover that may not sustain without renewed momentum.
MRO (Momentum/Regression Oscillator): MRO at 36.97 with a peak-and-reversal indicates the current price sits above the model target and carries downside retracement potential relative to the current valuation, which tempers the otherwise constructive directional indicators.
RSI and moving averages: RSI at 62.06 and increasing demonstrates bullish momentum without extreme overbought stress. Price closed at $44.90, above the 12-day EMA ($43.43), above the 20-day average ($43.23) and well above the 200-day average ($28.94), reinforcing near-term bullishness while also exposing the setup to mean-reversion risk given MRO.
Breadth and volatility context: Daily volume (~3.94M) exceeds the 10-day average (~2.09M) and 50/200-day averages, signaling conviction behind recent moves. Bollinger positioning places price just above the 1σ upper band ($44.67) but below the 2σ band ($46.10), consistent with above-average short-term strength that could invite pullbacks to the super-trend support at $41.46.
Fundamental Analysis
Revenue and margins: Total revenue stands at $1,336,365,000 with YoY revenue growth of 110.993% and QoQ revenue change of -17.467% (quarterly contraction). Gross margin at 35.471% shows reasonable top-line profitability, while operating (EBIT) margin equals -4.662% and declined 42.625% year-over-year; the operating margin sits above the industry peer low of -6.937% but remains well below the industry peer mean of 19.84% and median of 20.418%.
Profitability and cash generation: Net income totaled $26,318,000 while operating cash flow reached $108,698,000 and free cash flow measured $101,542,000, producing a free cash flow yield of 3.136%, which sits above the industry peer mean of 2.192%. Cash and short-term investments total $324,714,000, supporting a cash ratio of 22.301% and a cash conversion ratio of 1.95963.
Returns and leverage: Return on equity equals 2.179% and return on assets 0.946%, both lower than typical high-performing peers; return on invested capital reads -3.345%. Total debt remains modest at $240,809,000 with debt-to-equity of 0.1994, below the industry peer mean of 0.72848, indicating conservative leverage but also limited financial gearing for higher ROE.
Market multiples and valuation: Reported price-to-earnings equals 121.68, meaningfully above the industry peer mean (~74.65) and median (~75.78), while price-to-book at 2.68 sits below the industry peer mean (~3.51). Forward P/E of ~58.01 and forward PEG under 1.0 suggest analysts see faster earnings normalization ahead. WMDST values the stock as under-valued based on the supplied valuation model; that view hinges on the company’s cash generation and forward earnings profile despite current margin compression.
Earnings and distributions: Reported EPS of $0.26 matched expectations with an EPS surprise of ~0.84%. Dividend yield stands at 1.825% with a payout ratio of ~224.6%, indicating dividends represent a large share of reported earnings for the period and warrant monitoring alongside cash flow trends.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-06-30 |
| REPORT DATE: | 2026-07-23 |
| NEXT REPORT DATE: | 2026-10-22 |
| CASH FLOW | Begin Period Cash Flow | $ 278.4 M |
| Operating Cash Flow | $ 108.7 M | |
| Capital Expenditures | $ -7.16 M | |
| Change In Working Capital | $ 152.1 M | |
| Dividends Paid | $ -59.12 M | |
| Cash Flow Delta | $ 46.3 M | |
| End Period Cash Flow | $ 324.7 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 1.3 B | |
| Forward Revenue | $ 639.1 M | |
| COSTS | ||
| Cost Of Revenue | $ 862.3 M | |
| Depreciation | $ 12.4 M | |
| Depreciation and Amortization | $ 18.3 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 1.4 B | |
| PROFITABILITY | ||
| Gross Profit | $ 474.0 M | |
| EBITDA | $ -43.96 M | |
| EBIT | $ -62.30 M | |
| Operating Income | $ -62.30 M | |
| Interest Income | $ 2.0 M | |
| Interest Expense | — | |
| Net Interest Income | $ 2.0 M | |
| Income Before Tax | $ 40.6 M | |
| Tax Provision | $ 14.3 M | |
| Tax Rate | 35.165 % | |
| Net Income | $ 26.3 M | |
| Net Income From Continuing Operations | $ 26.3 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.26 | |
| EPS Actual | $ 0.26 | |
| EPS Difference | $ 0.00 | |
| EPS Surprise | 0.84 % | |
| Forward EPS | $ 0.49 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 2.9 B | |
| Intangible Assets | $ 252.2 M | |
| Net Tangible Assets | $ 955.5 M | |
| Total Current Assets | $ 2.1 B | |
| Cash and Short-Term Investments | $ 324.7 M | |
| Cash | $ 324.7 M | |
| Net Receivables | $ 821.4 M | |
| Inventory | — | |
| Long-Term Investments | — | |
| LIABILITIES | ||
| Accounts Payable | $ 171.7 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 1.5 B | |
| Net Debt | — | |
| Total Debt | $ 240.8 M | |
| Total Liabilities | $ 1.7 B | |
| EQUITY | ||
| Total Equity | $ 1.2 B | |
| Retained Earnings | — | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 11.80 | |
| Shares Outstanding | 102.362 M | |
| Revenue Per-Share | $ 13.06 | |
| VALUATION | Market Capitalization | $ 3.2 B |
| Enterprise Value | $ 3.2 B | |
| Enterprise Multiple | -71.758 | |
| Enterprise Multiple QoQ | -251.02 % | |
| Enterprise Multiple YoY | -141.873 % | |
| Enterprise Multiple IPRWA | high: 87.564 median: 51.061 mean: 48.826 low: -17.741 RHI: -71.758 |
|
| EV/R | 2.361 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.367 | |
| Asset To Liability | 1.732 | |
| Debt To Capital | 0.166 | |
| Debt To Assets | 0.084 | |
| Debt To Assets QoQ | -9.614 % | |
| Debt To Assets YoY | -2.081 % | |
| Debt To Assets IPRWA | high: 0.825 mean: 0.305 median: 0.254 low: 0.087 RHI: 0.084 |
|
| Debt To Equity | 0.199 | |
| Debt To Equity QoQ | -2.57 % | |
| Debt To Equity YoY | 7.366 % | |
| Debt To Equity IPRWA | high: 1.577 mean: 0.728 median: 0.553 RHI: 0.199 low: 0.133 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 2.682 | |
| Price To Book QoQ | 23.78 % | |
| Price To Book YoY | -12.374 % | |
| Price To Book IPRWA | high: 6.868 median: 3.557 mean: 3.512 RHI: 2.682 low: 0.852 |
|
| Price To Earnings (P/E) | 121.681 | |
| Price To Earnings QoQ | -34.604 % | |
| Price To Earnings YoY | 11.863 % | |
| Price To Earnings IPRWA | RHI: 121.681 high: 92.268 median: 75.78 mean: 74.654 low: -12.997 |
|
| PE/G Ratio | 1.42 | |
| Price To Sales (P/S) | 2.423 | |
| Price To Sales QoQ | 18.123 % | |
| Price To Sales YoY | -17.323 % | |
| Price To Sales IPRWA | high: 20.251 mean: 12.758 median: 11.794 RHI: 2.423 low: 0.54 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 58.014 | |
| Forward PE/G | 0.677 | |
| Forward P/S | 5.067 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -96.574 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.481 | |
| Asset Turnover Ratio QoQ | 2.743 % | |
| Asset Turnover Ratio YoY | -3.015 % | |
| Asset Turnover Ratio IPRWA | RHI: 0.481 high: 0.403 mean: 0.153 median: 0.108 low: 0.108 |
|
| Receivables Turnover | 1.673 | |
| Receivables Turnover Ratio QoQ | -1.912 % | |
| Receivables Turnover Ratio YoY | -1.482 % | |
| Receivables Turnover Ratio IPRWA | high: 2.8 RHI: 1.673 median: 1.563 mean: 1.539 low: 0.881 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 54.551 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | — | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 214.847 mean: 9.114 RHI: 0 median: -12.298 low: -54.626 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 1.96 | |
| CapEx To Revenue | -0.005 | |
| CapEx To Depreciation | -0.579 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 1.2 B | |
| Net Invested Capital | $ 1.2 B | |
| Invested Capital | $ 1.2 B | |
| Net Tangible Assets | $ 955.5 M | |
| Net Working Capital | $ 681.9 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.223 | |
| Current Ratio | 1.468 | |
| Current Ratio QoQ | -5.398 % | |
| Current Ratio YoY | -6.538 % | |
| Current Ratio IPRWA | high: 4.765 RHI: 1.468 mean: 1.074 median: 0.602 low: 0.441 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | -5.478 | |
| Cost Of Debt | 0.0 % | |
| Interest Coverage Ratio | -6229.9 | |
| Interest Coverage Ratio QoQ | -268.782 % | |
| Interest Coverage Ratio YoY | -4145.39 % | |
| Interest Coverage Ratio IPRWA | high: 22.063 median: 12.043 mean: 9.309 low: -4.336 RHI: -6229.9 |
|
| Operating Cash Flow Ratio | 0.018 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 17.655 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 0.445 | |
| Dividend Payout Ratio | 2.246 | |
| Dividend Rate | $ 0.58 | |
| Dividend Yield | 0.018 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 5.725 % | |
| Revenue Growth | 2.783 % | |
| Revenue Growth QoQ | -1746.746 % | |
| Revenue Growth YoY | 110.993 % | |
| Revenue Growth IPRWA | high: 33.261 % median: 3.105 % RHI: 2.783 % mean: 0.765 % low: -19.606 % |
|
| Earnings Growth | 85.714 % | |
| Earnings Growth QoQ | -252.38 % | |
| Earnings Growth YoY | -39.286 % | |
| Earnings Growth IPRWA | high: 166.667 % RHI: 85.714 % median: 4.237 % mean: 2.732 % low: -63.6 % |
|
| MARGINS | ||
| Gross Margin | 35.471 % | |
| Gross Margin QoQ | -3.901 % | |
| Gross Margin YoY | -4.635 % | |
| Gross Margin IPRWA | high: 89.337 % median: 54.491 % mean: 48.963 % RHI: 35.471 % low: 10.618 % |
|
| EBIT Margin | -4.662 % | |
| EBIT Margin QoQ | -264.213 % | |
| EBIT Margin YoY | -4262.5 % | |
| EBIT Margin IPRWA | high: 28.966 % median: 20.418 % mean: 19.84 % RHI: -4.662 % low: -6.937 % |
|
| Return On Sales (ROS) | -4.662 % | |
| Return On Sales QoQ | -264.213 % | |
| Return On Sales YoY | -4262.5 % | |
| Return On Sales IPRWA | high: 28.557 % median: 19.701 % mean: 19.622 % RHI: -4.662 % low: -6.937 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 101.5 M | |
| Free Cash Flow Yield | 3.136 % | |
| Free Cash Flow Yield QoQ | -169.227 % | |
| Free Cash Flow Yield YoY | 20.848 % | |
| Free Cash Flow Yield IPRWA | high: 7.976 % RHI: 3.136 % mean: 2.192 % median: 1.878 % low: -3.323 % |
|
| Free Cash Growth | -184.034 % | |
| Free Cash Growth QoQ | 7.779 % | |
| Free Cash Growth YoY | -24.958 % | |
| Free Cash Growth IPRWA | high: 288.871 % median: 68.56 % mean: 27.988 % RHI: -184.034 % low: -587.473 % |
|
| Free Cash To Net Income | 3.858 | |
| Cash Flow Margin | 1.918 % | |
| Cash Flow To Earnings | 0.974 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 0.946 % | |
| Return On Assets QoQ | 90.726 % | |
| Return On Assets YoY | -36.167 % | |
| Return On Assets IPRWA | high: 4.346 % mean: 1.853 % median: 1.825 % RHI: 0.946 % low: -2.457 % |
|
| Return On Capital Employed (ROCE) | -4.442 % | |
| Return On Equity (ROE) | 0.022 | |
| Return On Equity QoQ | 94.554 % | |
| Return On Equity YoY | -30.227 % | |
| Return On Equity IPRWA | high: 0.1 median: 0.04 mean: 0.038 RHI: 0.022 low: -0.156 |
|
| DuPont ROE | 2.158 % | |
| Return On Invested Capital (ROIC) | -3.345 % | |
| Return On Invested Capital QoQ | -285.937 % | |
| Return On Invested Capital YoY | -4388.462 % | |
| Return On Invested Capital IPRWA | high: 6.604 % median: 2.898 % mean: 2.78 % low: -2.601 % RHI: -3.345 % |
|