Recent News
On September 2, 2025 the Board approved an annual dividend increase to $2.10 per share, effective with the third-quarter payment of $0.525 per share payable September 30, 2025. On October 7, 2025 Stewart entered into a new $300 million revolving credit facility with a five‑year maturity to October 2030, replacing its 2021 agreement and providing a $100 million increase in revolving capacity plus an incremental expansion option.
Technical Analysis
Directional indicators show a low-strength environment: ADX registers 14.37, which indicates no dominant trend. Both DI+ at 24.08 and DI- at 24.42 reflect recent tug-of-war activity; DI+ displays a dip & reversal while DI- shows a peak & reversal, which together favor a bullish tilt for directional momentum.
MACD reads 0.04 with a MACD signal at -0.18, and the MACD trend shows dip & reversal. The MACD currently sits above its signal line, which signals bullish momentum and supports near-term positive price bias.
MRO sits at 4.18 and carries an increasing trend. Because MRO remains positive, price sits above the model target and carries potential for mean-reversion pressure; the increasing MRO suggests that the magnitude of that above-target position has grown, implying constrained upside without confirmation from other momentum measures.
RSI registers 50.99 with a dip & reversal trend. That neutral RSI level, combined with the reversal reading, indicates regained short-term buying interest that supports stabilization around current levels rather than strong breakout behavior.
Price relationships favor short-term support: the close at $72.28 exceeds the 20‑day average $70.96, the 50‑day average $71.84, and the 200‑day average $67.06, while the 12‑ and 26‑day EMAs (≈$71.12 and $71.02) display dip & reversal characteristics. Bollinger bands place the upper 1σ near $73.33 and lower 1σ near $68.60, leaving the stock inside the upper neutral band and close to short-term resistance.
Ichimoku components show the Tenkan‑Sen at $70.64 and the Kijun‑Sen at $71.89; the Tenkan below the Kijun implies recent short-term momentum lag, while price sits between Senkou A $74.04 and Senkou B $67.19, suggesting the cloud establishes a nearby range. Low ADX and subdued 42‑day beta (0.06) favor range trading and muted volatility.
Fundamental Analysis
Revenue stands at $796.9 million with YoY revenue growth of -5.15% and QoQ revenue growth of -42.53%, reflecting recent top-line contraction on a quarterly basis. Net income registers $44.259 million and EBIT equals $66.07 million, producing an EBIT margin of 8.29% compared with the industry peer mean of 20.36% and industry peer median of 16.345%; the company’s margin rates land below peer central measures but above the industry peer low.
EPS actual arrived at $1.64 versus an estimate of $1.38, yielding an EPS surprise ratio of 18.84% and an EPS difference of $0.26, which reflects stronger-than-expected per‑share profitability for the quarter. Forward EPS stands at $1.4475 and forward P/E near 48.51, with the reported trailing P/E at 42.62 compared with the industry peer mean P/E of 46.21 and median of 48.95; the trailing P/E sits modestly below peer central tendency.
Balance sheet and liquidity metrics show $188.5 million cash and $233.2 million in cash and short‑term investments against total debt of $571.1 million and net debt of $257.6 million. Interest coverage registers 13.49x and cost of debt approximates 0.66%, reflecting low financing costs and ample coverage. The recent $300 million revolving facility augments liquidity and supports working capital flexibility.
Capital allocation shows a dividend payout ratio at 33.23% with dividend coverage near 3.01x; the Board increased the annual dividend to $2.10, reinforcing return-of-capital priorities. Free cash flow equals $73.559 million with a free cash flow yield of 3.756% compared with an industry peer mean of 4.669%; free cash flow growth displays a YoY decline of -80.621% and QoQ contraction, evidencing short-term cash generation volatility despite positive absolute free cash.
Efficiency and returns register return on assets at 1.573% and return on equity at 3.004%. Earnings growth shows 22.388% on the most recent measure versus an industry peer mean of 17.584%, while earnings growth QoQ and YoY reflect steep declines; these mixed timing signals point to secular improvement in year-over-year earnings but significant quarter-to-quarter variability.
Valuation summary: WMDST values the stock as under‑valued. Key valuation multiples—P/B ~1.33, trailing P/E ~42.62, and free cash flow yield ~3.76%—sit below several industry peer central measures, while earnings growth outpaced the industry peer mean; the combination supports a valuation discount against peers with caveats on recent revenue and free‑cash variability.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-10-22 |
| NEXT REPORT DATE: | 2026-01-21 |
| CASH FLOW | Begin Period Cash Flow | $ 178.1 M |
| Operating Cash Flow | $ 92.6 M | |
| Capital Expenditures | $ -19.09 M | |
| Change In Working Capital | $ 31.1 M | |
| Dividends Paid | $ -14.71 M | |
| Cash Flow Delta | $ 10.4 M | |
| End Period Cash Flow | $ 188.5 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 796.9 M | |
| Forward Revenue | $ 182.6 M | |
| COSTS | ||
| Cost Of Revenue | — | |
| Depreciation | $ 15.4 M | |
| Depreciation and Amortization | $ 15.4 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 735.7 M | |
| PROFITABILITY | ||
| Gross Profit | — | |
| EBITDA | — | |
| EBIT | $ 66.1 M | |
| Operating Income | — | |
| Interest Income | — | |
| Interest Expense | $ 4.9 M | |
| Net Interest Income | $ -4.90 M | |
| Income Before Tax | $ 61.2 M | |
| Tax Provision | $ 13.0 M | |
| Tax Rate | 22.7 % | |
| Net Income | $ 44.3 M | |
| Net Income From Continuing Operations | $ 48.2 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.38 | |
| EPS Actual | $ 1.64 | |
| EPS Difference | $ 0.26 | |
| EPS Surprise | 18.841 % | |
| Forward EPS | $ 1.45 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 2.8 B | |
| Intangible Assets | $ 1.4 B | |
| Net Tangible Assets | $ 119.9 M | |
| Total Current Assets | — | |
| Cash and Short-Term Investments | $ 233.2 M | |
| Cash | $ 188.5 M | |
| Net Receivables | $ 146.2 M | |
| Inventory | — | |
| Long-Term Investments | — | |
| LIABILITIES | ||
| Accounts Payable | — | |
| Short-Term Debt | — | |
| Total Current Liabilities | — | |
| Net Debt | $ 257.6 M | |
| Total Debt | $ 571.1 M | |
| Total Liabilities | $ 1.4 B | |
| EQUITY | ||
| Total Equity | $ 1.5 B | |
| Retained Earnings | $ 1.1 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 52.59 | |
| Shares Outstanding | 28.020 M | |
| Revenue Per-Share | $ 28.44 | |
| VALUATION | Market Capitalization | $ 2.0 B |
| Enterprise Value | $ 2.3 B | |
| Enterprise Multiple | — | |
| Enterprise Multiple QoQ | — | |
| Enterprise Multiple YoY | — | |
| Enterprise Multiple IPRWA | — | |
| EV/R | 2.881 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.931 | |
| Asset To Liability | 2.087 | |
| Debt To Capital | 0.279 | |
| Debt To Assets | 0.201 | |
| Debt To Assets QoQ | -3.058 % | |
| Debt To Assets YoY | -3.635 % | |
| Debt To Assets IPRWA | STC: 0.201 high: 0.141 median: 0.057 mean: 0.055 low: 0.001 |
|
| Debt To Equity | 0.388 | |
| Debt To Equity QoQ | -3.214 % | |
| Debt To Equity YoY | -4.062 % | |
| Debt To Equity IPRWA | high: 0.756 STC: 0.388 mean: 0.226 median: 0.225 low: 0.004 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.329 | |
| Price To Book QoQ | 2.102 % | |
| Price To Book YoY | -2.573 % | |
| Price To Book IPRWA | high: 5.628 mean: 2.537 median: 2.059 STC: 1.329 low: 0.343 |
|
| Price To Earnings (P/E) | 42.618 | |
| Price To Earnings QoQ | -9.239 % | |
| Price To Earnings YoY | -28.012 % | |
| Price To Earnings IPRWA | high: 94.63 median: 48.949 mean: 46.209 STC: 42.618 low: -40.375 |
|
| PE/G Ratio | 1.904 | |
| Price To Sales (P/S) | 2.457 | |
| Price To Sales QoQ | -5.179 % | |
| Price To Sales YoY | -14.491 % | |
| Price To Sales IPRWA | high: 21.099 mean: 6.435 median: 6.435 STC: 2.457 low: 1.44 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 48.514 | |
| Forward PE/G | 2.167 | |
| Forward P/S | 10.727 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 2.679 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.283 | |
| Asset Turnover Ratio QoQ | 7.634 % | |
| Asset Turnover Ratio YoY | 13.974 % | |
| Asset Turnover Ratio IPRWA | STC: 0.283 high: 0.24 mean: 0.117 median: 0.092 low: 0.008 |
|
| Receivables Turnover | 5.472 | |
| Receivables Turnover Ratio QoQ | 6.338 % | |
| Receivables Turnover Ratio YoY | 8.92 % | |
| Receivables Turnover Ratio IPRWA | STC: 5.472 high: 1.533 mean: 0.712 median: 0.54 low: 0.074 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 16.675 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 16.675 | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | -45.346 % | |
| Cash Conversion Cycle Days IPRWA | high: 730.956 median: 169.083 mean: 167.153 low: 20.93 STC: 16.675 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | — | |
| CapEx To Revenue | -0.024 | |
| CapEx To Depreciation | -1.24 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 1.9 B | |
| Net Invested Capital | $ 1.9 B | |
| Invested Capital | $ 1.9 B | |
| Net Tangible Assets | $ 119.9 M | |
| Net Working Capital | — | |
| LIQUIDITY | ||
| Cash Ratio | — | |
| Current Ratio | — | |
| Current Ratio QoQ | — | |
| Current Ratio YoY | — | |
| Current Ratio IPRWA | — | |
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | — | |
| Cost Of Debt | 0.66 % | |
| Interest Coverage Ratio | 13.489 | |
| Interest Coverage Ratio QoQ | 29.158 % | |
| Interest Coverage Ratio YoY | 38.566 % | |
| Interest Coverage Ratio IPRWA | high: 116.282 median: 48.471 mean: 39.712 STC: 13.489 low: -55.0 |
|
| Operating Cash Flow Ratio | — | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | — | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 3.009 | |
| Dividend Payout Ratio | 0.332 | |
| Dividend Rate | $ 0.52 | |
| Dividend Yield | 0.008 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 2.315 % | |
| Revenue Growth | 10.349 % | |
| Revenue Growth QoQ | -42.528 % | |
| Revenue Growth YoY | -5.151 % | |
| Revenue Growth IPRWA | high: 21.706 % STC: 10.349 % mean: 3.242 % median: 2.506 % low: -9.075 % |
|
| Earnings Growth | 22.388 % | |
| Earnings Growth QoQ | -94.865 % | |
| Earnings Growth YoY | -21.641 % | |
| Earnings Growth IPRWA | high: 88.047 % STC: 22.388 % median: 21.127 % mean: 17.584 % low: -70.536 % |
|
| MARGINS | ||
| Gross Margin | — | |
| Gross Margin QoQ | — | |
| Gross Margin YoY | — | |
| Gross Margin IPRWA | — | |
| EBIT Margin | 8.291 % | |
| EBIT Margin QoQ | 15.748 % | |
| EBIT Margin YoY | 16.12 % | |
| EBIT Margin IPRWA | high: 42.337 % mean: 20.355 % median: 16.345 % STC: 8.291 % low: -4.597 % |
|
| Return On Sales (ROS) | — | |
| Return On Sales QoQ | — | |
| Return On Sales YoY | — | |
| Return On Sales IPRWA | — | |
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 73.6 M | |
| Free Cash Flow Yield | 3.756 % | |
| Free Cash Flow Yield QoQ | 81.801 % | |
| Free Cash Flow Yield YoY | 6.948 % | |
| Free Cash Flow Yield IPRWA | high: 16.743 % mean: 4.669 % median: 3.88 % STC: 3.756 % low: 0.067 % |
|
| Free Cash Growth | 90.257 % | |
| Free Cash Growth QoQ | -147.124 % | |
| Free Cash Growth YoY | -80.621 % | |
| Free Cash Growth IPRWA | high: 193.891 % STC: 90.257 % mean: 43.62 % median: 30.244 % low: -213.064 % |
|
| Free Cash To Net Income | 1.662 | |
| Cash Flow Margin | 7.352 % | |
| Cash Flow To Earnings | 1.324 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 1.573 % | |
| Return On Assets QoQ | 35.254 % | |
| Return On Assets YoY | 40.446 % | |
| Return On Assets IPRWA | high: 5.668 % median: 2.207 % mean: 1.877 % STC: 1.573 % low: -2.111 % |
|
| Return On Capital Employed (ROCE) | — | |
| Return On Equity (ROE) | 0.03 | |
| Return On Equity QoQ | 35.315 % | |
| Return On Equity YoY | 40.439 % | |
| Return On Equity IPRWA | high: 0.147 median: 0.073 mean: 0.067 STC: 0.03 low: -0.073 |
|
| DuPont ROE | 3.041 % | |
| Return On Invested Capital (ROIC) | 2.661 % | |
| Return On Invested Capital QoQ | 27.199 % | |
| Return On Invested Capital YoY | -75.377 % | |
| Return On Invested Capital IPRWA | high: 11.38 % median: 6.307 % mean: 5.654 % STC: 2.661 % low: -2.951 % |
|