Recent News
Mar 1, 2026 — Management announced expanded buybacks and a deeper AI focus, including a new premium tier and extended repurchase authorization. Jan 14, 2026 — An internal roadmap revealed a push into direct‑to‑consumer product lines and further AI investment. Feb 4, 2026 — Insider selling triggered a new 12‑month low intraday. Late Feb 2026 — Company reported full‑year 2025 revenue growth and authorized up to an additional $400M in share repurchases while raising 2026 guidance.
Technical Analysis
Directional indicators: ADX at 28.32 signals a strong underlying trend; DI+ shows a peak‑and‑reversal while DI‑ sits higher but is decreasing. The prevailing directional bias therefore favors downside pressure despite weakening bearish momentum, which implies trend strength with a tilt toward sellers for now.
MACD: MACD at -0.21 has turned higher and currently sits above the signal line (-0.40), indicating a bullish momentum shift and a short‑term move from negative toward constructive momentum.
MRO: MRO equals -30.51 with a dip‑and‑reversal pattern, indicating the price sits meaningfully below the model target and therefore carries a measurable potential for upward mean reversion in the near term.
RSI: RSI at 40.04 and rising shows rebuilding buying pressure from lower levels and room to advance before reaching overbought territory; the upward RSI trend supports the MACD signal for a short‑term rally attempt.
Price structure and averages: Price closed at $11.38, trading above the 12‑day EMA ($11.10) and roughly in line with the 26‑day EMA ($11.24), but well below the 200‑day average ($16.07). Bollinger bands place the close just below the 1‑sigma upper band, suggesting short‑term resistance near current levels and scope for mean reversion.
Fundamental Analysis
Profitability and margins: Operating margin stands at 39.08% and EBIT margin at 38.52%, with QoQ EBIT‑margin expansion of 61.49% but a YoY decline of 6.19%. The EBIT margin sits slightly below the industry peer mean (41.14%) yet well above the industry peer median, indicating high absolute profitability while lagging the peer mean modestly.
Top‑line and growth: Total revenue reached $115,766,000 with YoY revenue growth of 30.68% and QoQ growth of 1.21%, reflecting continued demand expansion while quarter‑to‑quarter momentum moderates.
Per‑share metrics and surprises: Reported EPS of $0.17 exceeded the estimate of $0.11 by $0.06, a 54.5% earnings surprise, reflecting margin leverage on revenue growth.
Cash flow and liquidity: Operating cash flow at $55,449,000 and free cash flow of $51,243,000 produce a free cash flow yield of 1.84%, above the industry peer mean. Cash and short‑term investments total $6,327,000 while the current ratio equals 0.82, below the industry peer mean of 1.82, denoting compressed near‑term liquidity.
Leverage and balance sheet: Total debt equals $283,240,000 with debt‑to‑assets of 64.49% and debt‑to‑equity of 3.99, materially above the industry peer means; interest coverage near 9.55x provides comfort on servicing ability, but leverage represents a clear capital‑structure risk that can cap valuation multiple expansion.
Valuation: P/E of 94.61 sits above the industry peer mean (80.88) and price‑to‑book at 39.36 far exceeds the industry peer mean (7.74). WMDST values the stock as over‑valued based on the current combination of high multiples and elevated leverage despite strong margin and cash‑flow metrics.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-11-06 |
| NEXT REPORT DATE: | 2026-05-28 |
| CASH FLOW | Begin Period Cash Flow | $ 121.4 M |
| Operating Cash Flow | $ 55.4 M | |
| Capital Expenditures | $ -4.21 M | |
| Change In Working Capital | $ 16.4 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -114.50 M | |
| End Period Cash Flow | $ 6.9 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 115.8 M | |
| Forward Revenue | $ 26.8 M | |
| COSTS | ||
| Cost Of Revenue | $ 28.9 M | |
| Depreciation | $ 1.3 M | |
| Depreciation and Amortization | $ 1.3 M | |
| Research and Development | $ 11.1 M | |
| Total Operating Expenses | $ 70.5 M | |
| PROFITABILITY | ||
| Gross Profit | $ 86.8 M | |
| EBITDA | $ 45.8 M | |
| EBIT | $ 44.6 M | |
| Operating Income | $ 45.2 M | |
| Interest Income | — | |
| Interest Expense | $ 4.7 M | |
| Net Interest Income | $ -4.67 M | |
| Income Before Tax | $ 39.9 M | |
| Tax Provision | $ 9.1 M | |
| Tax Rate | 22.759 % | |
| Net Income | $ 30.8 M | |
| Net Income From Continuing Operations | $ 30.8 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.11 | |
| EPS Actual | $ 0.17 | |
| EPS Difference | $ 0.06 | |
| EPS Surprise | 54.545 % | |
| Forward EPS | $ 0.15 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 439.2 M | |
| Intangible Assets | $ 354.0 M | |
| Net Tangible Assets | $ -283.00 M | |
| Total Current Assets | $ 77.3 M | |
| Cash and Short-Term Investments | $ 6.3 M | |
| Cash | $ 6.3 M | |
| Net Receivables | $ 58.8 M | |
| Inventory | — | |
| Long-Term Investments | $ 2.0 M | |
| LIABILITIES | ||
| Accounts Payable | $ 4.1 M | |
| Short-Term Debt | $ 15.0 M | |
| Total Current Liabilities | $ 93.9 M | |
| Net Debt | $ 273.6 M | |
| Total Debt | $ 283.2 M | |
| Total Liabilities | $ 368.2 M | |
| EQUITY | ||
| Total Equity | $ 71.0 M | |
| Retained Earnings | $ -117.32 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 0.38 | |
| Shares Outstanding | 184.495 M | |
| Revenue Per-Share | $ 0.63 | |
| VALUATION | Market Capitalization | $ 2.8 B |
| Enterprise Value | $ 3.1 B | |
| Enterprise Multiple | 66.951 | |
| Enterprise Multiple QoQ | -50.28 % | |
| Enterprise Multiple YoY | 26.218 % | |
| Enterprise Multiple IPRWA | high: 279.681 GRND: 66.951 mean: 59.397 median: 55.385 low: -157.057 |
|
| EV/R | 26.516 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 6.19 | |
| Asset To Liability | 1.193 | |
| Debt To Capital | 0.8 | |
| Debt To Assets | 0.645 | |
| Debt To Assets QoQ | 22.783 % | |
| Debt To Assets YoY | 1862.032 % | |
| Debt To Assets IPRWA | high: 0.89 GRND: 0.645 mean: 0.095 median: 0.057 low: 0.001 |
|
| Debt To Equity | 3.992 | |
| Debt To Equity QoQ | 160.478 % | |
| Debt To Equity YoY | -456.689 % | |
| Debt To Equity IPRWA | GRND: 3.992 high: 1.778 mean: 0.145 median: 0.064 low: -0.923 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 39.36 | |
| Price To Book QoQ | 105.588 % | |
| Price To Book YoY | -124.04 % | |
| Price To Book IPRWA | GRND: 39.36 high: 11.238 mean: 7.741 median: 7.289 low: -1.614 |
|
| Price To Earnings (P/E) | 94.608 | |
| Price To Earnings QoQ | -63.198 % | |
| Price To Earnings YoY | -31.637 % | |
| Price To Earnings IPRWA | high: 229.272 GRND: 94.608 mean: 80.877 median: 57.03 low: -128.849 |
|
| PE/G Ratio | 0.946 | |
| Price To Sales (P/S) | 24.124 | |
| Price To Sales QoQ | -30.032 % | |
| Price To Sales YoY | -1.802 % | |
| Price To Sales IPRWA | high: 36.022 mean: 29.226 median: 27.551 GRND: 24.124 low: 0.003 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 157.196 | |
| Forward PE/G | 1.572 | |
| Forward P/S | 146.609 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 7.165 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.235 | |
| Asset Turnover Ratio QoQ | 38.123 % | |
| Asset Turnover Ratio YoY | 17.069 % | |
| Asset Turnover Ratio IPRWA | high: 0.5 GRND: 0.235 mean: 0.189 median: 0.182 low: 0.003 |
|
| Receivables Turnover | 1.998 | |
| Receivables Turnover Ratio QoQ | 5.725 % | |
| Receivables Turnover Ratio YoY | -5.77 % | |
| Receivables Turnover Ratio IPRWA | high: 11.52 mean: 2.135 GRND: 1.998 median: 1.643 low: 0.143 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 45.68 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 35.899 | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 125.332 GRND: 35.899 median: 15.557 mean: 3.845 low: -343.916 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | -6.981 | |
| CapEx To Revenue | -0.036 | |
| CapEx To Depreciation | -3.333 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 335.9 M | |
| Net Invested Capital | $ 350.9 M | |
| Invested Capital | $ 350.9 M | |
| Net Tangible Assets | $ -283.00 M | |
| Net Working Capital | $ -16.58 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.067 | |
| Current Ratio | 0.823 | |
| Current Ratio QoQ | -66.767 % | |
| Current Ratio YoY | -43.715 % | |
| Current Ratio IPRWA | high: 8.871 mean: 1.817 median: 1.611 GRND: 0.823 low: 0.217 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 6.178 | |
| Cost Of Debt | 1.263 % | |
| Interest Coverage Ratio | 9.552 | |
| Interest Coverage Ratio QoQ | 36.957 % | |
| Interest Coverage Ratio YoY | 66.686 % | |
| Interest Coverage Ratio IPRWA | high: 197.383 mean: 82.816 GRND: 9.552 median: 8.247 low: -113.554 |
|
| Operating Cash Flow Ratio | 0.348 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 9.782 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -19.801 % | |
| Revenue Growth | 11.078 % | |
| Revenue Growth QoQ | 1.206 % | |
| Revenue Growth YoY | 30.683 % | |
| Revenue Growth IPRWA | high: 25.814 % GRND: 11.078 % mean: 6.717 % median: 4.74 % low: -21.192 % |
|
| Earnings Growth | 100.0 % | |
| Earnings Growth QoQ | -600.0 % | |
| Earnings Growth YoY | -159.091 % | |
| Earnings Growth IPRWA | high: 177.966 % GRND: 100.0 % median: 11.765 % mean: -1.837 % low: -250.0 % |
|
| MARGINS | ||
| Gross Margin | 75.019 % | |
| Gross Margin QoQ | 1.787 % | |
| Gross Margin YoY | 0.905 % | |
| Gross Margin IPRWA | high: 97.596 % GRND: 75.019 % mean: 65.055 % median: 54.61 % low: -1.845 % |
|
| EBIT Margin | 38.515 % | |
| EBIT Margin QoQ | 61.488 % | |
| EBIT Margin YoY | -6.191 % | |
| EBIT Margin IPRWA | high: 49.713 % mean: 41.142 % GRND: 38.515 % median: 16.956 % low: -49.635 % |
|
| Return On Sales (ROS) | 39.08 % | |
| Return On Sales QoQ | 67.295 % | |
| Return On Sales YoY | -4.815 % | |
| Return On Sales IPRWA | high: 49.713 % GRND: 39.08 % mean: 31.411 % median: 15.318 % low: -59.443 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 51.2 M | |
| Free Cash Flow Yield | 1.835 % | |
| Free Cash Flow Yield QoQ | 79.902 % | |
| Free Cash Flow Yield YoY | 44.375 % | |
| Free Cash Flow Yield IPRWA | high: 14.053 % GRND: 1.835 % median: 0.868 % mean: 0.813 % low: -14.281 % |
|
| Free Cash Growth | 39.863 % | |
| Free Cash Growth QoQ | -31.461 % | |
| Free Cash Growth YoY | -58.9 % | |
| Free Cash Growth IPRWA | high: 483.929 % mean: 266.0 % median: 164.246 % GRND: 39.863 % low: -537.101 % |
|
| Free Cash To Net Income | 1.662 | |
| Cash Flow Margin | 28.245 % | |
| Cash Flow To Earnings | 1.06 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 6.249 % | |
| Return On Assets QoQ | 130.42 % | |
| Return On Assets YoY | 12.839 % | |
| Return On Assets IPRWA | high: 8.647 % GRND: 6.249 % mean: 5.053 % median: 2.758 % low: -11.32 % |
|
| Return On Capital Employed (ROCE) | 12.913 % | |
| Return On Equity (ROE) | 0.435 | |
| Return On Equity QoQ | 390.197 % | |
| Return On Equity YoY | -123.599 % | |
| Return On Equity IPRWA | GRND: 0.435 high: 0.135 mean: 0.069 median: 0.037 low: -0.144 |
|
| DuPont ROE | 23.843 % | |
| Return On Invested Capital (ROIC) | 9.816 % | |
| Return On Invested Capital QoQ | 138.137 % | |
| Return On Invested Capital YoY | -107.919 % | |
| Return On Invested Capital IPRWA | high: 16.42 % GRND: 9.816 % mean: 7.878 % median: 3.592 % low: -14.369 % |
|