Recent News
On February 26, 2026 the company reported full-year 2025 revenue up 28% and issued guidance for 2026 that targets material revenue and adjusted EBITDA growth. Morgan Stanley initiated coverage on February 24, 2026 with an equal-weight stance, signaling renewed institutional attention. The company set its 2026 virtual annual meeting for June 2, 2026 and disclosed associated proxy deadlines. A January 27, 2026 filing reported a major shareholder sale, reflecting active insider liquidity events earlier in the year.
Technical Analysis
Directional Indicators: ADX at 20.47 signals an emerging trend rather than an established directional move; the DI+ dip & reversal combined with DI- decreasing implies recent bullish directional pressure that remains fragile.
MACD: MACD reads 0.02 with an increasing trend and sits above its signal line (-0.14), which registers as a bullish momentum crossover that supports the short-term recovery narrative.
MRO: MRO stands at -13.12 while trending higher, indicating price currently sits below WMDST’s target and therefore carries measured upside potential as momentum converges toward the target.
RSI & Momentum: RSI at 44.13 and rising indicates improving buying interest without overbought extremes, complementing the MACD crossover for a cautiously constructive near-term bias.
Price Structure: The stock trades at $11.91, above the 12-day and 26-day EMAs and the 20-day average, which provides short-term support; price remains below the 200-day average of $15.64, leaving longer-term resistance intact. Bollinger bands show the share price sitting modestly above the 1x upper band, signaling compression on intraday volatility.
Fundamental Analysis
Profitability: Operating income equals $31,309,000 with EBIT of $31,368,000 and an EBIT margin of 24.9%, below the industry peer mean of 35.36% and below the industry peer median of 34.63% but inside the industry peer range. QoQ EBIT margin declined ~35.35% and YoY fell ~120.42%, reflecting margin pressure versus recent periods.
Top Line & Cash Flow: Total revenue reached $125,974,000 with revenue growth of 8.82% (another reported YoY figure shows -5.05%); operating cash flow registered $9,753,000 and free cash flow totaled $21,856,000, producing a free cash flow yield near 0.97% and a cash conversion ratio of 1.55x. Free cash flow contracted significantly QoQ and YoY, reducing near-term internal funding flexibility.
Balance Sheet & Leverage: Cash and short-term investments total $87,045,000 against net debt of $308,814,000; total debt stands at $400,588,000. Debt-to-assets equals 75.44%, and debt-to-equity sits near 8.52, indicating a highly leveraged capital structure relative to asset base and equity.
Returns & Efficiency: Return on equity measures 43.10% while return on assets registers 4.18%; asset turnover equals 0.2597 and sits above the industry peer mean of 0.1964, suggesting efficient revenue generation from the asset base despite margin compression.
Earnings & Guidance Context: Reported EPS of $0.10 missed the $0.12 estimate (an EPS surprise of -16.7%); forward EPS sits at $0.19 with a forward P/E of ~74.05. WMDST values the stock as over-valued, a view driven by elevated multiples (P/E ~121.25 trailing, P/S ~17.81, P/B ~47.73) combined with material leverage despite sizable cash reserves.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-03-02 |
| NEXT REPORT DATE: | 2026-06-01 |
| CASH FLOW | Begin Period Cash Flow | $ 6.9 M |
| Operating Cash Flow | $ 9.8 M | |
| Capital Expenditures | $ -2.90 M | |
| Change In Working Capital | $ -21.25 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 80.7 M | |
| End Period Cash Flow | $ 87.7 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 126.0 M | |
| Forward Revenue | $ 54.6 M | |
| COSTS | ||
| Cost Of Revenue | $ 31.7 M | |
| Depreciation | $ 1.1 M | |
| Depreciation and Amortization | $ 1.1 M | |
| Research and Development | $ 14.6 M | |
| Total Operating Expenses | $ 94.7 M | |
| PROFITABILITY | ||
| Gross Profit | $ 94.3 M | |
| EBITDA | $ 32.4 M | |
| EBIT | $ 31.4 M | |
| Operating Income | $ 31.3 M | |
| Interest Income | — | |
| Interest Expense | $ 5.5 M | |
| Net Interest Income | $ -5.54 M | |
| Income Before Tax | $ 25.8 M | |
| Tax Provision | $ 5.6 M | |
| Tax Rate | 21.57 % | |
| Net Income | $ 20.3 M | |
| Net Income From Continuing Operations | $ 20.3 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.12 | |
| EPS Actual | $ 0.10 | |
| EPS Difference | $ -0.02 | |
| EPS Surprise | -16.667 % | |
| Forward EPS | $ 0.19 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 531.0 M | |
| Intangible Assets | $ 354.5 M | |
| Net Tangible Assets | $ -307.53 M | |
| Total Current Assets | $ 166.0 M | |
| Cash and Short-Term Investments | $ 87.0 M | |
| Cash | $ 87.0 M | |
| Net Receivables | $ 67.9 M | |
| Inventory | — | |
| Long-Term Investments | $ 4.6 M | |
| LIABILITIES | ||
| Accounts Payable | $ 1.7 M | |
| Short-Term Debt | $ 20.0 M | |
| Total Current Liabilities | $ 84.9 M | |
| Net Debt | $ 308.8 M | |
| Total Debt | $ 400.6 M | |
| Total Liabilities | $ 484.0 M | |
| EQUITY | ||
| Total Equity | $ 47.0 M | |
| Retained Earnings | $ -97.06 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 0.25 | |
| Shares Outstanding | 185.035 M | |
| Revenue Per-Share | $ 0.68 | |
| VALUATION | Market Capitalization | $ 2.2 B |
| Enterprise Value | $ 2.6 B | |
| Enterprise Multiple | 78.869 | |
| Enterprise Multiple QoQ | 17.8 % | |
| Enterprise Multiple YoY | -402.007 % | |
| Enterprise Multiple IPRWA | high: 172.49 median: 80.873 GRND: 78.869 mean: 76.159 low: -90.618 |
|
| EV/R | 20.298 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 11.297 | |
| Asset To Liability | 1.097 | |
| Debt To Capital | 0.895 | |
| Debt To Assets | 0.754 | |
| Debt To Assets QoQ | 16.97 % | |
| Debt To Assets YoY | 2309.326 % | |
| Debt To Assets IPRWA | high: 0.891 GRND: 0.754 mean: 0.126 median: 0.1 low: 0.006 |
|
| Debt To Equity | 8.522 | |
| Debt To Equity QoQ | 113.485 % | |
| Debt To Equity YoY | -7574.836 % | |
| Debt To Equity IPRWA | GRND: 8.522 high: 1.94 mean: 0.196 median: 0.143 low: 0.007 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 47.727 | |
| Price To Book QoQ | 21.256 % | |
| Price To Book YoY | -306.589 % | |
| Price To Book IPRWA | GRND: 47.727 high: 12.969 median: 9.015 mean: 8.739 low: -3.34 |
|
| Price To Earnings (P/E) | 121.245 | |
| Price To Earnings QoQ | 28.156 % | |
| Price To Earnings YoY | -594.764 % | |
| Price To Earnings IPRWA | high: 235.36 GRND: 121.245 mean: 103.168 median: 46.975 low: -47.288 |
|
| PE/G Ratio | -2.945 | |
| Price To Sales (P/S) | 17.809 | |
| Price To Sales QoQ | -26.178 % | |
| Price To Sales YoY | -42.804 % | |
| Price To Sales IPRWA | high: 43.568 median: 32.888 mean: 31.818 GRND: 17.809 low: 1.914 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 74.048 | |
| Forward PE/G | -1.798 | |
| Forward P/S | 41.052 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -3.362 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.26 | |
| Asset Turnover Ratio QoQ | 10.676 % | |
| Asset Turnover Ratio YoY | 24.415 % | |
| Asset Turnover Ratio IPRWA | high: 0.615 GRND: 0.26 median: 0.201 mean: 0.196 low: 0.029 |
|
| Receivables Turnover | 1.987 | |
| Receivables Turnover Ratio QoQ | -0.505 % | |
| Receivables Turnover Ratio YoY | -4.736 % | |
| Receivables Turnover Ratio IPRWA | high: 4.951 mean: 2.139 GRND: 1.987 median: 1.897 low: 0.163 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 45.912 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 36.795 | |
| Cash Conversion Cycle Days QoQ | 2.496 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 41.187 GRND: 36.795 median: 25.854 mean: 4.436 low: -246.754 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 1.553 | |
| CapEx To Revenue | -0.023 | |
| CapEx To Depreciation | -2.756 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 422.9 M | |
| Net Invested Capital | $ 442.9 M | |
| Invested Capital | $ 442.9 M | |
| Net Tangible Assets | $ -307.53 M | |
| Net Working Capital | $ 81.1 M | |
| LIQUIDITY | ||
| Cash Ratio | 1.025 | |
| Current Ratio | 1.955 | |
| Current Ratio QoQ | 137.458 % | |
| Current Ratio YoY | 13.329 % | |
| Current Ratio IPRWA | high: 5.845 mean: 2.096 median: 2.005 GRND: 1.955 low: 0.114 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 12.356 | |
| Cost Of Debt | 1.27 % | |
| Interest Coverage Ratio | 5.666 | |
| Interest Coverage Ratio QoQ | -40.678 % | |
| Interest Coverage Ratio YoY | -125.527 % | |
| Interest Coverage Ratio IPRWA | high: 132.265 median: 132.265 mean: 115.823 GRND: 5.666 low: -50.169 |
|
| Operating Cash Flow Ratio | 0.115 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 9.117 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 20.912 % | |
| Revenue Growth | 8.818 % | |
| Revenue Growth QoQ | -20.401 % | |
| Revenue Growth YoY | -5.05 % | |
| Revenue Growth IPRWA | high: 25.747 % mean: 12.12 % median: 11.22 % GRND: 8.818 % low: -27.55 % |
|
| Earnings Growth | -41.176 % | |
| Earnings Growth QoQ | -141.176 % | |
| Earnings Growth YoY | -95.309 % | |
| Earnings Growth IPRWA | high: 300.0 % mean: 2.392 % median: -8.333 % GRND: -41.176 % low: -143.243 % |
|
| MARGINS | ||
| Gross Margin | 74.844 % | |
| Gross Margin QoQ | -0.233 % | |
| Gross Margin YoY | -0.697 % | |
| Gross Margin IPRWA | high: 96.337 % GRND: 74.844 % mean: 63.779 % median: 59.793 % low: 5.477 % |
|
| EBIT Margin | 24.9 % | |
| EBIT Margin QoQ | -35.35 % | |
| EBIT Margin YoY | -120.424 % | |
| EBIT Margin IPRWA | high: 43.094 % mean: 35.361 % median: 34.627 % GRND: 24.9 % low: -41.75 % |
|
| Return On Sales (ROS) | 24.854 % | |
| Return On Sales QoQ | -36.402 % | |
| Return On Sales YoY | -120.386 % | |
| Return On Sales IPRWA | high: 41.315 % mean: 32.556 % median: 31.568 % GRND: 24.854 % low: -40.734 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 21.9 M | |
| Free Cash Flow Yield | 0.974 % | |
| Free Cash Flow Yield QoQ | -46.921 % | |
| Free Cash Flow Yield YoY | 4.731 % | |
| Free Cash Flow Yield IPRWA | high: 12.867 % GRND: 0.974 % mean: 0.703 % median: 0.656 % low: -7.543 % |
|
| Free Cash Growth | -57.348 % | |
| Free Cash Growth QoQ | -243.863 % | |
| Free Cash Growth YoY | -4167.234 % | |
| Free Cash Growth IPRWA | high: 168.26 % mean: 6.545 % median: 0.368 % GRND: -57.348 % low: -131.789 % |
|
| Free Cash To Net Income | 1.079 | |
| Cash Flow Margin | 7.742 % | |
| Cash Flow To Earnings | 0.481 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 4.176 % | |
| Return On Assets QoQ | -33.173 % | |
| Return On Assets YoY | -115.77 % | |
| Return On Assets IPRWA | high: 10.736 % median: 6.089 % mean: 6.069 % GRND: 4.176 % low: -9.288 % |
|
| Return On Capital Employed (ROCE) | 7.031 % | |
| Return On Equity (ROE) | 0.431 | |
| Return On Equity QoQ | -0.817 % | |
| Return On Equity YoY | -54.213 % | |
| Return On Equity IPRWA | GRND: 0.431 high: 0.171 mean: 0.086 median: 0.083 low: -0.226 |
|
| DuPont ROE | 34.351 % | |
| Return On Invested Capital (ROIC) | 5.555 % | |
| Return On Invested Capital QoQ | -43.409 % | |
| Return On Invested Capital YoY | -97.93 % | |
| Return On Invested Capital IPRWA | high: 8.398 % median: 7.518 % mean: 7.414 % GRND: 5.555 % low: -19.441 % |
|
