Recent News
On April 2, 2026 the Board declared a quarterly cash dividend of $0.16 per share, payable June 15, 2026 to shareholders of record on May 29, 2026. The company filed its 2026 annual report and related SEC disclosures during the spring reporting window, which also documented corporate governance and dividend timing.
Technical Analysis
ADX registers 15.78, indicating no established directional trend; this lowers conviction in breakout scenarios and aligns with the short-term technical congestion suggested elsewhere.
Directional indicators show bearish orientation: DI+ at 18.90 produced a peak-and-reversal (bearish), while DI- at 25.52 produced a dip-and-reversal (bearish). Those directional signals favor near-term downside pressure relative to recent price levels.
MACD sits at 0.46 with the MACD line declining below the signal line at 1.50, a bearish momentum configuration that reduces the likelihood of immediate upside follow-through until momentum stabilizes.
MRO equals -20.92 (negative and decreasing), which indicates the market price lies below the model target and therefore contains technical potential for mean reversion to the upside if momentum pivots; this creates a counterweight to currently bearish momentum signals.
RSI at 51.64 with a peak-and-reversal points to a recent loss of upward momentum rather than oversold conditions, reinforcing the near-term pressure implied by MACD and directional indicators.
Price trades at $94.95 below the 20-day average ($104.83) and recent short-term EMAs (12-day EMA peaked and reversed), yet remains above the 200-day average ($84.57). That structural split suggests shorter-term resistance with underlying longer-term support, leaving the stock susceptible to range-bound action until momentum confirms a direction.
Fundamental Analysis
Mesa reported total revenue of $63,724,000 and gross profit of $42,205,000; gross margin stands at 66.23%, above the industry peer mean of 63.52%, supporting stronger product-level profitability. Operating margin equals 4.31%, materially below the industry peer mean of 20.47%, reflecting higher operating leverage and near-term cost pressure. EBIT amounts to $1,003,000 (EBIT margin 1.57%), versus an industry peer mean EBIT margin of 20.35%.
Profitability trends show contraction: EBIT margin declined roughly 86.6% quarter-over-quarter and about 67.2% year-over-year, while operating margin declined roughly 64.8% QoQ and 10.1% YoY. Net income registered a loss of $4,136,000 for the period, and return on equity equals -2.22%.
Earnings per share came in at $1.83 versus an estimate of $1.39, a beat of $0.44 or +31.66% (EPS surprise). The EPS beat reflects a combination of margin dynamics and non-operating items disclosed in the fiscal release.
Cash and liquidity: cash and short-term investments total $26,928,000 with operating cash flow of $13,962,000 and free cash flow of $13,545,000, producing a free cash flow yield near 2.55%. The current ratio equals 1.72 and the quick ratio 1.29, signaling adequate near-term liquidity despite working capital seasonality (cash conversion cycle ~144 days).
Leverage and capital structure: total debt equals $155,169,000 with debt-to-assets at 36.28%, slightly above the industry peer mean of 26.90%; debt-to-EBITDA reads ~22.98, indicating elevated leverage relative to operating earnings. Intangible assets remain large at $270,210,000 and net tangible assets negative, underscoring balance-sheet composition considerations.
Growth metrics present a mixed picture: reported revenue growth YoY stands at +91.89% while sequential revenue change shows a substantial decline QoQ of -129.80% (both reported data points). Earnings growth sits at +3.98%, which compares favorably to the industry peer mean of -14.30%.
Valuation context: WMDST values the stock as under-valued. Key valuation multiples include a PE of 52.48, EV/revenue roughly 10.34, price-to-book 2.85, and price-to-sales 8.33. Free cash generation and a modest dividend ($0.16 quarterly) lend income support, while elevated leverage and recent margin compression cap the valuation uplift until operating margins stabilize.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-03-31 |
| REPORT DATE: | 2026-05-27 |
| NEXT REPORT DATE: | 2026-08-26 |
| CASH FLOW | Begin Period Cash Flow | $ 29.0 M |
| Operating Cash Flow | $ 14.0 M | |
| Capital Expenditures | $ -417.00 K | |
| Change In Working Capital | $ 3.9 M | |
| Dividends Paid | $ -884.00 K | |
| Cash Flow Delta | $ -2.05 M | |
| End Period Cash Flow | $ 26.9 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 63.7 M | |
| Forward Revenue | $ -65.28 M | |
| COSTS | ||
| Cost Of Revenue | $ 21.5 M | |
| Depreciation | $ 1.3 M | |
| Depreciation and Amortization | $ 5.8 M | |
| Research and Development | $ 5.2 M | |
| Total Operating Expenses | $ 61.0 M | |
| PROFITABILITY | ||
| Gross Profit | $ 42.2 M | |
| EBITDA | $ 6.8 M | |
| EBIT | $ 1.0 M | |
| Operating Income | $ 2.7 M | |
| Interest Income | — | |
| Interest Expense | $ 2.6 M | |
| Net Interest Income | $ -2.60 M | |
| Income Before Tax | $ -1.59 M | |
| Tax Provision | $ 2.5 M | |
| Tax Rate | 40.0 % | |
| Net Income | $ -4.14 M | |
| Net Income From Continuing Operations | $ -4.14 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.39 | |
| EPS Actual | $ 1.83 | |
| EPS Difference | $ 0.44 | |
| EPS Surprise | 31.655 % | |
| Forward EPS | $ 3.07 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 427.7 M | |
| Intangible Assets | $ 270.2 M | |
| Net Tangible Assets | $ -83.97 M | |
| Total Current Assets | $ 106.3 M | |
| Cash and Short-Term Investments | $ 26.9 M | |
| Cash | $ 26.9 M | |
| Net Receivables | $ 44.1 M | |
| Inventory | $ 26.4 M | |
| Long-Term Investments | $ 19.2 M | |
| LIABILITIES | ||
| Accounts Payable | $ 4.9 M | |
| Short-Term Debt | $ 5.6 M | |
| Total Current Liabilities | $ 61.9 M | |
| Net Debt | $ 124.6 M | |
| Total Debt | $ 155.2 M | |
| Total Liabilities | $ 241.5 M | |
| EQUITY | ||
| Total Equity | $ 186.2 M | |
| Retained Earnings | $ -185.75 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 33.71 | |
| Shares Outstanding | 5.525 M | |
| Revenue Per-Share | $ 11.53 | |
| VALUATION | Market Capitalization | $ 530.6 M |
| Enterprise Value | $ 658.9 M | |
| Enterprise Multiple | 97.565 | |
| Enterprise Multiple QoQ | 119.037 % | |
| Enterprise Multiple YoY | 25.754 % | |
| Enterprise Multiple IPRWA | high: 167.868 MLAB: 97.565 mean: 82.374 median: 80.811 low: -193.913 |
|
| EV/R | 10.339 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.297 | |
| Asset To Liability | 1.771 | |
| Debt To Capital | 0.454 | |
| Debt To Assets | 0.363 | |
| Debt To Assets QoQ | -12.838 % | |
| Debt To Assets YoY | -13.375 % | |
| Debt To Assets IPRWA | high: 0.725 MLAB: 0.363 mean: 0.269 median: 0.249 low: 0.002 |
|
| Debt To Equity | 0.833 | |
| Debt To Equity QoQ | -14.056 % | |
| Debt To Equity YoY | -26.622 % | |
| Debt To Equity IPRWA | high: 4.524 MLAB: 0.833 mean: 0.544 median: 0.426 low: -0.465 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 2.849 | |
| Price To Book QoQ | 20.198 % | |
| Price To Book YoY | -30.87 % | |
| Price To Book IPRWA | high: 20.943 mean: 5.624 median: 4.172 MLAB: 2.849 low: -12.173 |
|
| Price To Earnings (P/E) | 52.481 | |
| Price To Earnings QoQ | 15.322 % | |
| Price To Earnings YoY | -156.852 % | |
| Price To Earnings IPRWA | high: 194.313 mean: 120.349 median: 98.047 MLAB: 52.481 low: -198.766 |
|
| PE/G Ratio | 13.196 | |
| Price To Sales (P/S) | 8.327 | |
| Price To Sales QoQ | 22.549 % | |
| Price To Sales YoY | -21.454 % | |
| Price To Sales IPRWA | high: 62.134 mean: 29.52 median: 21.968 MLAB: 8.327 low: 0.285 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 27.46 | |
| Forward PE/G | 6.905 | |
| Forward P/S | -8.128 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 40.347 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.148 | |
| Asset Turnover Ratio QoQ | -1.86 % | |
| Asset Turnover Ratio YoY | 3.495 % | |
| Asset Turnover Ratio IPRWA | high: 0.411 MLAB: 0.148 median: 0.128 mean: 0.122 low: 0.002 |
|
| Receivables Turnover | 1.511 | |
| Receivables Turnover Ratio QoQ | -6.801 % | |
| Receivables Turnover Ratio YoY | -1.96 % | |
| Receivables Turnover Ratio IPRWA | high: 3.141 mean: 1.938 median: 1.582 MLAB: 1.511 low: 0.361 |
|
| Inventory Turnover | 0.813 | |
| Inventory Turnover Ratio QoQ | -5.387 % | |
| Inventory Turnover Ratio YoY | -8.34 % | |
| Inventory Turnover Ratio IPRWA | high: 2.164 MLAB: 0.813 mean: 0.607 median: 0.509 low: 0.137 |
|
| Days Sales Outstanding (DSO) | 60.38 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 143.982 | |
| Cash Conversion Cycle Days QoQ | 1.429 % | |
| Cash Conversion Cycle Days YoY | -1.022 % | |
| Cash Conversion Cycle Days IPRWA | high: 587.726 median: 180.7 mean: 160.417 MLAB: 143.982 low: -133.614 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 1.436 | |
| CapEx To Revenue | -0.007 | |
| CapEx To Depreciation | -0.33 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 332.1 M | |
| Net Invested Capital | $ 337.7 M | |
| Invested Capital | $ 337.7 M | |
| Net Tangible Assets | $ -83.97 M | |
| Net Working Capital | $ 44.4 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.435 | |
| Current Ratio | 1.717 | |
| Current Ratio QoQ | -11.593 % | |
| Current Ratio YoY | 174.134 % | |
| Current Ratio IPRWA | high: 14.36 mean: 2.73 median: 2.112 MLAB: 1.717 low: 0.038 |
|
| Quick Ratio | 1.291 | |
| Quick Ratio QoQ | -11.208 % | |
| Quick Ratio YoY | 173.713 % | |
| Quick Ratio IPRWA | high: 12.588 mean: 2.016 median: 1.518 MLAB: 1.291 low: 0.37 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 22.978 | |
| Cost Of Debt | 0.927 % | |
| Interest Coverage Ratio | 0.386 | |
| Interest Coverage Ratio QoQ | -84.631 % | |
| Interest Coverage Ratio YoY | -67.341 % | |
| Interest Coverage Ratio IPRWA | high: 87.935 mean: 17.93 median: 13.911 MLAB: 0.386 low: -102.892 |
|
| Operating Cash Flow Ratio | -0.039 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 19.909 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | -4.679 | |
| Dividend Payout Ratio | -0.214 | |
| Dividend Rate | $ 0.16 | |
| Dividend Yield | 0.002 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -1.633 % | |
| Revenue Growth | -2.153 % | |
| Revenue Growth QoQ | -129.795 % | |
| Revenue Growth YoY | 91.889 % | |
| Revenue Growth IPRWA | high: 16.503 % MLAB: -2.153 % median: -5.375 % mean: -7.834 % low: -65.483 % |
|
| Earnings Growth | 3.977 % | |
| Earnings Growth QoQ | -98.634 % | |
| Earnings Growth YoY | -99.015 % | |
| Earnings Growth IPRWA | high: 200.0 % MLAB: 3.977 % median: -7.623 % mean: -14.297 % low: -145.833 % |
|
| MARGINS | ||
| Gross Margin | 66.231 % | |
| Gross Margin QoQ | 3.202 % | |
| Gross Margin YoY | 7.135 % | |
| Gross Margin IPRWA | high: 95.029 % MLAB: 66.231 % mean: 63.517 % median: 63.289 % low: 7.731 % |
|
| EBIT Margin | 1.574 % | |
| EBIT Margin QoQ | -86.569 % | |
| EBIT Margin YoY | -67.181 % | |
| EBIT Margin IPRWA | high: 63.148 % median: 21.811 % mean: 20.348 % MLAB: 1.574 % low: -233.035 % |
|
| Return On Sales (ROS) | 4.312 % | |
| Return On Sales QoQ | -64.786 % | |
| Return On Sales YoY | -10.092 % | |
| Return On Sales IPRWA | high: 63.148 % median: 20.603 % mean: 20.468 % MLAB: 4.312 % low: -219.267 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 13.5 M | |
| Free Cash Flow Yield | 2.553 % | |
| Free Cash Flow Yield QoQ | -37.319 % | |
| Free Cash Flow Yield YoY | 44.237 % | |
| Free Cash Flow Yield IPRWA | high: 7.748 % MLAB: 2.553 % mean: 0.515 % median: 0.47 % low: -15.26 % |
|
| Free Cash Growth | -24.842 % | |
| Free Cash Growth QoQ | -116.262 % | |
| Free Cash Growth YoY | -26.631 % | |
| Free Cash Growth IPRWA | high: 324.237 % MLAB: -24.842 % mean: -32.299 % median: -37.858 % low: -397.308 % |
|
| Free Cash To Net Income | -3.275 | |
| Cash Flow Margin | -3.752 % | |
| Cash Flow To Earnings | 0.578 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | -0.959 % | |
| Return On Assets QoQ | -214.303 % | |
| Return On Assets YoY | -41.31 % | |
| Return On Assets IPRWA | high: 5.251 % mean: 2.049 % median: 1.583 % MLAB: -0.959 % low: -28.223 % |
|
| Return On Capital Employed (ROCE) | 0.274 % | |
| Return On Equity (ROE) | -0.022 | |
| Return On Equity QoQ | -214.249 % | |
| Return On Equity YoY | -50.101 % | |
| Return On Equity IPRWA | high: 0.413 median: 0.032 mean: 0.03 MLAB: -0.022 low: -0.899 |
|
| DuPont ROE | -2.218 % | |
| Return On Invested Capital (ROIC) | 0.178 % | |
| Return On Invested Capital QoQ | -89.578 % | |
| Return On Invested Capital YoY | -74.462 % | |
| Return On Invested Capital IPRWA | high: 8.753 % mean: 2.447 % median: 2.32 % MLAB: 0.178 % low: -14.938 % |
|